7 Key Tips for First Time Home Buyers in Metro Manila
By Jake Bautista, PRC Licensed Real Estate Broker
1. Know Why You’re Buying a Home
Be crystal clear on why you want to buy a home. This is a significant financial investment that will affect you for years to come. It can be for building a family, to increase your quality of life by living 10 minutes away from work, or as a rental property for future cashflow.
2. Determine Your Monthly Disposable Income
Look at how much you can realistically set aside every month for years to pay for a mortgage. This will also help you assess the price you can afford and the loan you can take out.
3. You Gotta Have Savings
There are many expenses that come with purchasing a home. If it’s a ready-for-occupancy property, a downpayment of around 20-30% is standard for condominium units. There are closing costs for transferring the property to your name and other miscellaneous costs. You want to make sure you have a contingency fund for furniture, or construction if you’re buying house and want to make modifications. It’s always good to have a fund for home maintenance and any other unforeseen costs that may arise. That’s life.
4. Make Sure You Have Good Credit
If possible, it would be a good idea to already approach your bank officer and apply for a housing loan even if you haven’t chosen any property. This will show your credit-worthiness and how much you can potentially loan based on your current assets, income and credit history.
5. Determine Your Area
Decide which specific area in Metro Manila you would like to live in. North, South, East West? There are a million factors that can affect this. Proximity to family, work, commuting time, quality of the community, prices in the area and available real estate in the area must all be taken into consideration.
6. Determine What Type of Property You Need
What do you need? A house, a townhouse, a condominium unit or a lot? If you took into account all the previous tips, this will help you determine what you need. For example, if you want a property that you want to rent out to employees in Bonifacio Global City, it would most probably be a condominium unit. You also have to take into account your credit and budget in selecting this.
7. Consult a Real Estate Professional
This is a significant life decision that you don’t make every day, every week or every year. This requires a professional opinion. A licensed real estate broker who can offer you options on getting a home loan, and can save you a lot of time and money by avoiding crucial mistakes by first time home buyers. Getting complete information from a professional to make the best decision is a reasonable course of action for a move of this magnitude.
Be fully informed.
Contact us today if you want to explore what options are available for your 1st home or investment.
No pressure. No commitments.
Just complete and clear information so you can do what’s best for you and your family/future family.
Looking forward to connecting with you.
PRC Licensed Real Estate Broker
“Drive” by Nicolai Heidlas
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