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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.

Hello there well i agree with baleze on this it is not where you decide to live life is where you can find a job and where your family from as well we move from usa to shanghai to macau then to bangkok and now to manila,i got a job where actually i get not what was offer but no choice as we are here when you are adult you must grow and understand specially with family you cant decide where to live yes if you in you 25 to 35 single and party and have fun its differentes story.
Shanghai was really good and not expensive macau was a bit boring as it is small but you have hong kong where its all you need there at a higher price to go therebut bangkok is at least 50 years ahead from manila Ph no compaison first price are lower they are very organize the health care system the food the mall and importante is the schooling international system cant be compare to any of manila,manila is over expensive food is terrible school if you csnt afford a good international school that cost 800.000php minimum a year you willnot get anything good health care system well be ready to spend in thebest hospital like st lukes 4 to 5 hr for a simple blood test it is another world headach it still at à prehistoric level lol, traffic police and coruption are the best of the all world for sure lol!
Condo price in bgc 37 sqm 6.5M 125sqm 25M
The crask of real state will come for sure as big company are buying all apartment at a lower price then almost double it to the customers its a corupt market,we live in apartment in best area of bangkok for 70.000 top of the ligne giant bath and more fantastic view her at bgc for the same we pay 110.000  with only shower and poor irrigation with so much wrong infrastructure in the apartment from the company that build the condo anyway and so much stupide policies that exist only in the Ph what im trying to say it is that it is over exprnsive here with such a low quality conparate to bangkok if you go shopping in bsngkok you will find how all is good and taking care off here people said rustan for expat is good but how good you cant find much variety of food sometimes meat you buy are already smelly and cant be eating,
Im sure someone here will reply to us right away well should go back to bamgkok lol! But life is not a life where you can decide where to live when you reach acertain age and have family to take care and think about,the crash of real state will happen here same as it happen in usa ,for example 3 month ago a condo was 3.8M same place today its 5to 6 M just ridiculous when so many are living in povertynot to far away,i agree that bangkok gouvernement think about right build anazing  mall,and share money with the people of thailand and really think about expat and children ,people of TH  dont have to go outside of thailande like all the poor from philippine must do like going middle east and macau hong kong to take care them family home,anyway life is much cheaper in thailand with such amazing place to go and a top of the lign quality life with no hassle of paperwork or questions that does not make any sens lol!   I just share my opimion nothing else yes if we could go back there it will be good and better but we here from now and lets see what can happen in near future who knows only us and god for sure!

Very well said, good analysis

Hi, baleze:
                  You are in manila, the capital.
                   And not enough jobs. Low salaries, kind of rental place.
Finally, it's not expensive country.
Whole world comes over. No compare

good day my friend, baleze
And happy new year all expatriates in the Philippines

blessing all

The price of the rentals depends on location. I have 1 unit at Grass Residence in QC and this is behind SM North Edsa. The demand is very high specially expats looking for a place to stay near the malls.

The price of a unit whether it is an apartment, room, condo unit would depend on the demand, location and conditions of the accommodation. But if you would ask me, I'd prefer a condo unit over and apartment for security reasons, location wise even if it is still a bit pricey but if you come to think of it there's somehow not much of a difference.

Are you renting now  here in manila?

How about 30,000 pesos for studio type located in Manila?

Studio type for 30,000? That's too expensive. You can rent a place that's already a 3 bedroom condo at that price.

Rated the worst major city in the world to live in , i wouldnt live there if it was dirt cheap.     man get out to nicer areas of the Country where u are not bugged for money, u are safer, cleaner living enviroment, and so on. Just my humble opinion but different strokes for different folks ya know.

It much depends where work is, not so?

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