Investment 101: The Ultimate OFW Home Buying Guide

Indeed, we now give much better recognition to OFWs as the economy's modern-day heroes. The amount of time, effort, and hard work that they're providing in exchange for their family's comfort, dreams, and needs are truly extraordinary. If you're an OFW reading this article, you're probably in search of the initial steps on how to buy a house and build your home. Now, you're finally taking the initiative to work towards your ultimate dream, to own something that you can call your own. Or maybe, it's another way to even grow your investments.

But since you're away from home, it might be a little difficult to grasp the processes and do extensive research to buy a real estate property. This is a crucial financial decision that requires focus and attention, so you may end up struggling through the process of purchasing your dream house and lot. And it'll be much more challenging to meet all the necessary steps, especially since you're working hard overseas.

Hence, you must need a guide to help you turn that dream into a reality. Worry no more as we will provide a comprehensive guide on how to buy a property in the Philippines for an overseas Filipino worker like you!

Three Things OFWs Must Consider Before Buying a House and Lot in the Philippines

There are certain things that OFWs must take into consideration when buying a property. That includes the preferred location, the reputation of the developer, and your allocated budget.

The Perfect Location

This is probably one of the most challenging stages when buying a real estate property. While it depends on your purpose, the location needs to meet your preferences. Should it be in rural or urban areas? Do you prefer somewhere quiet or near the city? You also have to consider the accessibility to markets, schools, hospitals, malls, government facilities, and much more.

Assess your needs and make sure to consider where you would want to settle. Commercial areas are fast-paced environment which gives you easy access to your basic needs and even leisure. On the other hand, suburban areas like provinces are the perfect locations if you want that dreamy, vacation-vibe areas.

The Developer's Credibility and Reputation

Another thing to consider is the credibility and reputation of the housing developer that you'll pick. There may be lots of options but you must take time to know each and check for reviews. Credible land developers must maintain their standing, execute plans right on time, and has the integrity to deliver what is promised. Check their online presence and go through their social media pages and have someone you trust in the Philippines check out their sites.

You'll be soon covering the real estate transaction costs, fees, down payments, and others so it's crucial to know if you're transacting with a legit one. Scammers and fraudsters are still prevalent, especially in the real estate industry. An OFW like you who's interested to buy a house and lot is an easy target. Hence, transact only with a reputable developer to avoid bad experiences.

Your Budget

Of course, your allocated budget is one of the key things that you must consider when buying a house and lot property. Think about how the price and initial expenses will affect your financial balance in the long run. You are entitled to scout as much as you need to know which price ranges fit your budget. This will most likely dictate the type of house and lot property that you'll purchase.

So, when considering your budget, you must check the monthly mortgage fees, real property tax, association fees, and property insurance.

6 Easy Step-by-Step Process on How OFWs Can Own a Real Estate Property

Step 1: Do Your Research.

Your investment is a milestone so you must make sure that you're heading on the right path. Hence, when looking for houses and lots to buy, you must consider the environment, the amenities, accessibility, and services that are readily available. Source as much information as you can and focus more on what the actual homeowners think about the community. Simply reach out to them via social media and start your review.

It's great if you're physically present when looking for the right developer. But if you're away from home, it would be best to ask a family member to check out sites, inquire about information from real estate brokers, and get opinions from peers. Have you decided what type of house you'll be getting? This can also dictate your choices in buying your dream house. OFWs can consider a condominium unit, townhouse, and houses and lots that are either single-attached, single-detached, bungalow, duplex, triplex, or even multi-level.

Step 2: Find a Reliable Property Developer and a Professional Real Estate Broker.

The next step is to find yourself a reputable developer and a legitimate real estate broker. Since it may be difficult to scout physically, you must find a real estate company that has an online presence and can provide answers to your queries. To get you started, check if the real estate developer sticks to their promises. Do they adhere to only using quality materials and building houses with high standards? Or does this developer meet timelines?

Avoid future problems by taking your time to really know your developer and don't just settle with filtered reviews. Also, you must work with a professional real estate broker. Check if your broker is recognized by the developer you wish to transact with and most importantly, verify your broker's license.

Step 3: Hire a Representative.

Now, when you're happy with your progress and wish to start with the process, hire a representative on your behalf. In usual circumstances like this, the real estate broker, agent, or developer must provide e a Special Power of Attorney or SPA document. The OFW should, therefore, sign and have consumerized to give any trusted representative or Attorney-in-Fact the power to sign legal documents on their behalf.

Step 4: Comply with the Documents.

Once you have assigned an Attorney-in-Fact or a trusted representative, you must now fulfill the documents needed to start the process. The documents needed may vary depending on your chosen developer's requirements but they are usually the following:

• Consularized Special Power of Attorney authenticated by the Philippine consulate

• Proof of Income for Three Months

• Proof of Billing in the Philippines

• TIN Number

• Consularized Certificate of Employment and Compensation

• Employment Contract with the Seal of the Employer and Signature of the Authorized Personnel (employment contract must be in English)

• Post-dated checks (PDCs) for the down payment.

• Passport and IDs photocopies or scanned copies

Step 5: Apply for a Loan.

If you are prepared to pay in cash, that's great! But if not, then the Attorney-in-Fact or your chosen representative can apply for a housing loan via bank, Pag-IBIG, or SSS. Real estate properties will provide you with an option to apply for bank financing or go for government financing options.

Step 6: Open a Checking Account.

Finally, you can now open a checking account to pay for the monthly amortization. It won't be necessary to open a new bank account. Simply open a checking account under your existing bank account. Remember to keep track of your expenses and make smart financial decisions.

Congratulations, Kabayan!

Lumina Homes: The Key to Your Lifetime Investment

Let us help you secure your very own house and lot with affordable yet quality housing projects! You and your family members deserve a home that is built to last.

Lumina Homes envisions itself as one of the top-listed housing developers in the country. We provide affordable housing opportunities under easy financing terms that you can check out.

From 800 hectares of house and lot developments, we now cater to over 100,000 homeowners. We are true to our mission to provide Filipino families with the quality home and life they deserve.

With over 50 housing projects in key locations across the country, you have plenty of options to choose from and settle down. Check out our Rizal, Bulacan, Pampanga, Bataan, Zambales, Nueva Ecija, Tarlac, Pangasinan, La Union, Cagayan, Isabela, Cavite, Batangas, Laguna, Quezon, Camarines Norte, Albay, Sorsogon, Iloilo, Capiz, Cebu, Negros Occidental, Agusan del Norte, Zamboanga del Sur, Bukidnon, Misamis Occidental, Davao del Norte, Davao del Sur, and South Cotabato Lumina communities today!