Dear Millennials: Stop Renting. Buy the “Ugly” House.
The “Avocado Toast” Myth is a Lie. You Can Afford a Home. The news tells you that millennials will never own a home. They say a 24sqm studio in the city costs 6 Million Pesos. They are right about the studio. But they are wrong about your options. The Hack: Stop looking at “shiny” new […]
The “Avocado Toast” Myth is a Lie. You Can Afford a Home.
The news tells you that millennials will never own a home. They say a 24sqm studio in the city costs 6 Million Pesos. They are right about the studio. But they are wrong about your options.
The Hack: Stop looking at “shiny” new builds. Start looking at Bank ROPA.
The “Starter House” Strategy
Your parents didn’t start in a mansion. They bought a small, possibly ugly house, fixed it up, and traded up later. Bank auctions are full of Townhouses in Cavite, Laguna, and Rizal selling for 1.5M – 2.5M.
- Monthly Amortization: ~PHP 15k – 20k.
- Comparable Rent: PHP 15k – 20k.
Sweat Equity > Cash Equity
You might not have 1 Million cash, but you have energy. Buying a foreclosure allows you to build Sweat Equity. You buy it cheap because the paint is peeling. You paint it yourself on weekends. You just increased the value of your asset by 20% for the cost of a bucket of paint.
Be a Owner, Not a Tenant
Don’t pay your landlord’s mortgage. Join the auction, buy the “ugly” house, and make it yours.
