How Does the Manila Real Estate Market Compare to the Netherlands in 2025?

September 11,2025

If you follow housing headlines in both Europe and Southeast Asia, you will notice a striking contrast. The Dutch market is constrained by supply shortages and regulatory friction, while the Philippine market, especially Metro Manila’s condo segment, moves in cycles shaped by pre-selling, developer incentives, and central bank policy. Knowing these differences helps buyers and investors make smarter decisions about timing, financing, and location.

Figure 1: Dutch house & High Rise Condo

Prices and Momentum

In the Netherlands, prices picked up again through 2024 and 2025 after a short slowdown. By June 2025, the average price of existing homes was 9.3 percent higher than the year before, mainly due to structural scarcity (CBS, 2025). The trend shows that demand still exceeds available supply, particularly in urban centers. Mortgage rates rose slightly in early 2025, with typical fixed rates in the 3.5 to 4.5 percent range, but remain manageable compared to historical peaks (Hanno, 2025). This balance of limited supply and affordable financing explains why housing demand continues to drive prices upward despite broader economic pressures.

The Philippines shows a different momentum. Developers in Metro Manila used strategies such as discounts, ready-for-occupancy deals, and flexible payment terms to attract hesitant buyers. These promotions worked, as cancellations declined and sales activity improved (Colliers Philippines, 2025). Rental prices, which had declined in 2024 due to oversupply, began stabilizing in 2025. This suggests a more balanced relationship between landlords and tenants. The Bangko Sentral ng Pilipinas also supported the market by cutting its policy rate to five percent, creating easier financing conditions for both developers and homebuyers (BSP, 2025; Reuters, 2025).

Figure 2: Dutch Homes for Sale vs. Manila High-Rise Living

Supply and Permits

The Dutch housing shortage is largely about supply bottlenecks. The government has set ambitious targets of building 900,000 new homes by 2030, but these plans are frequently delayed by slow permitting and strict environmental rules. Nitrogen emission limits have blocked or postponed thousands of projects (NL Times, 2025). By mid-2025, permits were already down 13 percent compared to the previous year, and estimates suggested that as many as 250,000 homes could be affected by these rulings (DutchNews.nl, 2025).

This structural shortage keeps both prices and rents under upward pressure. While transaction numbers rose in the second quarter of 2025 as some landlords sold their properties, this came at the cost of reducing rental supply (DMFCO, 2025). The pressure simply shifts from buyers to tenants.

In the Philippines, supply works differently. Developers often rely on pre-selling, marketing condos before construction is finished. This system ensures a pipeline of demand but also creates vulnerability when rates rise or sentiment weakens. During periods of optimism, take-up can recover rapidly. In 2025, developers leaned heavily on promotions and staggered payment terms, making properties more accessible to both local and foreign buyers (Colliers Philippines, 2025). This flexibility is a strength of the Philippine market but requires buyers to carefully assess project quality and delivery risk.

How Easy Is It to Get a Home?

For Dutch buyers, access is mainly limited by competition. Winning a property often depends on bidding quickly and above asking price. In popular areas such as Amsterdam, Utrecht, and Rotterdam, even qualified buyers struggle to secure homes due to low inventory (CBS, 2025).

Renters face even more difficulty. With social housing queues stretching for years and private rentals in short supply, many households feel stuck between expensive purchases and unavailable rentals (The Guardian, 2025; DMFCO, 2025). These challenges make housing accessibility a central political issue in the Netherlands.

In the Philippines, access looks easier but comes with its own risks. Foreigners can legally own condominium units, which makes the market attractive compared to other Asian countries where restrictions are tighter. The key challenge lies in selecting trustworthy developers, understanding payment terms, and verifying handover schedules (Global Property Guide, 2025).

Promos in 2025, such as smaller down payments or reduced spot cash requirements, lowered the entry barrier (Colliers Philippines, 2025). Renters in Metro Manila also enjoy more freedom of choice, especially in central districts like Makati, Ortigas, and BGC. Leasing is usually faster, and the abundance of available units means tenants often have negotiating power, particularly for extras like furnishings or rent-free months (Global Property Guide, 2025).

