Condominium vs. House and Lot
Nowadays, most people are looking forward to a secured home investment that will last a lifetime. An investment that they can pass on to their children and grandchildren. Likewise, an investment that is not borrowed, but owned for their own benefit. This is one of the reasons why we are working hard every single day because we will not allow that our sacrifices be put into waste.
Before anything else, you should know that owning a condo or house and lot will depend on your end goals when it comes to home ownership. Each abode caters to a specific lifestyle need. Will you go for a resort-style home living or a village-type abode? Are you looking for a home with a panoramic view?
Each of us has a home living preference that is either fit for a vertical or horizontal lifestyle. Choosing an ideal home, then, between a condominium or house and lot might be a tedious task for you. For this reason, we have listed down factors that you may consider before having a final decision.
7 Things to Consider Before Securing your Condo or House and Lot
If you are a young professional or a starting family, then your top priority when choosing your home investment might be the location.
House and Lots are Pricey for a Prime Location
As a young professional, choosing a house and lot within the central business district (CBD) will incur a high cost of living since the demand for your expenses will double or triple than having a home in a non-CBD area. Likewise, owning a house and lot with a panoramic view of the nature, ocean, or city demands higher value of investment.
On the contrary, condominiums are more affordable than a house and lot even though most of these vertical villages are situated in a CBD and/or key areas of the city. A condominium unit may start from PHP 3 Million compared to a house and lot that starts with PHP 14.5 Million considering having a prime location.
Commercial Strips are Available in a Condominium
Where can you find a home that has convenience within reach?
As a starting family, you may opt to choose having convenience and comfort in one place by living in a condominium.
It is only in a condominium community where you will experience this. It is because most condominiums have their own commercial strips such as laundry shops, convenience stores, grocery stores, malls and the like within the vicinity in order to save the condo residents from the hassle of going out of the community just to replenish their lifestyle needs.
For instance, condo unit owners of Camella Manors are just 5-minute walk away from the commercial hubs because this condominium village is in front of its affiliated brands.
In this regard, you can always add to cart whenever you like at the AllDay Supermarket. You can also buy some home tools at AllHome. On the other hand, you can start your day with sumptuous pastries and an invigorating coffee for breakfast at the Bake My Day and Coffee Project. These are just a few good things of living in a Vista Township when you are a Camella Manors homeowner.
2. Price and Affordability
Apart from considering the location of the property, the next thing you should take into account when buying a condo or house and lot property is your debt to income ratio.
Primarily, house and lots are more expensive than condominiums because it occupies a larger space. With this, you need to bear in mind your other financial obligations besides your property. You need to clearly assess your capability in sustaining your lifestyle needs.
Despite the loanable offers of banks or PAG-IBIG financing in securing your property in the Philippines, you will find yourself being trapped with additional finances because of the interest you need to pay for 30 years.
Hence, it is recommended to secure your property investment from your assets rather than from loan interests. As a property hunter, you should not stretch yourself too thin in making ends meet.
Condo or House and Lot: Versatility in Price Range
When you do your research, you can see that condos offer a wide variety of prices at your disposal, which is tantamount to the unit space that you will avail. Unlike in house and lots, the prices are based on the sizes of the lot and space that you will get.
If you are a first-time homebuyer, then it might be difficult for you to see an affordable house and lot that is near key cities and has great lifestyle amenities.
In condominiums, you can still avail the lifestyle luxury because of its accessibility to commercial, business, and tourism hubs of the city. Furthermore, it has built-in amenities that can be used by the unit owner without worrying the maintenance of swimming pools, fitness gym, and the like by himself or herself.
3. Security and Maintenance
Condominiums are usually an exclusive community with heightened security compared to house and lots.
In a condominium like Camella Manors, the community has 24/7 security provision. The common areas have CCTV monitoring while there are guards patrolling in the area. Besides, the community is surrounded with perimeter fences, and the entrances and exits are well-guarded.
On Maintenance Expenses
Since condo unit owners are sharing expenses for the maintenance of the common areas and amenities, the maintenance cost is much lower to shoulder than in a house and lot.
For example, when the drainage system is clogged in the condo community, each condo unit owner will share in the maintenance expenses for it.
In addition, the utility bills are generally higher in a house and lot compared to a condo because houses use more space in general.
4. Landscape and Amenities
Even though some horizontal villages or gated subdivisions offer lifestyle amenities (i.e. swimming pool, fitness gym, jogging path, etc.) in the same way as in a condo, but villages and subdivisions do not have concierge or reception area that provide services such as visitor verification, emergency assistance, and delivery acceptance on behalf of the residents.
The Landscape of a Condo or House and Lot
Since houses are usually bought with a lot, house and lot owners have the freedom to revamp their piece of land with their preferred landscape. For instance, they can transform their extra spaces into a beautiful garden lot or a productive backyard for the family. Also, house and lot owners can utilize the extra spaces as a recreational spot for their pets and children. Therefore, the creative potential is endless for house and lot owners.
Compared to a condominium, the manicured gardens are handled by the property management. In this manner, condo unit owners do not have the freedom to revamp shared spaces such as the community landscape. With this, the only landscape activity that a condo unit owner can do is growing indoor plants in which they can place in the balcony or in the corner areas of their space.
5. Tangible Investment
In terms of investment, you need to identify your goal before securing your own property since both house and condo are great assets for your net worth.
If you opt to have a monthly rental income, then a condo property will be an ideal choice for you because you can always lease out your space whenever you like as a passive income.
However, when you are looking forward to having a capital appreciation in the long term, then owning a house and lot will be beneficial for you since landed properties appreciate twice or thrice more because of the incremental demand for lands.
On the Resale Value of a Condo or House and Lot
Practically speaking, condominiums have quick-selling value because of the perks and privileges it offers to the residents. In this regard, condominiums have more chances of being sold fast than house and lots.
Hence, if your priority is more on investment rather than occupancy, condominium is the better option for you.
One advantage of being a house and lot owner is the freedom that you have in revamping your property without asking for the permission of a property management. In this way, you can make your space accommodating for your family and guest. Likewise, houses do not have shared walls compared to a condominium since most houses are single-detached. In this regard, house and lot owners have more privacy than condo unit owners.
7. Perpetual Ownership
The common misconception about condominiums is it lasts for 50 years. As a property hunter, you need to know that both house and lots and condominiums offer perpetual ownership in your property.
The condominium corporation is the only one that lasts for 50 years according to Section 8 of the Condominium Act (RA 4726). As long as the condo is updated in its maintenance and the structure is still considered a sound building, then the condominium corporation can be renewed.
Have you already made the decision?
If you have weighed your home preferences clearly, then it is now time for you to secure your property investment. Either way, you are in a win-win situation because both properties are tangible investments that appreciate in value over time. Therefore, the only thing you should consider now in choosing between a condo or house and lot is your end goals that will perfectly cater for your lifestyle needs.