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Microsoft is a global technology company known for shaping the modern digital experience. From its iconic Windows operating system to the versatile Microsoft Office suite, the company has provided tools that support both personal productivity and enterprise innovation. Visit the official website at microsoft.com to explore its offerings.
Microsoft has also become a major player in cloud computing through Azure, and in business collaboration with Microsoft Teams. Its investments in artificial intelligence, gaming (via Xbox), and hardware (like Surface devices) reflect a broad vision for the future of tech.
With decades of experience and a continued focus on progress, Microsoft remains a leader in the global tech landscape.
This is a test article created for demonstration purposes in WordPress.
Microsoft is a global technology company known for shaping the modern digital experience. From its iconic Windows operating system to the versatile Microsoft Office suite, the company has provided tools that support both personal productivity and enterprise innovation. Visit the official website at microsoft.com to explore its offerings.
Microsoft has also become a major player in cloud computing through Azure, and in business collaboration with Microsoft Teams. Its investments in artificial intelligence, gaming (via Xbox), and hardware (like Surface devices) reflect a broad vision for the future of tech.
With decades of experience and a continued focus on progress, Microsoft remains a leader in the global tech landscape.
This is a test article created for demonstration purposes in WordPress.
The onset of the pandemic in 2020 had a significant impact on the Philippine economy. It saw the rise of remote workers and the acceptance by various industries (albeit begrudgingly) of the importance of giving knowledge workers the ability to work from home. It was a tidal wave of hardship for many, and a multitude of businesses had to scramble to adapt to the so-called “new normal” where contactless transactions became a top priority as face-to-face transactions became the last option for many.
The Electronics and BPO industries largely stayed in place in the Philippines, but one particular sector of the BPO industry was impacted to such a degree that it ensued in a mass exodus. POGOs (Philippine Offshore Gaming Operators) were not immune to this sudden change brought on by the global pandemic. A huge influx of POGO companies became prevalent in 2018 as PAGCOR (Philippine Amusement and Gaming Corporation) announced that there were over 55 POGO licenses issued to e-casinos and sports-betting. POGOs quickly began setting up shop in the Philippines and saw a huge uptake in real estate sales and leasing. The pandemic upset that influx of ex-pats and profit overnight. Revenue from POGOs reportedly fell by nearly 25 percent in 2021.
PAGCOR cited a Commission on Audit report last June 2022 that a majority of the 2.3 billion pesos in uncollected income from POGOs was due to the pandemic. PAGCOR also stated that the said amount was the result of the gaming regulator’s intensive fight against illegal online gambling and drive to maximize collections.
From a real-estate industry perspective, POGOs have either vacated or left office spaces in an idle state which translates to approximately more than 800,000 square meters of unoccupied office space. If we take the most recent price point of 1,200.00 Pesos per square meter, the property market would be dropping over 1 billion Pesos in revenues a month, or over 12 billion Pesos in the span of a year. This also means the Philippine government would be missing out on the 12 percent VAT from office spaces rented by POGOs.
PAGCOR disclosed that many POGOs asked for the cancellation of their gaming licenses as they struggled to keep their operations afloat. The resulting lockdown from the pandemic stopped them from resuming activities as many foreign workers could not enter the Philippines due to border restrictions. Many of the exit interviews with POGOs revealed that operations relocated to our neighbors in Cambodia, Laos, Vietnam, and even as far as Dubai.
With the easing of pandemic-related restrictions and no further indications of another lockdown in 2022, projections point to the recovery of the property sector and the recovery of POGO operations in the Philippines. Indicators include the quicker-than-expected pace of recovery in the hotel sector. Condominium uptake is also expected to surpass 2021 figures. Colliers Philippines associate director for research Joey Roi Bondoc said that hotel occupancies in Metro Manila in the first half of 2022 reach 47 percent, higher than the 44 percent occupancy rate recorded in the second half or 2021. This can be attributed to the gradual return of business travel where investors start to conduct due diligence, and local guests and visitors from other countries start to increase their spending on leisure. The “staycation” market also saw a rise in the months of April to June 2022. As far as the office space market is concerned, Colliers Philippines was also bullish as it projected that office space supplies would revert to pre-POGO levels. Although POGOs are expected to either resume their leases on the office spaces they left vacant or look for new locations to set up shop. On a broader scope, more and more office spaces will be occupied as more traditional businesses are implementing RTO (Return To Office) and outsourcing firms continue their plans for expansion. Rentals are also expected to rise in 2023. Lastly, demand for condominiums and other residential properties in Metro Manila is also expected to rise as projections for the second half of 2021 and the first half of 2022 were already surpassed. Many companies are also expected to support hybrid work setups where employees can work from home and also report to the office on certain days of the week. Many responsible companies are now putting into high consideration the safety and well-being of their employees and a hybrid work setup has significant advantages for both company and employees. This is also being supported by the government’s push to finish infrastructure projects specifically related to transportation and railways. Support for digital businesses is also going to play a big role in the expansion of data centers. All of this taken into account will encourage businesses to operate close to pre-pandemic levels. Ultimately, all of this is good for the real estate industry.
