Home Buying Guide for Young Professionals

The tricolon phrase about the supreme importance of location in real estate was coined by Harold Samuel in 1944 when he founded UK-based real estate company Land Securities. It’s the most popular mantra in the industry, and hardly anybody will oppose the contention that location, indeed, is the most important factor to consider when buying and selling properties. 

As a young professional, there is self-fulfillment in achieving independence and financial freedom. Many working millennials also exhibit financial literacy when it comes to handling their finances by setting up a savings account for future use, such as funding their own house.

Location is also a top home-buying essential that young professionals need to seriously consider. And there are a number of location considerations that one must learn to make the most of buying property. In this guide, we cater to young professionals like you who are on the lookout for a reliable home-buying guide to kickstart their dream home hunt. 

Also read: Pre-selling vs RFO units: Which is the Best Property Investment for Young Professionals?

Seven home buying factors for young professionals

It’s been emphasized that location plays a quintessential role in the desirability of buying, selling, and investing in a house and lot in the Philippines. But what is with location, exactly, that homebuyers need to know about? We answer this question in this young professionals' home buying guide. 

But before the list of considerations starts, take note that in the long run, not all of these factors will be fulfilled, especially if you already have one to two locations in mind that you’re debating which the better real estate investment choice is. That’s perfectly alright. In the end, your personal choice of your own home and what constitutes a perfect house in a perfect location is what matters.

1. The Neighborhood 

It’s up to you what kind of neighborhood you’d like to see (places) and interact with (people) every day. But the neighborhood choice goes beyond personal and aesthetic preferences. 

You may also have to do a bit of research. Case in point: low to zero crime rate in a particular location is also one major factor in choosing a location for residency. This speaks highly of the type of people living within the area. Because let’s accept it: there are some areas in the country with high crime rates according to empirical data. It’s not being dramatic and choosy, it’s making sure you’re safe if you have to come home late from work in the dead of night.

2. Walkable, Bikeable Paths

The walkability of a certain location means there is enough space for joggers who could do a routine early morning exercise without, say, tripping on their way. Also, a good amenity for homeowners is a sprawling area exclusive for recreational activities for homeowners, where people could jog around and play sports to boost their physical health on a non-working day. Also, this means a community location that is friendly to people heading to destinations that are considered a walking distance, with walkable paths to make the walking journey to the grocery store something you’d look forward to doing, and not feel like a tedious chore. 

3. Centrality Considerations

You would not want to invest in a property whose location is devoid of amenities for convenience. This is where transport infrastructure comes in. For example, there are Lumina Homes communities that are near major expressways in the country, where residents of a specific province can travel to work in Manila and vice versa in a much shorter amount of time, which is courtesy of said expressways cutting commute time for employees in the capital region but resides in a nearby province. This also eliminates the need to relocate in the bustling metro, and just make do with commuting through an efficient mass transport system. 

4. Development Prospects

Aside from considering present amenities that will appeal to you, another factor to take into account in a location is development prospects. Is there a commercial establishment announced to soon be constructed within your area? The construction of new schools, shopping centers, and other establishments will greatly contribute to the appreciation of your property’s value over time. The presence of such establishments is a considerable amenity for present and future residents, which makes it a major factor if you’d later want to sell your properties and earn more than the amount you paid when you purchased it. 

5. Green Environment 

Many young professionals are pretty progressive. That is, they are advocates of the environment. It makes sense because the present generation is the inheritor of the environment, and taking care of it feels obligatory and the right thing to do. Having said this, a green neighborhood may be something you’re quite fancying. Good sceneries don’t always have to be tall buildings and a multitude of commercial establishments available. Sometimes, a green-looking environment is refreshing and conducive to relaxation, which many millennials typically desire in the noisy modern world. Areas which are completely lacking in trees are also bad for the health and adversely contribute to climate issues, so it’s not just a matter of what sceneries could be seen, but health issues to address. 

6. Affordability

Your choice of location also impacts housing affordability. If you have more than enough money, this is less of an issue. However, if the necessity of moving into your own home comes in but you are not fully financially ready yet, you might want to first assess your current financial situation and plan on your financing options such as a home loan. Besides, there is more to buying a house and lot than the downpayment and monthly payments. You will also need to pay taxes, mortgage closing costs, and later utility costs.

Needless to say, residential locations with greater amenities are more costly. You most probably won't be needing them. Besides, there are more affordable houses with adequate perks that are just as worthwhile and a good investment.

Having said this, applying for a housing loan through national saving programs such as Pag-IBIG and GSIS for government employees will aid in your financial deficits. Pro-tip: a higher down payment will reduce your monthly payment rates. Take advantage of this to save money.

7. Property Appreciation

As a young professional, you need to be smart when choosing to invest in properties. When carefully planned and studied, all investments are worthy. Then again, some investments are worthier than others, in the context of having greater potential yields compared to other investment vehicles. For example, you are torn between choosing a fixer-upper house that needs plenty of repairs but is situated in a considerably spacious lot, and on the other a perfectly fine home requiring only little to no renovations, but situated in a lot that’s half the size of the house necessitating repairs. Which would you choose, provided that the costs of both houses are exactly the same? 

In real estate, lot size matters just as much as location. In consequence, the better investment choice is the fixer-upper that would require repairs, yet is situated in a bigger lot. This is simply because the house runs the risk of depreciation, yet the lot can maintain its value or would even appreciate over time.

Lumina Homes: A Desirable Abode for Working Millennials

With over 50 key developments around the country, Lumina Homes offers an affordable house and lot for sale with location, location, and location carefully taken into consideration. Lumina Homes fully understands that the desirability of buying and selling properties is greatly reliant on strategic location and accessibility. Thus, in our housing offers, everything is carefully planned and amenities and other perks are in place for present and future Lumina homeowners. 

Proximity to commercial establishments, environmentally friendly neighborhood appearance, and perks such as free shuttle services with pick-up points are just some of the amenities that the Lumina community can guarantee to ease the daily lives of its prospective homebuyers. Lumina Homes is a trusted developer of an affordable house and lot, and its continuous expansion over the years is a testament to this fact. Get in touch with one of our Lumina agents and rest assured that you will be accommodated accordingly in your hunt for a worthy house and lot investment.