Top Areas for Short-Term Rental Investments in Metro Manila

Investing in short-term rental properties in Metro Manila can be a lucrative venture. With the rise of platforms like Airbnb, travelers are increasingly seeking alternatives to traditional hotels. This trend has opened opportunities for property investors to capitalize on the demand for short-term accommodations. However, choosing the right location is crucial to maximize returns. This guide highlights the top areas in Metro Manila for short-term rental investments, providing insights into their potential profitability.

Why Invest in Short-Term Rentals?

Short-term rentals offer flexibility and often yield higher per-night rates compared to long-term leases. They cater to tourists, business travelers, and locals seeking temporary stays. With Metro Manila being a hub for business and tourism, the demand for such accommodations remains strong.

Key Factors to Consider

When selecting a location for your investment, consider:

• Occupancy Rates: Higher occupancy ensures consistent income.
• Average Daily Rates (ADR): Higher ADR can lead to increased revenue.
• Regulatory Environment: Understanding local regulations helps in compliance and smooth operations.

Top Investment Areas in Metro Manila

1. Taguig (Bonifacio Global City)

Taguig, particularly Bonifacio Global City (BGC), is a modern business district known for its upscale amenities and corporate offices. It’s a preferred location for expatriates and business travelers.

• Average Monthly Revenue: Approximately ₱44,000
• Average Daily Rate: Around ₱3,300
• Occupancy Rate: About 45%

The Trion Towers in Bonifacio Global City (BGC) offers a strategic location near commercial centers like SM Aura and Market! Market!, providing guests with exceptional convenience. The development features amenities such as swimming pools, a gym, and 24-hour security, enhancing tenant satisfaction. Units vary in size, with 1-bedroom units averaging 43 square meters and rental rates ranging from ₱30,000 to ₱85,000 per month, depending on factors like size, furnishings, and view. This combination of prime location, comprehensive amenities, and flexible unit options makes The Trion Towers a viable choice for investors targeting the short-term rental market in BGC.

2. Makati

Makati serves as the financial center of the Philippines, hosting numerous multinational companies and embassies. Its vibrant nightlife and shopping districts attract both business and leisure travelers.

• Average Monthly Revenue: Approximately ₱27,000
• Average Daily Rate: Around ₱2,700
• Occupancy Rate: About 42%

Eton Tower Makati offers a strategic location in the heart of Makati, adjacent to the Makati Medical Center and surrounded by various dining and shopping options. The development features amenities such as a swimming pool, fitness center, and retail establishments like Dean & DeLuca and Anytime Fitness. Units range from studio to 2-bedroom configurations, with sizes from 22 to 56 square meters. Rental rates vary, with studios starting at ₱19,000 per month and 2-bedroom units up to ₱65,000 per month. Because of its prime location, comprehensive amenities, and diverse unit options positions Eton Tower Makati as a strong candidate for short-term rental investments in Makati.

3. Pasay

Pasay is home to the Ninoy Aquino International Airport and entertainment complexes like the Mall of Asia. Its proximity to these attractions makes it a strategic location for short-term rentals.

• Average Monthly Revenue: Approximately ₱27,500
• Average Daily Rate: Around ₱2,800
• Occupancy Rate: About 39%

Cosmo Suites, located in Pasay City’s Manila Bay Area, offers a strategic investment opportunity for short-term rentals. This twin-tower, 16-story development provides fully furnished units tailored for professionals and students seeking proximity to nearby schools, offices, and transportation hubs. Amenities include a swimming pool, fitness center, and retail spaces such as a convenience store and food hall, enhancing tenant convenience. Unit sizes range from approximately 21.10 to 28 square meters, with configurations like Twin Suites and Bunk Suites. These features position Cosmo Suites as a compelling choice for investors targeting the short-term rental market in Pasay City.

4. Quezon City

As the largest city in Metro Manila, Quezon City hosts several universities and government offices, creating a steady demand for short-term accommodations.

• Average Monthly Revenue: Approximately ₱20,000
• Average Daily Rate: Around ₱2,000
• Occupancy Rate: About 36%

Vivaldi Residences Cubao, a 40-story mixed-use condominium at the intersection of Aurora Boulevard and EDSA in Quezon City, offers a prime location for short-term rental investments. Its proximity to major commercial centers like Gateway Mall and transportation hubs such as the MRT and LRT ensures high tenant demand. The development provides amenities including high-speed elevators, a mail room, commercial spaces, and 24-hour security. Units range from studios to one-bedroom configurations, with rental rates starting at approximately ₱15,500 per month. This combination of strategic location, comprehensive amenities, and diverse unit options makes Vivaldi Residences Cubao an attractive choice for investors targeting the short-term rental market in Quezon City.

5. Mandaluyong

Mandaluyong is centrally located, providing easy access to major business districts like Makati and Ortigas. It’s popular among professionals seeking convenient accommodations.

• Average Monthly Revenue: Approximately ₱20,000
• Average Daily Rate: Around ₱1,900
• Occupancy Rate: About 39%

Average Monthly Revenues, Average Daily Rates, and Occupancy Rates previously mentioned are from AirROI

Twin Oaks Place in Mandaluyong City offers a strategic location for short-term rental investments, situated along Shaw Boulevard within the Greenfield District. This area provides residents with convenient access to shopping centers, transportation hubs, and essential services. The development features modern amenities, including a swimming pool, fitness center, and 24-hour security, enhancing tenant appeal. Studio units are available for rent, with prices starting at approximately ₱25,000 per month. These factors collectively make Twin Oaks Place a compelling choice for investors targeting the short-term rental market in Mandaluyong.

Tips for Successful Investment

• Market Research: Stay informed about market trends and demand in your chosen area.
• Property Management: Consider hiring a professional service to handle bookings and maintenance.
• Guest Experience: Provide excellent amenities and customer service to encourage positive reviews and repeat bookings.

How Ohmyhome Can Assist

Navigating the real estate market can be complex. Ohmyhome offers comprehensive services to guide you through the process of investing in short-term rental properties. From identifying prime locations to managing your property, our team ensures a seamless experience, helping you maximize your investment returns.