House Hunting in the Philippines? Here are 6 Things to Consider

House Hunting in the Philippines?

Here are 6 Things to Consider

Everyone wants to own a house they can eventually call home. But buying one is not as easy as it seems. In fact, you might want to think through certain factors before you come up with a decision. Because we care, we’ve done the research for you!

1. Location, Location, Location

What are you looking for? Accessible beaches, luscious greenery, warm locals… these are just a few of the countless things that the country has to offer. But because these perks are available at almost any location, you might want to pick a location that eases your daily commute.

Here’s more — take the time to visit the neighborhood. Reading reviews from other people might give you an idea, but nothing beats your first-hand experience. Who knows? You might even find yourself a hidden gem in the city!

 

2. Value for money

Condos might seem like the best option at a glance. It’s easy, accessible, and ready for use. But before you dive into making an investment, be sure you know all there is to know about it.

You see, when you purchase a condo unit, you will only be entitled to the unit itself. But, you don’t own the land that it stands on. Study more about the Philippine Condominium Act, to discover the pitfalls yourself.

 

3. Privacy and safety

If you’re someone who prefers privacy, consider getting a house with lesser shared walls, ceilings, and floors. The lesser these are, the more peace and quiet for yourself and everyone else in your home. You’re also safer from a fire outbreak or pest infestation.

 

4. Budget

Always consider cost per square meter when calculating the value of your potential investment. When possible, visit the location to see for yourself and ask if you are willing to spend that much for the space.

Also, there’s more than what the price tag has to offer, and yes, you guessed it. It’s the tax. Make sure you have a little more saved than the list price.

Here’s what you need to take note of:

  • Capital Gains Tax – This counts for 6% of the fair market value or residence’s sales price.
  • Documentary Stamp Tax – This counts for the 1.5% of the fair market value or sales price; depending on which is higher.
  • Transfer Tax – This counts for the 0.5% up to 0.75% of the fair market value or sales price; depending on which is higher.
  • The Registration Fee – This counts for the 0.25% of the fair market value or sales price but may vary depending on the published registration fee table.

 

5. Condition

Brand new or pre-owned? Take caution when buying pre-owned properties. Aside from the property, you are also inheriting all the risks and issues that come with it. While they may appear cheaper at first glance, you may end up spending more on repairs and remodeling. If you want less hassle, go with a brand new house.

 

6. Know the property developer

Get the deals you need directly from the source. Property developers won’t just help you deal with the purchase, but can also give you the information that you need in a direct and timely manner. You’ll get less sugar-coating and over-promising — just the facts you need to make a decision. Most reputable property developers have their own website and social media pages. Check them out for yourself to get data straight from the source!

If you have any questions about this topic, feel free to look through our website or give us a call. If you’re still thinking about it, be a Good Samaritan and share this with family and friends if you’ve found it helpful!

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