New Beginnings: Four Incredibly Silly Reasons You Cannot Buy a Home

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“That house you looked at today and wanted to think about until tomorrow may be the same house someone looked at yesterday and will buy today.” –Author Unknown

Buying a home might seem like a fairly straightforward process.

After all, just how hard can it be? All you would need is to have a set of wants and needs for a home and then look for the ideal one that comes as close to your list as possible. While it all sounds easy on paper, the task of finding an ideal home that ticks most of your qualifications and best befits your lifestyle is more difficult than you originally thought. Those considerations in conjunction with real estate being a significant investment would mean that this is an endeavor you should approach with much contemplation and scrutiny insomuch that at times, buying a home can take up to months. In this regard, you would be a hundred percent certain that you will be happy in your choice.

Unfortunately, some homebuyers—most especially first-time homebuyers who are pretty much novices in this entire ordeal—tend to make incredibly foolish decisions in the process. More often than not, a homeowner’s error in buying a home can be attributed to their lack of sense and foresight—all of which easily avoidable are had they done enough research and educated themselves. The good news, however, is that this article has compiled a list of some of the dumbest reasons why people cannot buy a home so that by the time it is your time, you would not be committing the same mistakes. So before jumping the gun and going for that Ametta place for sale, try to review on what you should avoid doing when it comes to home buying in order to be happier to your decision:

1.) Waiting to line up financing

When it comes to buying a home, your first question should be how you should pay for it. After all, real estate property is a significant investment insomuch that reviewing your financing options would be paramount to buying the home that you want. In this regard, your first step in the home-buying process should be the take a look at your financing options and discuss it with a mortgage lender. You would not know how much you can truly afford until you have met a professional who has the necessary expertise to tell you about your options. With this in mind, just because you think you can buy an exorbitantly priced home does not mean your loan for that same home would be approved.

2.) Using a fly-by-night mortgage lender

Much like any industry in the world, the mortgage industry is rife with scams. This means you need to be meticulous in selecting your lenders and ensure that you can trust them. Review their credentials and look for reviews and recommendations as placing your trust in a bad lender can cause a potential deal to fall through. Sometimes, it is not necessarily your fault why your offer was rejected, but rather it is because you decided to partner up with an unreliable or fake lender.

3.) Getting pre-qualified rather than pre-approved

Although they sound about the same, there are distinct differences between getting pre-qualified and pre-approved. Almost anyone can get pre-qualified for alone because all that it involves is a conversation with a lender about the state of your finances sans the exchange of documents. On the other hand, getting pre-approved would entail the gathering of all the essential documents which run the gamut from your tax returns to bank statements, pay stubs and more. All of these would then be submitted for review and only when everything checks out would you have a pre-approval for a certain loan amount that is good anywhere from three to four months (or in some cases, even more). Shrewd sellers would not entertain prospective buyers if they cannot present a letter of pre-approval from a reliable lender which means securing a pre-approval would be pivotal in your home buying venture.

4.) Shopping outside your price range

Having a budget prior to your home search is not only a recommended step to take, but a paramount one as it ensures that you do not fall in love with homes beyond your price range. Unfortunately, having a budget does not guarantee that prospective home buyers would be proof against beautiful homes that are outside their price range. To mitigate this possibility, try to limit your property viewings online or at least refine your searches to only include properties that would fall within your budget. After all, there is nothing quite like the feeling of frustration in seeing a property you can already picture yourself out living in only to find out it is exorbitantly priced.

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Home Buying: Four Reasons Why the Seller Might Have Rejected Your Offer

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“Home is a place you grow up wanting to leave, and grow old wanting to get back to.” –John Ed Pearce

Finding your dream home is no easy feat which is why if you have finally found the house of your dreams, you would jump at the opportunity to finally make it yours.

After all, it only took you quite a lot of viewings and a myriad of offers to get to this point. Unfortunately, just as you already had set your heart out on that one property, you would find that the home seller has rejected your offer. After an intense search for the perfect home that is often fraught with stress and emotion, having your offer rejected can feel like a crushing letdown—especially if you had been banking on securing a purchase. Luckily, most home sellers would extend you the courtesy of explaining and substantiating why your offer was flat out declined. However, there will be times wherein prospective homebuyers would not be so lucky leaving you wondering as to what went wrong and what your offer was lacking.

