Real Estate and Housing Industry

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http://business.inquirer.net/money/t...ticle_id=85314

Ayala Land bullish on prospects despite US sub-prime woes
By Rocel Felix
08/29/2007

MANILA, Philippines -- Ayala land Inc., the Philippines' biggest real estate developer, said it remains bullish on the prospects of the local property sector despite prevailing worry over possible further fallout from the US sub-prime mortgage crisis.

The optimism is due to its robust domestic sales and an expanding market mostly made up of overseas Filipino workers, company officials said.

"Our operating results are on track and healthy (and) the market is moving in our favor," Ayala Land president and chief executive Jaime Ayala told stockholders' at a special meeting Tuesday.

He said the company is watching developments in the US sub-prime sector to determine if this would make a direct impact on sales to Filipinos working and residing in the US.

"We are closely watching it with respect to our OFW (overseas Filipino workers) market. Some of our potential buyers may have existing mortgages, but since these problems are quite recent, we haven't assessed what it would mean for our future sales."

Filipinos working abroad send home at least $1.0 billion in remittances every month. In the first half of this year, remittances rose 18.1 percent from a year earlier to a record $7.0 billion.

While the US is a significant market for Ayala Land, chief finance officer Jaime Ysmael said the company's residential projects are expected to continue enjoying a high take-up rate despite the current sub-prime problems in the US.

"We have a highly diversified market not just in the US but also in Europe and the Middle East. Besides, US sales are focused on the upscale market," said Ysmael.

"If the US problem drags on, we can still count on our growing overseas markets elsewhere."

In the near-term, Filipinos living and working in the US will likely wait for the sub-prime turmoil to subside before making firm investments in the Philippine property sector, said Delfin Lazaro, Ayala board director and chief finance officer of parent company Ayala Corp.

"Because of the ongoing uncertainty, there may be a little bit of reluctance among Filipinos in the US to make big commitments. We can expect a period when people will be more cautious and (would rather) wait to see how the situation will play out before they make a judgment call," said Lazaro.

In recent years, Ayala Land's offshore sales, mostly to OFWs, accounted for 37 percent of its residential sales.

Its ongoing construction of new high-end residential projects and the expansion of mall and office spaces has also generated strong foreign investor interest.

This has prompted Ayala Land to set a stock rights offer of 13 billion preferred shares from September 10-14.

Ayala Land has yet to set the offer price.

The preferred shares will be non-voting, non-cumulative and will not be listed on the stock exchange.

"The preferred share offering will address the foreign ownership limit of 40 percent since we are already nearing that cap," said Ayala Land chairman Fernando Zobel de Ayala.

"This is an accepted mechanism to address the issue. Foreign investors should be able to freely and actively trade, and move in and out in a very large way, otherwise they will lose interest in the stock," Zobel de Ayala said.

He said the preferred share offering has been getting "fairly positive feedback" from foreign institutional investors, without elaborating.

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http://business.inquirer.net/money/b...ticle_id=85301

Despite US subprime crisis, firm launches Makati condo
Inquirer
08/29/2007

Real estate developer Century Properties Inc. launched Tuesday its Gramercy Residences high-end condominium project in its Century City development on Kalayaan Avenue in Makati City, saying it expected demand for its projects to remain firm despite the subprime credit crisis in the United States.

Its chairman Jose Eduardo Antonio said the company was counting on the changing nature of property buyers, which he said had evolved significantly from before the 1997 East Asian financial crisis.

“In 1997, most buyers were speculative," Antonio said. "They bought like stocks on the stock market. Today, most of our buyers are end-users.”

He added that Century Properties had a “very strong foundation of buyers" especially from overseas that it could rely on to see the project through.

“Many of our buyers are expatriate Filipinos or retirees,” he said. “Our sales are not affected by the credit concerns abroad.”

Prices at the company’s Gramercy Residences range from P2.6 million to P18.0 million, for sizes of 26 square meters for studio units to 160 square meters for three-bedroom loft-type units.

Century Properties chief operating officer Jose Victor Antonio said total project cost was expected to reach P5.5 billion, which he said would come from internally generated funds.

Gramercy will have at least 65 floors. It will have 1,000 units in flat and loft configurations.

Groundbreaking is planned for the fourth quarter of 2007.

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US subprime woes seen eating into RP banks’ profits

Credit-linked notes invested in RP bonds

By Doris Dumlao
Inquirer
Last updated 03:47am (Mla time) 08/30/2007


The global financial market volatility triggered by the US credit crunch is expected to depress Philippine banks’ gains from treasury operations and eat into their overall profitability in the third quarter.

And the pressure is not coming not from collateralized debt obligations (CDOs), but from another type of structured product called credit-linked notes, or CLNs, that are heavily invested in the Philippine government’s foreign currency-denominated bonds, referred to as "ROPs."

“The problem is with these CLNs whose valuations have gone down and this will be reflected when we do the marking-to-market,” one banker said.

“The first semester is good but the third quarter is really bad,” the banker said.

CDOs are a type of security backed by assets and a structured credit product that serves as an important funding vehicle for portfolio investments in risky assets like the subprime mortgage market in the United States.

Although CDOs comprise less than two percent of the banking system’s total assets, based on central bank data, the sector has a big exposure to many other instruments that are heavily invested in ROPs.

Poor market sentiment triggered by the problematic subprime mortgage market in the US has weighed down on the values of ROPs and other emerging market IOUs.

“There will surely be an impact on profitability but how big or how large the impact will be, the BSP [Bangko Sentral ng Pilipinas, the central bank] still has to evaluate that,” BSP Deputy Governor Diwa Guinigundo said.

“But as the market digests all the news, their action in the end will be to go back to fundamentals,” he said.

He said that with the country’s improved fiscal position, rising foreign reserves and external surpluses, which indicate a capability to repay foreign obligations, foreign investors would again warm up to Philippine investments.

Offering some relief from turbulent global markets and tougher banking regulations, the Philippine government is drawing up a new mechanism to help domestic holders of ROPs shift to peso-denominated assets.

The conversion scheme aims to keep the ROPs attractive to residents, especially to the banking system’s foreign currency deposit units (FCDUs) given this year’s implementation by the Bangko Sentral ng Pilipinas of stiffer capital adequacy requirements, Finance Undersecretary Roberto Tan said.

He noted that the national government and the BSP were now working together to study the dollar-to-peso risk conversion mechanism, which will be unlike global bond swaps pursued in the past. The government hopes to finalize and implement the scheme within this year.

