Not everyone wishes to have a dream house. Nowadays especially, it seems more and more common for people to dream of buying a condo.
Condominium units have their appeal. While your heart might be set on buying your condo soon, there are several factors you should think about before diving head-first into the market.
Whether you want to own a condominium in Manila, Makati, or elsewhere in the Philippines, here’s everything you need to consider when buying a condo:
Table of Contents
Total Cost and Budget
The most important factor people should be aware of when it comes to buying a condo is how much the total cost will be. Unlike products at a grocery store whose sticker price is what you need to pay, condominium units and houses carry additional fees outside of their list price. These would include:
– association dues
– legal fees
– property taxes
– monthly utility fees
– mortgage
– realty tax
– parking fees
– move-in fees
If you think you can handle the price of the condo plus the aforementioned expenses, you’ll then have to determine how you’d like to pay for the unit. You could pay for your condo in full or apply for a home loan through your bank, the Pag-IBIG housing fund, in-house financing, or some other source.
To avoid any financial issues in the future when buying a condo through monthly amortization, be sure to consult a realty professional or mortgage advisor first.
Whatever you decide on, make sure that your budget (on hand or to be earned) will be more than enough for the condo you wish to buy.
Types of Condo Units
There are three main types of condo units: studios, bedroom units, and penthouses.
Before buying a condo, ask yourself if you plan on living in such a residence for a long time, and if so, with whom? Will you be living there alone, or will you be bringing along your family? Would you be content in a home with the kitchen just steps away from your bed? Would you like to have your own personal bathroom and a guest bathroom as well? Lastly, what fits your budget?
Once you’ve thought about your dream condo unit, schedule viewings with your real estate agent. Take your time walking through and around your potential future home, and ask yourself if you can see yourself living there for a long time.
Buying a condo is a big investment, so don’t rush into a purchase you aren’t certain about.
Factors to Consider When Buying a Condo
Aside from the type of condo you’d like to live in, here are a few of the most crucial factors to consider before buying a condo.
Amenities
Different condominiums offer different lifestyles. Real estate companies have various target markets for each project. One condo might offer a swimming pool with an artificial beach perfect for tropical living, while another might have a high-tech gym fit for active professionals.
After taking a tour of each condo unit on your list, don’t forget to check out the condominium’s amenities such as sports facilities, mini-libraries, parks, and event spaces, among others.
Security
One of the reasons people often move from a house to a condo is the security that a condominium building guarantees. While villages and subdivisions have gates and guards, their streets are unlikely to have the 24-hour CCTV surveillance that condominium buildings provide in their lobbies, hallways, and even parking spaces.
Condos typically come with intercoms that allow owners and tenants to contact security in case of any sort of emergency. Smoke alarms also ensure that the whole place is protected from fire.
Location
This is the number one factor you can’t change once you have moved in after buying a condo. You could always redecorate the interiors or petition for new and improved amenities, but there’s nothing you can do about where your condo is.
Again, think about your dream home and lifestyle. Would you like to live in a condo near your workplace, perhaps in your city’s central business district? Or is your main concern for your condo to be near a hospital or your kids’ school?
Acquire a map of the area and take note of important establishments such as schools, shopping centers, fire stations, police stations, and churches. A location that has developed or has potential for development can only rise in market value too!
Developer
The developer of your would-be condo unit is just as important as the location. Look into their track record and reputation. Are they known for projects that can stand the test of time? Doing a bit of background research about your developer will help you avoid issues in the long run.
If you find out a developer has a bit of a shady past with projects that have stopped construction because of bankruptcy or condo owners with nothing but complaints about their homes, run the other way! Have peace of mind by choosing a developer you can trust.
Your long-term goals
None of the aforementioned factors would matter without considering your long-term goals. For most people, a condo isn’t just chump change. It’s an investment, a home, and a future.
Create a 5- or 10-year plan, then determine how your future condo would fit into that.
Becoming a Condo Owner
Buying a condo, however big or small, is not to be taken lightly. It’s a milestone for sure, and a significant financial decision and responsibility.
Before taking the plunge, read through the Philippines’ Republic Act No. 4726, also known as the Condominium Act, to find out the legalities of owning a condominium unit and even how you can sell it if you choose to move. Here’s a quick rundown you can consult on the rights and obligations of condo unit owners in the Philippines. When you’re ready to find your dream unit, head on over to our main page and browse through our available listings!