Types of Real Estate Investments in the Philippines

Real estate is one of the best investments you can put your hard-earned money. It's a solid and long-term investment that offers passive income opportunities. If it's your first time investing in the Philippine real estate market, it's crucial to research to know when and where to invest. It will allow you to understand the risks of investments and make a sound decision to ensure revenue.
 
So, if you’re eyeing to invest in Pearl of the Orient Seas, keep reading as we share the types of real estate investments in the Philippines.

Buy and Sell

In the Philippines, one of the top investments you can consider is buying houses and properties. It's a rewarding investment where you can enjoy the flourishing real estate market. This type of real estate investment in the Philippines will most likely provide significant profit and financial security in the long run.
 
When you opt for this investment, it involves flipping properties. First, you'll purchase a low-cost property and fix it. Afterward, immediately resell it at a higher value to earn profit.

Buy and Hold

Another type of real estate investment in the Philippines is to buy and hold. This strategy involves buying a property and keeping it long-term. You can use or rent it out to earn profit. Once the value of the said property appreciates, you can sell it to generate revenue.


Rental Properties

Consider investing in rental properties if you're looking for a passive income. It involves renting or leasing residential, commercial, and vacation properties. From single-detached homes, apartment buildings, vacation homes, condominium units, and commercial or office space, these are the options you can choose from to invest in rental properties.

Real Estate Investment Trusts (REITs)

If you want to invest in diverse investments with less capital, opt for Real Estate Investment Trusts (REITs). With the help of REITs, you can purchase various properties since they will finance income-producing real estate. This type of investment is from the concept of mutual funds, involving numerous investors.
 
It allows individual investors to generate returns from real estate investments. Most importantly, investors who choose REITs no longer need to buy, manage, or finance the properties, making it a less demanding investment option.

Shared Ownership Properties

Under this type of investment, qualified buyers or investors can share property ownership. Generally, the share of ownership is around 25% and 75%. Then, pay the remaining portion as rent, which can be a profit-generating investment. However, shared ownership properties require complex management.
 
Therefore, we recommend looking for trustworthy partners for those who plan to invest in the Philippines through this strategy. Also, don’t forget to hire lawyers who will protect your investment interests. 

Co-op Investments

For those who want to do business with a corporation, go for the co-op investments. With this strategy, you can purchase shares in a corporation with ownership of the whole building. If you choose this type of investment, owning shares will give you the right to reside in a unit within the building.
 
On the other hand, this investment is not the same as traditional properties where you own a specific property or unit. Instead, co-op investments offer a stable revenue stream. Investors will also enjoy tax benefits. However, this strategy requires additional effort compared to other real estate investments.