According to estimates by the International Monetary Fund last year, more than 80 percent of domestically held ROPs were with the banking system.

The high “home bias,” or domestic ownership, of foreign-currency bonds issued by the government has somehow reduced the volatility of ROPs over the years, but the same exposure could cause potential balance sheet vulnerabilities in times of offshore market turmoil, the IMF warned.

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RP banks’ health improving but threats remain — Fitch
Daily Tribune
http://www.tribune.net.ph/business/20070831bus3.html

London-based credit watchdog Fitch Ratings noted local banks’ improved financial health due to better asset quality and enhanced capitalization over the past 18 months.

In a statement, Fitch said improvement of asset quality of Philippine banks was due mainly to disposal of non-performing loans (NPLs) and some foreclosed properties, rising property prices on the remaining foreclosed properties, greater provisioning and balance-sheet growth.

“Most banks have satisfactorily provided for NPLs, particularly given that deterioration in loan quality is unlikely, owing to limited loan growth in recent years and generally benign economic outlook,” it said.

It, however, noted that provisioning for foreclosed properties remains low.

Prices of high-quality commercial office spaces and higher-end residences are increasing, it said, but “price growth has not been so great in other markets, where much of the banks’ assets lie.”

It further said “in addition, many banks still maintain a significant amount of other assets that are either impaired or of questionable value, including deferred losses subordinated debt issued by special purpose vehicles (SPVs) that purchased such NPLs and foreclosed properties, goodwill, and deferred tax assets.”

Thus, the agency expects local banks’ financial health to “come under some pressure.”

Fitch said even if some banks were able to raise common and/or hybrid capital as well as subordinated debt due to upbeat equity and debt markets “assets quality remains a key challenge for a number of banks.”

“Some weaker banks may necessitate additional capital raisings,” it pointed out.

In terms of profitability, the agency said banks’ margin remain high as most banks continue to earn from their large holdings of long-term, fixed-rate government debt papers as well as fee income from various services and products particularly remittance service and trust sales.

The agency, however, said “they (banks’ profitability) have been decreasing as a result of rising competition and a declining interest rate environment.”

“Fitch expects that earnings are likely to come under some pressure given the steepening yield curve,” it said.

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http://showbizandstyle.inquirer.net/...ticle_id=87381

Be secure with developer before settling in
By Tessa Salazar
Inquirer
09/08/2007

MANILA, Philippines—Property experts note that aside from “good sign” the deluge of condo developments brings for the Philippine property market, it gives prospective buyers more choices in terms of size, design, location and price.

Global Property Guide’s chief economist Prince Christian R. Cruz notes that the more options available, the better it is for buyers.

Richard Raymundo, Colliers International’s director for research and consultancy, says that as with other industries, a more robust property sector would contribute more to the economy and also increase property values. He also says another positive result of a property sector boom is increased employment for the construction outfits.

Good track record

But are low-priced condominium developments enough for you to “bite the bait,” so to speak? Without driving you back to overpriced condo units from reputable developers, experts remind Filipino condo unit buyers not to commit the common mistake of buyers in the past. If you’re considering buying from condo developers without proven track records, don’t just take their word for it. Investigate.

“Residential units are sold on a preselling basis in the Philippines. Buying from a developer with a good track record gives an assurance that it will be delivered on time and with the quality agreed on,” Raymundo advises.

Buying a condominium in the Philippines “is very tricky,” Cruz notes, and he reminds buyers to seek first the developer’s track record in terms of reliability, service and quality.

“The company’s reputation in terms of structural design is very important. It is easy to check the size and layout of condo units, but to check whether substandard materials were used or that the building can withstand typhoons and earthquakes is difficult.”

Cruz stresses that the Philippines is located along the Pacific Ring of Fire, where earthquakes and volcanic eruptions constantly threaten the land. “Completely surrounded by water, we are also under constant threat of typhoons and flood.”

Life of a condo

Cruz says the building’s life actually depends on its structural design and maintenance. “In other countries, a well-maintained building can last up to 100 years without any major renovations or repair. In the Philippines, a building’s life span is probably shorter due to harsher environmental conditions.”

He adds that condominiums are set like a corporation. What the unit owner actually owns are shares to the corporation proportional to the unit’s size. Contrary to popular belief, the owner does not lose ownership of the unit after 50 years, according to the Condominium Act (RA 4726). The owner of a condo unit as a shareholder in a company has a say on what would be done to the condominium building.

Association dues

Raymundo says a condominium is run under a condominium corporation.

“That is why there are condominium unit owners’ meetings held to decide on issues like property management, special capital expenditure, condominium rules and regulations. This said, the financial position and how the association dues are arrived at have to be transparent to all condominium owners.”

Cruz says that as the condominium building gets older, association dues used for maintenance typically gets higher.

“If unit owners feel that association dues are too high, they have the right to see the company’s audited financial statement. They should remember that they are not mere tenants in the building, they are stockholders. The property manager should serve at the owners’ pleasure and not the other way around. Active participation in the condominium board could prevent this from happening in the first place.

Ask, ask, ask some more

Cruz says condo buyers should ask questions, not just from the real estate agent and the developer, but more importantly, from prospective neighbors. These include other condo owners and people within the locality.

“They know if it floods in the area, if there are serious peace and order problems, or if the garbage is regularly collected. These are simple things that are often neglected but are very essential.”

What rights do condo unit owners have after the building has lived out its supposed life span? How would an owner know if association dues are used properly? Questions like these have to be answered even early on.

Raymundo says that each building owner has a proportionate right to the land on which the building stands. Once the building is economically obsolete, the land, however, retains value.

“The property can be redeveloped with each unit owner having a proportionate right or share in the land value. For example, if there is a 10,000-sq-m condominium and Owner A owns 5,000 sq m, Owner A has a right to 50 percent of the land and its value,” Raymundo says.

Some condominium developers experience difficulties forecasting market demand, Cruz says. According to him, not all developers conduct a proper market study before building a condo building. Since there are always chronological gaps between planning, construction and marketing, several factors such as customer preferences, economic conditions and construction costs, may change.

“There can be a mismatch between what is available and what is demanded, especially in terms of unit sizes. While this can be remedied by merging or dividing units, this is costly and can affect the building’s structural integrity,” Cruz reminds.

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Buying real property in RP like living in a first-world country at third-world prices


Cagayan de Oro City (11 September) -- One of the world's largest shipping companies, Bejing-based China Ocean Shipping Co., is studying whether to build a multi billion- dollar cargo hub near Manila, company officials say.

