9%

I read an article once that stated condos in QC had rental yields of at least 9%.

This 9% yield belittles the 3% to 4% yield of condos in Makati/BGC. Coupled with even a low 2% per year capital appreciation, these condos present an excellent investment opportunity. Or do they?

If you're wondering why the return is so high, these condos sell for ~Php3 Mn and rent out for Php15,000 to 20,000/month.

While the math makes sense, it ignores the other factors that go with the business. The LIKELY tenants of these condos don't have checking accounts, so rent collection can easily be a problem. Evictions are even worse for anyone relying on the country's legal processes.

Overall, the headaches that come with these properties will make anyone question whether these investments are truly worth it.