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Guide in Buying House and Lot in the Philippines :

Guide in Buying House and Lot in the Philippines

GUIDE IN BUYING HOUSE AND LOT IN THE PHILIPPINES:

INVESTMENT GUIDE IN BUYING HOUSE AND LOT IN THE PHILIPPINES

I created a guide in buying house and lot in the Philippines. I based this guide on my own personal experience, so to those who are planning to acquire or invest in a house and lot but do not know how or where to start this page will help you.

If you can afford to buy a house and lot, do it now most especially if you’re renting. If you can’t pay the property in CASH, your other option is to apply for a “Housing Loan.” Most developers offer rent to own house and lot everywhere!

YOUR GUIDE IN BUYING HOUSE AND LOT IN THE PHILIPPINES:

1. IDENTIFY YOUR DESIRED HOUSE TYPE
• Single-Detached
• Single-Attached
• Duplex
• Townhouse
• RowHouse

* Lot Area – refers to the size of the lot.
*Floor Area – refers to the size of the house (first floor + second floor and so forth)
* The bigger the lot you acquire the higher the price.

2. IDENTIFY YOUR PREFERRED LOCATION/PROJECT
• Consider your work place.
• Accessibility to different transportation.
• Accessibility to all basic establishments (hospitals, schools, markets, malls, banks, etc.)?
• Safety/Security
• Village Amenities/Facilities
• Know the Developers’ Reputation
Do your home work! Scout/Research about the place or the property and its developer, find the most trusted developer for you’re investing your hard earned money on it! Choose your agent well!

3. IDENTIFY YOUR BUDGET OR INCOME CAPACITY
• Know your monthly income or resources. Studying your monthly expenses and savings can help you identify your budget. Do not force yourself to buy a huge house if you cannot pay it in the long run.
• Choose the right financing scheme. [PAGIBIG], [Bank], [In-house].

[In house financing] – is the easiest financing scheme among the 3 when it comes to application requirements. However, it has the highest interest rate of about 15% up. The Maximum term to pay your loan via In-house financing is up to 10 to 15 years only.

[Bank Financing]– offers longer terms (maximum of 20 to 25 years to pay) with a much lower interest rate. Some banks offer as low as 5.5% fixed interest rate per annum. Always remember that banks only grant 70% – 80% of the appraised value of the property and you cannot loan more than the actual cost of the property.

[PAGIBIG Financing] – it’s a government financing scheme with most extended payment terms (max 30 years), and with least interest rate for loans below Php 500,000. As the loan amount goes up, interest rate increases, so it is wise to check with PAGIBIG for the exact interest rate because sometimes banks provide lower Interest rates than them. Also, not all developers are PAGIBIG accredited, so if you insist on applying for PAGIBIG home loan, an individual application is still possible as long as you are a PAGIBIG member of at least 2 years.

Please note that this 2018 PAGIBIG is offering more competitive interest rates to its members.

[ TO KNOW MORE ABOUT PAG IBIG HOUSING LOAN CLICK HERE ]
[ FOR BEST BANKS TO APPLY FOR HOUSING LOAN CLICK HERE ]
[ TO KNOW MORE ABOUT IN HOUSE FINANCING CLICK HERE ]

4. RESERVED A UNIT BY PAYING ITS RESERVATION FEE

5. PREPARE/SUBMIT THE NECESSARY REQUIREMENTS (such as ID, pay slip, marriage cert, tin# etc. Your agent will give you the list of exact requirements)

NECESSARY REQUIREMENTS6. PAY THE REQUIRED EQUITY (DOWN PAYMENT) & APPLY FOR A HOUSING LOAN
[PAGIBIG Financing], [Bank Financing] or [In-house])
For rent to own house and lot, the buyer can pay the down payment which is the whole 20% of the total contract price within 8 to 24 months depending on the developer’s policy or terms at 0% interest rate.
You are required to provide post-dated checks for the down payment.

After paying the down-payment (the whole 20%), the developer starts the construction of your chosen house model. Construction takes about 6 to 8 months and during this period you should be at least processing your loan applications. Aside from submitting all the necessary requirements/documents always remember that the house should be at least 80% complete in order for banks to appraise and approve your loan.

*For townhouse, the whole block should be paid or sold before the developer starts its construction.




6. MOVING IN
You may inspect the house after the construction; if you are happy with it, the developer will ask you to sign a house acceptance papers.

You can move into your new home after the approval of your home loan. Some developers have special services wherein clients can apply for MERALCO and water connections tru their Admin Office while temporarily allowing their clients to connect with the village’s sub-meter during processing time.

The Original Copy of the Title stays with the bank and will be given to you (under your name) after paying your debt.

Guide in buying house and lot in the Philippines:: Investment Guide

Protect your money or your investments. Good Luck!
Check this link:(Guide in buying house and lot in the Philippines): Investment Guide
http://renttoownhouseandlot.com/
GUIDE IN BUYING HOUSE AND LOT IN THE PHILIPPINES
 
 
 
 
 

GUIDE IN BUYING HOUSE AND LOT IN THE PHILIPPINES::
GUIDE IN BUYING HOUSE AND LOT IN THE PHILIPPINES::
Guide in Buying House and Lot in the Philippines : was last modified: April 2nd, 2019 by Joyful Mommy

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* A proud mommy * Full time mom * part time web project manager * fond reader of web forums especially about parenting * loves to share useful information * loves her daughter and husband * happy individual * God Bless everyone!

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2 Responses

  1. Joyful Mommy says

    just a small note, before paying your equity(usually developers ask for post dated checks) ALL CHECKS SHOULD BE PAYABLE TO THE COMPANY (DEVELOPER) NOT TO THE NAME OF THE AGENT OR ANY PERSON! AND ALWAYS ASK FOR AN OFFICIAL RECEIPT.

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