House and lot or condo—choosing the right space for you

If you’re all about city life, crave convenience, and don’t mind the cozy quarters, a condo unit could be your dream nest. (FILE PHOTO)

If you’re all about city life, crave convenience, and don’t mind the cozy quarters, a condo unit could be your dream nest. (FILE PHOTO)

Hey there, fellow millennials! Let’s talk real estate, shall we? It’s a topic that feels like a complex puzzle in the Philippines, where property choices are as diverse as Netflix shows.

Today, we’re diving into the pros and cons of owning a house and lot versus a condominium unit in the Pearl of the Orient. At the end of the day, though, it will really all boil down to your preferences and lifestyle.

The dream: house and lot

Pros

Customization. Personalizing their own space is something homeowners are free to do. They have room to customize their homes according to their preferences.

Space galore. When you think of a house and lot, you immediately think of space. You get a yard for your kids and fur babies to run around, a garden for the plantito/plantita with the green thumb, and even ample room for that treehouse you’ve dreamt of.

‘Kara-okay’. You not only have ample space, but you also get utmost privacy with a house and lot. You need not worry too much should you want to turn up your music. This is perfect for a karaoke-loving family—your space, your rules. Still, be mindful and considerate of your neighbors. Tone the music down by 10:00 p.m.

Investment potential. Historically, land values appreciate over time. Owning a piece of earth can be a smart long-term investment, especially if you’re in it for the resale prospects.

Cons

Higher capital outlay. The upfront cost of buying a house and lot can be substantial, often requiring a bigger down payment and a longer mortgage commitment.

Maintenance blues. With great space comes great responsibility. Be ready for regular maintenance tasks like gardening, roof repairs and fence painting. And it’s not for the faint of heart.

Condominiums are typically more affordable than houses. (HTTPS://WWW.ANMTG.COM

Location limitations. Prime real estate locations, especially nowadays, are often reserved for condos. If you’ve got your heart set on living in the heart of the city, you might have to abandon thoughts of that white picket fence.

The trend: condominium units

Pros

Affordability. Condominiums are typically more affordable than standalone houses, making them accessible to a wider range of potential buyers and investors. Lower upfront costs may include a smaller down payment and reduced maintenance expenses compared to a house.

Location, location, location. Condos are usually found in the heart of the action. Being close to work, restaurants and entertainment hubs means more convenience and less time spent in traffic.

Low maintenance. Say goodbye to mowing the lawn or fixing the roof. Condo living often means fewer worries about maintenance since building management takes care of most of it. You can have the weekend to yourself instead of devoting ‘Satur-DIYs’ and ‘Sun-DIYs’ doing home fixer-uppers.

Amenities galore. Pools, gyms, game rooms, sometimes even mini theaters—condos often come with a package of cool amenities to make your downtime extra enjoyable.

Cons

Limited space. Condo units are typically smaller than houses, so you’ll need to take your home organizing to the next level and channel your inner Marie Kondo to keep your clutter at bay.

Monthly dues. Those amenities and maintenance services come at a price. Be prepared to pay for monthly association dues, which can sometimes be hefty. The good thing is, dues and maintenance fees normally come at fixed prices making it easy to integrate into your budget.

Lack of privacy. Because condo units are right beside each other, and on top of one another, chances are, you’ll hear your neighbors every so often—and of course, they might likely hear you as well. If you value solitude and utmost privacy, a condo unit might not be your ideal choice. It can be challenging to host parties and keep the noise to a minimum—but hey, we can’t have everything. That’s what nearby restos and cafes are for.

The bottom line

So, what’s the verdict? There’s no one-size-fits-all answer. It all boils down to your lifestyle, priorities, budget and purpose.

Millennials, like you and me, value experiences, convenience and financial stability.

If you crave space, value privacy and can handle the responsibilities that come with it, a house and lot might be your jam. But if you’re all about city life, crave convenience and don’t mind the cozy quarters, then a condo unit could be your dream nest.

Ultimately, whether you’re Team House and Lot or Team Condo, the goal is to find a place where you can live your best millennial life.

Happy house hunting!

The author, CIS, CSR, CTP, CUSP and CFMP, has 18 years of experience as an entrepreneur, real estate investor, stock broker, financial literacy advocate and public speaker. He is the vice president and head of Business Development and Market Education departments, as well as the OFW Desk, of First Metro Securities Brokerage Corporation. He also sits in Metrobank’s Financial Education Editorial Advisory Board. He may be reached via andoybeltran@gmail.com If you’re all about city life, crave convenience, and don’t mind the cozy quarters, a condo unit could be your dream nest.
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