Investing In Your 20s and 30s

Real estate investment is one of the best ways to make money and, even more, a great way to have a passive income.

But most people wait to reach their 40s or 50s before investing in real properties. In the majority of cases, people refuse to invest in their 20s because they don’t have much money to invest in real estate properties and the common notion that it is something that younger people cannot afford.

But, do you know that it is more practical to invest in real estate even though you only have a small amount of money? In real estate, the sooner you start, the more time you will earn money and make wealth.

For all the millennials who aspire to have their hashtag #BahayGoals as early as in their 20’s and 30’s, let’s talk about real estate investments.

Most Common Questions about Real Estate Investment

If you are a millennial considering investing in a property as early as now, this is the sign! Let’s take a look at some of the questions most people ask about home investment.

1. Why should millennials invest in real estate? 

Appreciation Rates

One of the best reasons why it’s great to invest in real estate as early as you can is because its value increases over time. When you invest in a property at a young age, you can have a more ample opportunity to witness the appreciation rates.

A residential property typically witnesses appreciation between 10% to 20% depending on the factors involved, like the inflation rate, location, and the current market demands.

For example:

Lumina Homes Angeli Single Firewall’s total contract price in 2018 = Php 1.2 million

Lumina Homes Angeli Single Firewall’s total contract price in 2021 = Php 1.9 million

As you can see, in just three years, there is already an appreciation rate of 30% to the value of the house and lot that someone bought in 2018.

Passive Income

Passive income is the amount of money you earn even without working for it, and yes, it’s possible! As it happens, one form of it is the rental income. 

This means purchasing a property is a smart way to generate passive income without exerting much time and effort. Buying or renting a property can bring a high return on investment over time.

For example, you bought an Angelique unit with a monthly amortization of Php 7,500 and has it rented for Php 10,000 every month. With this, you can have an additional monthly income of Php 2,500 and even pay your amortization without a sweat.

Pro Tip: You can even advertise your unit on property listing sites such as Airbnb as transient homes.

Tangible Asset

Investing in real estate is a smart move since any improvement you make will increase its value. That’s why it’s perfect for investing at a young age since the property value of a house and lot increases over time, which in return can give you a positive output.

2. What and where to buy a property investment?

Pre-selling Units

Also known as the non-ready for occupancy units. These units are slowly getting their popularity in the Philippines and are known to attract many investors because of their low market value. These are the units that don’t exist yet or are still under construction. It lets you avail of the introductory price, has a flexible payment option, avails no interest rate, and first-rate suitable location units.

Ready for Occupancy Units (RFO)

These are entirely constructed and developed units. Although they have a higher down payment with flexible payment terms, they usually have a faster turnover than the pre-selling units since you don’t have to wait for years until you get your house and lot.

You can commonly hear from investors that locations matter together with property accessibility. This is true, especially if you don’t prefer to live in congested areas like the metro. In this case, you can consider investing in provincial hotspots.

Read more about these ideal locations and the reasons why you should invest in these areas: 

• All The Reasons That Will Convince You to Choose Baras, Rizal as Your Newest Hometown
• What You’ll Love About Living in Sorsogon—A Prosperous Land Heading Towards Development
• 6 Things That Make Ozamiz City an Ideal Place to Live in
• Condo Living in Cavite: 8 Reasons Why the High Life in Cavite is Ideal

Suppose you’re looking for some great spots. In that case, you can check out Lumina Homes subdivisions across the country as they offer over 50 projects nationwide, including the provinces and cities in the Luzon, Visayas, and Mindanao.

Aside from considering the location of your property investment, it would be best to consider the economic activities and the development of infrastructures in the area where you are eyeing to buy your house and lot. This is important, especially if you would like to upscale the appraisal value of your home.

When is the right time to invest?

NOW is the right time to make your home investment. With the pandemic still on and all the travel restrictions, buying a property is made more accessible and more convenient through online and digital transactions. It’s smoother, faster, and safer.

This phenomenon also made remote investing possible through Lumina Homes Online.

Lumina Homes Online

Lumina Homes Online is a safe and secure online reservation website launched by Lumina Homes to cater to a smoother and faster transaction with all its future homeowners whenever and wherever they are in the world.

Aside from this, Lumina Homes also provide online payment options such as AllEasy and AllBank applications for more convenient transactions.

Millennials are being projected to make up a huge percent of homebuyers in the near future, and that’s why they are considered the next generation of real estate investors. Although everyone thinks that investing in real estate is challenging, especially when you are just in your 20s and 30s, it is never impossible.

With all the innovations and developments happening in the real estate industry in our country, now is the time to be brave and wise in grabbing that lifetime opportunity to achieve that hashtag #BahayGoals with Lumina Homes!

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For more information about the affordable house and lot for sale of Lumina Homes, please contact (0917) 629 6523.

Visit our official website at www.lumina.com.ph and like/follow our official online channels: Facebook, Twitter, Instagram, YouTube, Google MyBusiness & Google Maps, Pinterest, Spotify, Viber, Telegram, Lazada, and Shopee.