Owning a Home for 20-something

February 17, 2015

Whenever me and my younger sister have misunderstanding and my Mother will of course be in favor of my younger sister (even if she is wrong) I will have this thinking that I want to move out.
I really wanted to move out even during college days. Not moving out in a bad way but moving out to experience independence.
Owning a house and turning it into a home for just a 20-something may sound impossible. How could you possibly own a home when you are just starting to get a stable career.  A property nowadays cost 3 million. Could you possibly live owing the bank 20,000pesos a month?!
Is a house in your 20’s a good investment?!
I do believe that owning a house in your prime years when you have all the energy to spend working is a genius investment.
  1. A property appreciates in value. If in time you will need to sell the house and lot you’ll sure to be happy as the market value increases instead of decreasing over time.
  2. A property is an extraordinary achievement. Buying a house, owning a home is a good sign of a self-made individual. Someone who is secured of his/her future.
  3. A property means comfort of living in your own space. Nobody to scold you when you still haven’t washed the dishes or when you forgot to turn off the lights.
Things You Need to Consider when You Buy a House in Your 20s
  • Assess your financial capability first before putting all your heart and mind on buying a property.  Remember that buying a house will sure have hidden charges. Most computation will be Downpayment + Monthly Payment + Lumpsum. You will also need to save an amount for maintenance and other emergency payments.

  • Think long term. Always put the effect of your decision in a long term. For example, will you buy a house now knowing that you have a pending mortgage?

  • Save As Early as Possible. If you are 21 today and you see yourself buying a house in 5-7 years from now then start saving for it. Put aside a portion of your income to this goal.

Additional Tips
House and Lot that are on pre-selling tends to be much cheaper. Maximize this opportunity in your 20s.
Always research for you may encounter a bad developer just like what happened to the Globe Asiatique.
A rent to own could also do the trick because you know that you are paying for something that will be yours in the future. Nowadays there are more and more properties that do this service.
Think of buying a house as an investment wherein every investment has a corresponding risk. You study the risks and make sure that you only invest on things that will be beneficial for you in the future. Think wisely in your decisions.
Last week’s For 20-something post: Buying a Car for 20-something
More For 20-something posts:
  1. 5 Steps to become a 20-something Millionaire
  2. Buying a First Car for 20-somethings  New!
  3. Financial Tips and Tricks for 20-Something
  4. Why I am working on my Retirement Fund at the age of 20
Be better in your finances. Save Now, Invest Now and walk your way to success. Sign up in my Email List and receive templates to get you started in your Financial Wealth. Follow me on Facebook and Twitter for better updates. Godbless
Clariza Glino

Izza of SavingsPinay helps Filipinos bridge the financial literacy gap one content at a time by providing insights and tips on budgeting, saving, investing, side hustle and growing your net worth. Aside from this blog she also writes at www.izzaglinofull.com, a beauty and lifestyle blog for frugal Pinays and manages, www.izzagevents.com, a wedding and event business since 2011. For inquiries, topic suggestions or future collaborations email her at izza@savingspinay.ph


2 thoughts on “Owning a Home for 20-something

  1. Thank you for this added input Ms. Jill 🙂 Depende talaga yan of your long term goals. The good thing kasi to have a property is you can rent it to others or sold it on a higher value in the future. Exactly what happened to my workmate. 🙂

  2. I personally think it's not a good idea to buy real estate as an investment when you're young, unless, as you mentioned, you're ready to hold on to it for a long time. The old rule of real estate appreciating in value at a tremendous speed doesn't hold true anymore, and after taxes and closing costs, you might not achieve your projected income.

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