5 Benefits of Buying Real Estate Now

benefits buying real estate

Never-ending lockdowns, an economic recession, an impending breakout of war, are among other uncertainties that the Filipinos or even the whole world have endured for the past two years. But amidst all of these uncertainties that COVID-19 has thrown at us, some of us are still planning to invest in real estate properties, because why not? Things seem to be getting better since 2021, there would be an imminent recovery for our economy for sure. Thereby giving more unique opportunities for real estate investors whose needs have been influenced by the pandemic plus if you’re in a financial capacity now. As our economy is on its continuous way to recovery this 2022 and vaccination programs are rolled out, now is the time for you to seize the opportunity to search more about the benefits of buying real estate or how you can benefit from buying real estate now that offers the greatest potential to grow in value.

There are tons of benefits from buying real estate now, passive income, equity, and monthly rents. These are just some of the benefits that come with investing in real estate. You have a ton of options when it comes to investing in real estate. You can purchase a small family home, then rent it out and collect monthly rent checks while waiting for its value to make its way up high enough to generate a big profit when you sell in the future. Or perhaps you can buy a small commercial lot and collect monthly rents from different business establishments such as hair salons, food kiosks, and other businesses. You can even go bigger and invest in an apartment building with a bunch of units, collecting a stable monthly rent income from your tenants.

Despite the tons of benefits that you can derive from investing in apartment buildings, commercial properties, and small family homes, they still come with risks. At the end of the day, your main goal is still to invest in properties that increase in value over time. Real estate investments, just like the other investments, don’t always give high returns. There are instances that the real estate you invest in loses value over time if you’re not wise about it.

You just have to do your research to find out which type of real estate investing is the best fit for you and which could provide you with a solid income boost. These are just some benefits of buying a real estate now. Investing in real estate still remains one of the best moves that you can make even at a time of global inflation caused by the pandemic.

Take a look at the five benefits of why real estate is considered a good investment.

1. Real Estate Increases Its Value Over Time

One of the benefits of buying a real estate is that when you buy movable properties such as automobiles or devices their value usually begins to diminish the minute you buy them. Unlike when you buy real estate, its value rises alongside with time. In the Philippines, real estate assets acquire their benefit from the gain in value, specifically in metropolitan areas with a flourishing population. If you chose the perfect location– those closer to prime and commercial locations– you may foresee immediately the value of your investment in real estate such as townhouses and condominiums for sale to rise and grow in the near future. Well-chosen real estate appreciates over time, generally at a rate that far outpaces annual inflation. This is one of the best ways how you can benefit from buying real estate now such as commercial spaces.

Another reason is that, with its low risk and high return potential, real estate is surely one of the best investment options. It provides a safeguard against inflation as property values rise over time. Income generation is one of the most important aspects for parallel property investors, aside from having a permanent residence.

Real estate has a similar mantra with the stock market, it is to “buy low and sell high.” And real estate always has an intrinsic value. A stock can go down to zero, but a property is a tangible asset that will always have value derived from both the raw land and the “improvements” (the building structures attached to the ground).

Moreover, the real estate industry offers a more productive and safer investment than any other investment out there. At a time of uncertainty like this present times of pandemic, you will still find positivity, confidence, and peace of mind in your real estate investment. Some predicaments may be experienced at the present because of the pandemic but you can never know, the economy is slowly getting back at its feet, and still looking hopeful to move forward and grow in the long term. Another thing is that, even if you are buying real estate for the first time and without knowledge about it, don’t stress out because it does not require in-depth industry knowledge unlike stocks investment or any other investment opportunities, you can take advantage of real estate opportunities without hassle plus you can easily ask for the help of some quite trusted real estate companies in the Philippines like BRIA Homes.

Take a look at this article, Property Value in BRIA Magalang Up By 28 Percent, proof that real estate is a very well-performing asset that can thrive despite difficulties around it. While the country’s economy is still in the recovery phase, property investments continuously rise in its value over time.

2. Obtain More Property Options From Developers With a Good Reputation

Look for the credibility of the property developer by looking at their past projects to see if the quality of their completed projects live up to what was promised. Are they affordable, fast in construction, and good in providing service for their customers? Then if yes, you should definitely go for them. One of the most reliable and main key players in the real estate industry is BRIA Homes. For a greater reason, it’s really important to make sure that the developer has a track record of completing their projects on time.

As mentioned earlier, one can take advantage of real estate opportunities without obstacles more so you can easily go and ask for the help of trusted real estate developers in the Philippines, like BRIA Homes, one of the dominating housing developers in the country. BRIA Homes is dedicated to helping you maximize your real estate investment by offering you the most affordable house-and-lot packages and condominium units closer to your family.

