They Know Everything

[JJReyes]

2 hours ago, hk blues said:

Alternatively, buy from a developer and avoid all the nonsense that can be associated with a private sale.  However, you may have to compromise on certain things including lot size and house design but it depends on the individual how important these are.  It worked for me here and when I was in the UK the last 4 houses I bought were off plan.  

Developers won't agree to discounting the price because it causes problems with previous and future buyers.  What you can negotiate in a soft market are extras like upgrades in kitchen appliances or a larger water heater.  If questioned by other buyers, they can say the agent paid for it by discounting their commission.

[Possum]

20 hours ago, Mike J said:

Yep.  A house near us was listed for sale for a few years for 11 million peso.  The seller would tell me it was worth the price.  Several times he told me he had a sale in progress.  It finally sold about a year ago for six million.

There are a lot of delusional people when it comes to house prices here. They see the ads on FB or some Ph real estate website and think that is reality. In most cases it is fantasy. They think that if they see an ad for a house for sale for 15-30 million that is normal. But if one looks at the price per sq meter it is ridiculous absolutely not normal. Anyone can check the real estate listings and find houses for sale for 19,000 to  25,000 per sq/mtr. That is insane. Those types of prices may be realistic in Hong Kong or Manhattan but the Philippine?

[BLM]

6 hours ago, Possum said:

There are a lot of delusional people when it comes to house prices here. They see the ads on FB or some Ph real estate website and think that is reality. In most cases it is fantasy. They think that if they see an ad for a house for sale for 15-30 million that is normal. But if one looks at the price per sq meter it is ridiculous absolutely not normal. Anyone can check the real estate listings and find houses for sale for 19,000 to  25,000 per sq/mtr. That is insane. Those types of prices may be realistic in Hong Kong or Manhattan but the Philippine?

They are hoping to catch a big fish. With many foreigners it's possible because they don't know it should be much cheaper. In 2014 I looked at places on the Subic Freeport Zone and couldn't believe how much they were asking to rent or buy and they were getting it! My old barracks room from 1985 up at Cubi was going for 2 grand a month and it was just a kitchenette at best. The old military housing duplexes were also priced twice what they should have been. I don't know how much now, but they are mostly full. As long as they find buyers the prices will be high.

[Sea Turtle]

15 hours ago, hk blues said:

Alternatively, buy from a developer and avoid all the nonsense that can be associated with a private sale.  However, you may have to compromise on certain things including lot size and house design but it depends on the individual how important these are.  It worked for me here and when I was in the UK the last 4 houses I bought were off plan.  

Yes,  have done the same also in some times.   I see others doing it both ways.  Part of it depends on time to invest into the process.  I could argue both sides of that,  for buying resale or building new with architect or getting from a developer.  

[OnMyWay]

On 8/14/2023 at 9:26 PM, JJReyes said:

Developers won't agree to discounting the price because it causes problems with previous and future buyers.  What you can negotiate in a soft market are extras like upgrades in kitchen appliances or a larger water heater.  If questioned by other buyers, they can say the agent paid for it by discounting their commission.

That sounds like the U.S., not the Philippines.  No rhyme or reason in the Philippines.

[Possum]

1 hour ago, OnMyWay said:

That sounds like the U.S., not the Philippines.  No rhyme or reason in the Philippines.

The Philippines depends on the "Greater Fool Theory" of real estate pricing. Go into condos or developments and you'll find many, many sold but not occupied dwellings, mostly bought by OFWs, clueless foreigners and some people hiding money, particularly  Chinese who need to get their money out while they can. It is simple to look at the cost of land not owned by a developer, your cost to build on that land. and compare it to some of the ridiculous prices asked.

[JJReyes]

1 hour ago, OnMyWay said:

That sounds like the U.S., not the Philippines.  No rhyme or reason in the Philippines.

Three nephews and one niece are involved in Philippine real estate.  At the very least, they ask the developer for one or two more reliable appliance for their clients.  The bargain basement mentally means they purchase the cheapest which break down after a few years.  Even the Japanese brands manufactured in China for export to the United States are better than those sold to Asian neighbors.  The reason is government requirements.  I recall there was a time when Japanese cars sold in America were 400 pounds heavier because the chassis had to be completely sealed, but not in the Japan sales models.  For me, no deal unless the developer throws in a large microwave and a larger capacity water heater.  

[usa32]

Most the places I saw in the Philippines I would never buy at asking prices. I met one guy at ayalya in cebu. he bought a 1 or 2 bedroom condo at Quest Residences.  For 20 million pesos. It came with a parking spot, and supposedly was nice. But I've stayed at Quest and the hotel side was starting to be ran down. Its not bad for a hotel in cebu. But to pay 20 million pesos for a condo there, or 350 thousand USD. I don't think so. Now you are attached to an aging building, that will never be kept up in a third world country. All for the cost that would get you a nice bigger house in a first world country. 

[hk blues]

On 8/15/2023 at 10:16 AM, Sea Turtle said:

Yes,  have done the same also in some times.   I see others doing it both ways.  Part of it depends on time to invest into the process.  I could argue both sides of that,  for buying resale or building new with architect or getting from a developer.  

Agreed.  But, not only having the time to invest in the process but having the knowledge to have valid input into the process as well.  This is particularly true here in the Philippines where a little knowledge can be dangerous.  

[hk blues]

9 hours ago, usa32 said:

Most the places I saw in the Philippines I would never buy at asking prices. I met one guy at ayalya in cebu. he bought a 1 or 2 bedroom condo at Quest Residences.  For 20 million pesos. It came with a parking spot, and supposedly was nice. But I've stayed at Quest and the hotel side was starting to be ran down. Its not bad for a hotel in cebu. But to pay 20 million pesos for a condo there, or 350 thousand USD. I don't think so. Now you are attached to an aging building, that will never be kept up in a third world country. All for the cost that would get you a nice bigger house in a first world country. 

For supposedly high-end condo developments I'd say you're on point.  However, you can still pick up an acceptable quality and sized 4 bed family home around us for $100,000 +/-.  On a like-for-like basis in the UK you'd pay at least 2.5 times that.  I say like-for-like but in reality you won't find such a thing due to the finish levels etc etc but such things can be fixed here with some investment.