January 7, 2022

Advantages of Buying a Home on a Big Lot

Every Filipino’s goal is to buy land and build their dream home since it represents comfort, flexibility, and security. Houses in the Philippines come in a variety of shapes and sizes, ranging from condominiums to townhouses to mansions. The selection of what type of property to buy may appear simple, but deciding between a house with a lot, a condominium unit, or a vacant lot may be time-consuming because it impacts the household preference and budget. Aside from that, certain factors should be examined in order to choose which one best matches your needs and demands.

You’ve undoubtedly listened to the advice of friends, relatives, and coworkers, many of whom are probably urging you to buy real estate or a house on a large lot either within the city limits or in the suburban areas. However, you may still be unsure whether purchasing a home on a large lot is the best option for you.


The size of the home and lot you can buy, as well as the improvements and amenities, are restricted by the size of the mortgage for which you qualify. It may be tempting to go above and beyond what you know you can afford in order to purchase a home with a huge house on a larger lot, but you will struggle to pay for it afterward. As a result, most home buyers must decide what is most essential to them such as how big your household is and how big you want it to develop? Are you a growing family or an empty nester? Do you love open spaces? or Do you have plans of making a garden or a swimming pool for the family?

A larger house provides more area to entertain, more space to accommodate visitors, more storage, and more space to spread out and rest. You also have more to clean, more square footage to heat and cool, more property taxes, and larger systems to fix when they break. While smaller homes are generally more energy-efficient since they require less room to heat and cool, resulting in a reduced environmental imprint. Cleaning and maintenance are reduced. Fewer rooms equal less time spent cleaning and maintaining the property.

A larger lot size provides an additional area for outdoor entertainment on a deck, patio, or pool, a privacy buffer from neighbors, space for a garden or expanding your house, and space for romping with your children. Your landscaping upkeep, on the other hand, will be considerably increased.

There is no true standard for lot size based on the square footage of the property, but home buyers should usually consider the criteria of the homeowner’s associations, which usually sets the suggested acceptable lot size and house size.


It is reasonable to have reservations when buying real estate that will provide you and your family with great benefits. The more you understand why you should buy a home on a large lot, the less frightening the entire process will be.

Purchasing a home on a large lot is a significant choice, but there are many reasons why you should think about it. Here are some of the benefits of owning and living in a house on a large lot.


The desire to be a proud owner is at the top of the list of reasons why Filipinos buy houses and lands. Why? Having your own house provides satisfaction or a feeling of personal progress in terms of attaining a goal or a desire, as well as a sense of security and stability.


Homeownership of big lots is among the good investments you can make since the housing market in these type of real estate increase in value over time. This might be attributed to variables like the accessibility of the property’s location, local zoning regulations, lot size, and inflation policies.


When you opt to mortgage a home in big lots, the rates offered by either a bank or PAG-IBIG are fixed. Banks often provide fixed rates for one to five years. Pag-IBIG Housing Loan, on the other hand, has set interest rates for up to 30 years. Fluctuating property tax or title insurance may vary, but not as frequently as rent payment hikes.


Having your own house especially if it is spacious offers you the freedom to do anything you want within its vicinity. This implies that you have a sense of freedom in that you may paint the walls whatever color you choose, install permanent decors and fittings, and customize your house to your taste and preferences. You may even create a mini or vegetable garden, install a ready-made or in-ground pool, and throw parties without the approval of your landlord.


Buying larger homes that feature spacious open spaces that may be transformed into a few things like living rooms, kitchens, dining rooms, bedrooms, and, in certain cases, space for laundry, dirty kitchens, garages, and gardens.


Most home buyers prefer to live quietly, which is one of the major reasons they purchase a home on a larger lot. A larger lot allows you to do anything you want on your property without worrying about bothering your neighbors. You will also be unable to listen to and interfere with your neighbor’s business and activities when you live in a house with a big lot.


Having a large lot allows you to landscape it according to your preferences. Garden flowers can be placed against the gravel and tile road leading to your front door, or you can build a relaxing backyard with a lush lawn, a swimming pool and adjacent lounge space, and an outdoor dining room under a pergola or design a kids section with a treehouse and playground.


When you buy a house on a larger lot, you offer yourself plenty of room to expand it based on your requirements and desires. You may build extra rooms, create a calm space in your backyard, set up a kids’ play area,  create a floral or vegetable garden, and even set up an arts and crafts workshop.


Other advantages when your home sits on a wide lot, you have the chance to utilize your open spaces by building and enjoying outside furniture and equipment such as a swimming pool, playground for kids, and a spacious play area and home for your pets.


