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OK then, why does it take so long to sell a piece of real estate?


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A_Simple_Man

It does not take long to sell the right house at the right price.  I know 2 individuals (foriegners) in Cebu (and then there is a rumor of one in Davao) who make a living here by building and selling houses.

 

They make a living because they do their market research to see what houses are in demand and that is what they build and sell.  Usually it is low priced, entry level homes.

 

It takes a long time for foreigners and locals to sell those fantasy homes that they build for their own benefit.  Often I hear:  "Why are you asking so much?"  and then the reply "Oh you could not replace this house for that much money" and I think:  Who gives a phoque.  You wanna sell your house then price it for the market and it will sell.

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Much of the raw land here is owned by pinoy who set the price high and are willing to wait years and years for a buyer hoping that someday a foreigner will come along with deep pockets and maybe not s

It does not take long to sell the right house at the right price.  I know 2 individuals (foriegners) in Cebu (and then there is a rumor of one in Davao) who make a living here by building and selling

The only land deals in the Philippines are those purchased from desperate sellers. 

smokey

It does not take long to sell the right house at the right price.  I know 2 individuals (foriegners) in Cebu (and then there is a rumor of one in Davao) who make a living here by building and selling houses.

 

They make a living because they do their market research to see what houses are in demand and that is what they build and sell.  Usually it is low priced, entry level homes.

 

It takes a long time for foreigners and locals to sell those fantasy homes that they build for their own benefit.  Often I hear:  "Why are you asking so much?"  and then the reply "Oh you could not replace this house for that much money" and I think:  Who gives a phoque.  You wanna sell your house then price it for the market and it will sell.

but then most foreigners have to bitch about something so they bitch about living in cebu ,,, do you know what i would do if i sold my house ??? build a bigger one
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Cannonball

We sold one that we had lived in for 7 years, it took about 6 months to find a qualified buyer, and get it sold... After the remodeling and improvements we broke better then even, and ended up at a very low rent for 7 years far below what we would have paid if we had been only renting the entire time... The reason for selling it was; 1. it was very hot during the summer and VECO thinks very highly of their electricity rental; 2. Our family had out grown it and we needed more room... The house we now own is around 50% cheaper on electric, and much cooler without running the AC 24/7.

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just think of how you bought or sold your property at home :

Professional Realtors / Agents

Proper marketing campaigns and methods ( Signs / Ads / Multi=listing / Magazines / Internet / open homes )

Market researched pricing.. etc.

As a seller you would get 3 agents in to give you market appraisals, select the one who impressed you most.based

on their local knowledge and the research they have done on recent sales in the area.and their enthusiasm and

professionalsm.

 Give him/ her a 30 /60 day exclusive listing. expect to see a for sale sign on your front lawn that day , followed by a

campaign of newspaper ads, internet .. inspections etc .. there's a chance you will sell.

Here there seems to very little of this available, and I  know, as a potential buyer, the frustration of , not knowing what is for sale,

what else has sold, and for what price.

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i feel its the rich who keeps the price so high so only the rich can buy 

poor can dream about selling for that much until they end up in hospital than they have to sell it to the rich for 1/10 of the price cash now

then the rich puts the price back up to crazy level and sits on it 

i seen to many deals go just like that 

and as the people here dont really care about much it is not going to change any time soon 

and it also makes the poor people feel rich when they have a 10 000 sqm at 1000 p a sqm 

they dont look at it oh i can not ever sell it couse its crazy price but more like im rich even i dont have a pot to piss in 

if you here in ph and have cash on hand and wife you can trust you can get property all day long for a good price 

just wait till some one around gets sick they will be selling it for the real price and fast 

not the imaginary they all dream about 

i for one will only buy when the real price is in play and if i have to wait oh well 

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hchoate

 

It does not take long to sell the right house at the right price. I know 2 individuals (foriegners) in Cebu (and then there is a rumor of one in Davao) who make a living here by building and selling houses. They make a living because they do their market research to see what houses are in demand

 

That was my instinct- if someone says something is not selling I assume they are asking too much. The value of anything today is what someone is willing to pay for it today. (Although there is the tendency for people to assume something is worth a lot if the price is high, especially if they have already paid for it! I was once told that the difference in manufacturing cost between a Ford LTD and a Cadillac was $2500.)

