Cebu Real Estate Information

Comprehensive information for empowerment of property buyers, sellers, and salespersons


Cebu Properties


†CEBU CITY HOUSE AND LOT†

Acacia Drive

Jasmine 4BR

Kentwood Banawa H&L

Lily 4BR

Rose 3BR Duplex

Courtyards of Pasadena

Michael James†

Murano 4BR Riverdale

Sapphire 3BR Riverdale

Emerald 4BR Riverdale

Riverdale Subdivision

Ruby 4.5BR Riverdale

Gavina 5BR Riverdale

Fatima 5BR Riverfront

Elaisa† 5BR Riverfront

Drina†† 4BR Riverfront

Carmela 3BR Riverfront

Greenwoods Executive Village

Marga† 2BR Riverfront

Cebu City Lot 180 sqm 4sale

North Belleza Talamban


††

CEBU NORTH†HOUSE & LOT

88 Hillside Mandaue City

Aduna Beach Villas

Amoa Subdivision

Anami Homes Jugan

Aspen Heights †(Lot only)

Aspen Heights Fiona H&L rfo

Aspen Heights Aurora H&L rfo

Casa Cerro Compostela

Casili Residences

Crown Heights (Lot only)

El Montegrande 200 sqm Lot

El Monteverde de Cebu

Elizabeth View Homes

Florence Canduman

Garden Bloom Villas

Greenville Heights

Jordan Heights Lot only 195K

Lunah 2-storey 4BR

Mandaue Lot 7,825 sqm

Northfield Residences

Redwood Subdivision

Richwood Homes

Summerhills (Lot only sale)

The Heritage (Lot only)

Villa Melissa Liloan

Virtacci Hills

Vista Verde Residential Estates

Yanessa Country Homes††


MACTAN HOUSE & LOT

Acasys Homes

Anami Homes Mactan

Astele

Bali Residences

Blessed Sacrament

City Homes Mactan

CKL Homes

Collinwood Subdivision

Discovery Bay Resort

Island Homes

La Aldea del Mar

Pacific Grande 2

Park Place Twin Homes

Solare

Summerville Cordova

Sunberry Homes

Teakwood Subdivision

Villas Magallanes (Lot only)


CEBU SOUTH†HOUSE & LOT
††

88 Brookside Talisay SRP

4BR H&L overlooking sea

Baywalk Talisay

Beachfront house Talisay

City Homes Minglanilla

Malibu Residence

San Fernando 2.5 hec

South Covina

The Villagio

Velmiro Heights

Villa Donna Talisay

Vista Grande Overlooking

CONDOMINIUMS

Amisa Condo

Apple One Banawa

Arterra Residences

Atelier Residences

Avalon Condo Ayala

Avida Towers

Azalea Place

Bamboo Bay

Bayanihan Flats

Bloq Residences Talamban

Bloq Residences Sikatuna

Bloq Residences Mandaue

Eagles Nest

Grand Residences

La Mirada

Midori Residences

Myvan Cityscape

Myvan Cityscape 2

Myvan Grand Tower

One Oasiis

Pacific Grande condo

Penthouse Woodcrest

Saekyung Village One

The Trillium Residences

Vertu Residences

Woodcrest 2BR condo rfo

RAW LAND FOR SALE

Casili Mandaue 7,825 sqm

SanFernando 2.5 hec. cheap

HOUSES & APARTMENT

2BR apartment for rent in Mandaue

4BR aparment for rent Mabolo

Studio condo for rent in Mandaue 6K

Studio condo for rent in Mandaue 8K

1BR condo for rent in Mandaue 10K

1BR condo for rent in Mandaue 15K

2BR condo rent in Mandaue 20K

Studio condo rent Subangdako 10K

1BR condo rent Subangdako 12K

IT Park Lahug 1BR condo

Metropolis 4BR house for rent 40K



Why itís often difficult to sell a small raw land and HOW TO SELL IT SUCCESSFULY

 

Big raw lands are sold by the hectares and it is where residential subdivisions are developed. Big raw lands are usually sold at relatively lower prices due to the willingness of the seller to let go of it by the total amount he would receive for the sale. By contrast, when you have a small raw land such as 500 square meters to 10,000 square meters more or less, you can observe how difficult it is to dispose at a fair market value unless it is along the main road suited for commercial development. But if your land is situated in a setting best suited for residential development, a small raw land would be too big and too costly to build one housing unit on it and so you think of subdividing it and sell it at small sizes.

