There are a lot of properties advertised in newspapers these days. It just goes to show that the real estate industry in the Philippines is booming. It is affordable to buy properties the earliest you can while the property is still at its pre-selling phase. But, how do you buy properties for sale in the Philippines?
I enlisted the help of a broker friend from Rent.PH, Xyza, for me understand the process of buying properties in the Philippines and the terms in real estate buying.
Usually when I see property ads, there is always a “Reservation Fee” a buyer has to pay. The term itself very understandable. You are basically paying to put the property on hold and have the exclusive right to buy that property. Reservation fee is non-refundable and non-transferrable.
After the “Reservation Fee”, there is also a downpayment requirement a buyer has to make. Xyza informed me that downpayment can be paid in 24 to 36 months and is usually interest free. Also, downpayment is usually 20% of the price of the property.
For example, see table below: [Read more...]