Can Your 13th Month Pay for a New Condo Home?


Picture yourself warming up with a mug of hot chocolate on your green and red cardigan while you gaze at the twinkling lights and feel the chilly wind. Everyone is looking forward to the 13th month’s salary and Christmas bonus even more than the holiday season itself!

The 13th-month pay is a nice perk as it gives workers a whole additional month’s compensation. At this time of the year, investing in an affordable condo in Philippines, like Asterra, is one long-term advantage of prudently managing this incentive, which is important to remember despite the temptation to spend on your desire to have the newest iPhone or the hottest bags and shoes.

When your hard-earned money is at stake, the mere thought of a condo investment may be terrifying. But then, so are all the things we value in life. It’s certainly not simple and demands a significant amount of responsibility.

In this article, we will guide you on how you can leverage your 13th-month pay by purchasing a condo for sale in Philippines and get the best value for money.

Understanding the Philippines’ 13th-Month Pay

Employers in the Philippines are legally obligated to grant their full-time, rank-and-file employees a statutory benefit known as 13th-month pay on top of their annual salary and other monetary benefits. Rank and file employees pertain to any workers not working as managerial employee of a company.

This is an additional yearly compensation on top of their total basic salary earned given to private sector workers in the Philippines who rendered at least a month of work for the company. This usually doesn’t have income tax unless it exceeds a specific amount.

Following the legislation, a worker in the Philippines is required to get 13th-month compensation equal to twelve percent of their basic income. We mentioned a while ago that the 13th-month salary does not contain any allowances or perks that are not part of the basic pay structure. How much of a thirteen-month benefit an employee receives depends on how many unpaid absences they take in a given year and how many months they actually work.

This benefit is guaranteed to all employees who are subject to the laws of the Philippines, including corporations operating essentially as private subsidiaries of the government. All workers in the private sector have an additional safety net thanks to this legislation, helping them out with holiday expenses. Meanwhile, government employees receive a year-end bonus or 14th-month pay.

Bonus Bliss: Making Your 13th Month Pay Work for Your Condo Living Aspirations

Amidst the ongoing global inflation and the persistent increase in prices of essential goods and groceries, a valuable lesson to be gleaned this year is the importance of exercising greater prudence in our expenditures. It is crucial to ensure that our financial resources are allocated towards endeavors that can enhance our future security or provide a safety net during times of emergency or crisis. And when it comes to allocating funds with a specific objective, real estate is undoubtedly one of the most secure investments.

Here are some tips on how you can leverage your 13th-month pay to get a condo investment.

1. Start your affordable condominium investment now.

In order to reap the many advantages of property ownership, it is imperative that you begin investing as early as now. Regardless of whether you are currently purchasing a condo for sale or not, it is important to allocate a portion of your paycheck toward supporting your future property if you have the intention of acquiring it in the future. You can search for some investment budgeting tips to guide you on how to start it out.

You can also put it this way: This year’s 13th-month pay may serve as a substantial contribution towards achieving your dream condo investment.

2. Choose a condo that is currently in its pre-selling stage.

If you purchase a home or condo while it’s still in the pre-selling phase, you should expect to pay less than if you bought it when it was ready to move in. Take pleasure in seeing the value of the property rise gradually as you pay for it or wait for it to be transferred to you.

Investing may mean more than just making money; it can also mean putting effort or money into bettering your own life and getting a space you can call your own. Perhaps you are at a crossroads in your life when you must decide whether to rent or buy your own condo unit.

Put your savings in a pre-selling affordable condominium and make it work for you!

3. Verify that the unit is in a convenient central location before investing.

Invest in a location that is practical for you and your daily commutes if you find it difficult to get to important destinations like your workplace, school, grocery store, and even healthcare institutions.

Choosing the optimal area for your condo investment enhances your confidence and self-assurance. Consequently, many Filipinos choose to get their first condominium home on the outskirts, which provides the serene ambiance they want along with the urban amenities they need.

Residents of Asterra may look forward to a convenient location near many amenities, including schools, hospitals, shopping centers, entertainment venues, and even corporate offices, from their brand-new condo unit.

4. Consider a condo community that can generate income.

After securing a condo unit that offers prime convenience to its future residents, once the construction is completed, the flip side is that you may choose to either keep all of the money you can earn from leasing or renting it out or use it to pay your mortgage every month.

You can establish a plan for how you will make money from your property. You can do this by contributing to the monthly mortgage payment using the monthly rent earnings, making you accomplish two goals at once! In addition to having a property, you will also have additional income.

Again, when investing in a condo unit, it is important to take note that real estate properties in prime locations tend to fetch higher prices.

5. Capitalize on your 13th-month pay when you apply for a home loan.

When you’re planning to buy an affordable condominium, you will probably need a home loan from a bank, private lender, or Pag-IBIG to assist you in purchasing a condo for sale in Philippines. When you have a regular employment status, you can make the most of your thirteenth-month pay and include it in the calculation of your home purchase.

This will significantly reduce the amount you need to borrow, which in turn minimizes the interest you pay and the monthly payments you make.

Before embarking on a condominium investment, it is important to ascertain the underlying reasons behind your desire to acquire a real estate asset. Determine if it is intended for financial purposes or personal usage. If your real estate property does not create money, it will not be considered an investment but rather a liability.

Prioritize thorough research and preparation before making a financial investment in purchasing real estate. Learn all the conveniences that Asterra pre-selling condo units have to offer, and visit one of our sites now!

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