This, as the South Korean shipbuilder Hanjin Heavy Industries & Construction Co. is investing $1.7 billion in a new shipyard at a former US Naval Base in Subic Bay attracted by the skilled, English-speaking work force and low costs offered by our coutrymen.

Meanwhile, James Hookway, in his article "For Philippine Economy, Harsh Remedies Pay Off: A Risky Tax Increase by Arroyo Helps Spur New Investments" published by the Wall Street Journal Asia in Aug. 13, 2007, said more than 10 million Filipino expatriates working abroad have taken notice.

"They are now sending home $14 billion a year, double of what they sent five years ago, as government figures indicate," he said.

Economists see this as a relatively secure source of revenue. While 35% of these expatriates work in the US, there are also large pockets in Europe, the Middle East and East Asia. That geographical diversity could provide some insulation against a downturn in the US.

Hookway said the remittances aren't just going to support families, but into the stock market and property investments.

In fact, Ayala Land, one of the country's biggest real-estate companies, says that in 2006, 37% of their revenue came from Filipinos overseas buying land and condominiums, up from 26% the year before and just 16% in 2004.

Recently, the company's chief financial officer, Jaime Ysmael, told shareholders that if economic problems in the US deepen, Ayala Land can still count on Filipinos working in Europe and the Middle East.

Norma Ravanzo, a 58-year old retired nurse from Houston, is one such investor. An American citizen for more than 30 years, Ravanzo is planning to return to her homeland with her husband, who was also born in the Philippines.

Encouraged by the economic progress and improving living condition, she bought property in Cebu City, Manila's financial district and a retirement home in Subic Bay. "It's like living in a first-world community at third-world prices," Ravanzo describes. (PIA 10)

Philippine Information Agency

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http://business.inquirer.net/money/b...ticle_id=88915

Banks' property loans rise 3.8% to P218B

By Doris Dumlao
Inquirer
09/16/2007

WITH PROPERTY prices rebounding a decade after the Asian currency crisis, Philippine banks are becoming more confident of increasing their exposure in the real estate sector, whether in the form of loans backed by property assets or securities issued by property developers.

Real estate exposure of commercial banks grew 3.8 percent to P218 billion in the second quarter from a year ago as real estate-backed loans increased by P7.7 billion, the Bangko Sentral ng Pilipinas reported on Friday.

Compared to a quarter ago, total exposure also expanded by about 3.8 percent from the P210 billion in real estate-backed assets in their books as of end-March. During the same period, banks' investments in securities issued by real estate companies grew by P200 million.

The majority or 96.5 percent of total real estate loans were held by the bank proper while the remaining 3.5 percent represented assets managed by their trust departments.

"The expansion was driven mainly by the bank proper, where several banks posted net increases in their real estate loans during the quarter, mostly due to new loan releases to property developers," the Philippine central bank reported.

The industry's combined real estate loans grew by 4.2 percent to P192.2 billion from P184.5 billion in the previous quarter. As a result, the ratio of real estate loans to total loan portfolio, excluding interbank loans, rose to 11.5 percent from the previous quarter's 10.6 percent.

Real estate loans granted for the construction and development of real estate for commercial purposes including infrastructure projects accounted for 81.2 percent or P156.2 billion of the total while the remaining 18.8 percent or P36 billion were granted for the acquisition of residential units by individual homeowners/borrowers.

There was likewise some improvement in terms of assets backed by real estate.

Past due real estate loans fell by 9.6 percent to P18.1 billion from the previous quarter's P20 billion.

"The improvement was mainly due to the sale of delinquent loans to SPV (Special Purpose Vehicle) as well as rigorous collection, settlement, restructuring and foreclosure efforts," the BSP said.

The extended SPV Law, which will expire in April next year, waives some of the taxes and reduced fees usually collected in the sale or transfer of assets, to encourage banks to clean up those bad assets that piled up during the Asian crisis. It also scraps the documentary stamp tax, capital gains tax and e-VAT (expanded value added tax) and reduced the registration/transfer fees by 50 percent.

Thus, the ratio of soured real estate loans to total loans eased to 9.4 percent from the previous quarter's 10.8 percent. This ratio was likewise an improvement from the year-ago ratio of 13.3 percent.

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http://www.bworldonline.com/BW091707/content.php?id=051

Office space supply to remain tight next year

Ruby Anne M. Rubio
BusinessWorld
September 17, 2007

SUPPLY OF OFFICE spaces will likely continue to remain tight until the second half of 2008, even after nine developments come on line to add another 237,000 square meters to existing supply, real estate money management and services firm Jones Lang LaSalle said.

In her office market analysis dated September 2007, Jones Lang LaSalle Philippines research head Kathy Marcelo said new supply for Grade A office, averaging 21,000 square meters annually since 2001, has "significantly lagged" behind the pickup in demand that has been driven particularly by business process outsourcing (BPO) activity.

"It is clear that the office market in Metro Manila is going through a tightening phase, with occupiers largely at the mercy of landlords. We advise occupiers to try and commit as early as possible, to look at decentralized options or to reduce exposure through flexible space planning strategies. With limited supply and a likely continuation of the demand scenario over the next 12 months, there are few other options," Ms. Marcelo said in Occupier Trends.

However, she believed there are "considerable" opportunities for occupiers who are looking to dispose of existing space, especially if it is "well located."

"Likewise, there are opportunities should occupiers look to leverage their covenant by selling owned space or refinancing given the likely outlook for interest rates," she said.

Ms. Marcelo noted BPO activity continues to account for bulk of leasing transactions in Manila’s prime office areas. While absorption for the first semester exceeded 25,000 square meters, she said this represents a "considerable slowdown" from previous periods.

Over the three years to 2006, annual absorption in Makati City alone was 48,000 square meters every six months, or close to 100,000 square meters per year.

"There are a number of reasons for this slowdown. However, the main one appears to be lack of quality space available and a falling vacancy rate, which goes hand in hand with the absorption levels experienced over the last three and a half years. The outlook for demand remains strong, limiting opportunities for occupiers. Given also that available vacant space now amounts to approximately one year’s average absorption, we expect market tightness to continue to impact on rental growth, which until recently had been moderate," she said.

But the good news is that market tightness and outlook around rentals is encouraging more developers to propose additional supply across Metro Manila.

