Cebu real estate developments are sprouting like mushrooms in the urban centers and in the countryside. Offerings range from high-end developments to socialized housing. Units vary from townhouses to single detached homes. Communities come in different themes and amenities. But the question now is, “Should you buy a house now or just rent for the moment.”
Experts have presented a number of pros and cons of buying and renting. An interview with one of Cebu’s experts have these things listed for consideration before making any decision.
Debates on whether you buy or rent a Cebu property continue and both sides presented very good arguments.
If you consider renting is better than buying, then you might consider these points:
- The local price-to-rent ratio
- How long you’ll live there
- Your alternative investment options
- The rate at which rents rise
If you consider buying, then might as well consider these caveats:
- Home price
- How long do you plan to stay?
- What are your mortgage details?
- What does the future hold?
- Closing costs
- Maintenance and fees
Chris Malazarte, managing director of Rent.ph, a property rental website, said the decision whether to buy or to rent depends on the objective of the person.
If proximity to work in the urban center is a big consideration, then renting is better than buying, since property values within Cebu City is very high, but if financial capacity is not an issue, might as well buy a property since this can be an investment for future use, Malazarte said.
He said condo living is an option in the urban centers, although it might not be as comfortable as having your own townhouse or a single detached house, but it will suffice considering the advantages of being near to work, school for the kids, hospitals and churches.
For couples starting a family and families planning to stay in Cebu for good, buying a property or a house is suitable even if the location is outside the city.
Malazarte said road networks and new infrastructure are being constructed to make travel time to the urban centers faster and easier.
He said the local housing market has also to be factored in deciding whether to rent or buy, as well as the rental costs and the purchase costs, the neighborhood, and the type of home to be purchased.
He added that it is essential also to calculate the costs of renting, like the amount of security deposit and for buying, the amount for down payment and to build equity.
Malazarte said one factors that can help in deciding whether to rent or buy is career goal. If one’s career ladder requires a possible relocation, then renting may be the best option, he said.
Buying a house is a great thing to do and a major decision that should not be taken lightly. One must commit to the payment schedule and homeownership, Malazarte said.
In Cebu, real estate developers have been very competitive in their developments that make homeownership easy for the working Cebuano.
An economic housing project by Primary Homes in Compostela offers low monthly payment to as low as P4,500 as a start and reservation fee of P5,000.
The 5.4-hectare project in the northern town of Compostela will have 709 townhouse units in a gated community and amenities like multi-purpose hall, convertible court, selected landscaped and play areas, concrete roads, drainage system and power and water system.
It is located 200 meters away from the national away and walking distance from the town hall, church, public market and beach resorts.
The project can also be availed through in-house financing, Pag-ibig and bank financing. All units will be available by the last quarter of the year. So why rent, when you can buy.
Sun Star Cebu | December 20, 2016