Balikbayans splurging on property purchases

CEBU, Philippines - Although real estate related sales spike is not new for Cebu during the duration of the Sinulog Festival week due to the influx of balikbayans, this year gives a surprising turn as buyers are getting multiple units.

"We used to service balikbayans in the previous years who buy only one unit for investment or family use. But now, balikbayans are splurging their money in buying more condominium units," said Filipino Homes chief executive officer and founder Anthony Gerard Leuterio in an interview yesterday.

Aside from getting a single property for retirement purposes, Leuterio said dollar-earning Pinoys, Cebuanos in particular are putting their money in property investments anticipating the good returns of rental business in the next few years for Cebu.

"This year is two or three times better than the previous years. Condominium projects are getting favorable interest from balikbayan buyers," added Leuterio.

According to Leuterio some balikbayans are also tagging along their mainstream American friends, not only to witness the festival, but also to search or buy properties for investments here.

"It is already a fact that rental demand is increasing tremendously in Cebu. Those that already owned a unit or two for personal use are buying more for investments," added Leuterio.

Since Christmas, real estate brokers were already busy tending to their balikbayan buyers, Leuterio said.

"Balibayans started arriving in Cebu since Christmas. More and more are arriving as the festival gets near," he added.

Aside from the good impression of Filipinos working abroad on the Duterte administration, which encouraged them to invest here, the strengthening of the dollar versus the Philippine peso also fueled the balibayans' and foreign nationals' confidence to own one of more properties in Cebu.

Leuterio also attributed the active move of developers in constantly promoting their projects abroad through a series of sales missions.

He added that these buyers are not only interested in buying properties within Cebu, but other areas like Davao, Cagayan de Oro, Iloilo are gaining popularity as investment grounds.

Filinvest Land Inc. —Visayas project development officer Archie Igot confirmed Leuterio's statement, saying Sinulog Festival has always been a good avenue for developers to showcase their projects considering the number of balikayans coming home, as well as tourists from all over the world visiting Cebu. (FREEMAN)