The strong demand boosted by the entry of the BPO firms in 2000 has driven the market to expand beyond the Makati and Ortigas central business districts into emerging central business districts such as Bonifacio Global City, Eastwood City and Filinvest Corporate City.

Ms. Marcelo earlier said the strong demand has driven developers to provide purpose-built properties that suit specifications of these long-term leases and further encouraged pre-leasing commitments.

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http://business.inquirer.net/money/f...ticle_id=88935

Hot property sector shows no sign of cooling down
By Elizabeth Sanchez-Lacson
Inquirer
09/16/2007

HAS THE Philippine property sector lost its sizzle as financial markets cool down after the subprime mortgage fright in the United States?

In 2005, property companies and analysts lauded the start of a property boom--which had been long anticipated since 1997--largely due to a growing outsourcing industry that has spurred demand for office spaces, very low interest rates on housing loans, and an increasing appetite for homes from overseas Filipino workers (OFWs).

Two years later, industry analysts still believe that property investments are still a hot item, as reflected by resilient local and even overseas demand even if subprime mortgages have tightened credit access in the US, considered a relatively important market for home buyers of Philippine properties.

Market fears of a loss of a major growth driver in terms of residential sales from OFWs are, by far, also overstated, analysts said.

Subprime mortgages are mortgages granted to a borrower with a less-than-perfect credit report or those who have either missed or have been late in payments on a debt. The lure of subprime loans is that it does not require collateral.

Concerns about the massive housing and mortgage markets have swept the globe in the last few months, prompting sharp falls and jittery Asian and European stock markets and have prodded the Federal Reserve to prepare a policy response to a possible credit deterioration.

Analysts said the effects are hardly felt here, and may be manifested in the decision-making of OFWs towards investments.

"Right now, on the average, half of the inventory (of property firms) is sold abroad to investors in the US, Europe and the Middle East. For Filipinos in the United States who are excessively leveraged and who may have availed of subprime loans, they could have second thoughts in borrowing to buy property in the Philippines," Victor Asuncion, director for global research and consulting at CB Richard Ellis said.

Filipinos living in Europe and the Middle East are quite insulated which could tilt marketing initiatives by local property firms towards these markets and other new markets as well for their projects.

The continued entry of professionals--such as nurses, teachers, physical therapists-- in the US is also a source of relief for property firms, says Asuncion, since property firms can tap into this growing market for their marketing initiatives.

Limited damage

In a research study, ATR Kim Eng Securities head of research Edgar Bancod said the extent of the damage of subprime loans on local banks and real-estate firms is likely to be limited.

The Philippine central bank said the exposure of Philippine financial institutions to collateralized debt obligations (structured finance product that typically protects a diversified pool of debt assets) is limited to 0.2 percent of total industry assets.

Bancod says this is equivalent to roughly P10 billion or $217 million.

Additionally, CDOs held by Philippine banks are made up of only A to triple A rated paper which meant that local banks have zero exposure to subprime assets.

Bancod also said a closer look will show that concerns that subprime woes could hurt real-estate earnings is quite overdone.

In the case of Ayala Land, the country's largest property company, Bancod said the impact on sales of the "total" loss of business from Filipinos based in the US will be capped at 4.1 percent mainly because ALI has diversified products and markets.

Manageable risks

ALI corporate spokesperson Alfonso Reyes confirmed this, citing three reasons why the risks are manageable.

"We are still in the process of evaluating the potential impact of the US subprime crisis on our potential overseas sales. However we believe that any effects will be quite manageable for three reasons: first is that while the US is an important market, our overseas sales are very diversified now with strong contributions from Europe, Japan and the Middle-East," Reyes said.

Secondly, he said ALI's product lines have become more diversified in recent years and that a lot of the company's product launches have been in the middle- income and affordable segments whereas its US buyers historically have gravitated towards high-end projects.

Finally, the profiles of ALI's US-based buyers are from those with established professions and of strong credit standing. "In fact most of them pay cash," Reyes said.

Sales to OFWs accounted for 34 percent of ALI's first half residential sales. "Therefore they are a large and important segment which we will continue to focus our marketing efforts on," Reyes added.

Lessons from the past

Since the Asian financial crisis in 1997, interest rates have drastically dropped to never before seen levels at a fixed rate of 11 percent on a 25-year housing mortgage and in some cases such as Pag-IBIG loans, to as low as 6 to 7 percent for a P750,000 loan for 25 years.

This is compared with a 16 to 19 percent floating rate for the same term (25 years) during the crisis times (1997).

With such favorable conditions, analysts said long gone were the days that the property market was teeming with speculators or those that buy property and will sell them at higher rates.

"Banks in the Philippines are also very conservative , whereas in the US, they can lend to a buyer without collateral, requiring only interest payments. We learned our lesson in 1997 and the BSP [Bangko Sentral ng Pilipinas] is critical of banks' activities," Asuncion said.

Track record

Aside from this, home buyers are also critical of the property developer's track record and the location of the project.

Proof of this is the rise in prices for prime locations. For instance, office rental rates have grown in the last three years to P1,100 a square meter in Makati, P650 to P700/sqm in Fort Bonifacio Global City in Taguig, and P550/sqm in Ortigas, Pasig City, Asuncion said.

The latest offering by Eton Properties of the Lucio Tan Group for its residential condominium in Greenbelt sold for P93,000/sqm between February to August and grew to P100,000/sqm today.

The Ayala Land Residences in Greenbelt also sold for P100,000/sqm last year and is today selling at P115,000/sqm.

Filinvest Land Inc. is also raising condominium prices at its Alabang development by 5 percent starting Sept. 1, Asuncion said.

"It's in specific markets. Buyers are very critical," Asuncion said.
Asuncion also said that demand for business process outsourcing firms have remained resilient, with office spaces pre-leased until 2009.

Bancod also said that, if a US economic slowdown looms, this would put pressure on US companies' revenues which could prod these companies to take advantage of offshore services to lower costs and improve profit margins.

"In this way, the subprime scare (for Philippine properties) may be offset by office sales, which remain buoyant," Bancod said.

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SC affirms Taguig’s jurisdiction over prime lots at the Fort
Malaya
http://www.malaya.com.ph/sept19/metro2.htm

THE Supreme Court on Tuesday affirmed the territorial jurisdiction of Taguig City over prime lots in the Fort Bonifacio military reservation which are also being claimed by Makati City.

The SC en banc denied for lack of merit the petition filed by Makati seeking a reversal of the Court of Appeals’ decision denying its motion for reconsideration to declare the preliminary injunction over the area subject of the boundary conflict as functus officio, or to be dissolved.