Owning a home with a wide-open area is an excellent investment as you have the potential to develop or build an income-generating opportunity, such as a vegetable garden or even a receiving center for online shop packages or a little grocery store.


When buying a home on a big, there are major factors to consider. These are the property’s location, the developer’s reputation, your budget or how much you are prepared to pay monthly, the length of time you want to pay the mortgage, what financing you should pick, the property title, lot and house size, and buying vacant land or ready for occupancy properties.


The location of a property is one of the most difficult things to accomplish and consider when purchasing one. A good location is close to the workplace and offers easy access to the hospital, schools, market, malls, and police station. This type of place is known as a region on the rise or a region near commercial areas, business districts, and tourist attractions.

Housing value is rising regions may be costly, but they can save money on transportation in the long term. Residing in areas like this is convenient because it is close to your everyday requirements. Also, properties bought in this area are excellent investments as the cost of houses here increases faster.


Another factor to consider is the developer’s or house builder’s credibility. A lot of fraudulent activity occurs in the real estate market nowadays. Transacting with a respected developer reduces the likelihood of encountering scams, schemes, and fraud.

A trustworthy property developer keeps their reputation, performs on schedule, and delivers on their promises. They guarantee the quality of the house, its surroundings, and the community they establish, down to the materials used and the design aesthetics. They also give many homeowners a luxurious lifestyle by constructing facilities like 24/7 security, clubhouses, internal access roads, fitness centers, and playgrounds.


When it comes to buying a house budgeting is crucial. It determines the sort of house you can afford the cost to buy and pay for the property while still having the ability to pay for the cost of your utility bills and other expenses. When reviewing your budget, keep the following items in mind:

  • Reservation fees and down payment for real estate.
  • Monthly mortgage fees
  •  Real property taxes
  • Association fees
  • Property insurance


Aside from the budget you also need to consider what type of mortgage to use when you buy a house to make sure that you can have stable monthly payments for your property. When it comes to mortgages in the Philippines, you have two options: bank financing or a Pag-IBIG Housing Loan.

The two may appear to be the same, but they have distinct criteria in terms of the loan amount, periods, and interest.

In comparison to bank financing, the Pag-IBIG Housing Loan offers fewer limitations and criteria for applicants. Banks, on the other hand, perform background checks and demand supporting documentation.

The maximum loanable amount for the Pag-IBIG Housing loan is P6,000,000 or 80% of the entire cumulative value (TAV). Bank funding differs. It may be the exact amount or 70-80% of the assessed value. Banks provide low-interest rates that are set for 1 to 5 years. Pag-IBIG Housing Loan, on the other hand, has set interest rates for up to 30 years.


While purchasing a property, whether it is vacant land, a home with a lot, or a unit, it is essential to examine the validity of the Property Title.

Check the quality of the paper used in the title, the identity of the seller, the description of the real estate on the title, and the status of real property taxes whether it is already paid during the tax season or not, to ensure that the title is clean.


Nowadays, you may choose between ready for occupancy (RFO) homes, lot-only properties, and preselling properties for your real estate investments.

Ready for  Occupancy, often known as RFO, refers to dwellings that have been built but are awaiting occupancy. The major benefit of obtaining RFOs is that you may move in immediately after the deal is finalized. For RFO property acquisitions, a one-time down payment of a percentage of the property’s value is often needed. As a consequence, this is a preferable choice for those who have saved enough money to pay in full.

Buying vacant lots is a kind of good investment and security, which is why first-time home buyers and investors in the Philippines who want to diversify their property portfolios consider buying a vacant lot. OFWs and some Filipinos who plan to build a house after retirement are also interested in purchasing this sort of land.

Having a piece of property gives you a sense of ownership while also allowing you to build your own house. Having this flexibility allows you to pick the design of your house, such as contemporary or modern houses, as well as the facilities that you may include, such as a swimming pool, a treehouse for the kids, or a garden.


Another thing that should be considered when you purchase a property is the size of both the home and the lot.

The size of the home and lot you may buy, as well as the renovations and amenities you can add, are all limited by the amount of mortgage you qualify for. A larger house provides more space to entertain, more space to accommodate visitors, more storage, and more space to spread out and rest, whereas a larger lot size provides additional outdoor entertainment space on a deck, patio, or pool, a privacy buffer from neighbors, space for a garden or expanding your house, and space for romping with your children.

There is no actual benchmark for lot size based on property square footage, but it will always rely on your preferences.

Are you seeking for reasonably priced, well-developed houses on large lots? Visit AllProperties.

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