DPWH x REAL ESTATE

How does the DPWH flood-control circus spill over into the property sector?

Short-term pain, long-term gain.

As one industry veteran bluntly put it:

“You can only buy so many Louis Vuitton bags or designer shoes for your girlfriend. Eventually, the biggest place to park dirty money is real estate.”

And not just any real estate—the ultra-luxury end. High-ticket condos and houses are the most efficient way to move tens or even hundreds of millions at a time.

Baguio Mayor Magalong even recalled a Congressman who once used a condo unit as nothing more than a vault to stash wads of cash.

Which brings us to the hypothesis: if the government turns up the heat, a chunk of that ultra-high-end demand dries up. The segment could wobble as politically exposed buyers are forced out of the game.

Developers, in turn, may sharpen their filters—more KYC, more scrutiny of who’s buying. Not out of sudden virtue, but out of self-preservation.

We’ll know soon enough. Primary market data—such as “re-opened units” (sales cancellations) or aging receivables—will show if this theory holds. On the secondary market, high-end resales should continue to feel the pressure.

So yes, turbulence in the near term. But in the long run? With any luck, a cleaner and more credible market.