Cebu continues to stand out as the country's leading real estate market outside Metro Manila, supported by sustained demand in the office, residential, and hospitality sectors, according to the latest regional outlook released by Colliers Philippines.
Despite slower national economic expansion, the property consultancy said Cebu remains the primary real estate center in the Visayas and Mindanao, with continued growth driven by the expansion of the business process outsourcing (BPO) industry, steady overseas Filipino worker (OFW) remittances, tourism activity, and major infrastructure developments.
The report noted that the country's gross domestic product (GDP) growth slowed to 2.8 percent in the first quarter of 2026, down from 4.4 percent in 2025. Even so, Colliers said regional economies, including Central Visayas, the Davao Region, and the Negros Island Region, continued to outperform the national average.
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Infrastructure and OFW Remittances Fuel Growth
Colliers attributed Cebu's resilient property market to sustained OFW remittance inflows, continued expansion of outsourcing companies, and infrastructure projects expected to improve connectivity and attract new investments.
The report noted that OFW remittances reached US$36 billion in 2025 and continue to grow by around 3 to 4 percent annually. Meanwhile, the Bangko Sentral ng Pilipinas reported that 17.1 percent of remittance-receiving households now use part of their funds to purchase real estate, the highest level recorded.
Among the infrastructure projects expected to influence future property values is the proposed Cebu-Bohol Bridge, while airport upgrades and transport improvements across Central Visayas are also projected to strengthen tourism and business activity. Developers have likewise started exploring expansion opportunities in Bohol as connectivity in the region continues to improve.
Office, Residential, and Hotel Sectors Remain Active
Cebu continues to be the country's largest office market outside Metro Manila, with vacancy rates at around 17 percent following post-pandemic market adjustments. Despite higher vacancy levels, Cebu IT Park and Cebu Business Park continue to attract global outsourcing companies, generating about 100,000 square meters of annual office transactions.
Colliers Philippines Head of Research for Asia Pacific Research Joey Bondoc said Cebu's outsourcing industry has evolved beyond traditional contact center operations.
“These are not just companies that are offering back-office support,” Bondoc said. “These are captives ... providing financial, software engineering and artificial intelligence support.”
According to Colliers, companies such as Asurion, Wells Fargo, and EY Global Services continue expanding their presence in Cebu, supporting demand for office space.
The residential market also remains healthy, with around 45,000 condominium units projected for completion across Visayas and Mindanao from 2026 to 2029. Cebu and Davao are expected to account for more than 60 percent of the projected supply.
Cebu's condominium market posted about 86 percent sales, with inventory life estimated at around three years, significantly shorter than Metro Manila's 6.8-year inventory life.
Major developers including Cebu Landmasters, Rockwell Land, Shang Properties, DMCI Homes, Megaworld, Vista Land, Arthaland, and Amaya continue to launch projects across the region. Demand has increasingly shifted toward integrated residential, leisure, and tourism developments, particularly in Cebu and Mactan, where condominium prices have risen by 6 to 8 percent annually.
Colliers also reported strong demand for horizontal housing developments, with house-and-lot projects recording take-up rates above 90 percent, while residential land values continue to increase by 2 to 6 percent annually, depending on location.
The hospitality sector is likewise expected to expand, with approximately 7,900 new hotel rooms projected across Visayas and Mindanao from 2026 to 2029. International hotel brands are expected to contribute about 62 percent of the additional supply, including upcoming developments such as JW Marriott Panglao, Somerset Gorordo Cebu, Asai Hotel Oslob, Citadines Paragon Davao, Radisson Blu CDO, and Citadines CDO.
Cebu's continued strength as a regional property hub reflects growing investor confidence and expanding economic opportunities outside Metro Manila. For Filipinos, sustained investment in real estate, tourism, infrastructure, and business districts can generate more jobs, improve local economies, and support balanced regional development while creating more opportunities for families and businesses across the Visayas.
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