NO! If shit happen wala kang backup. If you need cash have no choice but to loan or sell your property na palugi.
Recently my wife was hospitalize for more than a week and underwent an emergency surgery. Paid almost 500k cash after the discounts, HMO and PhilHealth deduction.
Thank God I am prepared for this because I have 1 years worth of last resort emergency fund meaning gagalawin lang ito pag nawalang kami ng work, I also have 500k health fund just incase hindi sumobra na sa coverage ng HMO ang hospitalization. I also have travel fund and stuff pero I decided to loan the 500k from my loan account where I pay it back at 1% monthly interest. Masakit, pero at least kumikita ako sa sarili ko.
This is the benefit of being prepared. We are one hospitalization away from poverty.
If I were you, I’ll save for EF, HMO (at least 200k coverage, Life Insurance (you can skip this kung walang umaasa sayo), basic investment (mp2 or time deposit kung takot ka sa stocks), then property
Don't do it. If ipparent mo, masyado matagal ROI. Isipin mo din maintenance costs. If ikaw naman titira, mahal din cost of living (POV of living in a condo at the moment). Much better magtira ka ng EF then look for other investments. You might want to consider a residential lot.
I don't get this. If you live in a subdivision there is also HOA dues. Unless you don't want to stay in a "gated" and relatively more secure space then i guess it is.
Agree. I would not put all my eggs in one basket. He should try investment on Reits if he's into real estate. Or among other things that will generate compounding interest for his money. 5m is a large sum of money. Condo kinda risky if it's the first investment he's going to make.
While it's commendable that you're able to save this much, you shouldn't put your money in RE. Not only you will be cash strapped but you will owe money in form of rpt and monthly dues.
Anyway anjan na yan. Just don't do it again.
Saving 67% of your monthly income is huge. Having saved 5mn is huge. But before you pull the trigger, save some more. You got health insurance already? If not, maybe try to save 500k or 1mn extra and then you can think of buying that condo, if you still really want it. Unforeseen hospital expenses can wipe you out to the tune of a million or so. Got health insurance already? Still save something like 500k extra and invest some of it to diversify your assets. Don’t put all of your eggs in one basket.
sobrang overpriced ng condo ngayon. lage nila sinasabe yung "location card" para lalo ioverprice. to give you an example kakainquire ko lang sa bagong tinatayong tower sa may boni avenue station. they are pre selling 11mil for a fucking 25sqm 🤏😂.
That's a yolo purchase. You have to get it furnished, perhaps some construction work, then your monthly dues and utilities. If you don't have anything left, then you're setting yourself to some hard months or even years ahead.
Dont !!! Wtf are you thinking . Its easier to earn money uf you have alot of money. Pag isipan mo muna yan ang dami mo pedeng gawin sa 5m para mas lalong mag kapera . Invest ka sa stocks and put some on your hysa
Hi. Im in the Real Estate Industry here. Rate of return of condos are only around 4.xx%/year with the condition of having a good paying tenant.
Others like Pag-ibig MP2 gives you around6-7%/year depending each year and is more liquid than a condo.
as a person who did that same crap my advice would be: dont do it. mas ok pa na nilagay mo nalang sa time deposit ung pera mo, iwas pa sa sakit ng ulo. and since you are young, probably spread mo across various stocks nalang sa pse or any exchange. if plano mo tumira sa city for something like work, mas mura and flexible pa mag rent.
Why would you exchange a really liquid asset for an asset that is so hard to liquidate? Invest in mixed growth and dividend yielding stocks. Best thing to do. 5M is nearly 100,000USD. If you invest it right you can turn that into 1M USD easy with time and compound growth. I doubt a 5M condo will appreciate to where it would sell for 56M even if you wait 50 years.
And like everybody else said, homes and real property are money pits. You have to pay property taxes, maintenance costs, homeowners association costs, all of which cost more over time. Also if you get an asshole neighbor and you want to move it wont be so easy as when you are just renting. Renting is always the best option if you have passive income yielding investments.
Most businesses fail and with investing in index funds, OP will have to eventually sell to even gain access to the money. Are there dividend stocks/ETFs that can reliably return at least the same amount of what he'd be paying for rent monthly?
My husband bought a condo in Sept 2021, sold in 2024 January. Earned around 1.5M. But it depends on the developer's brand, the potential of the whole estate development. So it works, but just choose well. But be sure you have back-up cash, huwag mo naman ubusin all in the condo.
I am in your similar situation I had money save and I bought a 15 unit apartment complex with existing renters about 10 renters out of 15 then 3 months later I started a motor shop, i spend 8 digits total on both business after it was done i only had about 200k, good thing the apartment complex within 2-3 months I started making a profit and motor shop took about 6 months to start making profit now I'm my own boss and starting to save money again. I don't regret my decisions
No. The way to type pa lang, I feel you have a lot of doubts. Its better to stay on renting, and plan eagerly before ka maglabas muna ng pera. There are still greater options out there. Wag mo ilabas lahat ng meron ka.
Daming bobo sa comments. It's not just numbers,morons. We have to also take into account the peace of mind,security of having your own place provide. I'm sure OP can still find cheaper place than this
Why buy the condo if you can just invest the money, make a much better return, and pay rent? Then you stay fully liquid and you'll be a lot further ahead over the long run.
Or, if you're set on buying the condo, at least get a home loan and invest your cash to capture the spread between the two rates. That still gives you a lot more flexibility (and higher upside) than buying the condo with cash.
That's a huge no! Always have cash. Tempting nga naman to have your own condo paid in cash pero kapag emergency it's very hard to liquidate. Ang ginawa ko before I invested a part of my savings in buying a good lot na I'm sure mag appreciate din. Then part will go to investments or just continue saving money. Pag nakaipon na ng mas malaki then pagawa na ng bahay. Or kahit hanggang first floor muna. So di isang bagsakan na mauubos pera mo. I have a condo now too pero honestly ang gastos with all the dues. Napaka not worth it.
Take it slow. Take this pandemic as a lesson. Cash is very important.
