Taking the exciting first step to owning your first home in the Philippines presents a key decision: pre-selling vs RFO (ready-for-occupancy). To make the right choice for your needs and budget, it’s crucial to understand the differences between these two paths. Let’s explore which option could be the perfect fit as you embark on the journey to your first home in the Philippines.
Pre-Selling: Building Your Future, Step by Step
Pre-selling means investing in a home that is yet to be built. Often based on plans and models, it allows you to secure a property early in its development.
The Upsides of Pre-Selling:
- Budget-Friendly: Pre-selling often comes with a more attractive price tag compared to completed homes. Developers typically offer introductory rates and discounts to early buyers, making homeownership more attainable.
- Easier Payments: Payment terms for pre-selling are usually more flexible. You’ll likely have a lower down payment spread out over a longer construction period, giving you more time to manage your finances. You can learn more about down payments and financing options on websites like Investopedia’s guide to down payments.
- Personal Touch (Sometimes): Depending on the construction stage, you might have the chance to select certain finishes, allowing you to personalize your new home to your liking.
- Modern Living: Pre-selling projects often feature contemporary designs, updated amenities, and master-planned communities designed for today’s lifestyles.
- Growth Potential: As the development progresses and the area develops, your property’s value may increase by the time it’s finished, offering a potential long-term investment benefit. Understanding property value appreciation is key; resources like this article from the Bangko Sentral ng Pilipinas on real estate trends can be helpful.
What to Keep in Mind with Pre-Selling:
The Wait: The main factor is the waiting time for construction to be completed, which can range from several months to a few years.
- Vision Required: While plans are detailed, you’re buying based on a vision. Choosing a reputable developer that is known for quality and reliability, helps ensure that vision becomes a reality.
- Delayed Move-In: If you need to move soon, pre-selling isn’t the right fit. You’ll need temporary housing until your home is ready.
Ready-for-Occupancy (RFO): Your Home, Right Now
Ready-for-occupancy (RFO) properties are completed homes that are ready for you to move in immediately after the necessary procedures.
The Benefits of RFO:
Move In Now: The biggest advantage is the ability to settle into your new home without delay. This is ideal for those with immediate housing needs.
See It, Believe It: With RFO, you can physically inspect the actual property, walk through the rooms, and assess the finishes and overall quality firsthand.
Established Neighborhood: RFO homes are usually located in existing communities with established amenities, landscaping, and a neighborhood feel.
No Surprises: Because the property is finished, there’s no uncertainty about the final product.
Things to Consider with Ready-for-Occupancy
Higher Initial Cost: RFO properties typically have a higher price compared to similar pre-selling units due to the convenience of immediate availability.
Less Flexible Payments: Payment terms for RFO might require a larger down payment upfront.
Limited Choices: You’ll have fewer options for customization as the home is already complete.
Potentially Older Features: Depending on when the RFO unit was built, ongoing pre-selling projects might offer newer features.
Your First Home: Making the Choice
At Ciudades, we offer both pre-selling and RFO options to suit different needs and timelines of first-time homebuyers.
Choose Pre-Selling if:
- You have time and can wait for your home to be built.
- You’re looking for potentially more affordable prices and flexible payment plans.
- You appreciate the possibility of adding your personal touch.
- You see the long-term investment potential.
Choose Ready-for-Occupancy if:
- You need to move in without delay.
- You prefer to see and touch your future home before buying.
- You value the security of an established community.
Explore the diverse range of pre-selling and RFO properties offered by Ciudades in prime locations in Cavite and Laguna. Take the first step towards owning your dream home with a trusted partner.
