Philippine banks have slightly reduced their exposure to the property sector in the third quarter, maintaining a cautious stance despite a recovery in Metro Manila’s condominium market.
Real estate loans grew 9.2 percent year-on-year to ₱3.1 trillion, while direct real estate investments fell 5.8 percent to ₱354.7 billion, driven by declines in debt and equity securities.
Residential loans climbed 11.2 percent, and commercial loans rose 7.3 percent, even as banks grapple with higher vacancy rates and a glut of units following the 2024 offshore gaming ban.
Metro Manila’s pre-selling condo market, particularly units priced between ₱2.5 million and ₱12 million, saw strong demand and fewer buyer backouts, indicating a stabilizing recovery.
Analysts noted that while banks remain cautious, developers’ promotions for ready-for-occupancy units continue to attract local and overseas Filipino investors.
Source: PhilNews24 | December 18, 2025
REAL ESTATE LOANS FACE BANK CAUTION AMID STRONG CONDO DEMAND
Latest from Business
A University of the Philippines Los Baños (UPLB) study found that the strength and structural quality
Jollibee Group’s South Korean coffee brand, Compose Coffee, has earned the highest customer satisfaction rating among
The country’s agricultural output rose 2.6 percent in 2025 to nearly P1.8 trillion, marking the highest
Britain’s Competition and Markets Authority (CMA) proposed allowing website publishers to opt out of having their
Local government units (LGUs) have received a P1.19-trillion national tax allotment (NTA) for 2026, providing funds