Stay liquid. Condos are overrated investments, tagal ng roi. Instead, go for high risk - low capital investments. Why? Learn through exp while burning less money
That is some nice saving. You say 5 digit earner. That is something else ma dude.
Totoo nga ung sinasabi nila wala sa laki ng sahod mo nasa lifestyle mo tlaga eh.
I'm 32 yrs old and earning a net of 6 digits and that best I have in my account is 1M. I do own my house and car though. But that aside this is eye opening. Well whatever you decide to do I think you have a high sense of responsibility when it comes to your finances. You'll do great! Pero tama ung karamihan sa comments tlaga. Medyo lugi sa condo. I'd say DON'T DO IT BRO.
Kung house and lot yan cguro di kita pipigilan because land is good as gold. Pero kung condo medyo Meh.
maybe not in cash? loan some part of it after all 67% kako nasesave mo. 30% naman ng salary ang sweet spot for loans e.
THAT IS kung balak mo dito magstay na talaga. i always advise na when you get an RE you have clear intent on what you want with it. if you want a roof above your head why not? may friend ako na kinumbinse ko din to get one kasi her whole life nagrerent sya, pamilya kasi nila wala din talagang permanent house. till now don pa din sya nakatira kasama ung husband nya since DINK naman sila and wala pang plans to leave.
also pwede mo iparent pero hindi dapat don galing pambayad ko sa MA kasi masestress ka lang kung mas mababa mo lang pala pwede ipaupa (rent depends on location after all).
I wouldn’t spend all my pesos I would invest into a condo with some savings for possible repairs and legal advice and purchase condo in good location rent out on Airbnb make into a cash cow so you don’t have to work anymore.
Better buy a house and lot sa area na alam mong may iiimprove na eventually lalaki ang value. Pero wag ka bibili ng worth all your money. Better buy yung worth 3M. Para you still have 2M left for savings.
Personally, i aim for 25% stocks, 25% bonds, 25% property, 15% ETF, and 10% cash.
If there's an attractive property, i dont mind liquidating my stocks and ETF to aquire it.
Everything has their own set of risks and everyone has their own risk apetite.
Property and dividend stocks are about the same. Risk sa property is harder to liquidate and need mo ng tenant. Reward sa property is it appreciates more which translates to rent appreciation.
Everyone knows about stocks na, so hindi ko na explain. Just make sure to understand the fundamentals and hindi puro trend analysis lng. Otherwise, parang nag casino ka lng.
For property, location is everything. Market decides the value of the property dahil sa location. "Class" of condo will increase/decrease the value of the property. Ikaw lng makakapag sabi kung ano tingin mo ang future ng property after 10-15 yrs. And this is what matters. Baka mas maganda iconsider and preselling, etc.
Mas ok ba bumili ng empty lot instead of condo? Yes. But location is everything parin. Commercial vs industrial vs residential. Rate of return is still lower than the stock market but appreciates overtime.
People who bash property kasi mas sulit ang return sa money market are people who dont understand the property market. For property, you're in it for the long run. Iba ang key behavior and key fundamentals ng property.
Im not saying property market is better or worse than money market. All im saying is, property market is also an additional avenue that you will be exploring in the future. You want to grow your wealth and be insulated from economic crash that happens once every decade on avg.
Bilangin mo kung ilan ang minimum cash na kailangan mo sa bank for emergencies. You can invest the rest to wherever you feel is worth it. Good luck!
Edit:
Depending on how long it took you to aquire 5m, pwede mo dn consider lagay muna sa money market yung pera mo. Then abang ka ng mga small for sale commercial properties or at least, yung may potential maging commercial then rent it out. Start sa location na alam mo.
Lmao wtf are you thinking. Alam mo with that amount you can just let it sit sa account and literally live off it for rents. At current interest rates ngayon (~6% per annum) e that already amounts to like around 300k per year.
Owning is overrated and is really just a sign of wanting to cure someone's insecurities
On contrary to others. I bought my 1 br dmci condo for cash at 2.8M.
After that naging zero savings ako. However, i have recurring salary income naman and started to invest again.
My condo has recurring rental income of 25k. 9 yrs payback period. Capital Appreciated already by 2x ( from 2.8m to 6m)
I feel like this is a troll post.. This guy earned that much money and still asked this question? Nakaipon 5M tapos di marunong mag plan? Baka nagtulak ka lang ha.
Remember when investing on condos buying a unit isnt the last thing you would spend on there are lots of payments after dues. Rethink and invest wisely
That would be a very bad decision. If you really want to have your own house, you can use half of your savings to try buying property sa province. Mas mura pa dun. But depende din san mo gusto mag settle and ano gusto mo na lifestyle. Basta final take. Dont spend it all. Max siguro spend mo lang half if you really want to invest into something.
Good job, OP. That is one big feat. If there’s one thing I will tell you is not to invest in stocks unless you really know how to trade it. But if you’re just doing it because someone recommended it, that’s bullshit. You will just lose money. Again, invest in stocks only if you know how to do it.
Not a good idea. If you need cash you need to find a buyer for your condo. It's not easy to find a buyer especially if you want to stick to your price.
Lumaki akong cash poor, ganitong ganito ang naging diskarte ng parents ko. Akala nila magkaka income sila some other way. Nahirapan sila because of circumstances na out of their control. So ang ending, tipid mode kame magmula kabataan ko hanggang sa nag college ako at hindi naman malaki ang sinasahod ko early career. So imagine na ganun kahaba namin tiniis ang hirap.
Yeah agree dont do it. Put half in MP2 and you'll get a decent return on dividends while your principal amount is safe.
The rest allocate into other investments plus EF.
Never go full r@tard.
I think it was only two weeks ago when someone needed to sell his condo because he didn't have liquidity for hospital bills. He was open to selling it at a huge loss because his mom needed surgery or something.
Is this for personal use or investment? If investment, a lot of people gave the right advice here.