Functus officio has been defined as legally defunct.

The SC said the CA did not err when it affirmed the orders of Branch 153 of the Pasig regional trial court denying Makati’s bid to claim what is known as the "inner Fort" or the camp proper.

All magistrates concurred with the decision except Associate Justice Dante Tinga who took no part due to his relation with current Taguig Mayor Freddie Tinga and his previous position as mayor of Taguig.

The high court agreed with the arguments of Taguig that there was nothing unlawful or improper in its construction of a police station in any part of the "inner Fort," considering that it was only exercising its jurisdiction.

Taguig filed with the Pasig RTC on Nov. 22, 1993 a complaint for judicial confirmation of the territory and boundary limits of Taguig. In its complaint, Taguig described its territory as having a total land area of 4,520.6913 hectares, bounded on the northwest by Makati; on the north by the Pasig River, Pateros and Pasig; on the east by Taytay; on the south by Muntinlupa, and on the west by Parañaque.

The complaint alleged that despite several documents and by virtue of Presidential Proclamations 2475 and 518, dated Jan. 7, 1986 and Jan. 31, 1990, respectively, certain parcels of land inside the Fort were erroneously declared as situated within Makati.

Through the said proclamations, Makati got 74 hectares of wide open spaces consisting of farmlands in Cembo, South Cembo, West Rembo, Comembo, Pembo and Pitogo, over all of which Makati has since 1985 been unlawfully exercising jurisdiction.

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ALI set to start its biggest project ever
By Zinnia B. Dela Peña
Monday, September 24, 2007
PhilStar
http://www.philstar.com/index.php?Bu...&type=2&sec=27

Property giant Ayala Land Inc. is set to embark on its biggest project to date, the Nuvali township in Canlubang, Laguna, which is seven times the size of the Makati Central Business District.

The Nuvali community, to rise on a 1,600 hectare property, is being positioned as a regional center with retail, commercial, business process outsourcing, residential, transport and even recreational components. It will be developed over a period of 30 years and will stretch from Sta. Rosa to Canlubang to Cabuyao.

The project will have essential support facilities and amenities such as retail and service outlets, schools, training centers, residential facilities, sports and recreational amenities.

About eight hectares will comprise a lake and park.

Ayala Land will kick off the Nuvali community with the construction of an IT campus named Technopod. The first building, a four-story structure, will offer 10,805 square meters of office space and is slated for completion in 2008.

The project’s residential component is seen to create the “Next Forbes Park”. Around 70 hectares have been allotted for the residential component.

Only 380 lots will be made available, with residential lots priced at around P8,000 square meters and P20,000 for the commercial lots.

The residential project will have two phases — the first phase having 113 lots and phase 2 with 270 lots.

Nuvali is also expected to evolve into a university town housing Don Bosco College, De La Salle University, St. Scholastica’s College, University of Sto. Tomas, among others. Ateneo, University of Asia & the Pacific and Xavier School reportedly have parcels of land there there.

The Canlubang project follows the P6-billion investment of ALI over the next five to 10 years for the development of the 38-hectare property of the University of the Philippines (UP) into a fully integrated information technology (IT) and IT-enabled services community.

ALI, a unit of conglomerate Ayala Corp. , has set a capital spending budget of P16.2 billion this year, up 17 percent from P13.8 billion in 2006.

Ayala Land, builder of upscale malls, quaint residential villages, and residential and office condominiums, reported a seven-percent rise in net income last year to P3.9 billion.

[-TC-]

http://business.inquirer.net/money/b...ticle_id=91832

Property boom set to continue with demand, rate cuts
By Rocel Felix
Thomson Financial
10/01/2007

MANILA, Philippines -- The outlook for the Philippine property sector remains bullish, with the recent interest rate cut by the Federal Reserve and expectations of further cuts before the end of the year likely to support demand for new homes, offices and commercial space in the near term, analysts said Monday.

The sector has shown no signs of a slowdown, despite the recent worry about the fallout from the sub-prime mortgage crisis in the US.

"The benefits of a rate cut by the Fed, looked at favorably by other countries, should also extend to the property sector here," said Jose Vistan, research director of AB Capital Securities.

Vistan said growth in the sector will get a further boost if the Philippine central bank trims interest rates.

Central bank governor Amando Tetangco said recently that the Fed's cut gives more room to adjust Philippine rates, but that it is still keeping an eye on upside risks for inflation such as volatile crude oil prices, which could hurt the economy.

Analysts polled by Thomson Financial said they expect the central bank to cut its key rates by at least 25 basis points at its policy-setting meeting on Thursday.

This, said Vistan, "will mean cheaper borrowing costs for both home buyers and developers catering to the office space market."

The bullish outlook for the sector was evident in Monday's stock trading, which saw property heavyweights Megaworld Corp., Ayala Land Inc. and Robinsons Land Corp. maintaining the sector's strength.

The property index rose 2.3 percent on the first trading day for the fourth quarter, adding to last week's 7.6 percent gain.

Megaworld Corp. surged 40 centavos or 11.6 percent to P3.85.

Ayala Land, the nation's biggest property developer, was up 25 centavos or 1.5 percent at P16.50.

Robinsons Land jumped 75 centavos or 4.6 percent to P17.25.

IN THE PIPELINE

At the recent launch of Ayala Land's biggest property project to date, company president and chief executive Jaime Ayala said the company is confident that the boom in the property sector will be sustained this year despite lingering concerns over the housing and credit problems in the US.

Ayala Land is spending P3.5 billion on the first phase of its Nuvali township project south of the Makati financial district in metropolitan Manila.

The Nuvali township will be seven times larger than Makati's business center. It is envisioned as a self-contained community with retail, commercial, business process outsourcing (BPO), residential, transportation and recreational components.

"We're confident about the property market in the Philippines with the low interest rate environment, strong economic growth in the last two quarters and the investment climate. Our buyers are really interested in investing in our properties," Ayala said.

Megaworld, focusing on middle-income residential property and call center and BPO leasing, launched two new projects in the second quarter. It also acquired two properties for future development.

The company is negotiating with the government to buy an old airport in
central Philippines which it plans to convert into a hub for major BPO companies.

"We are seeing a very strong local market, especially in the residential mid-market, where most of our buyers are first-time home owners. We are also quite optimistic about the BPO industry, which would sustain our sales," said Megaworld chief executive Kingson Sian.

