ASK A PRO. ASK A BROKER: I WANTED TO BUY A PRE-SELLING UNIT. BUT I AM HESITATING IF I CAN SUSTAIN MY MONTHLY PAYMENTS. SHOULD I PURSUE OR JUST SAVE MONEY THEN BUY LATER?
Unfortunately, there are a lot of cases where a person bought a condo unit at preselling but were unable to sustain the monthly payments that they ended up losing all the money they paid. Here are some tips to avoid this to happen to you:
1. Make sure that the monthly payments are only equivalent to 30% of your gross monthly income.
2. Have an emergency fund equivalent to at least 6 months of your monthly expenses. This will help you in continually paying and avoiding default in the event that you got financially tight and needed to liquidate the property.
3. Before investing, have a clear goal and a backup plan.
It is important to not let yourself go into default.
If you are financially confident and ready to invest, it is best to invest now than later. The money you save in the bank does not earn reasonable interest. The property that you are looking into right now will be much more expensive later than the money you saved will not be enough. You may get the services of a licensed broker to guide and help you in finding the right investment for you. Feel free to reach me. All the best to you!