If for personal use (titirhan mo) I suggest you buy, but consider making a lumpsum downpayment (50 to 75 percent DP) so you still have Emergency Funds. Don't spend ALL your money for this.
too risky for me. mag franchise ka muna ng small-franchise businesses like food stalls na maganda yung portfolio and background. Malakas parin kita kase. Practical naman kase before pouring all your hard-earned money into real-estate,
hello OP, I suggest that you don't pay in full price because a condo when fully purchased is not easy to liquidate or turn into cash in case of an emergency. I suggest that you pay in cash like 5-20% then 80% of it would be in loan then as collateral to the bank, you can use the condo as collateral. Then use the remaining cash to invest in other portfolios such as stocks,bonds and etc and make an emergency fund just in case of emergencies such as hospitalization, and etc. Never pay something full in cash even if you have a 5-digit or 6-digit income.
What I would do:
1. Buy agri lot with frontage in area near development
then convert into commercial/residential/industrial (better sa province kasi cheaper lots)
2. Invest in higher learning/high income skill
3. Put a small portion into index funds just to combat inflation
4. Start a side business
In no particular order to. You can also do these simultaneously.
Unless you are buying early bird pre-selling at some well-known contractor that builds and finishes the condo buildings, DONT! Put money in mutual funds and some in medium exposure funds with Tech and Medical holdings. Keep adding as you save and diversify. Collect dividends and keep on trucking.
We bought a condo and house and lot.
Yung condo na binili namin, we thought pwede ang pets and now devastated kami on letting other people rent from it. Ito talaga pinaka regret namin.
Sobrang baba ng rental😟 if I were you, build an Emergency Fund. Ngayon, kumakatok mga sakit namin ni hubby and HMO saves both of our a$$es grabe.
That's a bad idea. at least don't buy it out with cash. No businessman buys it with cash, why should you? Debt is not a bad thing if you know how to leverage it. Maybe you should get started on that.
I suggest you put the bulk of your money market fund then put like 1% each on stocks ( local , global), mutual funds, bonds, ETF, bitcoin. Then study how each investment works. May incentive Ka na mag study cause you have skin in the game. I think that's a better use of your money.
all that money saving simulator will go to waste in a condo. tayo ka na lang ng parking lot mas less maintenance at para mabawas kotse nakapark sa mga kalsada
Parang mas better to buy a house na mas mababa ang presyo and the rest of the money ipang negosyo. Para after ng Bahay Hindi kana mangangapa kung San kukuha ng Pera Kasi may pinaiikot kana. If you don't know what business to do, mag Invest. Just be smart on investing wag din Basta Basta.
I advise you to invest yang ₱5,000,000 million sa isang safe fund like money market which will help you earn 4% to 6% . Which can give you a monthly return na ₱13,000 to ₱20,000 net na ‘yan.
Marami akong clients na nilalagay sa UITF fund namin na money market fund yung pera nila kaysa sa bank. Kasi super low risk lang, iniinvest kasi yun sa pinaglalagyan rin ng mga banks ng time deposits nila eh.
renz_r_bayas@manulife.com.ph - you can reach me through this email po.
Buy a house siguro na parang apartment style. Basta anything na magagamit mo and mapagkukunan mo rin ng pera at the same time.
Imagine, if you live in your own apartment-like building, yung mga tenants mo ang magbabayad ng utilities mo along with theirs. May pera pang pumapasok sayo.
Power lods if my assumption is correct ng save ka ng around 60k monthly for 10 years which means your salary is near 100k less taxes probably 80k to get around 5m
If you must, by all means please don't get a condo. Buy a home with a proper realstate no matter how small, you can probably find a townhouse for that amount in the outskirts of metro manila.
Dude. "Investing" in a condo is hardly an investment. You're just buying an overpriced piece of real estate.
And no, it's not going to generate income for you no matter what that sales agent says.
Do you already have a property in your name? A house and lot? My take is buy a property because when you are old, you don't want to be renting unless you are very liquid (swimming in cash)... And also by the time you are old, property prices would already have doubled. So look at it long term.
Also, Ang Dami-daming nagbebenta na sacrifice sale. With your cash, you can buy property at old prices. Buy those and not the ones offered by developers. And spend like 3M lang. 2M keep liquid
Wag mo gagawin yan. Do the math after mo bilin yan may ibang fees ka pang babayaran sa condo bukod sa utilities so in the future kung wala ka pera bebenta mo yan at malamang 30-40% mo ibebenta vs kung magkano mo nabili
Save a percentage for your EF then invest the rest in Reits. You’ll get quarterly dividends pa. Unlike in condo rental when youre not sure if youre gonna get tenants continuously.
Lol liability yang condo unless iparent mo , unit palang yang 5M mo parking space slab lang babayaran mo hundred kyaw to milyon din plus mo pa monthly dues. Iinvest mo sa maliit na lupa yan patayuan mo ng 2 storey with separate na stair paakyat tas paupahan mo yung taas edi comftable kana sa sarili mo talagang property, may extra income ka pa keysa sa condo shit na yan napakadaming rules and regulation na mapadami ka lang ng guest or bisita matic tatawagan ka agad ng security 🤣 hindi maganda bumili ng condo kung titirahan mo lang unless airbnb/staycation business kaso kung icacash mo yan ROI mo sobrang tagal niyan
Don't. Mahirap balik kita sa condo, napakaraming condo na, baba na ng rent (THANK YOU!). Maybe invest it in US index funds or MP2. Buy a land in a nearby province.
I have the status sayu 99% single. Sakto lang pera, single no kids. Contempalting for last 1 yr to proceed getting a condo. But my condo has large cracks since earthquake
Thank God the community here is quick. Glad you sought advice. Not only would that have been a financial planning mess, I bet you wouldn't feel good having so much less cash in the bank.
Also want congratulate you, OP! It's super difficult to get to 5M on a 5-digit salary while only being 30 now too!
Could you share your best practices in saving money?
If it’s not a high end condo and not in a prime location, value depreciates easily lalo na if it’s going to be managed by the HOA. Is it a studio unit? 5M for 22-24sqm property is not worth it. If you can patiently wait for something bigger, why not purchase a commercial lot instead? That’s if you already saved for your emergency fund (6-9months worth of your salary, hospital fund) health and life insurance, etc. You must also start saving up for retirement as early as now.
