Investing in a property in the Philippines is pretty much the same as anywhere else in the world. It can either be risky or rewarding; depending on what type of investment you choose to put your money in. The good news is you don’t have to be an expert at Philippine real estate in order to make a wise investment.
Investing in the right location
A smart investor would always tell you that a good location is the key to low-risk real estate investing. Putting your money in a project that is situated in a slightly remote or non-commutable area, regardless of the overall design and quality of a property is obviously not a good idea unless you’re planning to use it as a retirement or rest house for yourself.
A more practical choice would be to invest on a property located near or within the commercial and business districts. For instance, a 32 square meter Makati apartment or condominium investment is more likely to see better financial returns than a 300 square meter house and lot in Laguna, mainly because a Makati condo is a few minutes away from hundreds of corporate offices and business establishments. This simply means that the demand for a property in Makati is way higher than that of a Laguna property, translating to more opportunities for leasing, and greater potential for rise in property value.
Pre-construction real estate investments
Pre-construction or pre-selling property investments are rather common in Philippine real estate. These investments are usually considered low-risk due to a variety of factors. Properties on the pre-construction stage are relatively cheaper and offer the most flexible payment options. For instance, there are certain property developers that actually allow investors to own a Makati condo without a down payment. Investing on a pre-construction condo project also assures the investor a brand new property upon its turnover, freeing him/her from the hassles of fixing and renovating.
A typical Makati condo usually takes about four to six years before it is completed and turned over to the investor. When investing on pre-construction Philippine real estate projects, it is very important to monitor developments and progress from time to time. If you’re residing in a different country and visiting the construction site is virtually impossible, you can always contact the property developer’s office and ask for a representative’s assistance.
If you’re looking for something safe and affordable, then a low-risk real estate investment in the Philippines is probably the best decision you’ll ever make. The Philippine real estate market is a highly competitive industry, and is extremely profitable. By carefully weighing your options, you’ll come to find that making a smart investment is easy as 1-2-3.
