According to the central bank, the Residential Real Estate Price Index increased by 2.7% year-on-year, marking a significant deceleration from the 6.1% annual increase recorded in the first quarter of 2024.
On a quarter-on-quarter basis, real estate prices rose by 1.8%, slightly faster than the 1.1% growth in the previous quarter.
This moderation in the average price increases, however, reflects varied performance across the country.
Prices in the Metro Manila and its immediate environs declined by 1% year-on-year, driven by a significant drop in the prices of single-detached houses, which outweighed gains in condominium units and townhouses.
Meanwhile, provincial areas experienced a 4.2% annual price increase, driven by higher prices for duplexes, single-detached houses, and condominiums.
The slower growth in real estate prices coincided with a drop in loan availments, according to the central bank.
The report revealed that the number of residential real estate loans granted for new housing units fell by 3.5% year-on-year and 15.1% quarter-on-quarter in the second quarter of 2024, indicating potential caution in market activity.
While the property market remains resilient, the overall cooling of price growth in the second quarter suggests more cautious demand amid broader economic uncertainties.
Analysts will closely watch these trends as they assess future real estate market conditions in the Philippines.
