by: RJ Armas
https://youtu.be/mcKvf9cZ2a0
Our topic is going to be buying a condominium vs buying a house and lot vs buying a lot and having a house constructed on it.
I. CONDOMINIUM
A. ADVANTAGE OF A CONDOMINIUM
ACCESSIBILITY
If you're working somewhere near the condominium, it is going to be easy for you to just go there, even without driving. So, nakatipid ka pa sa gas.
SECURITY
In a condominium, you will have a lot of security measures to make sure that the residences are safe within the bounce of the condominium itself whether that be on the open spaces like the gym or the open park. They’re making sure that everyone is safe inside the condominium premises.
EASE OF MAINTENANCE
Another advantage of a condominium given its small space, it is easier to clean and maintain if you don’t have a maid that goes inside and cleans your property. You can do it yourself on the weekend.
AMENITIES
Lastly, the amenities of the condominium are something you should consider. Because inside the condominium, you will have a gym, you can have a laundry shop, you can have a swimming pool that you don’t have to maintain. Having these amenities nearby your residence is something you should consider especially if you have a busy lifestyle.
B. DISADVANTAGES OF A CONDOMINIUM
HIGH MAINTENANCE
Let’s talk about the disadvantages naman of having a condominium. First is the high monthly dues. Since you're not maintaining the condominium itself or the elevators, and all the open spaces, then someone else has to do it. The building management normally makes you pay around 50 pesos to a hundred even up to 200 per sqm of the space of your condominium. If you have a higher space depending on where your condominium is going to be or who is the developer, that’s going to be the amount of your monthly dues. This is one of the things you have to consider when buying a condominium.
BUSY ENVIRONMENT
Another thing is having a busy environment. In a condominium, you live with other people and most of them also use the amenities that you have within your condominium. If you go to the condominium amenities, you might find other people on the lobby and the corridor. This is just normal for having to live inside the condominium.
RISK OF BAD NEIGHBOURS
Of course, there’s another risk of having bad neighbors since you don’t have the capacity to choose your neighbors unless you buy the unit across from you, then you have to deal with your bad neighbors, nonetheless.
LACK OF FLEXIBILITY
Another thing is the lack of flexibility in terms of renovation so if you want your unit to have like aircon or if you want to change the color of your unit outside then you will have to ask the permission of the building management and it’s not likely that they will give you that freedom especially if you’re inside the condominium.
PETS NOT ALLOWED
Another disadvantage is not being allowed to have pets inside. So, if you’re a dog lover or cat lover, you cannot just live with your pet inside the condominium. Especially when it is a large pet, you will have to ask the permission of the building management.
II. HOUSE AND LOT
A. ADVANTAGE OF A HOUSE AND LOT
FLEXIBILITY AND FREEDOM
Now, let’s talk about having a house and lot. The advantage of having a house and lot, of course, is the freedom for you to be able to add or build to your existing house. If you want to add a larger part of the house, or you want to renovate or decrease the space of the house whenever you see fit, then you can do that with your own house and lot.
MORE AFFORDABLE
Buying a house and lot is more affordable and sometimes cheaper than having a condominium because the going prices for condominiums right now in Baguio city is around a hundred 20 thousand per sqm wherein the going raise for a house or a lot here in Baguio would cause you around maybe just 40 thousand to 50 thousand per sqm. It’s a bit cheaper to buy a house and lot than it is to buy a condominium.
A LOT OF SPACE
Another advantage is that a house and lot have more space. You have more freedom and flexibility in the future if you add more things to your property. If you want to add amenities like a swimming pool or garden or your own gym, you can do that with the house and lot. If you are planning to sell your property in the future, then buying a house and lot is maybe the most economic decision. The resale value of a house and lot is higher than the condominium, especially when you’re in a moderate-traffic area. It is a better investment if you are in a high traffic area condominium, which sometimes has a higher selling value.
PETS ARE ALLOWED
Lastly, the advantage of a house and lot is having pets. So, if you want to have more pets than anyone of your friends, then you have the ability to do that with the house and lot.
B. DISADVANTAGE OF A HOUSE AND LOT
HIGHER MAINTENANCE COST
Now, let’s talk about the disadvantage of a house and lot. Since the entire property is yours, you will have a higher maintenance cost when the house is old. It will show some signs of renovation, and since you own the entire property, you will be acquiring most of the cost for this renovation.
SECURITY
Another disadvantage is security if you’re living inside a subdivision then good you have security but sometimes even that does not especially if you’re living outside the subdivision then security is something you have to consider.
DISTANCE
When buying a house and lot another disadvantage is that house and lot is a little bit farther to your place of work than a condominium. A condominium is usually strategically located where there are more commercial activities than any other places to make it more convenient while a house and lot you will go the distance you will have to ride public transportation or drive your car to go to your place of work or go to shopping areas.
LACK OF AMENITIES
Lastly when you have your own house you have to build your own amenities especially when you’re not inside a subdivision sometimes even other subdivision don’t have enough amenities that you will want inside a property if you want a swimming pool or if you want your own gym then you will have to pay for those improvements inside your house.
III. LOT + CONSTRUCTION
A. ADVANTAGE OF LOT + CONSTRUCTION
Now, let’s talk about buying a lot and having a house constructed on it the advantages and disadvantages are quite similar with having a house and lot however I would like to add more points here.
FULL CONTROL OF DESIGN
The advantage of buying a lot and having a house constructed on it is you full control of your house design so if you want to add special features inside the house like having an internet connection installing CCTV’s or creating your own special room then you can do that with this kind of set up.
POSSIBLY CHEAPER THAN HOUSE AND LOT
It is also possibly cheaper to get a lot and having a house constructed on it when done right you might be able to find a lot and then find a good contractor that will do the house for you.
NO SURPRISE RENOVATION NEEDED
Another advantage is that when you do your own house there is no surprise renovation unlike you buy an old house sometimes when we're buying old houses we find the need to renovate some portion of the house after 3 to 6 months of living in the property, here are things you have to consider on buying an old house the advantage is creating a new house on a lot is there’s no surprise renovation that you will have to pay in addition when you have successfully build a house on an empty lot is has a higher resale value than an old house because sometimes an old house will dilapidated through the years while a new house will not need renovation for the 5 to 10 years.
B. DISADVANTAGE OF LOT + CONSTRUCTION
HARD TO FIND AN EMPTY LOT
Now, let’s talk about this disadvantages of this setup it’s hard to find an empty lot with the density of the city right now is harder to find lots that are empty and with in the size that you need most of the lots that are good location and in a good price are usually sold in bulk meaning you have to buy the entire lot which you don’t need for example if you just need 200 sqm for your house then some of the lot are possibly selling it at 1000 sqm which you don’ need , another disadvantage of buying a lot is you have to secure the lot while there are no structures in it while are you waiting for the right time to construct your house in your lot while you are abroad, then you will have to find someone to guard the property so you won’t have any squatters in it.
There is also what we call the sakit ng ulo factor when you're managing a constructor while you're not in the Philippines during construction there are things that might happen like cost overruns, earthquakes or typhoons that might have the ability to delay your project or cost you more money than your initially budgeted.
IV. SUMMARY
These are the advantages and disadvantages of these three. What is the right property for you? It really depends on your lifestyle; are you single and do you spend most of your time at work then you probably might opt for a condominium.
Do you have a growing family and you want to create a great environment for them then probably a house and lot will be best suited for you.
Are you still abroad and you want a house and lot, but you are not yet ready to come home, and no one will use the property then maybe buying a lot is better for you and if you plan to create your house in the future then finding a good contractor you will be very very fine. So that’s it, Thank you so much.
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