In any case, there is a myriad of reasons why your offer to purchase a property would be rejected. Knowing what these could potentially be would enable and encourage you to refine your offers and ensure that you can secure the sale next time. Furthermore, it helps you make your future and prospective offers more attractive in such a way that the home sellers would not only be more inclined to sell to you but would be enticed by your offer insomuch that they would start closing the deal. So, had your offer to buy an Avida Towers Centera unit or a property elsewhere been declined without being substantiated by the property owner, one of the reasons listed below could possibly be why:

 

Your offer was way too low

You might be interested to buy however, your interest in a particular property should be reflected in your offer for it. In this regard, your interest buy should be directly proportional to how much you are willing to offer for the property. If you offer too little, a seller can potentially feel insulted and may even think that you are not taking him or her seriously. Unfortunately, when a property seller takes offense, they would often reject your offer outright without even substantiating their refusal to sell to you or explaining to you why your offer was rejected. Furthermore, if the property listing is fairly new, home sellers would overlook poor offers thinking that it would be too early to consider them.

They received a better offer

One thing you should know about sellers is that they are likely to sell their homes to the one who can offer them the highest price with the least amount of inconvenience in their part. Of course, sellers want to make the most money out of their properties. If you think that the property is an ideal home, there is a likely chance that other prospective home buyers think so too. With this in mind, you should consider that the seller might be considering a myriad of offers for their property. In this regard, you need to ensure that your offer stands out and would contain better terms than the rest. Remember, the less effort a home seller would have to expend just to sell their home to you, the more likely they will sell the property to you.

Your offer to purchase contained too many contingencies

You might think that you are offering a home seller a price that they could not resist. Unfortunately, this is not always the case as the best price does not always guarantee that you get to purchase a home. Sure, you might have offered the highest price possible but it also comes with contingencies which the home seller would need to consider. In this regard, a seller might balk at the idea of selling to you considering that your contingencies would spell a number of inconveniences for them. Resultantly, they would be constrained to accept an offer that is slightly lower than yours but is not tied to any demands. In any case, having a seller commit to a myriad of stipulations would often reduce your chances of purchasing the home—regardless of how much you put in.

The seller has unrealistic expectations

More often than not, if a property receives innumerable offers within hours or days of going live, a seller would be under the erroneous belief that they had priced their properties too low. In an effort to get more and higher offers, they would be perfunctorily rejecting offers while waiting for a bloated one as unrealistic as that sounds. Indeed, a seller’s mind can be a fickle thing. If they think that they have offers coming in at an existing price, they would likely think they can get more in the following weeks. It does not matter whether your offer to buy the home is at the full asking price, if the seller believes he or she can get more, they would likely decline your offer.

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Real Estate Investment: Three Excellent Reasons Why Your First Home Should be an Investment Property

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“I will forever believe that buying a home is a great investment. Why? Because you cannot live in a stock certificate. You cannot live in a mutual fund.” –Oprah Winfrey

Owning a home has been considered as a keystone of wealth and stability—so much so that finally purchasing your own place to live and renovate as you place has been universally recognized as a milestone. If you are on the market for your first home and are relatively young, it might be wise and more financially prudent to consider turning your first home into an investment property. While most prospective homeowners do not think of investing in real estate until they have acquired and purchased their second or third home, it is actually more financially sound if you started much sooner. Sure, in light of the recent economic climate of the Philippines, one might be skeptical of the profitability in real estate investments and might be a little hesitant in this endeavor—especially considering that this is the first home you buy.

