Even though your realtors and agents are there to explain things to you, it will still be better if you have a basic understanding of these terms so you will not mistakenly commit to anything beyond your control.
Total Contract Price (TCP) – this is the total amount of the property you are intending to buy. House and lot price in total.
Loanable Amount – The maximum amount that you can loan from the bank, developer or Pag-ibig in order to acquire the property. For example the total contract price is 2 million pesos, the loanable amount is 1.7 million, and this means that the 300 thousand pesos remaining should come from you to complete the purchase.
Down Payment – Required amount for the home buyers to pay before they can move in to the house and make improvements. In most cases, DP is divided into 12 equal payments payable in 12 months. After which the buyers can now assume the property and start the interior enhancements.
Reservation Fee – The fee you need to pay to secure the reservation of the unit right away. After the reservation, you will be given a month to secure the required documents and start the monthly down payment.
Deliverable Unit – The actual turn over unit from the developer. These include the description of what the home-buyers should expect in the unit they will assume. This information is normally printed in the flyers together with other unit descriptions.
Here's a sample turn-over unit of Liora Homes in Cavite.
- Floor - Plain cement floor slab finish at ground floor & second floor
- Walls - CHB Cement plaster finish with one (1) coat of paint (white) for interior wall
- Windows - Steel casement windows
- Ground Floor Ceiling – Exposed T-joist with one (1) coat textured paint finish
- Second Floor Ceiling - Fiber cement board ceiling with one (1) coat painted finish at toilet & batch
- Toilet & Bathroom - With complete plumbing fixtures and ceramic floor and wall tiles
- Bedroom - Without bedroom partition at the second floor
- Stairs - One (a) coat varnish finish wood planks without railings
- Kitchen Counter - Granite tiles on the concrete base
Here are some MyCitiHomes properties with very affordable monthly amortization which you might want to consider for your real estate investment.
Another project by MyCitiHomes is Amaris Homes which offers affordable 2 storey towhouses with provision for 2 bedrooms and 1 toilet in Brgy Molino Bacoor, Cavite which you can get for as low as Php 7,137* monthly through PAG-IBIG!
CALL OR TEXT ME at 0917 739 8227 for inquiries and sample computation. You can also avail the FREE Site Trips to check these units.
It will also help you choose the best deals in the market. You can now do your math! Which offer is favorable to you? Don't forget to read my previous posts for affordable house and lot in Bulacan, Laguna and Cavite.