Real estate prices grew slower by 2.7 percent in the second quarter on an annual growth compared to the 6.1 percent in the first quarter as detached houses and condominiums in the provinces became more expensive, a report from Bangko Sentral ng Pilipinas showed Friday.

On a quarterly basis, property prices rose faster by 1.8 percent from 1.1 percent.

Metro Manila-based properties sold cheaper by 1 percent, reflecting a downtrend in prices of detached houses to negative 37 percent from negative 15 percent year-on-year.

In contrast, townhouse prices rose to 13 percent, although slower than 16.7 percent previously recorded in the first quarter. Condominium prices grew faster to 10.9 percent from 8 percent.

Compared to Metro Manila, prices of detached houses showed positive growth at 7.4 percent, although slower than 8 percent in the first quarter. Condominium prices also rose slower at 7 percent from 13.5 percent.

The number of approved loans for new homes for all types of residences declined by 3.5 percent year-on-year amid a high interest rate from banks. Loans to Metro Manila residents fell by 9.2 percent while those in the provinces decreased much smaller by 0.8 percent.

On a quarterly growth, nationwide home loans dropped by 15 percent.

Most borrowers purchased detached houses with 47.9 percent share of the total loans, followed by condominium units with 32.5 percent, and townhouses 19.3 percent.