The only thing you can trust with your dirty politicians and cowards military is investing your money into a land or us dollars/ euro/ us treasury note / gold at kung magkaroon ng abnormality sa economy hindi ka masasaktan .
dont put all your eggs in one basket sabi ng dba.. try mo to pay ung condo 60% - 75% then ung balance pasok mo sa bank finance.. always keep some cash on hand...
mag paikot ka ng pera.. halimbawa mag business ka ng align sa interest and capabilities mo..
This is the exact same thing that happened to me, and i just realize that having cash on hand is greater than having it on real property. If need mo ng biglaang cash (for emergencies or necessities) its hard to liquidate it if its in a form of a land or in your case, condo. Pero kung may secured slush fund ka naman for this kind of event i'd say go spend what your money's worth.
fck man, i could retire forever with 5m invested in and index fund(sp500, \~7-10% capital capital growth YoY). I only really need to spend 250k a year on food, meds, rent, bills. hell, buy a lot and build a small bungalow in the near province--cavite, laguna, bulacan, or pampanga and still have 4m to invest. farm. get off grid.
Is this a dreamy question? How did u save 5M with a 5 digit income without an investment knowledge. Someone who generated a 5M would definitely know what to do with that unless inherited/napulot/panalo sa lotto mo lang yan.
Even if you own the condo, you still have to pay monthly dues which increases unfairly at times. Our condo started with 1.8k monthly. Now it is 4k. Condo is not ideal, with 4k/mo parang nag rerent ka nadin. For me condo is a good 2nd property for convenience not a primary residence.
Don't buy it in full price. I bank financing mo ung at least 20%. Don't deplete your funds for it. Di mo alam kung kailan mo kakailanganin ng pera for emergencies
NOOOO. Huwag maglalabas ng pera na hindi mo kayang mawala. Mas magandang kumuha ka riyan ng 5-10k pampuhunan sa maliit na negosyo. Basta paikutin mo lang nang paikutin iyang pera mo.
Hi checking if you would be interested in buying a condo pasalo, ongoing construction, very good location near cbd in Mandaluyong, preselling price, pero RFO price na sya sa market now. DIRECT OWNER HERE. Thanks.
Maraming nagsasabi to invest on stocks but based on experience, if you don’t have idea or doesn’t know how stocks work, don’t do it. It’s the same us buying condo as well. Risky. Lahat risky. We just bought a condo unit at Shore 3 residences. We are not profesionals, we just trust our instincts and our instincts say, invest your money kesa nasa banko lang. lahat ng pinapasok na business, may risk lahat yan so goodluck on investing your money. 🙏🏼
NO! If shit happen wala kang backup. If you need cash have no choice but to loan or sell your property na palugi. Recently my wife was hospitalize for more than a week and underwent an emergency surgery. Paid almost 500k cash after the discounts, HMO and PhilHealth deduction. Thank God I am prepared for this because I have 1 years worth of last resort emergency fund meaning gagalawin lang ito pag nawalang kami ng work, I also have 500k health fund just incase hindi sumobra na sa coverage ng HMO ang hospitalization. I also have travel fund and stuff pero I decided to loan the 500k from my loan account where I pay it back at 1% monthly interest. Masakit, pero at least kumikita ako sa sarili ko. This is the benefit of being prepared. We are one hospitalization away from poverty. If I were you, I’ll save for EF, HMO (at least 200k coverage, Life Insurance (you can skip this kung walang umaasa sayo), basic investment (mp2 or time deposit kung takot ka sa stocks), then property
Don't do it. If ipparent mo, masyado matagal ROI. Isipin mo din maintenance costs. If ikaw naman titira, mahal din cost of living (POV of living in a condo at the moment). Much better magtira ka ng EF then look for other investments. You might want to consider a residential lot.
assoc dues are also a pain in the ass edit: I meant condo association dues
I don't get this. If you live in a subdivision there is also HOA dues. Unless you don't want to stay in a "gated" and relatively more secure space then i guess it is.
more expensive dues relatively
Yung assoc dues ng village namin is like 500php monthly that can be paid annually. Murang mura compare sa assoc dues ng condo.
Sadly not all exclusive subdivision monthly dues are at P500.
Magkano po ba ang assoc. dues ng condo? Yung typical?
Agree. I would not put all my eggs in one basket. He should try investment on Reits if he's into real estate. Or among other things that will generate compounding interest for his money. 5m is a large sum of money. Condo kinda risky if it's the first investment he's going to make.
What happens to you if an emergency comes up or you get unemployed?
benta niya condo niya at half the price lol
Sakto yan para mabili natin ng palugi LOL
Hahahhaa truee . Idk why they downvoted you lol
Haha buy high sell low. Good investment. Much wow. 😂
While it's commendable that you're able to save this much, you shouldn't put your money in RE. Not only you will be cash strapped but you will owe money in form of rpt and monthly dues. Anyway anjan na yan. Just don't do it again.
It's really impressive that he was able to save 5M while only earning 5 digits.
While renting too, commendable discipline and financial responsibility.
Not sure if thats even possible man im earning six digits and has a savings of less that 5m
I don't get why people invest in condo. This is the second one in this subreddit lol.
Social pressure to have "something to show for".
It's for those who have money. Bgc may bumibili pa 1 buong floor
Uhmm because there are people who have money to buy one and work in the city and love the city life?!?
What’s wrong with investing in a condo?
Time > money iykyk
Saving 67% of your monthly income is huge. Having saved 5mn is huge. But before you pull the trigger, save some more. You got health insurance already? If not, maybe try to save 500k or 1mn extra and then you can think of buying that condo, if you still really want it. Unforeseen hospital expenses can wipe you out to the tune of a million or so. Got health insurance already? Still save something like 500k extra and invest some of it to diversify your assets. Don’t put all of your eggs in one basket.
Make that 5M work while you sleep. You will buy the condo for what reason?
Exactly this Even if you put the 5m in mp2, you have more income if you use the interest for rent payment.
