Realty in Boracay can be a rather difficult business for an individual to get into as there are a number of realtors that have spent a great deal of time and effort, posting properties on their walls, spending for flashy widescreen televisions and video presentations and have barely sold a single house or apartment due to the slump in the present economy. But that is not the only problem that Boracay real estate businesses have to deal with. Apart from the slowing down of businesses due to the economic crisis, there is also the existence of problems or threats of the industry having more problems with regards to sales due to the legal status of parcels of land located in the holiday island.
In the previous years, especially during the years 2006 and 2007 the real estate industry in Boracay has flourished, with the number of real estate agencies quickly rising and setting up their base on various areas of the seven kilometre stretch of the island. There have been a wide variety of developments to choose from including condominium units from the islands exclusive golf course, offering condominium units for as much as three hundred thousand dollars for a one hundred fifty square meter apartment with three balconies; as well as other developments overlooking Boracays many white and sandy beaches.
The buying frenzy in Boracay Island, however, has reached a downward spiral towards the middle of the year 2008 due to an insufficient flow of foreign investment that once benefited the island. Various problems regarding ownership of land started to become public knowledge and the news spread to other Asian countries, primarily Hong Kong, where investors grouped together to fight against the new land regulations that are going to be put into place in the island stating that Boracay land will be state-owned land, for fear that they might have to buy the land they have already purchased back from the government once again.
Aside from the land ownership issues and lack of titled land in the area, there are also extensive news reports being heard not just in Asia, but around the globe as well, which involves various land-grabbing activities amongst local families and their heritage rights. The presence of a clear set of regulations is unheard of at this point in time, therefore bringing about worry and frustration to all investors that have purchased either a home or an apartment unit, or even a resort on the vacation island. Most foreigners that now come to Boracay carry a certain fear of having to invest their hard-earned money into various projects, especially into projects involving Real Estate Investment.
The new land regulations, coupled with the lack of clear laws regarding ownership of properties in Boracay have greatly affected Boracay realty in general. But the new laws are not the only cause of the slump in property sales, the existence of dubious developers are also a cause for concern. Developers present in the island who have not met the expectations of their buyers by not being able to even have enough funds to start the development and finish it as promised, has also raised eyebrows of many investors, especially foreign investors.
Boracay Realty is certainly proved to be a growing industry that possess many difficulties and uncertainties.