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Why are Rentals so expensive in Manila?

Hi,
I would like to know why the accommodation is so expensive in Manila - NCR. compare to other Asian countries with a high standard level, I noticed that the rent of a rooms, apartment is very high. What's the reason?
Also, a lot of workers are not able to get a studio room, most are in bed spaces, or with relatives. Why none can not make something convenient for the middle class of the society?

Mainly because the filipino salaries are too low and very little job security.

Range of rent is quite large. And where in Manila? Makati and Fort tend on high side, but Pasay, Pasig, QC are much cheaper. A small 1 br in Makati ban start at 10k while a large 3 br in Fort can top 200k. Price for everyone.

I think it's because the demand for such accommodation is high due to the fact that people from the provinces are flocking here, like myself, for better opportunities plus they sell convenience since condos are usually located either in the CBD area or just a little bit outside.

I have been in Malaysia and China. Those countries are high standard compare to Philippines; but you can easily get a 2 bed rooms furnished or semi furnished 7,000PHP. You can also have 3 bed rooms for the same price and in a beautiful condo 10,000PHP. That was in Kuala - lumpur and Penang Malaysia and in Guangzhou China. Those are business cities. You can understand that in some other provinces there rent is over cheap.

In 2010 I stayed 1 month in the hotel in Guangzhou, in a 1 QB with TV, Cable, hot water paying 100 CNY per day (600PHP) What is totally impossible in Philippines.

Just like you, I'm very much lost as to why the price of the accommodation here is very pricy. I work here in Makati and for the first month, I was commuting back and forth to my home in Laguna but it is very tiring since it takes 3 to 4hrs plus the fare is high. Then I decided to live here in Makati as well because I might not able to take the stress and tiring commute. I was able to rent a small room worth 4K with a shared bathroom. I still can't imagine how I survived living there for 4 months. Then my office mate and I decided to live together with my two friends and rented a condo worth 8K exclusive of association dues.

Its a capital market. Obviously people can afford to pay the rent, otherwise they would not charge what they charge. If you cant, then your not making enough money. Dont blame the landlords for charging the rent they do. Blame yourself for not being able to earn enough. Or go back to Malaysia and China where you can afford to live. Easy to understand?

Thanks for the feedback,
But am not talking about myself, and for sure am earning more than Million of People in this country, and I have my own 4 Bedrooms house. Please no confusion. My topic was just to understand about the high cost of rental here. maybe u haven't been in other countries, but people are earning more in Malaysia, and china compare to here for the same position, but rent is 2 times cheaper there. That was my point.

There is no simple answer to your question, maybe except this one: the difference in price of accommodation among cities in different countries does not necessarily equate with standard of living in those cities. Trying to compare rents in different cities in different countries would be like comparing apples and oranges.

There are so many parameters that would affect price and the reason for the disparity of rents in those cities you mentioned. If you want a detailed answer, then do a study. These are just a few factors to research:

- types of housing available within and outside the area
- supply of housing / accommodation within and outside the area
- price of real estate within and outside the area
- ratio of owner occupied to tenant occupied
- vacancy rate
- how long tenants stay before moving out
- financial status / income bracket / nationality of owners of rentals and their particular tenants
- cost of living within and outside the area
- age, marital status, no. of children (if any) and lifestyle of the renters
- comparison of age, marital status, no. of children and lifestyle of renters vs owners
- how many occupants are in a unit and how they are related (a whole family, friends / co-workers sharing rent, etc.)
- amenities / "prestige" / convenience of living in a certain area and how it affects price
- available modes of transportation and how long is the commute from work / school to residence
- history of rental prices / fluctuations / possible reasons for fluctuations (economy, techies invaded your city, etc.)
- laws / regulations (rent control, subsidized housing, etc.)

Thanks so much for ur reply. Its with people like u i can have a real discussion. I really appreciate it.

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