 

The following are estimated generalities of  prices of many subdivisions in nearby cities in Cebu.

 

1) P6,000 per square meter for developed ordinary subdivisions without amenities  

2) P8,000 per square meter for developed subdivisions with amenities and very well secured communities

 

3) P10,000 per square meter for developed high end subdivisions with swimming pool, well secured, with playground, basketball court, clubhouse etc.

 

It’s quite a fortune if you can sell your small raw land close to P6,000 per square meter above  and why it’s so difficult to sell even if your price it way below P6,000 per square meter?  

 

 If for example you have a lot with an area of 560 sqm lot, it is very saleable if it will be subdivided into smaller lots and sell the small lots individually. Even in 1 to 3 months, everything will be sold if offered at a fair price. However, when we divide them into smaller lots, we need to provide a two-way road for the small pocket subdivision. It is estimated that one fourth (1/4) of the land shall be devoted to this two-way road and wider at the entrance. Therefore, with the 560 sqm lot, 75% can only be sold which is 420 sqm total saleable area because we cannot sell the roads to the buyers. In business, we need to recover this cost by adding an amount to the price caused by the loss of area for the roads. Developers use the formula:  

 

    Price / 0.75 = new base price with no profit

 

    P6,000 / 0.75 = P8,000.00  this is the new base price without profit.   

 

    Plus, there are development costs such as the cost of concreting the roads, putting up proper drainage, water and electrical connections, etc. For high end development with raw lands, that's P1,500.00 per sqm, But for simple small and flat land which can be easily concreted with no need of amenities, P500.00 per sqm will be the fair estimate for developing it into a small pocket subdivision. This will have to be added to 8,000.00 per sqm price above, so a total of P8,500.00 per sqm base price without profit at all. Then, government requires 10% VAT Tax , and so that will be P9,350.00 per square meter base price without profit 

   In order to successfully sell the land,it is important also that the seller puts himself in a position of the buyer/investor and see if he can make a good profit. By experience, buyers/investors will be happy if they can double their investment for if it's not at least double, it's not worth the time and effort. So, if we need to double the P9,350.00 per sqm base price without profit, can we sell the individual lots at a price of P18,700.00 per square meter? Even if no profit at all at the price of P9,350.00 per square meter, it is even still hard to sell it because there are subdivisions with amenities being offered at a price of P8,000.00 per square meter here in many subdivisions in the city.

 

  Therefore, although the fastest way to sell is to sell at smaller lots, it will be difficult to achieve because of the price factor caused by the road development, etc. This is assuming you are not willing to reduce prices significantly to allow these costs.

 

  If your best motive is to get the full value of the entire lot 560 square meters, you just have to sell it as a whole so there will be no deduction for the roads. For commercial lots such as along major roads, it will be a fortune for the owners because it's easy to find buyers who would want to put up a commercial building in a lot as big as 560 sqm. On the other hand, if  your lot is situated  in a setting of residential surroundings, or on the interior part, we will just have to wait for that somebody willing to buy a big 560 sqm lot and put up a residential house on it. But you also have to consider that buyers of big lots such as 500sqm plus, would want to be in a very nice subdivision with many good amenities on it. Thus, there is still a need to entice them with a significant reduction of price so they will buy yours instead of the lots in a nice subdivision with nice amenities. 

  Another way would be joint venture with a developer to be able to get the best price you want but the details of this will have to be discussed thoroughly with the developer concerned. Although the figures such as the amount you will get, terms, etc, cannot be determined for now as this needs thorough discussion with the developer with you, but definitely, joint venture offers much higher values of the land in your favor than pure selling. But this is another story that requires another article to discuss thoroughly.

 

 

Author: Engr. & Broker Manuel Jr Arengo 

Cebubesthomes Realty

Real Estate Broker

License No.0007808

 

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