 

Your statement brings up a couple of questions. How do these foreigners 'own' theses houses in order to sell them and how do they do market research- which is essentially what I was doing with the OP.

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A_Simple_Man

 

How do these foreigners 'own' theses houses in order to sell them and how do they do market research- which is essentially what I was doing with the OP.

 

In many cases the property is simply bought and sold by a filipina spouse.  Thus the foreigner never owns the property.  I remember doing the same thing in Canada because I wanted my wife to get the capital gains when the properties sold.  Many will tell you how this can create all kinds of legal, practical and tax consequences so this is not meant as advice.  It is meant to illustrate that if you are used to doing this kind of thing in your home country you will have some idea how to do it here.  If you are not . . you will end up with one of those unsaleable houses.

 

Market research can be as simple as making friends with real life people who are doing what you want to do and convincing them to share their experiences marketing houses.  is:  Find people who are selling a lot of houses and ask them what they are selling them for.  However, because someone else sells a lot of houses at 1M pesos is no guarantee that you will.  Are you a good salesmen?  Just one question to ask yourself.

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hyaku

I hung on until my seller came back a third time. I bought for 71 a sq mtr. Sometimes it's best to haggle. Never bought land yet where the assessment was lower than what we measured out. Saved on tax with that.

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smokey

That was my instinct- if someone says something is not selling I assume they are asking too much. The value of anything today is what someone is willing to pay for it today. (Although there is the tendency for people to assume something is worth a lot if the price is high, especially if they have already paid for it! I was once told that the difference in manufacturing cost between a Ford LTD and a Cadillac was $2500.)

 

Your statement brings up a couple of questions. How do these foreigners 'own' theses houses in order to sell them and how do they do market research- which is essentially what I was doing with the OP.

your not seeing the reality of the philippines .. go thru the steps of buying a house in the us... find the house ok 300,000 go to bank make application be told you need 5% or 10% or 12% down and closing so you bring say 30,000 down and another 6 for closing and whalla you have a house 30 years to pay... same house in the philippines you like the house fine give me a check or cash for 300,000 dollars.. two way different ways to buy but one assures there will be no bubble
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smokey

buy a car at the dealership in the us ... ok sir its 36,000 dollars and your putting down 3,000.... credit makes people think they are rich

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Monsoon

The only land deals in the Philippines are those purchased from desperate sellers. 

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Knowdafish

One of the reasons I think it takes so long for some properties to sell is that often they are very poorly advertised. 

 

Placing a sign on a stick, fence, tree, or power pole, or telling all 8 relatives that they have a piece of property for sale is not the best way to go about it. 

 

Out of all the properties that are for sale in the Philippines I would venture to guess that 1% or less are advertised online or through a real estate agent. 

 

cottage_for_rent.jpg

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Headshot

One of the reasons I think it takes so long for some properties to sell is that often they are very poorly advertised. 

 

Placing a sign on a stick, fence, tree, or power pole, or telling all 8 relatives that they have a piece of property for sale is not the best way to go about it. 

 

Out of all the properties that are for sale in the Philippines I would venture to guess that 1% or less are advertised online or through a real estate agent. 

 

cottage_for_rent.jpg

 

While that is true, even those properties that ARE well-advertised take a while to sell. One reason for that is that only high-end properties tend to get advertised here. Another reason might be that the real estate market just moves slowly here.

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Headshot

The only land deals in the Philippines are those purchased from desperate sellers. 

 

I would modify that the say that the only really GOOD land deals in the Philippines are those purchased from desperate sellers. There are plenty of real estate sales done where the seller is NOT desperate. In fact, sometimes the buyer is desperate.

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tomaw

it seems from other threads I read that the biggest problem in buying a house in the Philippines is obtaining title. There's no such thing as title companies or title insurance in the Philippines. For this and other reasons I would only buy a lot in a subdivision from a well established development company. Buying a raw land might seem cheaper but it is not a wise move. In the Philippines you got the problem of somebody suddenly appearing claiming they own it after you bought it. In both the Philippines and the U.S. you also need to consider what it's going to cost to put in utilities which could be very expensive.

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