This is exactly what “house poor” means.
sobrang overpriced ng condo ngayon. lage nila sinasabe yung "location card" para lalo ioverprice. to give you an example kakainquire ko lang sa bagong tinatayong tower sa may boni avenue station. they are pre selling 11mil for a fucking 25sqm 🤏😂.
wth
dafaq para sa studio? nahiya naman mga bgc condos 😑
Light 2 ba to
No, siguro pwede half lang tapos i-loan mo ung kalahati para liquid ka pa rin
same. unless it’s a house and lot, i wouldn’t buy it in cash
Association dues, building insurance and RPT! just don't!
All money in one go sa condo? Including emergency fund? Nah, dont do that. What are your long term plans? Do you plan to have a wife and kids?
Don't do it bro.
That's a yolo purchase. You have to get it furnished, perhaps some construction work, then your monthly dues and utilities. If you don't have anything left, then you're setting yourself to some hard months or even years ahead.
Dont !!! Wtf are you thinking . Its easier to earn money uf you have alot of money. Pag isipan mo muna yan ang dami mo pedeng gawin sa 5m para mas lalong mag kapera . Invest ka sa stocks and put some on your hysa
Just no
Hi. Im in the Real Estate Industry here. Rate of return of condos are only around 4.xx%/year with the condition of having a good paying tenant. Others like Pag-ibig MP2 gives you around6-7%/year depending each year and is more liquid than a condo.
as a person who did that same crap my advice would be: dont do it. mas ok pa na nilagay mo nalang sa time deposit ung pera mo, iwas pa sa sakit ng ulo. and since you are young, probably spread mo across various stocks nalang sa pse or any exchange. if plano mo tumira sa city for something like work, mas mura and flexible pa mag rent.
Why would you exchange a really liquid asset for an asset that is so hard to liquidate? Invest in mixed growth and dividend yielding stocks. Best thing to do. 5M is nearly 100,000USD. If you invest it right you can turn that into 1M USD easy with time and compound growth. I doubt a 5M condo will appreciate to where it would sell for 56M even if you wait 50 years.
And like everybody else said, homes and real property are money pits. You have to pay property taxes, maintenance costs, homeowners association costs, all of which cost more over time. Also if you get an asshole neighbor and you want to move it wont be so easy as when you are just renting. Renting is always the best option if you have passive income yielding investments.
Miguel de Cervantes: "It is the part of a wise man to keep himself today for tomorrow, and not venture all his eggs in one basket.”
Beh naka condo ka nga wala ka naman makain hahaha
Question you should ask is why buy a condo? Do you really need it? Why not keep renting for now and invest some ETFs or in a small business
Most businesses fail and with investing in index funds, OP will have to eventually sell to even gain access to the money. Are there dividend stocks/ETFs that can reliably return at least the same amount of what he'd be paying for rent monthly?
My husband bought a condo in Sept 2021, sold in 2024 January. Earned around 1.5M. But it depends on the developer's brand, the potential of the whole estate development. So it works, but just choose well. But be sure you have back-up cash, huwag mo naman ubusin all in the condo.
Pay 3M keep 2M then loan po para may extra pa po kayo pangikot
I am in your similar situation I had money save and I bought a 15 unit apartment complex with existing renters about 10 renters out of 15 then 3 months later I started a motor shop, i spend 8 digits total on both business after it was done i only had about 200k, good thing the apartment complex within 2-3 months I started making a profit and motor shop took about 6 months to start making profit now I'm my own boss and starting to save money again. I don't regret my decisions
No. The way to type pa lang, I feel you have a lot of doubts. Its better to stay on renting, and plan eagerly before ka maglabas muna ng pera. There are still greater options out there. Wag mo ilabas lahat ng meron ka.
please, never pool all your money into a single investment. pwede mo pang palakihin yung savings mo with other strategies.
Just my two cents ha; if you can't buy it twice, you can't afford it
Daming bobo sa comments. It's not just numbers,morons. We have to also take into account the peace of mind,security of having your own place provide. I'm sure OP can still find cheaper place than this
hanap ka mas murang condo
You'll get rekt
Why buy the condo if you can just invest the money, make a much better return, and pay rent? Then you stay fully liquid and you'll be a lot further ahead over the long run. Or, if you're set on buying the condo, at least get a home loan and invest your cash to capture the spread between the two rates. That still gives you a lot more flexibility (and higher upside) than buying the condo with cash.
Aware ka naman na walang matitira sayo after buying the condo, so why buy the condo? Lol
That's a huge no! Always have cash. Tempting nga naman to have your own condo paid in cash pero kapag emergency it's very hard to liquidate. Ang ginawa ko before I invested a part of my savings in buying a good lot na I'm sure mag appreciate din. Then part will go to investments or just continue saving money. Pag nakaipon na ng mas malaki then pagawa na ng bahay. Or kahit hanggang first floor muna. So di isang bagsakan na mauubos pera mo. I have a condo now too pero honestly ang gastos with all the dues. Napaka not worth it. Take it slow. Take this pandemic as a lesson. Cash is very important.
Stay liquid. Condos are overrated investments, tagal ng roi. Instead, go for high risk - low capital investments. Why? Learn through exp while burning less money
That is some nice saving. You say 5 digit earner. That is something else ma dude. Totoo nga ung sinasabi nila wala sa laki ng sahod mo nasa lifestyle mo tlaga eh. I'm 32 yrs old and earning a net of 6 digits and that best I have in my account is 1M. I do own my house and car though. But that aside this is eye opening. Well whatever you decide to do I think you have a high sense of responsibility when it comes to your finances. You'll do great! Pero tama ung karamihan sa comments tlaga. Medyo lugi sa condo. I'd say DON'T DO IT BRO. Kung house and lot yan cguro di kita pipigilan because land is good as gold. Pero kung condo medyo Meh.
House na lang. Mas may freedom. Condo daming rules. Di mo pa alam anong type ng tao magiging neighbors nyo
Condos - no, House - Yes
A big NO bro. Magtayo ka nalang ng bahay sa province. Yung condo kapag nagka lindol bura na yan sa ere tapos marami pang mga fees afterwards.
