While the term ìCondotelî is nothing new in the Philippines, itís meaning has changed dramatically since the hotel-condominium hybrids were introduced 30 years ago. Back then; a condotel unit might look-and feel-like a cramped, converted motel room. Not Now!
Pacific Concord Properties Inc introduces the Condotel Concept through newly built Condominium Buildings designed and conceptualized as Residential Condo Hotels
The Lancaster Cebu Resort Residences and Lancaster Suites Manila, are privately owned condominium units, made available by the individual unit owners through the Condotel Management Company for short-term rentals. They are more spacious and with amenities such as 24-hour Security, Concierge and Reception, Business Centers, Retail Shops and Restaurants, Swimming Pool, Spa and Exercise Facilities
For buyers looking for a vacation property with rental-income potential, The Lancaster Cebu Resort Residences Condotel units are completely furnished and equipped, making them ideal for out-of-town owners. Those same ìfeels like homeî qualities appeal to vacationers seeking an alternative to the traditional hotel room. In fact, popular vacation ìhot spotsî such as Cebu are seeing a surge in Condotel development, with some hotels being earmarked for conversion to condotel units and other properties being built exclusively for the short-term rental market
According to Beth Collingz, of PLC International Marketing Networks, a Lead Marketing Partner with Pacific Concord Properties Inc., whom have Condotel developments in Metro Manila and Cebu, and specializes in working with international clients: ìMy phone has been very busy with buyers from the UK, Scotland and Australia interested in purchasing investment properties and holiday homes here. A lot of this interest is being driven by the relatively cheap market prices in the Philippines compared to Europe, especially UK Housing prices, and the easy payment options available for our Condotel Developments, but there are other factors, too. Offshore Property Investors, Foreign baby boomers as well as overseas Filipinos, are looking for ways to maximize their return on investments as they approach retirement, and so are purchasing second homes, particularly Condotel Investments where they can use the Condo for vacations and rent it out through our In-House Condotel Management when they are not using the unit thereby gaining rental incomes that on todayís purchase prices, give a projected ROI on their investments of some 12-16% depending upon the mode of payment for the unitî
Beth Collingz, who runs PLC Global Pinoy, an internet based marketing network specializing in Condotel Investments in the Philippines, indicated that more than 85% of all Condotel sales in Metro Manila were to international clients. While such a level of foreign-purchasing activity is not as high in the Philippines provinces, Cebu in particular, has seen a sharp increase in real estate purchases by international buyers in the past several years.
ìThese international buyers know itís a buyerís market in the Philippines right nowóthere are a lot of properties available and fewer local buyers,î Collingz said. ìIím working with clients who are purchasing their second property with me. We also have referrals from many of our prior customers and new clients who have found us through our Web sites, lancastersuites.com and plcglobalpinoy.com which include a special section for international buyersî
While Metro Manila is still a popular choice with international buyers, Collingz says clients tell her that it makes more sense to buy in a year-round vacation destination. The Lancaster Cebu Resort Residences Condotel development by Pacific Concord Properties located in Mactan, Cebu ó the area around Cebu International Airport ó fits the bill with all it offers to International buyers.
Accessibility from Europe is also a factor.
ìLondon to Qatar, London to Amsterdam to Singapore or Hong Kong direct flights to Cebu and Manila, for example, average just 16 hours, add to that the many airline specials from Qatar Airlines whom probably offer the cheapest air fares that fly directly into Cebu and Manila and itís easy to see why the Philippines is becoming an international community.î
Unlike other offshore rental properties, where the rental market is largely seasonal, in the Philippines there is a strong market for rental properties year round. This gives buyers greater flexibility in choosing when to use and when to rent their property. The strong rental/second home market also has resulted in a proliferation of professional property managers and rental agents, making property ownership and rental easy. Pacific Concord Properties Inc with its flagship Lancaster Condotel Developments fitís the bill.
Financing Options and Security open up Philippine real estate market to International buyers.
Previously a stumbling block for some international buyers was the perception that it is difficult óif not impossible ó to obtain financing in the Philippines. As a result, many purchases in the past were cash sales.
Pacific Concord Properties recently introduced the new affordable easy payment plans for the Lancaster Atrium Manila Condotel Suites where a Studio Unit can be purchased without any down payment, and 67% of the contract price payable over 60 months interest free and the 33% balance payable on turnover of the unit or to be extended for another 60 months through PCPIís no prequalification no hassle finance plan, sales of the companies inventory of units will surely sell out quickly to investors seeking to take advantage of the Condotel Investment ìBoomî in the Philippines.
