IS A MAKATI CONDO RIGHT FOR YOU? : A MINI-GUIDE TO ANSWERING YES OR NO

3/3/2015

Buying a Makati condo is not a simple decision. I know of several people who have lived all their lives in typical homes and are on the fence on buying one. I was like that too, at least before I got to see how condo living is perfect for the lifestyle I want to live.

That applies to potential investors as well, those who have heard that real estate investment is a great way to make decent to great returns on investment, sometimes stop on their tracks when it comes to condo investment, even long after they have been convinced about the market. Their idea of a real estate investment is a single detached home that can be completed in a few months. Most great Makati condo investments though, will take some more years to be completed. This is an advantage for those who can still wait until the turn over because the price is lower than the ready for occupancy units.

If you’re like these buyers, you most likely have more questions revolving around your head right now. So how do you know if buying a condo, especially in Makati, is the right decision for you to make?

For that, you’ve got to ask YOURSELF first some questions. Whether these will be hard or easy questions will depend on your plans for the future. Buying a condo is a decision with long-term consequences. You’ve got to spend some time to think about it before committing yourself.

Photo from: pinoyphotography.org

Be Comfortable in Asking Yourself the Questions

I’d like my clients to be comfortable with the decisions they make, so in this blog post, I’ll list some questions that would help guide you in your buying decision. I recommend printing this post out and answering the questions on a specific block of time you’ll set aside.

Yes, buying a condo is a very serious business. If you need some help in answering these questions, feel free to contact me here.

Questions You’ve Just Got to Ask

Sometimes, the fundamental questions are the ones you forget to ask. To help you out and not miss a thing, I outline here the top questions you’ve got to ask to yourself before committing to a Makati condo for sale.

You will find it easier to go through this mini-guide by reading through it one-by-one.

1. What would you use the condo for?

Am I buying it so I can have somewhere to live in?

You’re either buying it for yourself or for your family because you want to live in Makati

Will the condo be more of a vacation home?

You’re an expatriate or OFW who is usually out of the country, but want’s a nice place to stay on when you are in the country

Do I want to invest in the condo for a good return on investment?

You’ve heard about the great returns offered by real estate investment and want to
see if Makati is the right market for you

Depending on your answer to the questions above, you can skip to the relevant sections of this post and answer the top three questions there.

A. If you’re buying to live there…

Do you see yourself working or doing business in Makati for the next five to ten years?
What kind of public services, such as schools and hospitals, does your family need in the next five to ten years?
What kind of leisure activities do you want to do during your free time?

B. If you’re buying for vacation there…

How frequently do you want to stay in the Philippines?
Who would take care of your property while you’re away?
Do you want some rental income from the property while you’re away?

C. If you’re buying as an investor…

How much are you willing to invest in real estate?
Do you foresee that Makati has a huge market potential in real estate?
How do you want to make money in your investment? From rental or from resale?

You can approach your trusted Real Estate Broker to help you in answering all these questions, and perhaps expand on them as well.

Makati Condo Features that Make It Right For Most Condo Buyers

The great thing about Makati Condos is that it’s got all the qualities most buyers would ever want. The key component is the great location of Makati CBD that makes it fit the requirements of any class of buyers.

For the residential buyer

Great Opportunities for Business and Work – Makati CBD is a melting pot of multinationals and large local corporates, making it a great place of finding and developing a great career. The local startup scene is also something to look into, with startup co-working spaces such as Area 55 making its home here.
Numerous and Accessible Public Services – being the country’s richest city, public services are highly accessible for the Makati resident. Top Hospitals such as the Makati Medical Center make their home here. Also, some of the best schools from elementary to college have branches in Makati as well.
Malls, Entertainment and Great Food are just a short walk away – the top malls of country have establishments in Makati CBD. Glorietta, SM Makati, and the Greenbelt complex are just a short walk or ride away from most Makati condos. For the foodies, the malls also offer a wide array of restaurants. If you want more choices, you could also go to Jupiter Street and enjoy the wide variety of food there.

For the vacationer

Short Travel times to and from the Airport – you’d want to get relaxed both after arriving here in the Philippines and before leaving it as well. Makati Condos are minutes away from Ninoy Aquino International Airport via Skyway, making it accessible even if you want to spend some time away in other locales of the country.
Excellent Property Management so you don’t have to worry about your property while you’re away – if you buy a condo unit from one of the country’s top developers, you’ll be assured of the excellent property management services they provide. Even if you leave your property for months at a time, you’ll rest easy at night knowing that your vacation home will be pristine once you get there for your vacation.
Make Money while you’re not using the property – most of the top developers offer the option of putting your property under a rental management contract. They can take care of your property and make sure that you receive the income from it while you’re away from the country.

For the investor

Reasonable investment values – especially for condos that are being pre-sold, initial capital investments are at a good discount when compared to the potential returns that an investor can get when the properties are turned over a few years from now. With the expected overall growth of the Philippine economy, this is foreseen to be great market to invest in.
Makati CBD a growth market – based on the latest Colliers Report for 2014, forecasts for Makati CBD growth, especially in the commercial office spaces, is expected to increase over at least the two to three years. This can only mean a greater potential market for new residents or renters in the area.
Make money from rental OR resale – both rental growth rates AND capital growth rates are forecasted to increase in Makati CBD in the next three years. In 2015, rental growth is expected to be at 4% to 5%, while capital value growth expected to keep pace at 4% to 6% this year. This can only mean that money will be made and expected to increase whether you choose to invest for rent income or resale.

CONCLUSION

A Makati condo offers great value for any class of buyers. Whether you want to live there, enjoy your vacation at a great location, or make a good to great return on your investment, a Makati Condo has something for you.

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