SUV demand holds firm despite rising fuel costs

Insider Spotlight

• SUVs remain top vehicle loan choice despite fuel cost concerns
• House-and-lot properties still dominate home financing demand
• Family needs outweigh rising oil and living expenses
  
  
  

Filipino borrowers continue to favor sports utility vehicles (SUVs) and house-and-lot properties, with demand for larger, family-oriented purchases holding steady even amid concerns over rising fuel costs, according to Metrobank.

The resilience in SUV demand signals that functionality and family utility outweigh cost pressures such as higher oil prices. It also reflects how households prioritize long-term value over short-term expenses.

The big picture

Home loan applicants still prefer house-and-lot developments over condominiums and townhouses, underscoring the enduring goal of land ownership and space for multigenerational living.

This trend aligns with broader property market patterns, where horizontal developments in suburban areas continue to attract families seeking larger, community-driven environments.

By the numbers

Housing remains a key financial milestone for Filipino households, widely viewed as a path to long-term security and wealth building, based on central bank data. 

Studies by the Bangko Sentral ng Pilipinas consistently show property ownership as a top aspiration among households. 

Zoom in

In the auto segment, SUVs continue to outpace sedans as the vehicle of choice among borrowers, despite fluctuations in fuel prices. 

Their larger seating capacity and versatility make them a practical option for families navigating daily travel and longer trips.

This mirrors wider industry trends, where commercial vehicles—including SUVs, pickups, and vans—dominate sales as buyers prioritize durability and flexibility.

Between the lines

Filipino families tend to make major financial decisions collectively, weighing trade-offs between rising expenses and long-term needs such as mobility, housing, and financial security. 

Even with higher fuel costs, the perceived value of space and utility remains a decisive factor.

What’s next

Metrobank is positioning to capture this sustained demand through its “Goals Made Real” promo, offering lower interest rates, waived fees of up to P60,000, and free one-year car insurance for auto loans.

Applications approved by the end of July will qualify, as the bank looks to support Filipinos pursuing major life investments despite a challenging cost environment. —Vanessa Hidalgo | Ed: Corrie S. Narisma