SM Investments Corp, the holding company of tycoon Henry Sy which is known more for putting up shopping malls, is also betting on high-end residential developments.

SM Investments is developing the first phase of a P6-billion coastal resort in the south of the main Philippine island of Luzon. The initial phase of the 5,700-hectare Hamilo Coast project involves the construction of Pico de Loro Cove, a 40-hectare, medium-rise, low-density condominium, with 227 of the 1,500 apartments expected to be completed this year. Pico de Loro will be the first of 11 buildings to be constructed in Hamilo Coast's 13 coves.

Another business magnate, Lucio Tan, is taking advantage of the property boom, reviving dormant listed company Balabac Resources and Holdings Co. Inc. early this year and renaming it Eton Properties Philippines Inc.

Eton is specializing in high-end and middle-income residences, information technology and BPO office developments, and township projects.

This year alone, Eton has launched three projects in Manila -- Eton Greenbelt Residences, Makati Eton Emerald Loft and Eton Baypark Manila.

The company is set to launch its first BPO project and is making plans for a 10-hectare property in Manila and for a hotel, residential, leisure and retirement village on a 36-hectare property near the central Philippine city of Cebu.

WORRIES OVERBLOWN

Some analysts believe worries over sub-prime and credit concerns in the US are overblown.

"I don't think that those issues will really hit hard the local homebuilders.

There are very few institutions exposed to collateralized debt obligations and even then their exposure is insignificant," said Vistan of AB Capital.

With much of the property sector's rise being fueled by money coming from the more than eight million Filipinos working overseas, demand should be sustainable, said Ron Rodrigo, research director of Unicapital Securities.

In the first half, remittances from Filipinos working overseas grew 18.1 percent to $7 billion from $5.9 billion a year before. The central bank is expecting remittances to hit a record $14 billion this year.

"A large chunk of the money coming in from those working abroad goes into buying new homes and rebuilding existing ones. This is keeping the property sector alive," Rodrigo said.

Bank of the Philippine Islands global remittance vice-president Raul Dimayuga said overseas customers of Ayala Land are mostly skilled and professional workers.

"One has to remember that these buyers in the US, for instance, have well-established professions. They are likely to already have homes in the US and generally cannot be categorized as sub-prime borrowers. They are affluent in a way, and those that do buy properties in the Philippines either do it as an investment or as a place for retirement."

Aside from the strong sales of residential developments, the property sector is also getting a boost from growing demand for office and commercial space.

"This is unlike in the 1997 Asian financial crisis, when property prices were artificial and property companies focused on residential projects. Today, though, companies are also enjoying demand for BPO offices," said Rodrigo of Unicapital.

He said revenue from office and commercial space gives property companies a steady source of recurring income.

"It somehow makes them less vulnerable. The situation is favorable for companies and home buyers, since demand is also being supported by low interest rates, where payment terms are more flexible," said Rodrigo.

STRONG TAKE-UP

Independent property consultants believe that demand for developments in both the residential and office segments will continue to grow in the near term.

Colliers International Philippines, in its latest quarterly research report, said that in the first half the net take-up for residential condominiums in Makati was about 580 apartments.

It estimated full-year take-up at just 697 apartments, down 5.0 percent from 737 in 2006 because fewer apartments are expected to be completed this year.

On the other hand, rents for upmarket three-bedroom apartments in Makati rose nearly 10 percent in the first half, with rents averaging P519.00 per square meter, just 5 percent off the 1997 peak of P538.00.

Colliers said office rentals in the premium-grade segment reflect tight supply, as rents escalated nearly 20 percent in the first half to about P1,018.00 per square meter, the peak level in 1997 before the Asian financial crisis struck.

"Expectations are for rents to further increase by 5-10 percent in the course of 2007 to an average of 1,062 pesos per square meter," Colliers said.

Land values have also increased, with developable land in Makati's business district up 6.0 percent in the second quarter at an average of P235,000 per square meter from P222,500 in the first quarter.

In metropolitan Manila's alternative business district of Ortigas, land values have gone up to an average of P114,750 per square meter, 7.0 percent more than the first quarter's P107,500.

The stock of retail space in metropolitan Manila expanded by almost 5.0 percent in the second quarter, with the completion of Ayala Land's latest mall, the 200,000 square-meter Triangle North of Makati.

"There is still a lot of room for property companies to expand, especially for the residential segment, which is not yet saturated," said Sian of Megaworld.

Sian said Megaworld expects its real estate net sales this year to hit P10 billion, up from P6.16 billion last year, banking on brisk sales of apartments in its condominium developments.

He said about 80 percent of Megaworld's sales are domestic sales and the rest overseas sales, half of them in the US market.

"Our buyers in the US are those that have been working there for more than 20 years, and have built up quite a bit of wealth. These are relatively well-off people and are creditworthy. They are not really a market for sub-prime mortgages," Sian said.

The property index gained 29 percent in the first three quarters, offsetting the slide in the second quarter. It is expected to rise further in the fourth quarter, said Lawrence de Leon, an analyst for Accord Capital Equities.

"With a rate cut looming in the fourth quarter, I expect property shares to go up further. Lower interest rates will encourage more buying, especially from Filipinos working abroad. It will spur bigger demand for property."

But Regina Capital Development Corp. vice-president for marketing Gomer Tan said that with or without a rate cut, property stocks are unlikely to lose their appeal, given their attractive valuations relative to the sector's earnings potential.

[-TC-]

http://business.inquirer.net/money/b...ticle_id=91625

Infrastructure work seen to peak in 3 years

Inquirer
09/30/2007

MANILA, Philippines--THE CONSTRUCTION sector in three to five years will experience a boom, helped by low inflation levels and an expanding real estate sector, according to property consultant CB Richard Ellis Philippines Inc.

Inflation, or the rise in prices of goods and services, greatly affects the material and labor costs. Inflation has fallen to single digit-levels, with the lowest rate recorded at 2.2 percent in March 2007.

A real estate boom usually precedes a construction boom, ensuring that demand will sustain the latter.

The real estate boom was perceived to have started in 2005, largely due to a growing outsourcing industry that has spurred demand for office spaces, very low interest rates on housing loans, and an increasing appetite for homes among overseas Filipino workers.

The continuous rise in office space take-up, 70 percent of which come from business process outsourcing (BPO) firms, have spurred office developers to start building again since 2006, albeit at a more cautious manner, such as by pre-leasing the space before projects are completed, said Victor Asuncion, CBRE director for Global Research and Consultancy Services.