3.  Steady Robust Economy

If you’re still wondering when is the best time to invest in real estate in the Philippines, then the answer is NOW. You definitely can benefit from buying real estate now due to the resiliency of our economy to get back.

The country’s real estate industry is sturdy and thriving, with favorable odds foreseeable in the future due to the country’s sound economy, rapidly growing population, and increasing urbanization. Moreover due to the fact that housing prices in the Philippines are at their all-time high with a 26.6% YoY increase in 2020. Moreover, the first quarter of 2021 reports the demand for houses outside of the Metro increased by 21% compared to the first half of 2020. Meaning, there is now the desire to invest in a home setting that sparks off a safe and comfortable lifestyle.

Our country works in a macroeconomic environment where the government, investors, and consumers play vital roles in keeping the economy stable and flourishing. With the expansion of the Business Process Outsourcing (BPO) industry, foreign investments, and the steady inflow of our OFW remittances continue to make the economy robust, hence paving the way for promising real estate investments. Again, as seen from the past, the country’s economy is highly resilient, creating a solid and flourishing market for the real estate industry.

Although our economy may be sensitive to different risks such as political, natural, and global financial, it is nonetheless very resilient. Our country’s 110-million strong population of young (average age 25), highly literate, and dynamic consumers, create a demographic window that translates into a robust market over time. This, combined with the government’s infrastructure projects, it will definitely serve as a growth engine and pave the way for a sustained recovery. With a lot of infrastructure projects underway, while we’re still in the pandemic, and completion dates within sight, an appreciation in land values is certain.  Check out this article from BRIA for more– Advantages of Millennials in Real Estate Investing and Pandemic drives millennials to invest in BRIA Homes for comfort, convenience, and safety

4. Increase demand for Office Spaces and other Commercial Spaces

The country’s BPO industry is in steady growth and is expected to provide additional services to cater to global outsourcing needs. Essentially, the Philippine outsourcing industry is foreseen to account for 22% of the global outsourcing market in 2022 and is expected to grow by 9% every 5 years. Fascinatingly, while the bulk of the current BPO seats is still in Makati, the combined seats in Pasig and Quezon City surpass Makati’s in number, showing the dynamism of these areas. All of these will of course increase the demand for additional offices and workspaces, paving the way for real estate investors with a lot of opportunities to buy, hold, and sell properties, another way is how you can benefit from buying real estate now such as commercial spaces. See this article for some tips when renting out your property and how to maximize your passive income from rents, Rental Property Tips for Your Bria House and Lot.

Moreover, one of the benefits of buying a real estate is that it does not set limitations on your property. Like this booming opportunity for the need for more office spaces, you have a tangible asset that will allow you to be in full control of your investment. You will be the master of your own time, you can earn while staying at the comfort of your home, you will generate a passive income through rent income from these office spaces. There are plenty and infinite opportunities that you can explore when you buy real estate.

According to this article, 5 Ways to Make Your House and Lot an Income Property, one of the advantages of the rental business of your property is that it can be easily done at the comfort of your home, however, you should consider different factors if you are ready to be a landlord.

Another business opportunity is that you might want to transform your property into a commercial property. Turn it into a wedding and events place, outdoor weddings are much in not just for this year but in the long run as well. This will go well especially if your property is located in nearby provinces with a nature-friendly environment and breathe of fresh air. It will drastically increase your profit by utilizing your location.

Or if one of your dreams is to have your own restaurant, this might be the perfect opportunity for you since you are already owning the property, you don’t have to pay a hefty amount of rental for lease space! Outdoor dining is also in this year because of the pandemic but still great in the near future. With a great ambiance, good food, you will never go wrong with this business. You are highly utilizing your property, you can even earn more just be dedicated to learning and improving the business!

5. Real Estate Laws Are Buyer-Friendly in the Philippines

Real estate investment is growing in the Philippines because the country has one of the best real estate policies. Real estate laws in the country are fundamentally buyer-friendly. But still considers the benefit of both seller and buyer to have their equal rights regarding their properties. Property tax is also determined based on the current and fair market value and assessed according to use.

So if you’re now considering buying real estate to make it as an investment, check out this article on how to build a portfolio Investment–a collection or ownership of assets, How to Build Your Investment Portfolio. Also if you’re still unsure on what or how to buy real estate, you might want to visit this article and give it a chance, Guide on Your Home Buying Journey.

Written by Katherine Kaye Villafuerte