Buying a condo? Here's what OFWs need to consider

ABS-CBN News

Posted at Mar 06 2018 09:14 AM | Updated as of Mar 06 2018 03:23 PM

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MANILA - Buying property is one of the goals of Filipinos who toil overseas for years and the construction boom brings with it a wealth of choices, mostly condominiums.

Property can be both an actual investment that makes money or an emotional investment that represents the fulfillment of the OFW's goals for his or her family.

Spectrum Investment president Carl Dy, a property adviser, shared with ANC's On the Money some points to consider for OFWs when buying a condominium.

WHAT IS THE PROPERTY FOR?

It is important to know whether the condominium will serve as the home for the OFW's family, or will be rented out to augment his or her income, Dy said.

Regardless of use, the buyer should consider the proximity of the property to school, work and commercial areas, he said.

"Each property will have different characteristics ideal for you," Dy said.

WHO IS YOUR FUTURE TENANT?

If the property will be rented or leased out, consider the market. Demand may come from expatriates or business process outsourcing workers.

Expats are generally more stable, choosing longer term contracts while BPO workers, though not earning as much, can provide scale.

"If you’re aiming for the rental market, the reason for renting is that they’re house is far and they don’t want to travel. So you want to be close to the business district," Dy said.

WHO IS YOUR PROPERTY DEVELOPER?

Property investors should consider track record when choosing developers, Dy said.

Dy also recommends paying as much as 50 percent down payment to ensure the investors commitment to his or her purchase. 

"The safest way is to go to the biggest developers, they don’t just build the tower, they influence the whole community," he said.

Buying land, even in the provinces, is always a good investment because its value has the potential to increase, he said.