Room for Rent in Manila
Room for Rent as Business?
Apartment and room leasing is one of the profitable business you can start today. Housing is part of human need. Without it, a person cannot support a comfortable living. Anyone needs a dwelling place to live. For those that lack the ability to purchase their own house, we resort to renting apartment, house, room, or become a bedspacer. Metro Manila is the central of business and commerce in the Philippines. Work and career are the factors many working individuals and their families move to Metro Manila and other rapidly developing urban centers like Pampanga, Bulacan, Rizal, Laguna, Cavite and Batangas. Mega Manila real estate and residential leasing is blooming. It is estimated that 25,670 residential buildings are private building construction for 1st quarter of 2017 according to Philippine Statistics Authority. This private residential buildings being built will include private residential house, and others become lease residential units. There are real opportunities for room for rent in Manila.
Current Status in Mega Manila
Residential lots can be developed by contractors and developers as subdivisions or gated communities which is sold to a home buyer. Not everyone can buy house from their savings alone. It is a big investment to be considered for a middle class or minimum wage earners. Because price of land is expensive at Metro Manila, developers sets projects and property development not at the prime locations in Metro Manila. Most of these developers would look for location that are situated at key developing urban areas. This gives existing Manila land-owners the advantage to utilize their land resource for renting or leasing.
The growing number of available human capital or workforce will ensure continued demand for rent rooms and apartments. Population growth is at 1.84 percent (2000-2015) according to Philippine Statistics Authority. Mega Manila makes up 20% of land area of the entire Philippines with 40% of total population. Its importance to the economy is seen from its 60% GDP percentage according to Metro Manila Urban/Regional Development Context. Given the limited resource from the growing population, the demand for residential developments and rental will be sustained for the years to come.
Apartment and Room for Rent Sustainability
Family income in 2017 is 267,000 pesos annual average which rose by 12% from 235,000 annual average in the year 2012 according to PSA statistical data. This should support the unavoidable inflation, which also affects rental cost. Higher house rental rates and upward price adjustments are observed in many provinces. The provision of the Rent Control Act, as being implemented by Housing and Urban Development Coordinating Council (HUDCC) sets limit to the annual rental increase. Effective from Start of year 2016 until end of year 2017, the rent of any residential unit at a monthly rent of up to P3,999.00 will not have increase by more than 4% per annum, and from Php 4,000 up to Php 10,000.00 monthly rent will not have rental increase of more than 7% per annum for the current occupying lessee. The said regulation applies to all residential units covered by the specified monthly rent in the Philippines pursuant to Republic Act 9653 or the Rent Control Act of 2009 and the power of HUDCC to extend the validity of implementation of the said law. The basis are carefully studied for Government related Rent Control program, which are scrutinized from various studies such as rent study conducted by Statistical Research and Training Center through the research project entitled “Rental Control Study” implemented for the HUDCC.
Normally, a landlord can just put a signage bearing “Room For Rent” in a conspicuous place pointing to their property. Any roaming renter would see the sign, and negotiate with the landlord. This is a tedious task as the landlord. This also limit their reach to the public since they are limited by the size of their signage in offering their available apartment or rooms.
The improving availability of mobile internet and a sharp upward trend in the usage of smartphones like Android cellphone has made a huge difference to the increase the reach of advertising compared to traditional non-digital ways. You can now market your products and services online. Room for rent, apartments and wanted bedspacer ads can now be displayed on e-commerce sites or by leveraging the power of Facebook groups.