"The macroeconomic fundamentals are strong, and so is BPO demand," added Rick Santos, CBRE chairman.

The property consultant said office building supply this year will reach 232,180 square meters, and will grow to 330,425 square meters in 2008 based on commitments by certain firms.

In 2009, commitments to build office space have reached a total of 105,909 square meters.

On the other hand, demand for office space is seen at 220,000 square meters in 2007, almost matching the projected office supply, and will grow 10 to 15 percent a year, CBRE director Paul Ryan Isip said.

The construction boom is also underscored by the estimated 21-percent growth in construction sales in the first semester, as measured by gross value added (GVA).

GVA is a key performance indicator of the construction sector, and is derived by deducting the intermediate goods used in production, such as raw materials, fuel, advertising and other non-industrial overhead costs, from the total value of output or construction sales using 1985 prices as the base year, CBRE noted.

GVA grew almost 21 percent to P29.87 billion in the first half, from P24.76 billion in the same period in 2006, data from the National Statistical Coordination Board showed.

With high-rise residential condominiums, supply is expected to reach nearly 4,500 units in 2008, from over 4,000 in 2007. Asuncion estimates demand right now is for half of the projected supply 4,500 units, with demand mostly coming from BPO workers and middle-class families.

"Most developers nowadays are pre-selling their projects before they break ground to eliminate the risk of speculative demand," Asuncion said.

"Moreover, [developers were] able to increase project profitability with the inflow of installment payments from buyers."

CBRE also said the voluntary freeze on major construction work is starting to melt, with activities from both the public and private sectors flourishing.

For the public sector, the Arroyo administration has lined up infrastructure projects for completion by 2010. In the private sector, construction projects are ongoing in Metro Baguio, Metro Cebu and Metro Davao.

[kiretoce]

Property boom set to continue with demand, rate cuts

MANILA, Philippines -- The outlook for the Philippine property sector remains bullish, with the recent interest rate cut by the Federal Reserve and expectations of further cuts before the end of the year likely to support demand for new homes, offices and commercial space in the near term, analysts said Monday.

The sector has shown no signs of a slowdown, despite the recent worry about the fallout from the sub-prime mortgage crisis in the US.

"The benefits of a rate cut by the Fed, looked at favorably by other countries, should also extend to the property sector here," said Jose Vistan, research director of AB Capital Securities.

Vistan said growth in the sector will get a further boost if the Philippine central bank trims interest rates.

Central bank governor Amando Tetangco said recently that the Fed's cut gives more room to adjust Philippine rates, but that it is still keeping an eye on upside risks for inflation such as volatile crude oil prices, which could hurt the economy.

Analysts polled by Thomson Financial said they expect the central bank to cut its key rates by at least 25 basis points at its policy-setting meeting on Thursday.

This, said Vistan, "will mean cheaper borrowing costs for both home buyers and developers catering to the office space market."

The bullish outlook for the sector was evident in Monday's stock trading, which saw property heavyweights Megaworld Corp., Ayala Land Inc. and Robinsons Land Corp. maintaining the sector's strength.

The property index rose 2.3 percent on the first trading day for the fourth quarter, adding to last week's 7.6 percent gain.

Megaworld Corp. surged 40 centavos or 11.6 percent to P3.85.

Ayala Land, the nation's biggest property developer, was up 25 centavos or 1.5 percent at P16.50.

Robinsons Land jumped 75 centavos or 4.6 percent to P17.25.

IN THE PIPELINE

At the recent launch of Ayala Land's biggest property project to date, company president and chief executive Jaime Ayala said the company is confident that the boom in the property sector will be sustained this year despite lingering concerns over the housing and credit problems in the US.

Ayala Land is spending P3.5 billion on the first phase of its Nuvali township project south of the Makati financial district in metropolitan Manila.

The Nuvali township will be seven times larger than Makati's business center. It is envisioned as a self-contained community with retail, commercial, business process outsourcing (BPO), residential, transportation and recreational components.

"We're confident about the property market in the Philippines with the low interest rate environment, strong economic growth in the last two quarters and the investment climate. Our buyers are really interested in investing in our properties," Ayala said.

Megaworld, focusing on middle-income residential property and call center and BPO leasing, launched two new projects in the second quarter. It also acquired two properties for future development.

The company is negotiating with the government to buy an old airport in central Philippines which it plans to convert into a hub for major BPO companies.

"We are seeing a very strong local market, especially in the residential mid-market, where most of our buyers are first-time home owners. We are also quite optimistic about the BPO industry, which would sustain our sales," said Megaworld chief executive Kingson Sian.

SM Investments Corp, the holding company of tycoon Henry Sy which is known more for putting up shopping malls, is also betting on high-end residential developments.

SM Investments is developing the first phase of a P6-billion coastal resort in the south of the main Philippine island of Luzon. The initial phase of the 5,700-hectare Hamilo Coast project involves the construction of Pico de Loro Cove, a 40-hectare, medium-rise, low-density condominium, with 227 of the 1,500 apartments expected to be completed this year. Pico de Loro will be the first of 11 buildings to be constructed in Hamilo Coast's 13 coves.

Another business magnate, Lucio Tan, is taking advantage of the property boom, reviving dormant listed company Balabac Resources and Holdings Co. Inc. early this year and renaming it Eton Properties Philippines Inc.

Eton is specializing in high-end and middle-income residences, information technology and BPO office developments, and township projects.

This year alone, Eton has launched three projects in Manila -- Eton Greenbelt Residences, Makati Eton Emerald Loft and Eton Baypark Manila.

The company is set to launch its first BPO project and is making plans for a 10-hectare property in Manila and for a hotel, residential, leisure and retirement village on a 36-hectare property near the central Philippine city of Cebu.

WORRIES OVERBLOWN

Some analysts believe worries over sub-prime and credit concerns in the US are overblown.

"I don't think that those issues will really hit hard the local homebuilders.

There are very few institutions exposed to collateralized debt obligations and even then their exposure is insignificant," said Vistan of AB Capital.

With much of the property sector's rise being fueled by money coming from the more than eight million Filipinos working overseas, demand should be sustainable, said Ron Rodrigo, research director of Unicapital Securities.

In the first half, remittances from Filipinos working overseas grew 18.1 percent to $7 billion from $5.9 billion a year before. The central bank is expecting remittances to hit a record $14 billion this year.

"A large chunk of the money coming in from those working abroad goes into buying new homes and rebuilding existing ones. This is keeping the property sector alive," Rodrigo said.