However, to allay your fears of being unable to defray the cost of your first home, know that renting it out is an excellent option for paying it. By transforming your home into an investment property, you can effectively leverage your subpar credit and turn your responsibility into an investment. It requires a bit of shrewdness, good business acumen and a whole lot of patience. So, whether your first property is a condo unit in Verdana or elsewhere, here are excellent reasons why your first home should be an investment property:

1.) You are young

Independence can be quite the fickle thing. Sure, you feel nothing but euphoria once you have realized that you are now finally on your own and to top all that, you are still young and able. Living on your own set of rules, living wherever you want and buying whatever you want might seem like a tempting way to spend your early twenties, but it is not exactly financially sound. If you have other goals in mind, living the life can get old pretty quick—especially when you are living in a downtrodden apartment unit when you know you could do better (you just cannot afford it as you are frivolously spending your money). Cut costs and save money so that you can build credit as you will need this to qualify for a mortgage loan. When you are much older, you will have more significant obligations that would not allow you to cut costs as often as you can do so now.

2.) You will have another source of income

You might think that your salary is enough, but the extra money is always welcome right? By purchasing property that you intend on renting out, you are effectively creating another source of funds. With time and good marketing strategy, you would then be able to profit from your investments the moment you find tenants. You can then use the cash you earn in defraying other debts and bills or reinvest it in your property. Indeed, renting out your property creates positive cash flow for you, and it would always serve as a contingency whenever you do need extra funds or would lose your job.

3.) Having tenants is not so bad

Most prospective homeowners balk at the idea of turning their properties into investment ones as they are under the misguided notion that having tenants in your property would equate to stress and disarray. This is not always the case—after all, one isolated case of a nightmare tenant should not cause you to lump them all together as bad renters. You might be surprised how awesome living with a tenant can be most especially if you start establishing a friendship with them. In these cases, tenants are more likely to treat their units with better care and would even help with the maintenance and look after it whenever you are not around.

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Home Buying: What Kind of Homebuyer are You?

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“If I were asked to name the benefit of the house, I should say the house shelters daydreaming, the house protects the dreamer, and the house allows one to dream in peace.”-Gaston Bachelard

Just as there are different types of houses, so is there a diverse set of homebuyers one would encounter in their lives—especially when you are in the real estate industry wherein you deal with these sorts of clients every single day. However, determining what kind of home buyer you are, should not be the job of your real estate agent but yours as well. After all, identifying the type of home buyer you are would significantly narrow down your options when it comes to choosing homes and would make the entire process a lot easier, simpler, more streamlined and straightforward. Furthermore, having an awareness of the sort of buyer you are would enable you to find out not only what you need and suits you, but what befits your budget as well.

So, before you zero in on a Makati Condo for sale, try to assess what kind of buyer you are first. In any case, below is a list of descriptions about homebuyers out there. Take a gander at them and see if any of them best describe you before you take that plunge in buying real estate:

1.) Move-in Ready

At a moment’s notice, you can move in. As a consequence, it is only natural for you to wish to move in as soon as possible. You are dead set on an immediate move-in—so much so that you do not really have the luxury of time to wait. In fact, you would much rather look for a home that is already built than wait several months to have it erected and built from the ground. If you find yourself relating to this kind of buyer, check full-furnished properties where all you would really need to do is move-in sans the shopping (or shipping) of furniture. Before deciding to move out, prepare a list of what you must have in your home so that have an idea where you will commence your search.

2.) Fixer-upper lover

You are the type of homeowner who has an ardent proclivity for making dilapidated properties look fresh and new again. In fact, you are never deterred by any renovation, reconstruction, and maintenance work. If anything, they challenge and motivate you to try out some new ideas. If you have a penchant for home improvement projects and find that kind of work ensnaring, then you would most likely fall for a fixer-upper kind of house. If you can relate to these, scour your location for some foreclosed properties that might appeal to you. However, do not forget to create a grand master plan to aid you in creating the final look for your home.

3.) Tiny House Hunter

You love adopting a minimalist lifestyle that you are hardly bothered by houses of diminutive size. In fact, you find them subtly charming and a lot easier to decorate and style. You do not wish to spend so much money on extra space you probably will never need and merely make do with what available space you can. Moreover, you love redecorating now and then and you find it easier to do when you are living in a tiny home. If you are this type of homebuyer, perhaps finding a studio-type condo would be your best choice. After all, you have everything you need just in a single room.

