Should You Buy or Rent a Condo Unit?
You should always consider your budget and requirements
Living in condo units seem to be the trend nowadays. With buildings strategically located near commercial centers and major landmarks, it's more convenient to get from one place to another.
After deciding that high-rise living is for you, the remaining question is: should you rent or should you buy your own unit? There are important factors that you need to consider—budget, space, and convenience. Let the tips below guide you.
Read the original article in the May 2014 issue of Real Living Magazine. Download your digital copy of Real Living on the Real Living App. Log on to summitnewsstand.com.ph/real-living for more details.
You’ll have lower living costs, generally. If you fear that your current means of income is temporary and you cannot afford a large down payment upfront to buy a home, renting is the cheaper and easier option.
You are not required to pay property taxes. This falls under the responsibility of the landlord or property owner. “They need to pay it as responsible property owner, and since the law requires them to do so,” shares Atty. Ruel de Guzman.
You have no liability except for what’s stated in your lease contract. You don’t have to deal with technicalities that are your landlord’s responsibilities such as utility problems, maintenance or neighborhood association dues.
You won’t be limited in terms of design. When you’re a renter, there’s little commitment with the space. When you rent, you are often limited to changing the layout or painting over the furniture that you own to be able to personalize the space.
You’ll build equity. If you’re paying for amortization, you’re actually gaining equity and ownership with each monthly payment you make.
It’s a good investment in the end. Unlike rent which goes nowhere, buying a home turns out to be more cost-effective in the long run, because what you’re paying goes towards something you own. Also, owning a property adds to your list of assets and overall worth, which gives you better credit.
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