8 Questions to Ask Yourself to Know If You’re Ready to Buy a House

Updated: October 16, 2021

Are you thinking of buying a house soon? If so, then understand that once you decide to purchase a home, then it will be difficult to back out from the financial responsibility that comes with it.

Knowing the type of home, your budget, and the features you prefer is not enough; there are many other factors to consider, and most of them start with yourself.

This is a big purchase and you really might need to work on a few things first to be ready. So ask yourself these questions, which Lamudi Philippines compiled, to make sure that you’re prepared to finally buy a home.

1. Are you financially responsible?

To start, one must be financially responsible before making such a big purchase. You must be mature enough to sort out your finances.

Moreover, it’s financially sensible to conduct research on the property, its location, and the seller or developer. Doing due diligence before making a purchase will greatly reduce your risk of getting scammed.

2. Are you patient?

Be patient and do careful consideration before making a final decision. Talk to experts and ask them questions if you must.

Buying a home is a slow and tedious process, and it should be. It’s best to tarry a bit during homebuying, lest you make an impulsive and expensive purchase that you’ll regret later.

In addition, you must be patient in dealing with people as you’ll talk to brokers and sales agents, and bank and loan officers. Then there are visits to the BIR, the Registry of Deeds, and various government agencies — expect your patience to be tested here.

3. Do you know how to maintain a home?

Being a homeowner means you’re now responsible for everything that goes inside your property. This time, there will be no landlord to call when there’s trouble.

Hence, you must know how to solve basic home problems and emergencies such as a leaky faucet, broken fixture, clogged toilet, and water-stained ceilings.

Knowing how to clean, maintain, and fix a home gives you confidence that you can take care of it for a long time.

4. Are you ready to settle down?

It’s not recommended to buy a house if you’re thinking of moving to another place after five years. It will be another long process should you ever decide to sell your house.

Furthermore, selling a home property within five years rarely produces any significant profit. On top of that, there’s the hassle and costs of moving to another house.

If you feel that you’ll be required to move to a new location anytime soon, then it’s better to put off buying a house and just rent for now instead.

5. Are you financially stable?

Keep in mind that you would have to shell out money throughout the whole process of buying and living in a house.

Searching and coordinating with an agent will incur expenses. It might take months before you can get your hands on your desired property, all the while eating at your budget.

And once you’re done with the purchase, a steady flow of income is necessary to pay the mortgage if you applied for one; as well as to pay the maintenance costs, association dues, property taxes, and other costs of being a homeowner.

6. Do you have enough cash savings?

Never purchase a property without considerable savings. Relying on your monthly paycheck to pay for the loan can leave you bone-dry, especially if a financial emergency happens.

Your savings can cover the costs of sudden repairs when needed. It is your safety net in case an unexpected expense happens so that your monthly budget and mortgage responsibilities remain intact.


7. Are you free from debt?

When buying a house, it’s ideal to have no standing debts. Although not all debts are bad (a mortgage, after all, is a form of debt, so too are credit card purchases), your cash flow should be healthy and you’re not revolving any short-term credit.

With a mortgage coming into the picture, it’s best if you can set aside around 30% of your income for the monthly loan repayments. This will give you enough elbow room to take care of other expenses.

8. What is your ideal home?

Know what you’re looking for. Ideally, it should be something that you both need and want. More importantly, it should be something that you can afford.

In real estate, the second most important adage is “drive and drive until you qualify,” and this is very much true in the Philippines.

Homes within the city are expensive and become more unaffordable as you drive further out. However, this does not mean that an affordable home is difficult to find.

A little research, a good dose of grit, proper money management, and lots of patience could lead you to your dream home sooner than you think.

This article is written by Nivelle Dumlao, a content writer for Lamudi PH and MyProperty.ph, two of the Philippines’ largest real estate websites

What to do next: Click here to start your financial journey with IMG Wealth Academy


  1. How I wish I could have read this article (particularly Question Number 2) before we bought a lot somewhre in Caloocan North. I am a very patient and inquisitive person but we failed to consider No. 2 since we were handed with a title. I even worked at the Records Unit of the Lands Management Section, DENR Ilocos Sur, but i was not aware of any possible scam that could happen.Well the title was real but not authentic. What do I mean? According to the registry of deeds there is no problem with the title but the process by which the title was prepared was erratic. This is where I failed coz I trusted the work of my colleagues in the government service. We longer verified the payment of taxes and other fees. As a result we were made to pAY taxes, penaties and other fees that accrue in the purchase of said lot which amounted to a quite large amount before we were able to transfer the title. I wish my experience could be a lesson to others.

  2. If you’re deciding when to invest in real estate here in Philippines, now is the time.
    Real Estate is growing and I think it will still go up in the following years .
    You know real estate prices are getting to be more and more affordable nowadays, particularly house and lot packages in the country. And amount on these units are more affordable, it’s almost like paying rent. Let me know if you want to explore the options available and I will glad to help you.

    Visit us at http://macrealtyservices.com/

  3. My biggest regret in purchasing a home in the Philippines: I had no idea when I handed over the cash from the sale of two stocks purchased in the great market meltdown of 2008-2009 and sold for well more than a double that my future bride was going to start a business. I was really planning more for retirement! The business was and is a rip roaring success. I would love to add even more capital to grow this venture. My first thought was, take a mortgage against the free and clear property. Both my wife or I could qualify on our individual incomes but here is the kicker: Philippine banks will NOT issue a mortgage unless it will be paid of in full by your 65th birthday. After that magic day, my income no longer counts so NO loan for me! Since our business is just now touching the two year mark, that also will not count with the bank for a business loan. Your business MUST have at least a three year track record for the bank to consider a loan. Also, another issue to consider: Capital gains tax on real estate. Foreigners such as myself really need to pay attention to this one. The truth is, this is NOT accurately labeled. It is NOT a tax on capital gains. It really should be called a real estate transfer tax that is paid each and every time a property changes hands. The transfer tax is owed by the owner of a property but I have seen many times Philippine property owners try to convince a foreigner and his wife that they need to pay this tax. Be cautious and please, KNOW the laws.

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