Bank of the Philippine Islands global remittance vice-president Raul Dimayuga said overseas customers of Ayala Land are mostly skilled and professional workers.

"One has to remember that these buyers in the US, for instance, have well-established professions. They are likely to already have homes in the US and generally cannot be categorized as sub-prime borrowers. They are affluent in a way, and those that do buy properties in the Philippines either do it as an investment or as a place for retirement."

Aside from the strong sales of residential developments, the property sector is also getting a boost from growing demand for office and commercial space.

"This is unlike in the 1997 Asian financial crisis, when property prices were artificial and property companies focused on residential projects. Today, though, companies are also enjoying demand for BPO offices," said Rodrigo of Unicapital.

He said revenue from office and commercial space gives property companies a steady source of recurring income.

"It somehow makes them less vulnerable. The situation is favorable for companies and home buyers, since demand is also being supported by low interest rates, where payment terms are more flexible," said Rodrigo.

STRONG TAKE-UP

Independent property consultants believe that demand for developments in both the residential and office segments will continue to grow in the near term.

Colliers International Philippines, in its latest quarterly research report, said that in the first half the net take-up for residential condominiums in Makati was about 580 apartments.

It estimated full-year take-up at just 697 apartments, down 5.0 percent from 737 in 2006 because fewer apartments are expected to be completed this year.

On the other hand, rents for upmarket three-bedroom apartments in Makati rose nearly 10 percent in the first half, with rents averaging P519.00 per square meter, just 5 percent off the 1997 peak of P538.00.

Colliers said office rentals in the premium-grade segment reflect tight supply, as rents escalated nearly 20 percent in the first half to about P1,018.00 per square meter, the peak level in 1997 before the Asian financial crisis struck.

"Expectations are for rents to further increase by 5-10 percent in the course of 2007 to an average of 1,062 pesos per square meter," Colliers said.

Land values have also increased, with developable land in Makati's business district up 6.0 percent in the second quarter at an average of P235,000 per square meter from P222,500 in the first quarter.

In metropolitan Manila's alternative business district of Ortigas, land values have gone up to an average of P114,750 per square meter, 7.0 percent more than the first quarter's P107,500.

The stock of retail space in metropolitan Manila expanded by almost 5.0 percent in the second quarter, with the completion of Ayala Land's latest mall, the 200,000 square-meter Triangle North of Makati.

"There is still a lot of room for property companies to expand, especially for the residential segment, which is not yet saturated," said Sian of Megaworld.

Sian said Megaworld expects its real estate net sales this year to hit P10 billion, up from P6.16 billion last year, banking on brisk sales of apartments in its condominium developments.

He said about 80 percent of Megaworld's sales are domestic sales and the rest overseas sales, half of them in the US market.

"Our buyers in the US are those that have been working there for more than 20 years, and have built up quite a bit of wealth. These are relatively well-off people and are creditworthy. They are not really a market for sub-prime mortgages," Sian said.

The property index gained 29 percent in the first three quarters, offsetting the slide in the second quarter. It is expected to rise further in the fourth quarter, said Lawrence de Leon, an analyst for Accord Capital Equities.

"With a rate cut looming in the fourth quarter, I expect property shares to go up further. Lower interest rates will encourage more buying, especially from Filipinos working abroad. It will spur bigger demand for property."

But Regina Capital Development Corp. vice-president for marketing Gomer Tan said that with or without a rate cut, property stocks are unlikely to lose their appeal, given their attractive valuations relative to the sector's earnings potential.

[tafftrader]

I'm doing some market research on the local mortgage market. Unfortunately the banks websites don't give enough information on mortgages(home-loans). Does anyone know who offers the best deal on a 20-30 year mortgage? What are the requirements etc?

[Dvorak]

for banks, the maximum loanable year is only 20 years I think. Try Banco De Oro and MetroBank.

Originally Posted by tafftrader

I'm doing some market research on the local mortgage market. Unfortunately the banks websites don't give enough information on mortgages(home-loans). Does anyone know who offers the best deal on a 20-30 year mortgage? What are the requirements etc?

[gen1]

Chinabank agressively prices her loans

[Raven83]

Originally Posted by tafftrader

I'm doing some market research on the local mortgage market. Unfortunately the banks websites don't give enough information on mortgages(home-loans). Does anyone know who offers the best deal on a 20-30 year mortgage? What are the requirements etc?

Honestly based on my experience, loan interest could get so low as they can specially these days....recently I made a loan for our business expansion. I ordered some machineries from China. My usual loan banker from DBP anticipated that he will be the first person that I will talk to about financing till a Metrobank agent which I accidentaly bump into while in a stockmarket seminar suddenly offered me a lower rate..and take note! Metrobank, these guys have a reputation to be stingy.

The only thing that I have to present them was a written busines plan on how can I pay them, and give them a short tour of our small factory and opened my financial and order books for them...later I got my loan in a rate that was 20% lower than that of DBP, the DBP guys became somewhat dissappointed to me and said they can offer me much lower rates I told them probably talk to them next year ...

My tip is be friendly with your local banks,know their officers and ranks and their file, give gifts during christmas, last year I began investing on UITF's of BDO and I began to hunt for connections within its ranks,after gaining their rappor I later became on their prioriy list in the IPO's that they handle,not mention I got automatic approval for credit loans 3 times of my total deposit and trust funds. They offered me several loan terms but for our business but I'm reserving them for now since I'm planning to build a 20 to 30 doors townhomes/apartments in my vacant lot San Jose Del Monte Bulacan next year. In which I wanted them to be my financier.

What's good about BDO is that they have readily available advisers when it comes to real estate investments(legal,contruction etc) and will give you access to statistics and demographic data (I guess it came from SM research team). Not that this probably applies to all but that what happened to my friend who build his 6 storey commercial establishment near Binondo....

banks that gives the best credit terms?

honestly it depends on:

1) how you haggle
2) your reputation to your banker(s)
3) the who do you know,thingie...(guanxi)

just an honest opinion,remember this is Philippines, there's really no such thing as fixed rate, if you know how to battle with the terms


good luck!

[tafftrader]

you've lost me again with the taglish....

[bustero]

Taff trader try out the megaworld site as they originate their own source.

Also the Pagibig site which is a baseline for housing.

I know Allied has offered a special 8.38 10 year fixed on a 20 year loan. Quite a stir in the local market.

[tafftrader]

8.38%, interesting! if this mortagage market develops then we will see a "real" boom in property prices.