- Location is key when investing in real estate, so make sure to consider it when selecting a property.
- Determine the type of property that would best fit your investment goals and budget.
- Plan out the cost and maintenance considerations carefully.
- Financial instruments such as mortgages, personal loans, and hard money loans can be used to help purchase a property.
As a young adult in the Philippines, you may be thinking of investing in real estate. Whether it’s to start building your savings or just to get started on your investment journey, real estate is an excellent option. But with so many different properties available, how do you pick the best one for you? Here are some ideal properties for young investors in the Philippines.
Location is Key
When choosing a property to invest in, location is vital. There are a few considerations to make here, and below are some key ones.
Amenities
A property with easy access to amenities such as public transportation, shopping centers, and hospitals should be on your list. Not only is it convenient, but it can also provide potential tenants with an excellent quality of life.
For instance, a single-family home in Makati City, the business center of Metro Manila, will be attractive to tenants who need easy access to their places of work. This provides an opportunity for young investors to reap the rewards of rental income.
Resale Value
Another important consideration is the property’s resale value. Look for properties that have a good track record of increasing in value over time, so you can make a profit when it comes time to sell. It might be wise to invest in an area that has seen recent growth or development; this indicates that the area is likely to continue growing and developing over time, making it an excellent long-term investment.
Ortigas Center is one of the best areas to invest in as it is home to many of Metro Manila’s top-notch establishments, such as malls and business hubs. And with the upcoming railway projects, there’s no doubt that property values in the area will soar.
Ambiance
Of course, the ambiance of the area is also essential. Consider whether it’s a safe and secure neighborhood with good lighting and clean streets. This will go a long way toward making potential tenants feel comfortable and confident in their new homes.
You can also take this up a notch by looking for properties nearby famous landmarks. One of today’s in-demand places is the capital city of Manila. This is where the popular Bay Area is located, with numerous attractions and amenities that can be inviting for both local and foreign tourists. This makes a condo in Manila Bay a better investment than one without the same level of convenience, luxury, and ambiance.
Type of Property
When selecting a property to invest in as a young investor, it’s essential to consider what type of property would be most beneficial for you. One option could be residential property such as apartments or condos; these can be rented out on short-term leases, or even Airbnb’d if need be.
Or perhaps you are looking for something more low-maintenance, like commercial real estates such as office spaces or retail stores; these require less upkeep and can generate income from renting or leasing them out on longer terms.
There are also options like land investments which can yield great returns but require more research upfront about zoning laws and regulations before investing. Nonetheless, no matter what type of property you decide to invest in, remember to make sure it fits your investment goals and that you’re comfortable with the risks involved.
Cost & Maintenance Considerations
Another factor to consider when investing in real estate is cost and maintenance considerations. Investing in any real estate requires money upfront, so it’s essential to ensure that whatever type of property you decide fits within your budget range and will still generate enough income after all costs are considered. But if you really want to purchase a property outside your budget, you can always apply for financing options.
Banks
Financial institutions offer mortgages, personal loans, and other financing instruments to help young investors purchase a property without having to pay for it all upfront.
Private Investors
There are also private investors who can offer alternative financing options such as hard money loans and joint venture partnerships. These have their unique pros and cons, but if you have the right partner, they can be excellent options for young investors.
It’s not easy picking the ideal property for young investors in the Philippines—there are so many options out there. But with the above tips, you can make a well-informed decision about where your money should go for maximum returns over time.
