Buy or Rent

[JJReyes]

I am expecting a substantial amount of money in Philippine pesos from a settlement.  This should take place either in 2024 or early 2025 at the latest.  Should I consider buying a home or condo either in Manila or Cebu?  The alternative is to rent.  This would be for the period in my life when my mobility is limited.  

[Kingpin]

7 hours ago, JJReyes said:

Should I consider buying a home

No, because foreigners can't buy homes.

7 hours ago, JJReyes said:

or condo

If you like paying to be stuck in a cramped building.

Save your money, don't invest in a country that doesn't let you become a citizen or buy property in your name. Rent a big house in a big village.

 

 

[Mike J]

7 hours ago, JJReyes said:

I am expecting a substantial amount of money in Philippine pesos from a settlement.  This should take place either in 2024 or early 2025 at the latest.  Should I consider buying a home or condo either in Manila or Cebu?  The alternative is to rent.  This would be for the period in my life when my mobility is limited.  

If the amount is quite substantial and you were considering Cebu, I would look at homes in La Maria Luisa.  Beautiful homes on spacious lots in an exclusive area.  Many are single level which is important when aging.   Prices range from 20+ million to 300+ million.  Rents run from 150K and up.  Renting prior to buying makes sense especially at those prices.  Rent starts about 120K/month.

[Kingpin]

1 minute ago, Mike J said:

Prices range from 20+ million to 300+ million

More like 30+ million, anything less won't even get you a vacant lot.

[Mike J]

3 minutes ago, Kingpin said:

More like 30+ million, anything less won't even get you a vacant lot.

Hmmm 

[JJReyes]

1 hour ago, Kingpin said:

8 hours ago, JJReyes said:

Should I consider buying a home

No, because foreigners can't buy homes.

As a former Filipino, I am permitted to purchase urban or agricultural land with limitation as to size.  

[JJReyes]

32 minutes ago, Mike J said:

If the amount is quite substantial and you were considering Cebu, I would look at homes in La Maria Luisa.  Beautiful homes on spacious lots in an exclusive area.  Many are single level which is important when aging.   Prices range from 20+ million to 300+ million.  Rents run from 150K and up.  Renting prior to buying makes sense especially at those prices.  Rent starts about 120K/month.

Thanks for the information about La Maria Luisa.  We are planning a return visit to the Philippines this Christmas and might drive around the area while in Cebu.  The house could be small because it will be just for my wife and I, and possibly a couple of live-in caregivers.

Edited August 6, 2023 by JJReyes

[Old55]

JJ and your wife would know best how you feel about investing (risking?) a large amount on a property. You have stated you both plan on living out your remaining years in Philippines so buying a house with geriatric modifications and room for a helpers would be nice.

Many members here own a house. Renting has the advantage of being able to exit quickly without financial loss but not the stability or peace of mind owning may provide. 

[JJReyes]

40 minutes ago, Old55 said:

JJ and your wife would know best how you feel about investing (risking?) a large amount on a property. You have stated you both plan on living out your remaining years in Philippines so buying a house with geriatric modifications and room for a helpers would be nice.

Many members here own a house. Renting has the advantage of being able to exit quickly without financial loss but not the stability or peace of mind owning may provide. 

Thanks.  The reason for possible purchase is modifications as they might become necessary to accommodate disabilities.  The example is wheelchair access including any garden area.  This acquisition would be for lifestyle, not as an investment.  Renting is still an option provided the landlord permits me to make modifications and the property suitable for the elderly.

[Sea Turtle]

having no knowledge of your resources.   buying/owning is financially safer as the property tax year to year is not so much.  while at the same time if the values increase the rent can increase.  assuming you likely know all the financial stuff,  owning can be safer.   

thinking about who you plan to leave your wealth to and how to do that efficiently.  inheritance tax or capital gains tax is heavy.  if you have Filipino relatives your property may not go to who you want it to unless you plan ahead of time.

If you have enough money,  rent or own will get you almost anything you want.