When most people think of real estate, they think of buying a house and lot or investing in a rental property, like an office building or a retail space. However, you can invest your money in many other real estate assets.
If you’re considering putting your money into real estate but don’t know where to start, this blog post is for you. Keep reading to learn about the different real estate assets you can invest in the Philippines.
Modern Residential Properties
A house or an apartment is the most common type of real estate asset people invests in. But there are other residential properties you can invest in, such as condominiums, townhouses, and vacation homes.
These properties are becoming increasingly popular in the Philippines, especially in big cities. For instance, a condo in Alabang is a prime asset, as many people are looking for properties near their workplaces. Spaces along the business districts of Makati and Ortigas are also in demand.
By staying on top of the latest trends, you can make a profit when you sell or lease your property. So, consider investing in a modern residential property if you’re looking for an asset you can live in or rent out. It’s a solid investment that will appreciate over time.
Commercial Property
Commercial properties are those that are used for business purposes. These include office buildings, retail spaces, warehouses, and more. Unlike residential properties, commercial properties are not typically owner-occupied. Instead, they are leased out to businesses.
When investing in commercial property, it’s essential to consider the location and the type of space available for occupancy. You’ll want to ensure that the area is reputable and that there is foot traffic or demand for the kind of space you’re leasing. Many places in the Philippines offer this potential, such as Bonifacio Global City in Manila and Cebu Business Park.
It’s also essential to have a solid understanding of the commercial lease agreement. Doing so will help protect your investment and ensure you’re getting a fair deal. However, it’s essential to do your research and understand the risks involved before investing. Nonetheless, it is a good option if you’re looking for a property with the potential for high returns.
Investing in commercial property can be a great way to earn passive income. As the property owner, you’ll collect rent from the tenant businesses. And since commercial leases are usually longer than residential leases, you can count on a steadier stream of income.
Industrial Property
Industrial properties are similar to commercial properties in that they are used for business purposes. However, industrial properties are typically larger than commercial properties and are available for manufacturing, storage, or distribution purposes.
Depending on the industry, the location of an industrial property can be significant. In the Philippines, many of the industrial facilities are required to be located in special economic zones. The government has designated these areas for business and industrial activity. These zones include the Clark Freeport Zone, the Cavite Economic Zone, and the Subic Bay Freeport Zone.
Another thing to consider when investing in industrial property is the condition of the property. Ensuring that the property is up to code and meets all the necessary safety requirements is essential.
If you’re looking for industrial property in the Philippines, be sure to consider these special conditions and requirements. This way, you can be sure you’re making a wise investment.
Agricultural Property
The Philippines is a tropical country, making it ideal for agriculture. An agricultural property includes farmland, orchards, and other land used for farming.
When investing in agricultural property, you’ll want to consider whether you will be farming the land or leasing it to another party. If you’re planning to farm the land, you’ll need the necessary equipment and know-how.
On the other hand, leasing your agricultural property is a good option if you don’t want to get involved in the day-to-day operations. You can still earn income from your investment without putting in the work.
Another thing to consider is the location of the agricultural property. The climate and soil type will play a role in what can be grown on the land. For example, rice thrives in wetter conditions, while corn does well in drier areas.
Do your research to ensure that you’re choosing an agricultural property that meets your needs and expectations. Doing so will make or break your investment.
You can invest your money in different types of real estate assets. Each has its own unique set of risks and rewards, so it’s essential to do your research before making any decisions. If you’re considering investing in real estate but don’t know where to start, the above are some insights into the different types of real estate assets you can look for in the Philippines.