Figure 3: Tough Access in the Netherlands vs. Easier Entry in Manila

Interest Rates and Currency

The Dutch mortgage system is stable and predictable. Long-term fixed-rate mortgages protect borrowers from sudden swings in interest rates, which is one reason Dutch households can stretch budgets despite high prices. Even so, small increases of 25 to 50 basis points can make a big difference, since affordability is already tight (CBS, 2025). In 2025, prices remained firm despite slightly higher mortgage costs, proving that scarcity remains the dominant factor.

In the Philippines, mortgage structures differ. Loans are shorter, and repricing occurs more frequently, which ties financing conditions more directly to central bank policy. The BSP’s 2025 rate cuts gave the market breathing space and encouraged more pre-selling conversions (BSP, 2025).

For foreign investors, currency risk is a defining factor. A weak peso makes condos appear cheaper in euros or dollars, but rental income and resale values also fluctuate when converted back to foreign currencies. As a result, investors often stress-test returns under multiple foreign exchange scenarios before deciding (Reuters, 2025).

Regulation and Policy

The Netherlands demonstrates how regulation can restrict supply if implementation is slow. Nitrogen rules and long approval procedures discourage new developments, while rent caps in some segments make landlords exit the market altogether (DutchNews.nl, 2025; NL Times, 2025).

Policy objectives like affordability and sustainability are important, but without faster delivery the shortages will remain.

The Philippines relies far less on state-driven housing supply. Developers adjust projects quickly to meet demand, whether that means luxury condos or mid-market units. This flexibility benefits the market but places responsibility on buyers to vet projects carefully. Checking developer track records, association dues, and handover timetables is essential before committing to a purchase (Colliers Philippines, 2025).

Renting vs. Owning

Renters in the Netherlands face long waits and limited choices. Social housing can take years to access, and private rentals are scarce. Metro Manila’s rental market, by contrast, offers more options and quicker move-ins, often with room to negotiate favourable terms (Global Property Guide, 2025).

For buyers, the Dutch market requires resilience and speed, while the Philippine market requires due diligence and careful vetting (CBS, 2025; Colliers Philippines, 2025). For investors, Manila condos can provide attractive yields, while Dutch investments are more about stable long-term appreciation than income (DMFCO, 2025).

Figure 4: Tight Rentals in the Netherlands vs. Lifestyle Living in Manila

Personal Perspective

If I were buying in the Netherlands, I would adopt a disciplined approach: calculate affordability across different mortgage rates, set strict bidding limits, and accept location compromises. Scarcity will not resolve soon, since permits remain restricted (NL Times, 2025).

For renters, the best strategy may be widening the search area or considering ownership in secondary cities connected by rail (DMFCO, 2025).

In the Philippines, I would start with reputable developers and model conservative rents. Even with BSP easing, stress-testing cash flows is essential (BSP, 2025; Colliers Philippines, 2025). As a renter, I would negotiate firmly, knowing the market offers leverage in 2025 (Global Property Guide, 2025).

Currency is also critical. Euro-based investors should account for FX fluctuations as part of their return profile (Reuters, 2025). In contrast, Dutch buyers benefit from fixed-rate mortgages, which shield them from sudden interest-rate changes (Hanno, 2025).

Key Takeaways

The Netherlands remains defined by scarcity and regulation, while the Philippines offers flexibility but demands careful selection. Dutch real estate provides capital stability but is hard to access. Manila offers income opportunities and easier entry, but investors must handle project risk and currency exposure.

The lesson is simple: wherever you invest, do your research, stress-test your finances, and align property decisions with your long-term plans. Real estate is local, but the principles apply globally.

Ready to explore opportunities in Manila real estate? Contact BedandGo Inc. today to find the right condo investment or rental property tailored to your needs.