How to Choose: PRE-SELLING vs FORECLOSED vs SECONDARY PROPERTIES
When one wants to invest in a Philippine Property, (or any property for that matter), the careful buyer will always find three types of properties to choose from by canvassing around: Pre-selling, Foreclosed, and Secondary Properties.
Given a budget to work with, whether it’s a million-peso figure and/or a monthly budget based on your income, how will you know which of the three suits you best?
Aside from the location of the property itself which of course is crucial to you depending on where you live and work, allow me to give you this chart below so you will know what to expect on each of the three: (All Caps means an ADVANTAGE)
When one wants to invest in a Philippine Property, (or any property for that matter), the careful buyer will always find three types of properties to choose from by canvassing around: Pre-selling, Foreclosed, and Secondary Properties.
Given a budget to work with, whether it’s a million-peso figure and/or a monthly budget based on your income, how will you know which of the three suits you best?
Aside from the location of the property itself which of course is crucial to you depending on where you live and work, allow me to give you this chart below so you will know what to expect on each of the three: (All Caps means an ADVANTAGE)
Quality Availability of Use Price per Sqm Payment Terms Best Traits Worst Traits |
Pre-Selling
BRAND NEW 1 to 5 years, depending on type of property and developer reputation Lower than Units Ready for Use BEST – Very flexible depending on buyer’s capabilities = Either High down and Low Monthly, or Low Down High Monthly (sometimes even NO DOWN) BRAND NEW, BEST TERMS Have to Wait before using it |
Foreclosed
Usually Plenty of repairs to be done After Repairs (unless it needs none which is very very rare) LOWEST and CHEAPEST Good = Usually 10 – 20 % down and the rest of the balance in bank loan for Monthly’s = Low Down, High Monthly’s CHEAPEST, can do RENT-TO-OWN Tons of Repairs, time needed |
Secondary
May have minimal or many repairs MOST READY due to minimal repairs Brand New = Expensive. Older = Cheaper Mostly Cash or Bank Loan of 50 to 70%, which means Down of 30 – 50% = High Down, Lower Monthly’s READINESS for USE Sometimes Expensive, rigidness of Payment Terms |