3 Things to Consider When Buying a Condo

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Over the past five years, there has been a superfluity of condominium projects and towers in almost every major city in the Philippines. In virtually every nook and cranny in this city, you will find condos such as a condominium in Alabang or any condominiums about to rise. And this is perhaps because the demand for them over the past few years have been at an all-time high. This is because owning a condominium unit does not require as much maintenance as residential homes on land. Apart from that, condo units encourage a fast paced lifestyle which most people–especially millennials are accustomed to now.

On top of this, there has been a huge influx of foreign nationals in the country and considering that foreign land ownership is as stiffer as ever, owning a condominium unit seems like a feasible option for them. And it seems like it is not only foreign nationals who are jumping on the trend as many Overseas Filipino Workers (OFWs) find themselves in investing in units which they or their families can use either for future investment to liquidate or as a complementary home away from their own homes.

Currently, condominium unit prices have become more and more affordable while residential homes built on land are steadily increasing making condominium unit ownership more plausible than owning a residential home. With unit prices becoming relatively more affordable, buying a condo unit is no longer a luxury reserved for the affluent and moneyed population. However, before you go impulsively purchasing a condo unit, there are a few things to consider.

1.) Scout different properties in different locations and compare prices before buying a condominium unit

Price is a crucial factor when it comes to finally deciding in whether to invest or not in a particular condo unit and so is the location. Both are essential elements, and while location will determine the kind of lifestyle you will be having for the years ahead, the price is determinative of whether you can actually afford it—not only the unit itself but the sort of lifestyle that surrounds it. Since the proliferation of condominiums, you can find projects in almost every district in your city but, one thing that is impacts price is the proximity of these properties to business districts. Generally, those near business establishments would be pricier than those far-flung properties. Consider your options first, and if you would be willing to compromise the convenience for affordability.

2.) Consider long term and short term goals

One thing potential condominium buyers must take into account is that though it is a premium investment and is a great alternative for residential housing, there is no guarantee that the same property can be conferred to your children or grandchildren fifty or so years into the future. Remember there is such a thing as the Condominium Act (For clarity and further elucidation, see Section 8 of RA 4726). So, before making a purchase think ahead and ask yourself some questions that may possibly reshape how your lifestyle will be in the future. Are you planning to move in five years’ time? Is there a foreseeable career change? Are you looking to start a family? These questions will aid you in deciding whether or not you should buy a condo and which type you should buy.

3.) Learn to dissect your contract and gather all the information you need before signing it.

Signing a contract requires you to be meticulous if you do not want to be entangled in a legal matter. To prevent this from happening, consider the help of a broker (as a worthy alternative to an attorney) to guide you in the financial aspect of buying a condo unit. This gives you full confidence and assurance that you are not blindsided when a bill comes for additional services you were not even aware of before buying the unit. Remember, a contract is not binding when it is not yet signed, so consider glossing over the details with the building owner if there are some changes or compromises you want to make. In fact, pay particular attention to the particulars of a contract and if there is something that seems incomprehensible to you, ask your broker or attorney for the details. This will save you from regret and complications.

Buying a condominium in the Philippines is not exactly difficult especially since you are now offered a multitude of choices with corresponding policies at various price ranges with flexible payment plans. But if you want to invest your money wisely, it would be best if you consider the three things mentioned above so that once you have finally inked that contract, you will be assured that it is truly your money’s worth.

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