As remote work becomes more and more popular in the Philippines, Filipinos are changing their standards for choosing their housing.
COVID-19 and the subsequent lockdowns affected several countries, including the Philippines. Most, if not all, office workers had to work from home to ride out the pandemic. Working from home (WFH) then became more popular as a result.
It has been years since the first lockdown, but the remote work “fad” has yet to die as more and more people realize its benefits. Still, the popularity of working from home affects the demand in other industries—like real estate, for instance.
The Rise of Remote Work in the Philippines
Contrary to popular belief, working remotely started long before the pandemic in the Philippines. However, the lockdowns only sped up the transition to (and even further popularized) remote work. Within the past three years, many Filipinos have had to embrace the challenges and opportunities of working from home. After all, there’s a plethora of tools and resources available online.
Remote work also opened up borders because Filipinos get to work with employers from abroad. Further, a study conducted by SEEK revealed that around 28% of Filipinos prefer a fully remote job, with around 46% being open to a hybrid setup. This number is set to grow in the future, and with the rise of artificial intelligence, there will be a greater demand for professionals who can employ AI programs and tools.
Reasons Why Filipinos Prefer Remote Work
Let’s take a closer look at a few reasons why Filipinos prefer working remotely nowadays over a traditional office job.
Cost Savings
If you ask any Filipino why they want a remote job, they’d probably mention cost savings first. Filipino workers no longer have to commute to their offices, which saves them time and money while reducing their stress levels. They also don’t have to spend money having lunch out because they can eat home-cooked meals—nor are they obliged to attend many after-office gatherings.
Work Flexibility
Though some roles still follow a specific work schedule, remote work offers more flexibility than most. As a result, remote workers can squeeze in household chores between shifts since they work from home. This setup is beneficial for stay-at-home moms (SAHMs) who want to earn income while raising their kids. Remote work also greatly improves one’s work-life balance as a result.
Better Productivity
Working from home has been proven to increase overall productivity. When you’re in your home office, you won’t be preoccupied with the usual distractions you might find in a traditional workplace. In the same vein, most remote workers tend to thrive in quiet and relatively peaceful environments, hence the preference for less frantic locations outside of the crowded city centers.
Equal Opportunity
Remote work levels the playing field. People can find gainful employment regardless of their academic attainments or socio-economic status. Age or physical disabilities also do not matter because most employers care more about high-quality output. Plus, remote work lets Filipinos potentially earn higher than the average salary if they land international clients—without having to leave their families for greener pastures abroad.
Top Considerations of Filipinos For Housing Preferences
So, what do Filipino remote workers look at when searching for a place to live?
Location
First, they consider the location. Most remote workers want to move away from densely populated areas, which tend to be noisy. They prefer relatively quiet places because most—if not all—remote jobs require focus. Plus, these areas are more appropriate for virtual meetings due to fewer distractions.
Space
Filipinos want living spaces big enough for a separate home office, away from communal spaces shared with their family members. This way, they can concentrate better on their tasks, especially if they’re client-facing. Further, it will be easier for Filipino remote workers to disengage after work because there will be clearer boundaries between their personal and professional lives.
Facilities
A good internet connection is the lifeblood of remote work. So, real estate properties with good Internet speeds are the premium choice for many remote workers. They also prefer housing within the city center for convenience and security. Otherwise, they might consider a residence within a subdivision that already has a lot of good communal amenities.
Price
People will look at a property’s cost while considering accessibility and affordability. In general, houses in rural areas are more reasonably priced compared to those within the city. If they voluntarily contribute, remote workers can take out a PAG-IBIG housing loan to help cover the costs. Ultimately, buying a property from a reputable developer is one of the safest ways for a remote worker to invest their hard-earned money.
Remote Work’s Impact on the Philippine Real Estate Industry
The COVID-19 pandemic ushered in the “new normal”, and most businesses had no choice but to adapt.
The Remote Effect: How Work-from-Home Cultures Shaped Philippine Real Estate Trends
Remote work greatly reduced the demand for office spaces and resulted in new trends emerging within the Philippine real estate sector. This situation presents an opportunity for many real estate agents, including virtual ones. Let’s take the remote workers’ desire for relatively bigger living spaces, as an example.
Virtual real estate agents can offer properties with open or flexible floor plans, which are ideal for setting up a home office. Since WFH employees can virtually work anywhere, they don’t necessarily have to live within the city center. Thus, real estate agents can market houses on the city’s outskirts, which tend to be more affordable. Of course, some remote workers might prefer to live in rural areas as well. They want to be away from the hectic city life but still prefer to live in a place where everything is within reach—with a variety of facilities for their families.
In all, remote work going mainstream brought about many changes but also presented unique opportunities for both remote employees and the real estate industry.
Remote Work’s Effects on the Philippine Real Estate Industry
Despite the benefits of remote work, it also causes certain challenges to arise within the Philippine real estate industry.
High Demand Equals High Prices
Apart from inflation, high demand also plays into the current housing prices in the Philippines. The most ideal living spaces—like condominiums, for instance—are located in business centers, hence their hefty price tags. However, high-rise buildings are by nature expensive, given their complete amenities and other features. What’s surprising is how remote work going mainstream can drive up housing prices in rural areas.
This is a result of people moving back to their original hometowns, where the cost of living is significantly less compared to within the city – especially since they no longer have to report to a physical office.
High Rental Prices
Younger generations make up a large portion of the Philippines’s working population. As they’re just starting their careers, they often don’t have the funds to buy a house. So, these young remote workers rent living spaces, which drives rates up. Most millennials and Gen Zs might prefer to work in the city (despite the high rent and having a remote job) because of the facilities and recreational activities available. Plus, it’s easier to connect and network with other professionals in the same area.
Migration From Urban to Rural
As previously mentioned, many remote workers also choose to live in rural areas instead of the city. This results in so many office spaces being abandoned, especially as more companies adopt the remote work model to save on operating costs. Yet while this migration potentially drives up housing prices in rural areas, remote workers might find them lacking certain facilities, like high-speed Internet access, for instance. So, remote workers need to find places with the right mix of affordable housing costs and a good standard of living.
The Real Estate Industry’s Response
How should the Philippine real estate industry respond to all the challenges emerging from remote work going mainstream? Here’s a possible solution.
The Middle Ground: The Emergence of Mixed-Use Properties
As remote work grows more and more popular in the Philippines, so do mixed-use properties. These are areas that have both residential and commercial spaces. For instance, the real estate industry can repurpose office spaces into co-working spaces. These establishments provide remote workers with a temporary break from working all day at home. Going to a co-working space also lets them meet and connect with fellow remote workers. Further, shared workspaces are a more cost-efficient solution compared to, let’s say, leasing an entire office or building.
The Future of Remote Work and Real Estate
Remote work is here to stay. Many Filipinos now have a mindset shift where they realize it’s possible to earn a living wage while working from home. For the real estate industry, these changes also present a golden opportunity. Yes, the demand for housing will always be there. However, remote work’s prominence means that times are changing and people are seeking spaces that support their home-based jobs and lifestyles. Further, market trends will continue to move towards flexibility and redefined living spaces, so the real estate industry would do well to heed the remote workforce’s needs.
About Rica Jankulovski
As the CEO of Remote Staff, Rica Jankulovski has been helping small-to-medium-sized companies grow sustainably and steadily by matching them with hard-working, English-speaking Filipino remote talent. Having been born and raised in the Philippines and currently living in Australia, her unique experiences and perspectives on both cultures allow her to constantly empower both her clients and remote talents to make a meaningful difference in work and life.
