There's a lot of uncertainty right now and loss of income. In fact, just this morning, a client asked me this.
Their industry (airline) has been hit real hard and their company's been laying off a lot of its employees. Because of this, they could no longer pay their monthly downpayment for the condo they purchased last year.
Here are some tips on how to approach this:
1. Approach this with the right mentality -- Have a gratitude mentality. If you have good health, family, time, growth, you're learning, you're strong, and young, you have the ability to bounce back even in this situation.
2. Take the 30-day grace period -- Send an email to your developer and explain to them that you are in a situation that you are struggling to make ends meet and you would like to delay your monthly payment so you can think of what to do next. Don't be in a hurry and don't panic.
3. You want to cancel your purchase -- exciting and scary part! Get ready, because if you cancel a purchase, there will be losses. Not 100% will be given back to you.
What Maceda Law says is that there are 2 kinds of installment buyers:
a) If you have paid for 2 years, you will get 50% of your payments back.
b) If you have paid less than 2 years, there is no cash value back. There will only be grace period.
On a case-to-case basis, you can have a conversation with your developer and they can look into it. Send them an email and have a friendly chat. Don't be defensive and assertive. See how you can both make this work. But do understand that they also have cost in making this transaction.
Full video here: https://www.youtube.com/watch?v=GyL-OLfebQE
Rick Manzano is a Licensed Real Estate Broker from RE/MAX Capital Alabang.