7 Tested Ways to Consider When Buying a House and Lot You Want to Call Your Home

By:  Gilbert M. Forbes
DepEd Quezon, CALABARZON

Everybody is excited of owning a house and lot.  But what if suddenly, your excitement turns into a disaster?  This usually happens when ones expectation to the property and the community falls below the perceived and even expected standards.  But these can be prevented if the following tips shall be considered.

1.  Long Term Goal and Income.  Consider your purpose and alternatives.  If you’re currently renting a house and the amount of rent is just enough to pay for the monthly installment of a mortgaged house and lot and the distance difference from the work place as compared to the property you are renting is manageable, you can go for it.  If not, and there are other alternatives, think twice.  You may still need time and possibly is advisable not to venture at having one.  Remember, a house and lot as financial adviser experts are saying will never be an investment unless it creates passive income or once it is sold and created reasonable profit.  You should also consider your current monthly income and your budget.  Should it eat up a sizeable portion of your income and your ability to save for both emergencies and future needs, you should consider post phoning it.  If it will result in over-stretching your budget, you might be having trouble and problems in the future, the worst-case scenario, your property after sometime got foreclosed.

2.      Payment scheme and interest rates.  Don’t be fooled by zero equity and graduated monthly installment schemes because you’ll end up paying more than expected in the long run.  Before getting a real state property like a residential unit, make sure that you have disposable cash or have savings enough to pay for the equity as well as emergency funds to pay for the monthly installments.

Most of us could only afford mass housing units.
(photo courtesy of google search)

Avoid credits e.g., issuing post dated checks for a year on a monthly basis or a cash loan to pay for your equity because it may over-stretched your ability to pay in the future.  This may result in default of payments and the worst case scenario, foreclosure of the property.  Instead of having a graduated installment, choose the fixed monthly installment plan from the very start of the paying period or years.  It will help you see the reduction in your principal, as such, lesser interest payments in the long term.

3.      Developers track record.  You should consider having a background check on the developer.  How long have they been in the business and what kind of social responsibility do they carry.  Don’t be amazed by their catchy marketing phrase, strategies and unresistable pricing and promos.  Consider having a research investigation on their numerous projects.  What are the feedbacks among the existing owners in those projects?  Are they satisfied of how their property turned out to be?  You could also consider the turn-over among their agents and employees plus the working relationships and satisfaction levels among their laborers.  Be reminded of fly by night developers who are after the profit, and of course your money, nothing more nothing less.

4.      Quality and workmanships.  Affordability of the unit should not sacrifice quality and workmanships.  All the specifications in the building plan should have been carefully followed.  Watch out for these particularly on low-end or mass housing units, even the high end ones for corrupt practices is a common place, among the laborers, foremen and project engineers either with the direct or indirect knowledge of the developers.  This usually happens when the workers are underpaid and their privileges are cut short or simply don’t exists at all.  When checking sample units and most importantly the unit you are planning to purchase, bring along with you persons who if not an expert is knowledgeable enough in building and construction who can tell you if the property is worth enough the amount of money you’re going to pay.  Also remember that with the advent of strong typhoons that are now becoming ordinary, it's resistance to this should also be one of the primary consideration.

5.      Location of the property or the subdivision.  The location should not be too far from the urban center.  If you reside in the city, except NCR and other highly urbanized cities in the country, it should be within 5-10 kilometer zone from schools, universities, hospitals, malls, government and business centers.  It should be strategically located that possible commercial growth is happening in 5-10 years as the city center gets crowded and some of the business operations get transferred to the suburbs or areas outside the city.  It will contribute much to the expected increase value of your property.

6.      After sales service and warranty.  Be sure, that after sales service and warranty is clearly stated in the contract.  Based on experience, one year warranty is no good, but 2-3 years is better just in time that construction defects may come out.  If your developer don’t offer it, then you may opt to look for other developers.  There could be better offers than what they can give.

7.      Residents institutional culture, values and orientation.  If the subdivision is no longer new, lets say, three years or more and already has an organized home owners association, consider how rules are implemented and are getting followed.  Consider small bits of traits that should exist in a planned neighborhood being a subdivision perse, e.g., a.) pathwalks, are they not occupied for personal utilization of home owners such extension of their sari-sari stores, talipapa, plants, dog house, car park, etc;   b.) what about garbages and presence of litters particularly in vacant lots;  c.) presence of stray dogs and cats.  The given samples are tests of their values and character.  If you can take it, then go on, if not, find another one or better just stay where you presently are to avoid head aches in the future.

