Finally, the time has come for you to bring the house and lot for sale of your dreams into life. You already have the perfect house and lot for sale in mind (and in the galleries of your phone), you have got the finances, the eagerness, heck, you can even hear your furniture and stuff screaming, “Pack us up already!”. The perfect home for you and your family is already within your reach; so near that all you have to do is to hand out the money, or swipe a card, or write a cheque. But at what cost?
By that we mean, how much should you pay for your house and lot for sale? Pay it on full cash? Monthly mortgage payments? Get a loan from a bank? Why should you have to think about this? We are here to advice you about just that.
Are you ready? Like really ready for monthly mortgage payment and other things like homeowners insurance?
Are you ready Like really ready for monthly mortgage payment and other things like homeowners insurance
Buying a house and lot for sale will be one of the most crucial decisions in your life. It can be the happiest and exhilarating, but it can also be very stressful. Additionally, paying such an amount can either make or break you. Say you have the amount of money that is already enough for you to purchase your dream house in cash, but do you have more money for everything else? You have a brand new house to call your own but what about money for furniture, for your kids’ tuition, and for food?
This is why you need to choose your mode of payment wisely. Not all things can be easily bought without some consequences.
Some hidden costs that may cost you
Some hidden costs that may cost you
Additionally, there are additional fees that you may not be aware of and might snatch away your finances meant for something else. Here are some of the factors that you need to take note of when buying a house and lot for sale:
Notary Fee
Being a 1-2% of the total property price, this needs to be paid in order to have the Deed of Absolute Sale notarized. There is no fixed price for this, however, and you can very much negotiate this with the seller
Local Transfer Tax
In the province, this cost around 0.5% of the property value whereas it costs 0.75% for properties in Metro Manila. When transferring any kind of property, this needs to paid.
Registration Fee
Up to 1% of the property’s selling price, this refers to the local Registry deeds of the area the said property is at. Though this, the property is now then legally registered to transfer the ownership.
Moving-in Fee
Unfortunately, there is also another fee to shoulder in order for you and your family to move into your home once it is livable. It is called the moving-in fee. Don’t worry, though, for this also includes necessary utilities, subdivision and association fees, etc.