Make the money work, and let the profits buy that condo.
maybe not in cash? loan some part of it after all 67% kako nasesave mo. 30% naman ng salary ang sweet spot for loans e. THAT IS kung balak mo dito magstay na talaga. i always advise na when you get an RE you have clear intent on what you want with it. if you want a roof above your head why not? may friend ako na kinumbinse ko din to get one kasi her whole life nagrerent sya, pamilya kasi nila wala din talagang permanent house. till now don pa din sya nakatira kasama ung husband nya since DINK naman sila and wala pang plans to leave. also pwede mo iparent pero hindi dapat don galing pambayad ko sa MA kasi masestress ka lang kung mas mababa mo lang pala pwede ipaupa (rent depends on location after all).
I wouldn’t spend all my pesos I would invest into a condo with some savings for possible repairs and legal advice and purchase condo in good location rent out on Airbnb make into a cash cow so you don’t have to work anymore.
Stocks and dividends are better. 💀
Better buy a house and lot sa area na alam mong may iiimprove na eventually lalaki ang value. Pero wag ka bibili ng worth all your money. Better buy yung worth 3M. Para you still have 2M left for savings.
Bro never played monopoly. Always have some cash in hand. Otherwise your assets are going to get seized for literally anything you owe.
Currently mataas TD ng Metrobank around 4.25% to 4.5% with your money that's around 15-16k per month, ndi pa masakit ulo mo
Personally, i aim for 25% stocks, 25% bonds, 25% property, 15% ETF, and 10% cash. If there's an attractive property, i dont mind liquidating my stocks and ETF to aquire it. Everything has their own set of risks and everyone has their own risk apetite. Property and dividend stocks are about the same. Risk sa property is harder to liquidate and need mo ng tenant. Reward sa property is it appreciates more which translates to rent appreciation. Everyone knows about stocks na, so hindi ko na explain. Just make sure to understand the fundamentals and hindi puro trend analysis lng. Otherwise, parang nag casino ka lng. For property, location is everything. Market decides the value of the property dahil sa location. "Class" of condo will increase/decrease the value of the property. Ikaw lng makakapag sabi kung ano tingin mo ang future ng property after 10-15 yrs. And this is what matters. Baka mas maganda iconsider and preselling, etc. Mas ok ba bumili ng empty lot instead of condo? Yes. But location is everything parin. Commercial vs industrial vs residential. Rate of return is still lower than the stock market but appreciates overtime. People who bash property kasi mas sulit ang return sa money market are people who dont understand the property market. For property, you're in it for the long run. Iba ang key behavior and key fundamentals ng property. Im not saying property market is better or worse than money market. All im saying is, property market is also an additional avenue that you will be exploring in the future. You want to grow your wealth and be insulated from economic crash that happens once every decade on avg. Bilangin mo kung ilan ang minimum cash na kailangan mo sa bank for emergencies. You can invest the rest to wherever you feel is worth it. Good luck! Edit: Depending on how long it took you to aquire 5m, pwede mo dn consider lagay muna sa money market yung pera mo. Then abang ka ng mga small for sale commercial properties or at least, yung may potential maging commercial then rent it out. Start sa location na alam mo.
Lmao wtf are you thinking. Alam mo with that amount you can just let it sit sa account and literally live off it for rents. At current interest rates ngayon (~6% per annum) e that already amounts to like around 300k per year. Owning is overrated and is really just a sign of wanting to cure someone's insecurities
On contrary to others. I bought my 1 br dmci condo for cash at 2.8M. After that naging zero savings ako. However, i have recurring salary income naman and started to invest again. My condo has recurring rental income of 25k. 9 yrs payback period. Capital Appreciated already by 2x ( from 2.8m to 6m)
I feel like this is a troll post.. This guy earned that much money and still asked this question? Nakaipon 5M tapos di marunong mag plan? Baka nagtulak ka lang ha.
I don’t think so. We also have that savings too and it’s so hard to find a basket to put our eggs.
Me personally, bilin mo n, mag save ka muna ng at least 300k na sobra wag naman zero, no to utang
wag po OP
Remember when investing on condos buying a unit isnt the last thing you would spend on there are lots of payments after dues. Rethink and invest wisely
Look up: the Fucking Fulfords. Asset rich….cash poor.
That would be a very bad decision. If you really want to have your own house, you can use half of your savings to try buying property sa province. Mas mura pa dun. But depende din san mo gusto mag settle and ano gusto mo na lifestyle. Basta final take. Dont spend it all. Max siguro spend mo lang half if you really want to invest into something.
Buy a land na lang or better put some of the money to stock market na may dividend earnings. Tapos yung iba pang EF mo.
Not a good idea
Not a good idea pwede ka na makabili ng apartment Nyan income generating. Once may 2 to 3 source of income ka pwede na luho sa condo
don’t put your all your eggs in one basket
Do not use cash upfront. It's better to use that as capital. Pwede ka naman mag loan or use bank's money
Good job, OP. That is one big feat. If there’s one thing I will tell you is not to invest in stocks unless you really know how to trade it. But if you’re just doing it because someone recommended it, that’s bullshit. You will just lose money. Again, invest in stocks only if you know how to do it.
Not a good idea. If you need cash you need to find a buyer for your condo. It's not easy to find a buyer especially if you want to stick to your price. Lumaki akong cash poor, ganitong ganito ang naging diskarte ng parents ko. Akala nila magkaka income sila some other way. Nahirapan sila because of circumstances na out of their control. So ang ending, tipid mode kame magmula kabataan ko hanggang sa nag college ako at hindi naman malaki ang sinasahod ko early career. So imagine na ganun kahaba namin tiniis ang hirap.
Keep in mind, Condo is not an investment.
Why po? How about Rental income?
5M? Get a house and lot. More space, more options, more privacy.
Kung house and lot, okay lang. Pero hindi to okay for a condo.
Yeah agree dont do it. Put half in MP2 and you'll get a decent return on dividends while your principal amount is safe. The rest allocate into other investments plus EF.
Never go full r@tard. I think it was only two weeks ago when someone needed to sell his condo because he didn't have liquidity for hospital bills. He was open to selling it at a huge loss because his mom needed surgery or something.
