How Much Potential ROI on Rental Income and Capital Value Appreciation in Cebu?
How Much Potential ROI on Rental Income and Capital Value Appreciation in Cebu?
Cebu, Philippines is an attractive location for real estate investment, including rental properties, and can offer a combination of rental return on investment (ROI) and capital value appreciation.
Rental ROI: Rental properties in Cebu can offer a conservative rental ROI of 6% to 8% per annum, based on rental income generated by the property. This rental income is generated through the leasing of the property to tenants.
Capital Value Appreciation: In addition to rental income, real estate investment in Cebu can offer potential capital value appreciation of 10% to 20% per year. Capital value appreciation refers to the increase in the value of the property over time, which can be driven by a variety of factors, such as location, market conditions, and property characteristics.
Combining rental ROI and capital value appreciation, Cebu real estate investment can offer total returns of around 16% to 28% per year. It's important to keep in mind that these are just estimates, and actual returns will depend on a range of factors, such as location, market conditions, and property characteristics.
In conclusion, Cebu, Philippines can offer attractive returns for real estate investment, including rental properties, with conservative rental ROI of 6% to 8% per annum and potential capital value appreciation of 10% to 20% per year.
"About the Author: Samuel Lao is a Real Estate Broker with 14 years of experience in the field. He is a Past National President of the Philippines Association of Real Estate Board. He specializes in Real Estate Investment, Commercial & Industrial Real Estate, Property & Asset Management, and Real Estate Finance & Mortgage. For 1on1 Meeting, contact him WhatsApp at +639173236123 or laosamuel@yahoo.com, or visit his website at www.phmls.com"
