Category Archives: Terms

Alegria Palms offers low payment options

Posted on January 21, 2011 by engkanta| Leave a comment
Palacios Grande

Model unit of Palacios Grande at Alegria Palms in Cordova, Cebu, Philippines.

Avail of a house and lot at Alegria Palms in Cordova, Cebu, Philippines and get great value savings on your purchase.

Alegria Palms is offering the pay light, pay low, pay cash options.

Cash payments get five percent off, monthly amortization can be as low as P11,892 through Pag-ibig, and downpayment may be paid up to 18 months at zero percent interest.

Model units are now available for viewing. Those interested in a free tour and ride to Alegria Palms need only to visit its ongoing exhibit at SM City Rotunda from January 11-25, 2011.
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Posted in Properties, Terms

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Pag-ibig housing loan and net income

Posted on October 21, 2007 by engkanta| 42 Comments

Among the four factors used by the Pag-ibig Fund to compute the amount of housing loan that its members may avail of is their monthly net disposable income.

Net disposable income is what’s left of your salary after deducting taxes, mandatory contributions to Pag-ibig and Social Security System (SSS) for the private sector or Government Service Insurance System (GSIS) for the public sector, and loan or other payments (if applicable).

Since Pag-ibig decides on the lowest amount of loan that a member may take out based on either contribution, actual need, loan-to-collateral ratio, or capacity to pay (based on the net disposable income), it is the latter factor that is usually used as basis for most housing loan computations.

The table below is a listing of net incomes and their equivalent housing loan amounts pegged on the loan terms or the number of repayment years.

Income table (1)

(For loans over 750,000 pesos, see the rest of the Pag-ibig income table.)

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Posted in Computations, Terms, Tips

Buy only titled lands: realtor

Posted on August 13, 2007 by engkanta| 6 Comments

They say the best evidence of property ownership is a Torrens title because it is both indefeasible and imprescriptible.

As an indefeasible and imprescriptible document, a land title can neither be annulled or voided nor subjected to prescription.

Hence, a good rule to follow when acquiring property would be to buy only those covered by an original certificate of title (OCT) or transfer certificate of title (TCT).

Realtor Wilfredo G. Montuerto, who is the managing broker of the Montuerto Realty Development Corp., said during a lecture on real estate appraisal that he discourages clients from buying properties covered only by tax declarations.

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Taxes on real estate transactions

Posted on August 1, 2007 by engkanta| 14 Comments

Jose Reyes, who works in a call center in Cebu City, has been transferred to his company’s main branch in Manila. He wants to move for good and sold his house and lot in a subdivision in Lapu-Lapu City for 2.5 million pesos.

How much is he required to pay in taxes to government for the sale?

The computation of his tax due depends on whether his property is a capital asset or an ordinary asset.

Capital assets refer to properties that are not used in connection with trade, business, or as an income source by the owner.

An example of a capital asset would be a residential house and lot “actually” used as residence by the owner.

On the other hand, properties used in trade or business or as a source of income by the owners are considered ordinary assets.

The applicable tax in the sale of capital assets is the capital gains tax. The tax rate is 6 percent of either the “price per deed of sale” or “zonal value” in case of land.

Government, in deciding which of the price or the zonal value (fixed by the local government unit) to use as basis in the computation of taxes, always goes for the higher amount.

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Buyer’s market vs. seller’s market

Posted on July 23, 2007 by engkanta| Leave a comment

A seller of real property would not want to sell in a buyer’s market and a buyer would rather not buy in a seller’s market.

Sounds confusing? Let me explain.

Buyer’s market and seller’s market are real estate jargons that mean the exact opposite of each other.

But I think you’ve guessed that by now.

Anyway, on to my explanation.

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Posted in Terms, Tips