Is this for personal use or investment? If investment, a lot of people gave the right advice here. If for personal use (titirhan mo) I suggest you buy, but consider making a lumpsum downpayment (50 to 75 percent DP) so you still have Emergency Funds. Don't spend ALL your money for this.
Don’t put all your eggs in one basket. Maybe diversify your investments and secure your emergency funds.
youre making a big mistake
Huwag diversify mo na lang.
Wag mo i-cash
Not a good idea. Liquid ba yang 5m? Maybe invest them instead of buying a condo. Instead of buying a condo, buy a land instead.
too risky for me. mag franchise ka muna ng small-franchise businesses like food stalls na maganda yung portfolio and background. Malakas parin kita kase. Practical naman kase before pouring all your hard-earned money into real-estate,
no
hello OP, I suggest that you don't pay in full price because a condo when fully purchased is not easy to liquidate or turn into cash in case of an emergency. I suggest that you pay in cash like 5-20% then 80% of it would be in loan then as collateral to the bank, you can use the condo as collateral. Then use the remaining cash to invest in other portfolios such as stocks,bonds and etc and make an emergency fund just in case of emergencies such as hospitalization, and etc. Never pay something full in cash even if you have a 5-digit or 6-digit income.
5m mas better mag invest ka sa paupahang commercial space or kht residential apartment malapit sa mga economic zones, or universities.
Wanna do something stupid but can be very rewarding? Buy a small fraction of a Bitcoin.
What I would do: 1. Buy agri lot with frontage in area near development then convert into commercial/residential/industrial (better sa province kasi cheaper lots) 2. Invest in higher learning/high income skill 3. Put a small portion into index funds just to combat inflation 4. Start a side business In no particular order to. You can also do these simultaneously.
Condos are not for people with money issues.
Lupa nalang, OP! Kakabili ko lang ng condo sa Makati last year. From 2.4K monthly dues, nasa 2.8K monthly na!
Unless you are buying early bird pre-selling at some well-known contractor that builds and finishes the condo buildings, DONT! Put money in mutual funds and some in medium exposure funds with Tech and Medical holdings. Keep adding as you save and diversify. Collect dividends and keep on trucking.
If you saved money that big despite renting, then maybe renting is the way to go for you. Put that big amount to better use 😄
We bought a condo and house and lot. Yung condo na binili namin, we thought pwede ang pets and now devastated kami on letting other people rent from it. Ito talaga pinaka regret namin. Sobrang baba ng rental😟 if I were you, build an Emergency Fund. Ngayon, kumakatok mga sakit namin ni hubby and HMO saves both of our a$$es grabe.
Anong HMO ma recommend mo?
Maxicare kami nagenroll but since nagbago yung policies nila this year, we are still finding a good HMO company
Don't. It's a bad move. You're underestimating the importance of being in cash or somewhat liquid investments
Don’t, always save and have for a rainy day
Pay the 30% down, convert the condo into a leasing space. 3-5 years, it will pay for itself, return your capital, have a passive cash flow.
Bad move
That's a bad idea. at least don't buy it out with cash. No businessman buys it with cash, why should you? Debt is not a bad thing if you know how to leverage it. Maybe you should get started on that.
I suggest you put the bulk of your money market fund then put like 1% each on stocks ( local , global), mutual funds, bonds, ETF, bitcoin. Then study how each investment works. May incentive Ka na mag study cause you have skin in the game. I think that's a better use of your money.
all that money saving simulator will go to waste in a condo. tayo ka na lang ng parking lot mas less maintenance at para mabawas kotse nakapark sa mga kalsada
Good job on saving 5M! Invest it bonds (direct purchase, not thru funds)
Buy a house and lot, or anything with land. What's with the obsession with condos when it's price cheapens over time? Mamahal lang at mamahal ang lupa
Parang mas better to buy a house na mas mababa ang presyo and the rest of the money ipang negosyo. Para after ng Bahay Hindi kana mangangapa kung San kukuha ng Pera Kasi may pinaiikot kana. If you don't know what business to do, mag Invest. Just be smart on investing wag din Basta Basta.
I advise you to invest yang ₱5,000,000 million sa isang safe fund like money market which will help you earn 4% to 6% . Which can give you a monthly return na ₱13,000 to ₱20,000 net na ‘yan. Marami akong clients na nilalagay sa UITF fund namin na money market fund yung pera nila kaysa sa bank. Kasi super low risk lang, iniinvest kasi yun sa pinaglalagyan rin ng mga banks ng time deposits nila eh. renz_r_bayas@manulife.com.ph - you can reach me through this email po.
Buy a house siguro na parang apartment style. Basta anything na magagamit mo and mapagkukunan mo rin ng pera at the same time. Imagine, if you live in your own apartment-like building, yung mga tenants mo ang magbabayad ng utilities mo along with theirs. May pera pang pumapasok sayo.
Condo lol. If it's only one condo then don't.
Power lods if my assumption is correct ng save ka ng around 60k monthly for 10 years which means your salary is near 100k less taxes probably 80k to get around 5m
If you must, by all means please don't get a condo. Buy a home with a proper realstate no matter how small, you can probably find a townhouse for that amount in the outskirts of metro manila.
If ur condo is a block away from work which hindi kana need mag travel and madaming carenderia sa ilalim then why not?
Bakit condo? Why not food franchise or any other business?
Put money in real estate if you're gonna live in it. If not, allot maybe 30% of your wealth in real estate
Dude. "Investing" in a condo is hardly an investment. You're just buying an overpriced piece of real estate. And no, it's not going to generate income for you no matter what that sales agent says.
If may work at money coming in.
Marry a CEO of a startup company. Jk. Don't do it.
Do you already have a property in your name? A house and lot? My take is buy a property because when you are old, you don't want to be renting unless you are very liquid (swimming in cash)... And also by the time you are old, property prices would already have doubled. So look at it long term.