4.) Life-time Buyer

Starter homes are a thing of the past, and you no longer feel like it is something you should be investing in—especially since you are starting to grow out your family. You want a home that would last you—not only for years but until your retirement and when your hair eventually turns grey. If you are this kind of buyer, check for properties that are strategically situated near business districts, entertainment hubs and schools as well to ensure the optimal growth and development of your family.

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Three Things You Wish You Knew Before Getting Your Own Rental Apartment

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“Being able to own yourself is a blessing. When dependent on other beings for survival your chances to breathe slims, own yourself.”-Author Unknown

If you have lived by yourself for a significant amount of time, there are lessons and realizations you will inevitably develop. More often than not, it is these very same insights that would make you a little warier the next time you choose a rental apartment. From predicaments with your bills to unreasonable landlords and neighbors, living in a rental unit by itself is already a host for a myriad of problems that can potentially catch you unaware. However, while there is no certain way for you to be prepared for every possible dilemma that might arise, there are a few things you might wish to know before signing your very first rental or lease contract.

Although the prospect of living by yourself for the very first time—away from family and friends can be incredibly thrilling, this rush of euphoria would not last very long—especially when you become overwhelmed by obligations and responsibilities. As the last vestiges of newfound ecstasy fade, you would soon come to heavy burden that is entailed with living alone. However, this is not to deter you—but rather to prepare you of what life is like when you are on your own. So, whether you are looking forward to being billeted in a swanky address such as Avida Asten or elsewhere, as long as you are going to be living alone here are some things you should keep in mind:

1.) You cannot pick your landlord

Regardless of what anyone says, when it comes to rental units, the most important relationship you develop is the one with your landlord. This means that you can get into a really tight snag if you have a landlord that is quite difficult to deal with. Unfortunately for you, while you might be able to select the apartment you wish to rent, the same cannot be said for the owner who is renting it to you. Should you decide to move in, you will inevitably have to deal with them. Choose wisely and carefully. Know that whatever apartment you choose, the landlord comes with it too.

2.) You cannot pick your neighbors

Much like you cannot pick your landlord, it is virtually impossible for you to be selective with your neighbors either. Regardless of whether you scout the place thoroughly and select an apartment based on the neighbors you are going to be rubbing shoulders with, you can never be meticulous enough with who they are. After all, it is not up to you who rents out the apartment but the landlord. So, if you only have a wall separating you from your neighbor, you will inevitably be subjected to the caprices of your neighbors—and the noise would be the least of your worries.

3.) Pretend you are buying a home

Apartment renters often overlook even the most significant stuff in a rental unit in their jubilation of finally finding one that caters to their need. Unfortunately, this creates a myriad of problems that the renter could have prevented just by asking in the first place. A majority of apartment renters do not even think of asking whether the water heater was replaced in the last 6-8 years if there any mold problems or when the building was re-roofed and the like. Although this queries sound like they are best asked by potential home buyers, it would not hurt to ask these things—especially if you intend on renting for a significant amount of time. If you want a unit that is in good condition, it is best if you asked questions.

 

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Four Common Questions About Philippine Real Estate

 

 

Owning a home is a keystone of wealth… both financial affluence and emotional security. ~Suze Orman

One of the most crucial aspects when it comes to buying real estate in any part of the world is to know your legal rights. This applies true for house and lot buyers Philippines. It makes potential homebuyers more vigilant about their real estate purchases and aware whether the contract they are signing has legal color. Additionally, it would help prospective buyers weed out unscrupulous people such as scammers and unlicensed agents.

However, most Filipinos are lefty unaware of what their rights as a buyer which would render them vulnerable to bad deals and underhanded transactions which is why it would very much benefit them to have a general knowledge of our local laws.

The Philippines has an excellent set of legislation that would protect buyers from bad real estate agreements. Instead of the usual jargon found in real estate law books, this article aims to make it clearer to its readers as regards their legal rights as a homebuyer and a homeowner by elaborating on the most common questions about the Philippine real estate.

1.) Do foreign spouses or family members have the legal capacity to acquire property in the Philippines?

Unless they are renting a place such as in one of the condominium units for rent, the law is explicit when it comes to foreigners owning land and property in the Philippines. It has been stated that only Filipino citizens are allowed to buy real estate property in the Philippines regardless of whether such property is a condo or a home.

