Beyond bargains: A new standard in investing
While price certainly plays a crucial role in any investment decision, wise investors understand that prioritizing quality over price can yield far greater returns in the long run.
At this day and age when prices of goods and services just keep going up, it’s easy for us to choose the cheaper alternative.
But while cheaper products might seem like a good bargain initially, some, unfortunately, may do more harm than good. It’s possible that some products being sold at an attractively low price are made from low quality—and sometimes even unsafe—materials. Because of this, you might need to replace them more frequently, or end up buying that reliable, time-tested, durable brand.
In contrast, some premium products tend to last longer, provide us additional services, and most importantly, give us that much needed peace of mind. Such option can save us from unnecessary stress, trauma, and money in the long run. While the upfront cost of quality products may be higher, the benefits in terms of longevity, performance, safety, and satisfaction often outweigh the initial investment.
Quality over price
Similarly, the allure of a bargain in real estate will always be enticing. After all, who wouldn’t want to snag a property at a rock-bottom price? While price certainly plays a crucial role in any investment decision, wise investors understand that prioritizing quality over price can yield far greater returns in the long run. Let’s delve more into the importance of prioritizing quality when it comes to real estate investments.
Long-term appreciation. One of the primary reasons to prioritize quality over price is the potential for long-term appreciation. Quality properties in desirable neighborhoods with good infrastructure, amenities, and access to transportation tend to appreciate steadily over time.
Lower maintenance costs. Quality properties are often built with superior materials and craftsmanship, translating to lower maintenance costs over time. Investing in a quality property upfront can save you significant expenses on repairs and maintenance down the line.
Attractive to quality tenants. Quality properties attract quality tenants. Tenants are willing to pay higher rents for well-maintained, safe, and comfortable living spaces. By investing in quality properties, you can attract reliable tenants who are more likely to take care of the property, pay rent on time, and stay for the long term, thus minimizing vacancies and maximizing your rental income.
Resilience during market volatility. Quality properties tend to be more resilient during market downturns. Those in prime locations with strong fundamentals tend to hold their value better and continue to generate steady income even during challenging times.
Future development potential. Quality properties situated in growth areas may offer future development potential. As the surrounding neighborhood develops and property values increase, there may be opportunities to add value through renovations, expansions, or redevelopment projects. Investing in quality properties with strong growth potential can position you for significant capital gains in the future.
Peace of mind and satisfaction. Finally, investing in quality properties provides peace of mind and satisfaction, knowing that you’ve made a sound investment decision. Quality properties offer comfort, security, and pride of ownership, enhancing your overall investment experience.
Investing in premium property
For those of you who are building their war chest for that precious piece of premium property, FirstMetroSec gives you access to all the legitimate investment outlets in the Philippines—stocks, mutual funds and UITFs, ETFs, government and corporate bonds and even real estate investment trusts simply by opening, maintaining and monitoring one powerful account.
So if you would like to take that first step to investing, simply download the “FirstMetroSec GO” mobile app, complete the online registration form, and upload the documentary requirements—all in under 10 minutes.
Normally, you’ll have to fund your account initially with P5,000. But since we have been partners with Inquirer Property, we are giving you guys an opportunity to start investing for as little as P1,000! All you need to do is use the promo code ‘ANDOY BELTRAN’ when you get asked ‘How did you learn about us?’
Prioritizing quality
While it’s tempting to focus solely on price when considering real estate investments, savvy investors understand that prioritizing quality yields superior returns over the long term. By investing in quality properties with strong fundamentals, desirable locations, and potential for appreciation, you can build a resilient and profitable real estate portfolio that stands the test of time.
A wise man once said: “Quality is remembered long after price is forgotten.”
The author has 19 years of experience as an entrepreneur, real estate investor, stock broker, financial literacy advocate, educator and public speaker. He is the vice president and head of Business Development and Market Education Departments together with the OFW Desk of First Metro Securities Brokerage Corp. and is a member of Metrobank’s Financial Education Editorial Advisory Board. Email the author at [email protected]
