NEDA, DHSUD adjust dated price ceilings

The Department of Human Settlements and Urban Development, or DHSUD, and the National Economic and Development Authority, or NEDA, adjusted the price ceiling for socialized subdivision and condominium projects.

Under the adjusted ceiling, socialized subdivision projects now cost no more than P850,000 from the current P580,000 for units with a minimum floor area of 28 square meters, or sqm, with a loft of at least 50 percent of the base structure or 32 sqm.

Socialized condominium projects are now set at P933,320 for 22 sqm, P1.06 million for 25 sqm, and P1.145 million for 27 sqm for a four-story building.

For projects composed of five to nine storys, the pricing is P1 million for 22 sqm; P1,136,364 for 25 sqm and P1,227,273 for 27 sqm, and for 10 floors above projects, 22 sqm units cost P1,320,000; 25 sqm at P1,500,000 and 27 sqm at P1,620,000.

With the inclusion of land development cost, socialized condominium projects' price ceiling is set at maximum P1.8 million.

Not reflective of current pricing

DHSUD noted the current pricing no longer responds to prevailing economic conditions.

DHSUD Secretary Jose Rizalino Acuzar and Socioeconomic Planning Secretary Arsenio Balisacan signed Joint Memorandum Circular 2023-003 on Friday adjusting the current price ceiling which has been in effect since 2018 pursuant to Resolutions Nos. 1 and 2 series of 2018 issued by the Housing and Urban Development Coordinating Council, or HUDCC.

The adjustment came following months of thorough review and lengthy discussions between DHSUD and NEDA teams, who  considered inputs from the housing and real estate sectors.

The DHSUD and NEDA also agreed on the huge economic pump-priming potentials of the housing and real estate sector.

The move is touted as a huge boost to the ongoing implementation of President Ferdinand R. Marcos Jr.'s flagship Pambansang Pabahay para sa Pilipino, or 4PH, Program as it could prompt active participation of and the much-needed investments from private contractors and developers.