The boom of pre-selling condos is rapidly dissipating, urging Millennials to invest now in a condo for sale in Makati or in other hotspots while the going is good.
The Lowdown in the Condo-Selling Market
A recent industry analysis indicated that fewer condo units would be coming into the market from the new projects launched in 2016. This study noted that developers are holding back on building despite the strong rebound of condo pre-selling last year. A weak rental market was cited as the reason for this cautious sentiment.
But the thing is, Millennials shouldn’t miss out on the current market opportunities which are indeed attractive as shown by the recent uptick in pre-selling condos. Pursuit of Passion lists the reasons why now is the perfect time for millennials to hunt for pre-selling condo units:
Real estate developers offer pre-selling packages that are extra advantageous to Millennials, the biggest demographic with buying power. Having first-time home buyers, especially Millennials, in mind, local developers sweeten their pre-selling offers via flexible payment terms. Many developers, for instance, are offering substantial discounts for spot cash purchase or down payment on the pre-selling condos they’re offering.
The earlier a unit is bought, the more it earns from its value appreciation. Millennials who have reached financial maturity would be glad to note the great investment potential in a condo unit with its future value appreciation. In one projection of Colliers, it was estimated that prices of condos in the Makati central business district (CBD) are poised for a 12-month gain of 14 percent. For Fort Bonifacio and other developing estates, respective annual increases of 8 and 10 percent have also been projected.
Pre-sold units can be significantly cheaper than units that have been completed. Acquisition of a condo unit at a relatively cheaper price is another great advantage of availing of pre-selling activities of developers. Compared to the price of a completed condo, a pre-sold unit could be priced 30 to 40 percent lower, thus maximizing its potential returns to a buyer.
Early buyers get a chance to pick among the units with the best locations in the building. Pre-selling condos allows the typically discriminating Millennial home buyer to have the first crack at choices in a condominium still under development. Being among the first in the buyers’ queue allows better options on the units’ location within the building, such as units with the best views or with the square footages that suit the particular lifestyle of a buyer. An immediate purchase, in addition, offers the chance to take advantage of rental possibilities and thus partly recoup monthly amortizations for the purchased unit.
ALSO READ: How to be a Condo Owner in Your 20s
In sum, today looks like the best time for Millennials to jump into opportunities of pre-selling condos in the market. It looks certain that future supply shall diminish significantly, and so it is better to engage the market while the pickings are still plenty. Act now on a condo for sale in Makati or on other pre-selling developments in other prime areas such as those in the east, specifically BGC, and reap the rewards of a proud homeowner.
A visit at Avida Land will show you all the choices for pre-selling condominiums just waiting for you. Work on securing the perfect unit, and turn yourself into a proud homeowner, just like your other Millennial friends.