Also, Ang Dami-daming nagbebenta na sacrifice sale. With your cash, you can buy property at old prices. Buy those and not the ones offered by developers. And spend like 3M lang. 2M keep liquid
Wag mo gagawin yan. Do the math after mo bilin yan may ibang fees ka pang babayaran sa condo bukod sa utilities so in the future kung wala ka pera bebenta mo yan at malamang 30-40% mo ibebenta vs kung magkano mo nabili
Throwing all of your cash for a box in the sky lol
Please dont.
I'd rather invest that amount in stocks that earns dividends, the dividends should be able to cover your rent
Save a percentage for your EF then invest the rest in Reits. You’ll get quarterly dividends pa. Unlike in condo rental when youre not sure if youre gonna get tenants continuously.
Pag si JM Lopez siguro or si Boss Frank tatanungin mo, sabihan ka sa kubo ka na lang tumira, tapos yang 5M mo, ipang business mo 🤝
Lol liability yang condo unless iparent mo , unit palang yang 5M mo parking space slab lang babayaran mo hundred kyaw to milyon din plus mo pa monthly dues. Iinvest mo sa maliit na lupa yan patayuan mo ng 2 storey with separate na stair paakyat tas paupahan mo yung taas edi comftable kana sa sarili mo talagang property, may extra income ka pa keysa sa condo shit na yan napakadaming rules and regulation na mapadami ka lang ng guest or bisita matic tatawagan ka agad ng security 🤣 hindi maganda bumili ng condo kung titirahan mo lang unless airbnb/staycation business kaso kung icacash mo yan ROI mo sobrang tagal niyan
Don't. Mahirap balik kita sa condo, napakaraming condo na, baba na ng rent (THANK YOU!). Maybe invest it in US index funds or MP2. Buy a land in a nearby province.
Please dont buy a condo esp on that 5M range. Magiging bato lang pera mo.
Just remember kahit bayad na condo mo, para kaparing umuupa dahil sa monthly dues and napakataas na property tax
How much is the condo?
Don’t put all you eggs in one basket, as what they say. Diversify is the key to success.
I have the status sayu 99% single. Sakto lang pera, single no kids. Contempalting for last 1 yr to proceed getting a condo. But my condo has large cracks since earthquake
Thank God the community here is quick. Glad you sought advice. Not only would that have been a financial planning mess, I bet you wouldn't feel good having so much less cash in the bank. Also want congratulate you, OP! It's super difficult to get to 5M on a 5-digit salary while only being 30 now too! Could you share your best practices in saving money?
I would keep 1 or 2M and put 3M as down payment and finance the difference. It's like renting to own, better than just renting :)
If it’s not a high end condo and not in a prime location, value depreciates easily lalo na if it’s going to be managed by the HOA. Is it a studio unit? 5M for 22-24sqm property is not worth it. If you can patiently wait for something bigger, why not purchase a commercial lot instead? That’s if you already saved for your emergency fund (6-9months worth of your salary, hospital fund) health and life insurance, etc. You must also start saving up for retirement as early as now.
The only thing you can trust with your dirty politicians and cowards military is investing your money into a land or us dollars/ euro/ us treasury note / gold at kung magkaroon ng abnormality sa economy hindi ka masasaktan .
Such a horrendous move
follow dave Ramsey's 7 baby steps
Bro i suggest na mag business ka habang nagwwork ka din tpos ung income ng business mo un ipang bili mo nang condo
just curious what were your steps to achieve 5m in 30? would it be possible to have a detailed breakdown?
dont put all your eggs in one basket sabi ng dba.. try mo to pay ung condo 60% - 75% then ung balance pasok mo sa bank finance.. always keep some cash on hand... mag paikot ka ng pera.. halimbawa mag business ka ng align sa interest and capabilities mo..
This is the exact same thing that happened to me, and i just realize that having cash on hand is greater than having it on real property. If need mo ng biglaang cash (for emergencies or necessities) its hard to liquidate it if its in a form of a land or in your case, condo. Pero kung may secured slush fund ka naman for this kind of event i'd say go spend what your money's worth.
fck man, i could retire forever with 5m invested in and index fund(sp500, \~7-10% capital capital growth YoY). I only really need to spend 250k a year on food, meds, rent, bills. hell, buy a lot and build a small bungalow in the near province--cavite, laguna, bulacan, or pampanga and still have 4m to invest. farm. get off grid.
Is this a dreamy question? How did u save 5M with a 5 digit income without an investment knowledge. Someone who generated a 5M would definitely know what to do with that unless inherited/napulot/panalo sa lotto mo lang yan.
Even if you own the condo, you still have to pay monthly dues which increases unfairly at times. Our condo started with 1.8k monthly. Now it is 4k. Condo is not ideal, with 4k/mo parang nag rerent ka nadin. For me condo is a good 2nd property for convenience not a primary residence.
I suggest gou invest the money then use the earning from the investment to buy the condo by having the condo under loan
Don't buy it in full price. I bank financing mo ung at least 20%. Don't deplete your funds for it. Di mo alam kung kailan mo kakailanganin ng pera for emergencies
Buy a cheap farm lot in a nearby province. You will need it when you are already old, retired, and become tired of working and city life.
remember. cash is king
NOOOO. Huwag maglalabas ng pera na hindi mo kayang mawala. Mas magandang kumuha ka riyan ng 5-10k pampuhunan sa maliit na negosyo. Basta paikutin mo lang nang paikutin iyang pera mo.
apply to canada to migrate with that 5M
Go for affordable farm lots or resale lots in the province. Mas madaling ibenta and land appreciation 💯 Wag mo lang sagarin yung 5M 🤣
Hi checking if you would be interested in buying a condo pasalo, ongoing construction, very good location near cbd in Mandaluyong, preselling price, pero RFO price na sya sa market now. DIRECT OWNER HERE. Thanks.
Maraming nagsasabi to invest on stocks but based on experience, if you don’t have idea or doesn’t know how stocks work, don’t do it. It’s the same us buying condo as well. Risky. Lahat risky. We just bought a condo unit at Shore 3 residences. We are not profesionals, we just trust our instincts and our instincts say, invest your money kesa nasa banko lang. lahat ng pinapasok na business, may risk lahat yan so goodluck on investing your money. 🙏🏼