Why the homes of tomorrow must reflect the lives of today

Philippine real estate leaders call for a shift in design, planning, and purpose to meet evolving needs

As the Philippine property sector marches into a new growth cycle, developers are being urged to build not just more homes—but better ones. With the government’s housing roadmap extended to 2040, balancing long-term supply goals with immediate market realities has become a defining challenge for the industry. 

According to the Philippine Daily Inquirer, changing buyer preferences and economic shifts, such as high interest rates and inflation are reshaping demand. Today’s buyers are more discerning, tech-savvy, and driven by lifestyle needs rather than traditional metrics like proximity to city centres. 

What today’s buyers really want 

“Buyers today are no longer just looking for a roof over their heads,” said Kathleen P. Obcemea, Principal Interior Designer of KPO Beyond Designs Co. and judge at the PropertyGuru Philippines Property Awards. “They want homes that are affordable, tech-enabled, and aligned with modern lifestyles.” 

Obcemea said developers must prioritise flexibility and future-readiness, especially for younger demographics like millennials and Gen Z. “They value wellness, sustainability, and convenience,” she explained. “Developments must now integrate features like solar readiness, green design, reliable internet, and work-from-home spaces.” 

This shift is further amplified by new residential hotspots emerging outside Metro Manila. As the Inquirer noted in a separate article, improvements in infrastructure and connectivity are enabling more people to consider living in fringe cities and regional growth centres. These locations offer more space and affordability, and developers are following suit with larger mixed-use communities. 

Inclusive, activated communities 

Michelle Barretto, Founder and CEO of Vitamin B, Inc. and fellow PropertyGuru Philippines Property Awards judge, echoed the need for more inclusive strategies. “To address the housing backlog for low-income families while responding to market realities, developers should prioritise innovative, affordable housing outside urban centres,” she said. 

“Proactive estate activation is critical—developers must deliver transport, amenities, and essential services alongside unit turnover to ensure liveable, future-proof communities,” Barretto added. 

She emphasised that smart density planning should be paired with government infrastructure to avoid replicating the congestion and inefficiencies seen in the capital. 

A market cautiously optimistic 

While demand for luxury housing remains resilient, the mid-market segment has shown signs of caution. A Forbes article reported that developers are approaching Metro Manila’s condominium supply glut with prudence. Instead of oversupplying, the focus is turning to building in sync with actual market demand. 

The BusinessWorld editorial series (Part 1 and Part 2) stressed that the 2040 housing roadmap cannot succeed unless developers address both the quantity and quality of housing. The government has called for stronger public-private collaboration to meet annual production targets and reduce the housing backlog. 

Recovery signs are emerging 

Despite headwinds, a cautious recovery in the residential market is beginning to take shape. According to a recent article from the Inquirer developers are adjusting to shifting consumer preferences with new formats, such as rent-to-own models, co-living spaces, and smart home-ready units. 

This new wave of offerings mirrors insights from the judges. Obcemea underscored the importance of digitising the buyer experience. “Today’s buyers expect virtual tours, AI-driven support, and seamless online transactions. Developers need to modernise how they market and sell,” she said. 

Recognising excellence across Asia 

Amid these shifting market dynamics, several Philippine-based developers have risen to the challenge and earned regional acclaim. At the 19th PropertyGuru Asia Property Awards Grand Final 2024, the Philippines emerged as a strong contender across multiple categories: 

• Federal Land, Inc. was crowned Best Luxury Developer (Asia), showcasing its commitment to top-tier residential offerings. 

• Federal Land NRE Global, Inc. won Best Breakthrough Developer (Asia), a nod to its rapid market growth. 

• Riverpark by Federal Land, Inc. was named Best Township Development (Asia), highlighting the demand for large-scale masterplanned estates outside the capital. 

• The Estate Makati, a collaboration between SMDC and Federal Land, received two major accolades: Best Ultra Luxury Condo Development (Asia) and Best Condo Development (Asia). 

• Viento at Cerca by Alveo Land earned Best High End Condo Development (Asia). 

• The Residences at The Westin Manila by RLC Residences was recognised as Best Lifestyle Condo Development (Asia). 

These achievements represent more than prestige, they offer a glimpse into the evolving benchmarks of success. Sustainability, adaptability, and user experience are no longer optional; they are core pillars of modern real estate development. 

The road to 2040: Collaboration and courage 

Both Obcemea and Barretto agree that a shift in mindset is needed. “The future of housing is not just about buildings—it is about building better ways of living,” Obcemea said. “The time to pivot is now.” 

For Barretto, that pivot must include inclusive growth. “Let’s stop measuring success solely by units sold or square metres built. Let’s measure it by whether people can thrive in the spaces we create.” 

With buyer needs evolving and national goals in sight, the Philippine property market stands at a crossroads. The developers who thrive will be those who build homes with purpose—and communities with heart.

Find out which developers will reign supreme at the 13th annual PropertyGuru Philippines Property Awards ceremony on 15 August 2025. To know more, visit AsiaPropertyAwards.com/Award/Philippines/. 

Gynen Kyra Toriano, Digital Content Manager at PropertyGuru, wrote this article. For more information, email: [email protected].