Manila, Philippines (PhilCenter) – The Taal Volcano, about 37 miles (60 kilometers) spewed ash up to nine miles (14 kilometers) into the air on Sunday, January 12 2020.
The Philippine Institute of Volcanology and Seismology (PHIVOLCS) has raised the alert level to the second highest level of four (alert level five indicates that an eruption is taking place) meaning that an “explosive eruption” could happen any time.
PHIVOLCS has requested a total evacuation of everyone residing within the 17-kilometer radius (10.5 miles) of the volcano, displacing as much as 16,400 people in evacuation centers as of January 13.
Another eruption could mean that shards of glass and other substances may be carried 100 kilometers or more, contaminating the air and water reservoirs in different locations affecting as much as 25 million people living within a 100 kilometer radius of the volcano.
Simple law of supply and demand would state that when the demand is low, the price would also usually be low.
Others may see this simply as a natural disaster which may cost hardships on the life of the Filipino, but business-minded individuals would know that this may be an opportunity.
As one of the nearest getaways from the busy city life of Manila and a tourist hotspot for hiking or sightseeing, Tagaytay has provided the Filipino with several developments and activities. Prominent Philippine Real Estate Developers such as Megaworld, SM and Ayala, have their fair share of properties in the area which priced at a premium.
Given the circumstances at hand, a short-term abstinence on Real Estate activities, especially on development, buying, selling and leasing is evident. With the reminder of impending natural disasters to occur within the vicinity of Tagaytay, some land owners may be looking to sell their properties at a discounted price and invest or relocate elsewhere.
One of the general characteristics of the Philippine Real Estate Market is resilience, therefore market analysts may see that though there are immediate fluctuations, market prices may not be very indicative of the situation. Attachment to land is one thing for the Filipino, so only time will tell the effects on the market left by the (possible) eruption.
If and when the market bounces back and prices reappreciate, the business-minded may likely come out on top.