With the country currently one of the darlings in the property investment industry, is now a good time to engage in Philippines property flipping? Buying real estate only to sell it back at a higher price might seem an easy way to make money, but you’ll need more aside from a big bag of cash. When done correctly, however, property flipping can deliver a tidy profit.  

What is Property Flipping? 

Despite its reputation as an easy money,  get-rich-quick scheme, property flipping requires a keen eye for value and the patience to see things through. After all, you’re not just buying houses and reselling them. Instead, you’re purchasing homes needing repair or renovation hoping to sell them for profit. In between, you’ll need to manage repair costs, update the paperwork, and monitor the market. In order to succeed in Philippines property flipping, you’ll need the following: 

Seed Capital 

A career in Philippines property flipping will require lots of cash. Even when buying pre-selling properties, you’ll need to front the money to make it ready for sale. Otherwise, it would be difficult to pull off major renovations or entice buyers to assume the mortgage balance. Speaking of renovations, Philippines property flippers will also need cash to bankroll the additional work. This applies whether they’ll do the work themselves or hire an expert contractor.  

Market Knowledge 

Buying low and selling high is how you get maximum profitability. Knowledge of the Philippine real estate market is a good start and allows you to identify prime locations still in development. At the same time, an in-depth familiarity with major developer projects can help you zero in on cheaper homes that can benefit from makeovers. A good source of information would be from major real estate publications and local property tech platforms.  

Repair/Renovation Knowhow

Professional carpentry, plumbing, or masonry skills can help you perform the necessary renovations on your Philippines property flipping acquisitions. Even better, owning a construction or building company provides both expertise and manpower. This can help you save on renovation costs, which can eat up profits during the flipping process.  However, professional skills can be offset with a network of professional builders, suppliers, and labor agencies. As long as you know what you want done and have the funding to undertake the project, there will be people out there who can help.   

Considerable Patience

Finally, undertaking property flipping entails a lot of patience. You don’t need to rush and buy the first property that meets your price tag. Similarly, you don’t go out and hire the first contractor that submits a repair quote. If you want a bigger profit, you can’t buy a rundown house, slap a coat of paint, and call it a day. You’ll need to find out what people want in their homes at the moment. For example, most small families would love a small office setup so they can work from home comfortably. 

Top Locations for Philippines Property Flipping  

A crucial part of Philippines property flipping is knowing which properties to buy. Wise investors know to strike a balance between excellent but expensive locations versus adequate but less expensive destinations. Let’s take a look at some of the country’s most desirable areas for property flipping: 

Metro Manila 

As far as properties go, Metro Manila remains the king of destinations. It has a great transport system in place, adequate power and water, and reliable telecommunication networks. These features alone make buying property in the capital very expensive, especially in the business districts. When looking for the best value properties to flip in Metro Manila, check out outlying areas just outside the major business districts. Or, you can get ahead of the curve by acquiring properties in areas where major infrastructure developments are ongoing. This includes Quezon City’s North Triangle area, where a grand terminal will soon house several railway systems. You can also buy low and sell high in Metro Manila suburbs that benefit from the Skyway system, which means less travel time to Makati and the Bay Area. This includes the A. Bonifacio area in Caloocan, Araneta Avenue in Quezon City, and the Nagtahan/Quirino areas in Manila. 

Bulacan

Bulacan is set to enjoy unprecedented development due to two major developments. First is the construction of an international airport that aims to decongest Manila’s NAIA airport. Once completed, the new airport will not only lead to an influx of passengers to Bulacan but also usher in economic activity from cargo forwarders, airport services, transport systems, and retail shops. The other development is Megaworld Corporation’s decision to build Bulacan’s first business district. The 85-hectare Northwin Global City hopes to replicate the success of Metro Manila’s business districts. As such, now would be a good time to look over residential units in the area for possible flipping. 

Cebu 

Despite sharing Metro Manila’s modern comforts, Cebu’s cost of living is lower than the former’s. This makes “The Gateway to a Thousand Journeys” an attractive destination for many cost-conscious retirees and families looking to branch out. Aside from inexpensive living costs, Cebu also offers sunny weather year in and year out that complements the myriad of beaches. Look for plenty of housing opportunities in Cebu that won’t cost as much to acquire compared to Metro Manila. Even better, labor and repair costs won’t be as high either.   

Davao

Similar to Cebu, Davao is the brightest star in the country’s southern large island, Mindanao. Recent upgrades in infrastructure and development are now helping Davao reach a similar status to that of Metro Manila and Cebu. As the province continues to attract businesses and workers, demand for housing will continue to rise, so stay on the lookout for properties that can use some sprucing up.  

Are You Interested in Philippine Property Flipping? Look to Ohmyhome for Your Property Needs

If you’ve thought of investing in Philippine property flipping, you’ll need a partner who is as serious and diligent as you. Look to Ohmyhome as your experienced guide as you navigate the ins and outs of Philippine real estate. With over 200 of the Philippines’ best developers as its partners, Ohmyhome can help you find the perfect property for your house flipping needs. What’s more, Ohmyhome is also home to a network of private homeowners looking for buyers for their properties. 

Once you find the right properties, Ohmyhome can help you get the best deals and look for the best financing options. Our team of licensed real estate professionals and stellar customer service staff can help you get the dream property that fits your home type, location, and budget. All you need to do is sign up for a new account and we’ll open a whole new home buying experience for you!