$5 submissions

My wife and I recently had an eye-opening discussion. We were discussing buying real estate in California or Arizona since we're splitting our time between business here in the US and visiting family and friends back in the US. I grew up in the US and was always under the assumption that it was a better place to invest in terms of real estate. Boy, was I surprised...

In 1986 (after the first People Power revolution toppled Marcos), property rates in Laguna (Im not using Manila rates since we're looking at Laguna property but they follow the same trend) ranged from P50 to P150 per square meter (around 10 square feet). Now, it ranges from P1000 to P3000 depending on location.

That's a twentyfold appreciation in 19 years. Now, compare that to our old house in the SF Valley in California. My parents bought it in 1978 for $60K and now its valued at around $400K. Not bad. Around sevenfold increase.

However, compare that to the Philippines... 20x vs. 7x

A little bit of a CAVEAT though... the bulk of the appreciation of real estate prices here came around 1995 to 1997 when the Philippines hit a period of economic boom. It crashed with the 1997 Asian "economic flu" and languished for a further dive around 2000 with the ouster of President Joseph Estrada.

Foreigners/non-balikbayans (balikbayans are returnees who were born in the PI but naturalized as citizens of other countries) are entitled by law to up to 1000 sq meters of land. Also, there's special visas you can apply for re investment/corporate held property.

Just sharing some info since there's a ton of webmasters setting up shop here.

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