Renting or buying

[hk blues]

4 hours ago, fillipino_wannabe said:

Houses do ok and maybe condos in Boracay etc but the 4-5 mil peso condos I looked at in BGC when I moved here 7 years ago now sell for the same price or a little less despite the developer prices nearly doubling in that time, owners of those would of made much more money putting their money in stocks or even gold.

Honestly speaking, I think what you describe is more common than Snowy's scenario.  

[Snowy79]

On 1/24/2024 at 2:15 AM, Possum said:

But you are in Boracay . A unique and desired location. Much different from the rest of the country.

That's why I did my homework. I found somewhere I thought I wanted to live but checked out the housing market first. I realised properties take forever to sell there, don't hold their price and rentals are very cheap. The area was Puerto Galera. 

I then did lots more research and sussed I could buy a condo on Boracay, rent it out and get about 6 times the rent from that than I would pay in rent for the area that I thought I wanted to settle in. 

I lived in Puerto Galera for two years and realised it wasn't the paradise I thought it was, very poor infrastructure, bar girls and ex bar girls blending in with the locals, rip off locals and generally run down. 

After leaving Puerto Galera I continued renting out my apartment daily and took out a monthly rental nearby, this time at about 1/3rd the amount my condo was making. 

In short you don't have to buy to live in it, you can buy to invest and use the profit to rent elsewhere. One of the smartest decisions I've made. 

[softail]

I sold my house in the US and am currently renting in Nuvali Santa Rosa Laguna. I invested the money I received from the sale of my home in the US and the proceeds pay my rent. The way I look at it, I get to keep the money I received and my rent is paid. Feels like a win to me.

[JJReyes]

Whether you purchase a place to live-in or as an investment property, the question to ask yourself is, "What is my exit strategy?"  Should you need cash, the chances of obtaining a bank loan are slim or non-existent.  The mortgage rates are very high.  Selling takes time and buyers are usually looking for distress properties.  Buy for lifestyle reasons only.  Don't think about making money because chances are you won't.  

[Old55]

On 1/26/2024 at 5:25 AM, Snowy79 said:

That's why I did my homework. I found somewhere I thought I wanted to live but checked out the housing market first. I realised properties take forever to sell there, don't hold their price and rentals are very cheap. The area was Puerto Galera. 

I then did lots more research and sussed I could buy a condo on Boracay, rent it out and get about 6 times the rent from that than I would pay in rent for the area that I thought I wanted to settle in. 

I lived in Puerto Galera for two years and realised it wasn't the paradise I thought it was, very poor infrastructure, bar girls and ex bar girls blending in with the locals, rip off locals and generally run down. 

After leaving Puerto Galera I continued renting out my apartment daily and took out a monthly rental nearby, this time at about 1/3rd the amount my condo was making. 

In short you don't have to buy to live in it, you can buy to invest and use the profit to rent elsewhere. One of the smartest decisions I've made. 

This is a wise investment with minor effort and acceptable risk.

We know folks who bought condos in Cebu City and Mactan thinking to live part time and rent but finding them a poor return. Boracay is a special location. 

[hk blues]

2 hours ago, Old55 said:

This is a wise investment with minor effort and acceptable risk.

We know folks who bought condos in Cebu City and Mactan thinking to live part time and rent but finding them a poor return. Boracay is a special location. 

Agreed. Dotted around every country there are specific locations which do not follow the market or even logic. That's why we shouldn't use one individuals situation as indicative of the general.

[Freebie]

On 1/24/2024 at 2:04 PM, fillipino_wannabe said:

Houses do ok and maybe condos in Boracay etc but the 4-5 mil peso condos I looked at in BGC when I moved here 7 years ago now sell for the same price or a little less despite the developer prices nearly doubling in that time, owners of those would of made much more money putting their money in stocks or even gold.

Bought my  140 sq metre BGC condo back in 2011/12 for 11.5 from the developer and sold in 2017 for 22.5m....as stated here several times you pay for what you get.

[JJReyes]

I still recall my uncle buying a huge property at San Lorenzo Village, the first Ayala Land subdivision development, for P6 per square meter.  He used a large portion to build a preschool.  Kept pestering my father to also buy land which by then was offered at P12 per square meter.  My father thought that was an insane amount.  A nephew who in real estate told me he has a client at the moment and the asking price is P400,000 per square meter.  

[Jack Peterson]

 It has always been my thought and many others opinion that people who always talk about big money usually do not have more than a Teacup to pee in  

[stevewool]

14 minutes ago, Jack Peterson said:

 It has always been my thought and many others opinion that people who always talk about big money usually do not have more than a Teacup to pee in  

What about those who plead poverty or are labelled kuripot