Project Selling and General Brokerage Comparison
You’re determined to break into the real estate industry. Good for you! But as you learn more about the industry, you hear terms like Project Selling and General Brokerage and wonder if there’s really a difference. We’ve created a simple table below to help you decide where you really think you are better suited. Here’s a breakdown of the difference between the two:
In this table, we focus first on the differences from the perspective of an agent:
| Salesperson – Project Selling | Salesperson – General Brokerage |
| If working for a developer, they are usually referred to as “in-house agents” | Normally referred to as “property specialists” or “real estate salespersons” (if PRC-licensed) |
| Generally given an allowance | Generally, earns on commission basis only |
| Usually assigned a sales quota | Normally does not have a sales quota |
| Works in an office with regular working hours | Flexible working hours. Can work in an office or from home (depending on the arrangement with the broker or realty corporation) |
| Can either be regular or contractual employees | Generally, no employee-employer relationship exists between the agent and the broker |
| Work is normally limited to selling. Documentation and transfer of titles is done by the developer | Generally more experienced than in-house agents as they know how to take care of the documentation and registration for the buyer and seller. |
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If assigned to a broker working for a specific developer (i.e. an in-house broker), agent is usually limited to selling property of the developer only. If assigned to a broker that works for (or owns) a realty corporation that is accredited with multiple developers, agent can sell properties of developers the broker is accredited with (i.e. “sell-all”) |
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Entitled to commissions |
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| If under an in-house broker, commission rate is dictated by the developer.If under a “sell-all” broker, commission rate will vary per developer | Rate is dependent on agreed arrangement with broker (rates are usually higher) |
| Must obtain DHSUD ( formerly known as HLURB) accreditation, regardless if agent is doing project selling or “sell-all”. | Not required to obtain DHSUD ( formerly known as HLURB) accreditation as long as properties being handled are FSBO (For Sale By Owner). Otherwise, both broker and agent must secure accreditation in order to do project selling. |
| Must be assigned to a licensed broker in order to be able to sell properties | |
| Under RESA law (RA 9646), a person can only be called a “real estate salesperson”, if they obtain a PRC (Professional Regulation Commission) license and is assigned to a licensed broker | |
Next, let’s look at project selling and general brokerage from a broker’s point of view:
| Broker – Project Selling | Broker – General Brokerage |
| Must pass the broker’s licensure exam in order to be PRC-licensed. Once the license has been issued by the PRC, the broker will be able to operate and manage a real-estate business, aside from selling and/or leasing properties. | |
| Must undergo continuing professional education (CPD) courses | |
| Answerable to the Real Estate Code of Ethics as required by the PRC | |
| Must obtain DHSUD ( formerly known as HLURB) accreditation, regardless if broker is doing project selling or “sell-all”. | Not required to obtain DHSUD ( formerly known as HLURB) accreditation as long as properties being handled are FSBO (For Sale By Owner). |
| If working for a developer, can only sell property of the developer.If working for a realty corporation accredited with multiple developers, can sell all properties the realty corporation is accredited with. | Can sell / lease all types of properties.
In the case of project-selling, the broker (or realty corporation) should be accredited by the developer(s). |
| Usually assigned a sales quota | Normally does not have a sales quota |
| Works in an office with regular working hours | More flexible, can work from home. May optionally maintain an office if the broker owns the realty corporation. |
| Brokers have more freedom with their work arrangement with the developer or realty corporation.Does not have any employer-employee relationship with in-house agents. | Generally, no employee-employer relationship exists between the broker and the agents |
| Work is normally limited to selling. Documentation and transfer of titles is done by the developer. | More experienced than in-house agents/brokers in terms of general knowledge in real estate, as they know the required documentation and registration procedures for both the buyer and seller. They are more exposed to dealing with the BIR, the Assessor’s office, and the Registry of Deeds. |
| Entitled to commissions. Cannot share commissions with unlicensed real estate practitioners but can only give a “referral fee” instead. | |
| If an in-house broker, commission rate is dictated by the developer.If a “sell-all” broker, commission rate will vary per developer | Commission rates are typically anywhere from 3% to 5%. |
| Cannot use the salesperson of another broker without prior consent of the broker the agent is currently accredited with. | |
Hopefully, this will give you a better idea where you would like to focus on. Some people like to have a narrow focus in what work they do. If you fall under this category, maybe project selling is better for you as a start, or if you simply want to get your feet wet in the real estate industry. But if you like to have variety in what you work with, and like taking on challenges, then general brokerage may just be up your alley.