MANILA, Philippines - The Philippine property industry remains healthy, thanks to robust demand driven by expansion of outsourcing companies and the steady flow of money from overseas Filipinos.

The real estate market also continues to thrive as developers expand outside Metro Manila in search for more affordable spaces for locators, CB Richard Ellis Philippines, Inc. (CBRE) said.

"The demand for office space remains strong. However, speculative supply is moving ahead of it," CBRE Chairman Rick Santos said in a briefing on Tuesday.

He added, however, that developers are adjusting by slowing down production to ensure that there is always adequate space available without having an oversupply or even a glut.

Developers are also moving to other sites, particularly in areas where government is pushing infrastructure developments like Subic and Clark, as well as in developing areas in Visayas and Mindanao.

"For the last three years, the property sector benefited from the steady growth of the BPO industry, overseas remittances and dollar revenues from the growing tourism industry in the country.

To sustain the momentum of the property sector's growth in light of these propulsions, the government is spending on major road projects and new airport projects," CBRE General Manager Trent Frankum said.

On the residential side, CBRE Director Victor Asuncion said overseas Filipinos who send remittances to the Philippines remains a reliable market for property developers.

"The primary consideration when working abroad is accommodation, education and food, not necessarily in that order. (In the property market) the number of deployment (of workers) is the direct market," Asuncion said.

About eight million Filipinos are working abroad and sending remittances to some 40 million local residents.

Asuncion noted that overseas workers, particularly those who are highly skilled and highly paid, spend as much as P5 million for a residential property.