The rationale for this law is to keep Philippine lands from transferring ownership to foreigners lest we get overrun by properties owned by foreign nationals. However, foreign nationals can own property through co-ownership with his or her Filipino spouse or if the foreigner owns a corporation or an ownership where sixty percent of it is Filipino owned.

2.) What is a deed of sale and what are my duties as regards this document?

This crucial piece of document is essentially your legal proof of purchase. In essence, it indicates the transfer of property between the seller and buyer and shows that it has legally transpired. As a homebuyer, you should authenticate the document and have it notarized and recorded in the registry of deeds. After which, a homebuyer ould need to pay for transfer tax, registration fees, documentary stamp tax and other fees.

3.) What are my options when dealing with an unlicensed agent?

Before buying any property and dealing with an agent, it is best to check if the agent is registered with the Professional Regulatory Board of Real Estate Service. Unfortunately, there is not much recourse in dealing with an unlicensed agent apart from filing a fraud charge in the same manner as you would when you file a crime report.

4.) What are my rights as a buyer?

When it comes to property sales agreement, the rights of a homebuyer are essentially two things which are:

1.) The right to demand the developer to deliver the title of the unit or property upon full payment; and

2.) The right to be reimbursed with the amount you have paid which would include the amortization payments.

In essence, this would mean that it would be illegal for the developer to forfeit any installment payments in favor of the owner or the developer himself. Both laws are reflected in Presidential Decree No. 957- Subdivision and Condominium Buyers Protective Decree.

Home Buying Alert: The Non-Negotiable Home Features You Must Consider

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If you are a kind of person who dreams of having your own home, then having your own preference when it comes to what kind of house you want to live in is just a normal thing to do. Of course, who doesn’t? Especially when it comes to investing and/or buying a property in a real estate Makati, then you have the right to choose what kind of house you want to stay.

Each homebuyer has their own preferences. There are even some homebuyers who insists in following their own preference when it comes to the features of their home, while others got to enjoy living in their respective home without minding what kind of features their home have.

However, if you are still planning to buy and/or invest in a particular property, it is your duty to know that there are certain things that are no-negotiable. Well, aside from the technical aspects of the home buying process, the features of your home is one of the things you cannot choose – and here are those.

1.  Property type preference

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If you are one of those homebuyers, you only got to choose what kind of property type that you want to live in. Since the properties are already built in, you cannot anymore decide what kind of structure you want to have for your house. Unless if you are going to buy a lot and build your own home, then choosing the style of your home is an easy task to have.

There are actually a lot of property type preferences that you can choose from; it is just up to you to decide. Well, if you really want to consider the property type of the house that you want to live, then there is the need for you to carefully select what kind of real estate property.

2. Neighborhood

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Choosing the right home is also choosing the right neighborhood. We cannot deny that there are certain neighborhoods that we want to avoid. Of course, as much as possible, we don’t want to mingle with people who do nothing but gossip other people’s lives, or living in a neighborhood without being secured over your safety.

If you are really concern when it comes to what kind of neighborhood you are going to live with, it is your duty as a homebuyer to ask the home seller, or your broken on to what kind of environment in that particular place before deciding to purchase that particular property.

3.  Layout space

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Like the property type preference, the layout space on your home is also a non-negotiable one. Before building the property, there was already a floor plan that is intended for that particular property. There are even some properties with furnitures in it. However, even if you feel like you should be in control when choosing the specific aspects of their purchase, you cannot deny that changing the layout space in your home is impossible.

Of course, if you really are particular of the layout spaces, then choosing the right property is the best thing that you can do, for as not to regret investing in a particular property someday.

4.  Location

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Of course this, the location of the place is definitely not a negotiable. Even if you like and love to live in a specific property, it is just impossible for you to transfer that particular house to another place just for you to have it. Of course, if you don’t want the specific location due to some reasons; be it traffic, not accessible, and/or not an environment friendly, then it is you who will find another place to stay.

There are actually a lot of real estate properties that you can choose from without compromising the quality of the location. Well, it is still your duty to choose wisely on what kind of property that you want to live in.