Updated: December 3, 2015
Aside from the stock market, real estate is another popular investment that Filipinos go into. From house and lots to condominiums, from apartments to commercial and office spaces – there’s really a lot of income opportunities in real estate.
For today, we have an article contribution from Marvin, who shares with us his story of how he got into real estate foreclosure investing. Let’s read what he has to say below.
“¨”¨After the wedding with my long-time girlfriend, we rented out a small room of about 14 sqm in an apartment, which is near the office of my wife. This small room is only big enough for two people to sleep in, but has its own restroom that is good for our privacy.
We are those type of people who don’t want to live in their parents’ houseÂ once married. We believe that doing so will create problems and misunderstanding within the family.
It’s common that when you’re starting a family, there will be a lot of sacrifices, challenges, and adjustments.Â So, we’re expecting these kind of roadblocks along the way; and as long as you love each other, we know that we can overcome it.”¨
Our First Rented Apartment
“¨Our struggles started during summer, in the month of March. EveryÂ night we struggled to sleep comfortably because it was hot despite using an industrial fan. The small room where we stayed did not haveÂ good ventilation.
Imagine getting your clothes soaked in sweat while sleeping because it was hot. We planned to buy andÂ install air conditioning but it took some time because we needed to ask permission from theÂ owner first.
It’s really painful for me to see the girl you love to live uncomfortably. So, I took that experience as one of my motivations to buy our own house where we will have full control.
Moved In to New Rented Apartment
Fortunately, we only had six months contract to that apartment, so we were able to move in to a more spacious and comfortable studio-type room, which was twice the size of our previous place.
I felt that it’s really difficult to move from one place to another, especially if you’re just starting to buy appliances, bed, and furniture. Moreover, you do have limited options as compared to having your own house. But at this point, we were able to cure our first pain from the uncomfortable heat.
Then, a new struggle came as we noticed that our new place has pests and insects. It’s disgusting and annoying to have cockroach problems in the place. We tried buying products to eliminate them, but none worked. We also reported it to the building manager, but no action happened.
Venturing in Foreclosure and My Success Formula
The time has come for me to commit myself to look and buy a house that we can afford. Most of my friends and officemates purchase houses in neighboring cities of Manila like Cavite, Bulacan, and Rizal. I cannot blame them because residential houses in Manila are indeed already overcrowded.
However, I am determined to do the opposite of what most people are doing. I committed myself and believed that we can still own a house within Metro Manila by means of foreclosed properties.
During the process of venturing in Foreclosure Investing, I learned a simple formula on how to successfully purchase foreclosed property for the first time – and that is you have to invest in YTM or Yourself, Time, and Money.
I even wrote an ebook about it entitled, Success Blueprint for Beginners in Foreclosure Investing, which you can download here: http://goo.gl/7VDfcA
- Invest in Yourself: You have to attend seminars, read books and blogs, and look for mentors.
- Invest in your Time: You must have a goal, inspect properties, do your due diligence and others.
- Invest your Money: You have to raise your capital such as your own savings or using OPM (Other People’s Money).
After so many attempts to buy a foreclosed property that lasted a year, I was finally able to successfully win a sealed bidding auction, which cost P1.4M.
I am very happy and it is an unexplainable feeling when you finally taste the success after you worked hard and pushed yourself to the limit. And as real estate investors say, I can now dig a hole on the wall if I wanted to because I own and have have full control of my property.
If you’re also thinking of going into real estate investing, then my initial advice for you is do not give up when you encounter temporary defeats. Have faith, always pray, believe in yourself, and do your best.
This article was written and submitted by Marvin Basa. Learn more about his story and read more money tips from him in his website, Do It Wais.
Photo credit: suzettesuzette
Thank you for this article. We’ve been renting for almost 20 years now. I am paying the rent for 9 years already and I wanted to buy a house soon. But currently I’m still paying some debts. =(
What is your take on purchasing old condominiums (foreclosed or resale) which is at least 14 years old?
P.S. Your blog has really been helpful in starting my financial journey.