There’s really much pleasure and joy in finally having your dream house that you can call a home of your own.  But owning one don’t merely come with a price.

(The writer has been a home-owner of a mass housing unit for almost eight years now.  He has been a member of their association's election committee since he resided on his unit in 2009 as such have been pretty much aware of what is going on.)

5 Tips to Consider When Planning to Install Home Solar Energy Systems

By:  Gilbert M. Forbes
DepEd Quezon, CALABARZON

A series of calamities that has rocked the country resulted to the increased interest in solar power.  I myself was not excused to this because just immediately after the typhoon Glenda is over, I bought my first solar power kit consisting of a 10-watts moncrystaline panel, solar charge controller, 12-volt 7.2Ah/20hr deep cycle Panasonic battery, two 1.5 watts led d.c. light bulbs and cellphone and tablet charger.

But what are the things that should be considered when you want to venture on the use of solar power as an alternative energy source as well as an investment to help save on increasing costs of electricity?  Based on first hand experiences and readings as a result of interest on this subject, the following concerns and tips should be considered.

1.  Average daily power consumption.  If you consume 4-6kwhr electricity daily, how many of these do you intend to be replaced by the solar power output you intend to harvest.  This will be the basis of the hardware (types, cost and number of deep cycle batteries, number and wattage of solar panels, type of solar charge controller and output power of inverter) that you will need and the cost that it entails.
2. The amount of investment needed and its return.  If your using an average of 4-6kw/hr daily, you would need at least Php75k to Php100k if you intend to totally cut your reliance on grid power.  This however will not be a one- time investment because you would need to replace your batteries every two years which could be translated to range from Php25k to Php50k unless new and long lasting cheaper storage batteries are introduced to the market as such, location of residence is one thing to consider so that you can select and decide what type of system your gonna install.
3. Location of residence, off grid and within grid.  If your living off grid, meaning, far away from power lines, i.e., far flung rural areas still unreached by local utility power cooperatives or companies, islands or islets, valleys, mountains, etc., then consider the off grid type of connection mentioned in no. 2.  It is still a lot more cheaper than continue on using gen. sets ran by gasoline.  In this system, you will need deep cycle storage batteries even when let’s say you intend to use it only during the day.  The cost as stated will depend on the expected total power usage that you choose.  The good news however is that there already available 12volt d.c. appliances now a days like light bulbs, electric fans and TV sets which means requiring lesser power and dependence on the converted AC power by

   

          This is the Php3.5k solar power system consisting of 

   12v 7.2Ah/20hr deep cycle deep cycle battery, 10watts 
   solar panel, solar charge controller, two 1.5 led light bulbs

   replacing our two 25w AC ligh bulbs for an average of 3hrs 

   every night plus cp charger.

   your inverters reducing stress on your storage batteries even when you use it during the day strengthening its life-span in return.  If you’re living in grid areas, meaning within the supply zones of utility companies or cooperatives, then it is not advised to cut connection from your local utility electricity provider.  What you need is the so called ‘grid tie solar power system’ which will no longer require storage batteries reducing your cost in return.  If you’re not at home during daytime, then you may apply for the so called net metering program so that the unused electricity generated by your system will be stored or given and used by your utility provider during the day and then return or withdrawn by you at night when you already need it.  With the absence of storage batteries, you should not expect for power during brown-outs but it will surely be a good investment returns of which is expected lets say 7 to 8 years at the most and then the remaining years, consider it your profit for using electricity for free!
4. Learn the basics.  Read and learn the basics on solar energy.  You should not rely on your agent unless you know him personally so as to avoid trouble and problems.  Without the basic knowledge, you will not understand the concept of load and actual power usage which may endanger the life span of your system particularly the life span and efficiency of your storage batteries.  You will not also understand how many batteries, its needed power and ampheres and the corresponding solar panels needed.  Consider also the strength of your panels in terms of temperature and wind speed that it can withstand and its life-span.  Solar panels now a days is expected to last for 25 years  
5. Installers and suppliers track record.  Don’t be fooled by sweet, lofty even interesting marketing strategies and sales talk.  Even on perceived brand superiority and cost versus the other. Consider the track record of the suppliers, the brand they carry, their innovativeness and the integrity of the installers.

Along this line, solar power system’s use is a promising technology because of its sustainability as well as its being environment friendly for it produces no pollution.  For the past years, its cost has decreased tremendously and will continue to do so in the years ahead.