Steve Jobs is often quoted as saying: “If you define the problem correctly, you almost have the solution.” While chasing down the authenticity of that quote, I stumbled into an interesting rabbit hole. It turns out that American inventor Charles Kettering once said something strikingly similar:
“A problem well stated is a problem half-solved.”
Whether the words came from Jobs or Kettering, the truth stands: clarity of the problem is already half the battle won. In Philippine real estate, this mindset is vital.
The Bigger Picture: Oversupply Meets Backlog
If you only skim news headlines, the real estate market seems contradictory. One story warns of condo oversupply, while another highlights the massive housing backlog. Which is it? The answer: both—and that’s precisely the problem.
Developers are building units, but many of them don’t match what most Filipinos actually need or can afford. This leaves us with empty or underutilized units on one side, and millions of families still waiting for housing on the other. It’s not a numbers problem. It’s a mismatch problem.
Asking the 5 Whys
To get past the headlines, let’s borrow a method from lean problem-solving: the Five Whys.
- Why is there an oversupply of condos? Developers gravitate toward high-margin projects that are easier to finance and sell to investors.
- Why aren’t these units absorbed? Many are priced beyond what most Filipinos can afford, or located far from where they work and live.
- Why does the housing backlog persist? Affordable housing development is constrained by land costs, regulations, and limited incentives.
- Why don’t policies close this gap? Market data is fragmented, and incentives often favor mid-to-high-end projects instead.
- Why isn’t this mismatch part of the public conversation? Because it’s easier to report “supply glut” or “housing shortage” than to explain a complex mismatch between what’s built and what’s needed.
By the fifth Why, the core problem is clear: we’re not building the right kind of housing for the right people in the right places.
Visualizing the Problem: The Fishbone Diagram
After asking the Five Whys, let’s map the causes of this mismatch using an Ishikawa (Fishbone) diagram. This approach helps us break down the root causes into clear categories.
It shows the “Mismatch: Oversupply of Condos + Housing Backlog” as the main problem, with causes branching out under Developers, Affordability, Policy & Regulation, Demand Side, and Market Data.
How to read this diagram:
- The “head” of the fish is the problem: Mismatch of oversupply (condos) + backlog (affordable housing).
- Each “bone” represents a major cause: Developers, Affordability, Policy & Regulation, Demand Side, Market Data.
- Smaller branches list the specific contributing factors.
This visual shows the problem isn’t isolated—it’s systemic. Developers follow profits, policies incentivize higher-end builds, demand at lower income levels isn’t met, and data often oversimplifies the picture.
From Defined Problem to Real Solutions
Once you state the problem clearly, possible solutions become visible:
- Better data to guide developers and policymakers.
- Incentives for projects aligned with unmet demand.
- Regulatory reforms to lower costs for affordable housing.
- Innovative financing models to make projects sustainable.
- Brokerage and proptech innovation—where I come in—to connect the dots between what’s being built and what people actually need.
Sneak Peek: Connecting the Dots with Innovation
This is where technology and data analytics can play a transformative role. Imagine dashboards that visualize where oversupply and backlog overlap on a map, affordability calculators that show what buyers can realistically afford based on income data, or AI-driven insights that match developer pipelines with actual housing demand by segment and location. By connecting these dots, we don’t just react to the market—we proactively design solutions that bring balance between supply and demand. This is the kind of proptech innovation I believe will redefine how we make decisions in real estate.
Why Problem Definition Matters
Jobs and Kettering remind us of the same truth: how you define the problem shapes the solutions you’ll find. In Philippine real estate, the core problem isn’t just “too many condos” or “not enough houses.” It’s misalignment.
As a real estate broker, appraiser, and proptech entrepreneur, I believe my role is to cut through the noise. Realty can be made easy—not by dumbing things down, but by helping people see the bigger picture and make informed decisions.
Because once we define the problem well, we don’t just solve it halfway—we start building real, livable, and inclusive communities.