ìWhere can you find a 350 sqft Freehold Flat in the heart of Central London for only 25,000 Pounds or a Studio in Manhattan for only 34,000 Dollars and then get up to 16% per annum ROI from rental returnsî enthuses Collingz. ìThese figures probably seem Crazy to London Property Buyers unless they remember the prices of Flats and Apartments back in the late 70ísî and all of this comes complete with average 85 degree temperatures and sunshine nearly all year roundî said Beth Collingz whom used to live in South Kensington and still owns several Chelsea Embankment Townhouses and St. Catherineís Dock Flats before coming over to the Philippines
You must have the answers to the six primary factors to consider when making a real estate investmentñand how each one affects your level of income said Collingz
1. Why youíre making the investment. Do you intend to use and enjoy the property? Or, are you only looking at the investment potential? Thatís important to your initial outlay and your long-(or short-) term returns.
2. Whatís your tolerance for risk? Learn your Risk Comfort Level, is this investment within those parameters?
3. Your options for financing. Cash or credit. Your answer helps determine your investment.
4. What fits well in your existing portfolio? To be well-balanced, your portfolio should have a range of assets including real estateñand your portfolio should include a range of properties.
5. Your level of experience in the market. Experience is the roughest teacherñbecause it gives the test before it gives the lesson.
6. Your desired level of involvement. Your level of participation will help you determine your type of investment.
Then act. Take a first step. Donít invest money you canít afford to lose. Control the circumstances as much as possible. But donít wait for a sign from above that the timing and the opportunity are ideal. The sign wonít comeÖand the market wonít wait. For a first deal you should probably invest no more than $50,000.
A major stumbling block for some Investors from the UK was the perception that purchasing property in the Philippines was risky with nightmare stories of fraud and deception abounding due to the lack of Professional Realtors and Internationally accepted principlesí of Real Estate Transactions.
With Pacific Concord Properties Inc adopting International Property Standards and the only Philippine Real Estate Developer to operate the internationally accepted practice of Escrow Trust Account Banking for all payments made by buyers of its Condotel Suites, international offshore property investors need no longer worry about the security of their investments
Another drawback to purchasing property in the Philippines was that most overseas buyers of the real estate have become accustomed to normal home buyers standards like putting their money in escrow (which protects them if the developer does not deliver on its commitments) whenever they buy real property.
Pacific Concord Properties Inc., now sets that ìInternational Standardí in the Philippines with the ìBuy Safe Payment Policyî of Escrow Trust Account Banking with Equitable PCI Bank, one the Philippines largest Banks, for the purchase of a Condotel unit in either the Lancaster Suites Manila, Lancaster Atrium Manila or Lancaster Cebu developments.
Buyers of Condotel units at the Lancaster Suites Manila, Lancaster Atrium Manila and Lancaster Cebu Resort Residences in Cebu, pay their Reservations, down payments and all monthly payments directly to the Companies Trust Account with the Bank thereby ensuring that funds are maintained and ultimately used only for the purpose of direct construction related costs. This not only guarantees that the buyers money is safe, but more importantly the development will be completed on schedule and within projected time frames for the project.
Collingz highlights the importance of working with those experienced in this type of transaction. ìBuying property in the Philippines is significantly different from buying in the UK and other European countries, for example,î said Collingz. ìThe purchase process is more direct, with less stress and more accountability; and we work directly with the buyer or collaboratively with the clientís agent or representatives. Our goalóand that of Pacific Concord Properties Inc ó is to make the whole process as easy as possible. Prospective buyers can view properties online on our Web site and save listings theyíre interested in an online portfolioî
Communication is the key to the process, according to Collingz. ìWe spend a lot of time communicating with buyers before they visit, so that we all have a clear picture of the type of property thatís right for them. We also make travel arrangements and hotel accommodations and provide them with information in advance of their visit so they understand the process and their options. That way they can make the best use of their time hereóand we can ensure they have time to get to know and enjoy the area.î
In many cases, buyers arrive for a three to five-day visit and sign a sales agreement before heading home. Pacific Concord Propertiesí staff then handles every detail of the closing so that on their next visit, the buyers can enjoy their new home or investment property.
For further info please do not hesitate to contact us:
PLC International Marketing Networks