The end of the year is more than just a season of holidays and celebrations—it’s an excellent time to consider making your forever home investment.
For Filipino real estate investors or first-time would-be buyers, this period offers unique opportunities in the housing market to secure properties at competitive home prices.
Many families come into extra money during the holidays from employment benefits like Christmas bonuses or 13th-month pay.
One of the best ways you could spend your money is on real estate investing. This strengthens your personal finance health and helps you be more future-ready.
Whether you’re planning to buy a primary residence or expand your portfolio with a rental property, the end of the year can provide significant advantages.
Benefits of an End-of-Year Home Investment
Benefit from volatile property prices
Property prices can be volatile. While inflation rates have been at a record high earlier this year, we’ve seen a reduction in September at 1.9%, according to Michael Ricafort, Chief Economist at RCBC.
Favorable interest rates
This could signal the start of lower rates of inflation, making interest rates on a home purchase more favorable at the end of the year.
When you buy a house, it’s important the prices, mortgage rate, interest rate, and monthly payment are reasonable to make it a good investment.
Robust returns on your real estate investments
In the last few months of the year, you can put your money into real estate investing and expect a robust return.
Whether you intend to live in a property or turn it into a rental property, there are convincing factors to buy a house this season.
Here are compelling reasons why you should look into real estate investing at the end of the year:
1. Competitive Home Prices and Negotiations
The real estate market often experiences a slowdown toward the end of the year.
This creates less competition, giving buyers more leverage when negotiating the purchase price or seeking added perks like waived closing costs or reduced mortgage points.
If you have enough money to pay the down payment in full in cash, a real estate agent may even give you the best deal on a house purchase.
Additionally, sellers motivated to finalize deals before the year closes are more open to adjustments, allowing buyers to lock in great deals on their real estate investments.
How It Benefits You
- Lower housing costs reduce the burden on your monthly mortgage payment.
- Greater flexibility with sellers can make it easier to manage your down payment.
2. Lower Mortgage Rates and Incentives
Many mortgage lenders adjust their offerings at the year’s end to align with financial goals and policies set by the Federal Reserve and Exchange Commission.
This period often sees lower rates and more attractive terms for buyers. Reduced interest rates can significantly decrease your monthly mortgage, helping you save money long-term.
Additionally, lender offers and discounts during this season make it easier for many buyers and new investors to qualify for home loans, even if they have a higher debt-to-income ratio.
3. Tax Advantages on Property Taxes
Purchasing a property before the year ends allows more homeowners to take advantage of tax benefits, such as deductions on property taxes and mortgage interest.
These tax savings can improve your overall personal finance situation and increase your year-end net worth.
Work with a financial advisor or loan officer to understand how these tax breaks can benefit your personal finance and long-term investment strategy and financial situation.
4. Increase in Housing Demand After Year-End
The beginning of a new year often leads to an increase in potential buyers entering the market, resulting in upward pressure on house prices.
By acting before this surge, you can avoid heightened market competition and secure a better deal.
The Census Bureau and other studies highlight a tight housing supply, making it essential to act quickly to secure properties in high-demand areas. Investing now ensures that you lock in a home at current values, potentially avoiding inflated prices later.
5. Year-End Deals from Real Estate Projects
Developers and home builders often roll out year-end promotions to meet their annual targets. These promotions may include:
- Discounted purchase prices.
- Waived closing costs or added benefits like home furnishings.
- Freebies or discounted house improvements (creating a lock-in effect).
- Flexible payment terms, making it easier to manage your monthly payments.
Online real estate platforms are excellent tools for finding these deals, offering insights into real estate financial topics and properties and terms that fit your budget and preferences.
6. Diversify Your Portfolio with Real Estate Investment (Trusts and Crowdfunding)
For those looking beyond homeownership, the year’s end is a strategic time to explore other types of real estate investments. Options such as real estate investment trusts (REITs) or real estate crowdfunding platforms offer low minimum investments and passive income opportunities.
These investments can complement physical property ownership, balancing your portfolio with mutual funds or stocks.
Rental properties remain a popular choice for real estate investors seeking regular income, especially in a specific neighborhood with high rental demand.
Camella Homes: The Smart Choice for Your Forever Home Investment
When choosing the ideal partner for your forever home investment, Camella Homes stands out as a trusted name in the local market.
With decades of experience in real estate projects, Camella offers properties designed to meet the needs of Filipino families and investors alike.
Why Invest in Camella Homes?
Prime Locations
Properties in high-demand areas with rising home values ensure a solid return on investment.
Flexible Terms
Affordable monthly payments and competitive offers make owning a home or investment property more accessible. Whether you pay in full in cash or installment terms, Camella offers a range of accessible payment terms.
Reputation for Quality
With Camella, you get so much more than you pay for. Camella is recognized for building communities that deliver comfort, safety, and long-term value.
End-of-Year Deals
Special promotions during the last quarter offer buyers the best deals on housing costs and incentives to close their dream home.
Make Your Move Now
The end of the year is the perfect time to plan and execute your real estate investment. With advantages like tax benefits, lower mortgage rates, and reduced housing costs, this period allows you to maximize your resources and secure the best deals in the housing market.
By choosing a trusted developer like Camella Homes, you can confidently take the next step in building your future.
Explore our offerings today and discover why Camella properties are an excellent choice for real estate investments.
Don’t wait for the competition to heat up—invest in your primary residence or rental property now and enjoy the benefits of being ahead in the real estate market.
