There's no money in blogging

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So why should I keep doing this? Or am I wrong? Or maybe I've to remind myself what this is all about.

When I started this blog, I had no idea what positive contribution this would have on keeping myself on my toes in meeting my commitments to paying for the house that I bought in late November 2008. Today I still have no idea about how this could possibly be anything that would contribute in any way to my goal. The only thing I'm quite certain of right now is that this has helped me always bear in mind that I've made a serious commitment.

I don't know what it is about writing that makes me think it can help me maintain my direction. But so far, I can say that each time I write an entry I feel that it helps me to focus on my goal -- to finish paying for the condominium unit that I bought, and pay it in a shorter time than the financing scheme has alloted.

For one, it has kept me extremely aware of little things that I do that earn extra money that I could load into my bank account and keep the checking account sufficiently loaded and avoid bouncing cheques. I've been writing technical reports on the side to augment my regular income and that's the only thing I can do right now to earn extra. It takes a lot of discipline though to produce those reports and I've promised to write about it from time to time if only to remind me that there are extra tasks that I need to do to keep the family financially liquid.

There's one other thing that I clearly see as a positive result of starting condoko. It has encouraged me to spend a little more extra time surfing the Net for information that may help me understand my finances and my investment. And, oh boy, what an abundance of websites we have that con people to believe that they are the credible sources of information for people who have money to invest. Almost everybody turns out to be paid by this and that developer to endorse their projects. But there are websites that are truly meant to help readers educate themselves about investing. I've started a list of these sites and I will continue to add more to this list and I do hope others who stumble upon this blog will find it useful as well.

Now I'm surprising myself. Turns out I want to be a neighbourly Netizen. Lol. Is there such a thing? Being nasty to others seems to be more enjoyable on the Net these days.

To be continued
(Next: Loneliest blogger)
Back to Home
::: First time to visit this blog? You'll have a better idea of what this blabber is all about if you click on previous entries below.

• I bought a house
• A cheque for 4million ++ pesos
  

::: btw, i found very good and some interesting reads on these sites.

Ang pera ko at ang presyo ng bilihin

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Inflation rates in the Philippines next year are projected to be milder than in 2008. Must be good news. But what do I care? You and I should at least keep track of this economic indicator once in a while. We may earn in currencies that when converted give us loads of pesos, but when inflation rates are red-hot, we lose. Okay, lemme listen to my pea-sized economist part of my brain.



With lower inflation rates, the Bangko Sentral ng Pilipinas can have more room to cut interest rates. That's because the Bangko Sentral has to see to it that inflation in the country does not zoom and bring the entire economy down like in Zimbabwe (hehe, that's a bit too much of a picture). When inflation rates are high, central bankers keep interest rates high. That's the way it works although there are other factors.

One other factor is the strength of the Philippine peso --- yes, that's your money, like it or not. When abang piso is depreciating or under attack by speculators, the central bank's got to raise interest rates or maintain high interest rates. That's because high borrowing rates will deter speculators from taking out peso loans to speculate in the money market.

(Teka muna, a weak peso means a more attractive forex for my remittances. But that's another story.)

Anyways, a milder inflation rate is good for us, whether we live in the Philippines or not. We send money home and we want our loved ones to be able to buy more with the money we send. And over the long haul, a milder inflation rate will do us good in terms of our ability to consume goods and services with the retirement money we're setting aside for the future (I shouldn't be talking retirement here because I've not really started preparing for it).

Tama ba ako?

Below are quotes from Bangko Sentral governor Amando Tetangco Jr in an interview with EuroMoney:

(outlook for 2009)

"The economy, while definitely affected by the challenges facing global markets, has proven to be quite resilient and has done better in relative terms than many other emerging makets. For example, we saw a respectable growth rate for the first three quarters of 2008 of 4.6%. The banking system has also been resilient, for a couple of reasons.

...local banks' exposure to foreign financial institutions is fairly minimal, so going into 2009 we are in a better position despite the fact that there will clearly be challenges ahead. the government has revised its estimate for gdp growth for 2009: between 3.7% and 4.7%, down from a range of 4.15 to 4.8%.

What's helping us is that inflation has started to come down because of declines in food and oil prices, so that gives us more room from a policy standpoint.

...Inflation picked up in 2007 as food and oil prices rose, and now it's started to come down. We forecast an average between 9% and 11% for 2008 and for the first11 months its been 9.4%. For 2009 we think we'll see a single-digit inflation rate, with a forecast average of 6% to 8%. Towards the end of the year it could be as low as 4% to 5%. We announce targets on a two-year basis, so for 2010 the target is 4.5% plus or minus 1%.


::: THE PICTURE: My condo, if you're not aware yet, will be the envy of my neighbors. Expensive. Like in any house owned by the rich, some fire-fighting gizmo must be installed inside the unit.

::: First time to visit this blog? You'll have a better idea of what this blabber is all about if you click on previous entries below.

I bought a house
Poor guy signs a cheque for 4m++ pesos


::: btw, i found very good and interesting reads on these sites.

Don't ask me how to save money

First posted on Dec 29, 2008
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Now I know how important it is to save up way before you actually buy a house or go around scouting for one. Tell me I sound mega-clueless. Well, I knew since ages ago that anyone who wants to invest in a property or buy one has to have saved a significant amount.

But it's not easy when there are so many things that you want to have -- things that you've always wanted and could never have until suddenly your income grows at a surprising rate and you tend to forget the things that matter to you from the very beginning.

So you buy airline tickets for that fancy vacation you've imagined for years. You buy jewellery for your loved ones and it makes them happy. You buy yourself a nice sound system. You shop around for nice clothes and electronic gadgets that, well, make you and everybody you love happy. And you dine in restaurants that you normally did not visit years ago, but now they seem affordable and, why not, you've got money that you've worked hard to earn and it's your money, so why not treat yourself and the family to a nice, sumptuous dinner?

The list goes on and on, the habit develops and becomes a lifestyle, and the bottom line, you realize later, has remained just as it was before your income grew --- there's not much in the bank account despite the higher income.

And you say, 'Wait, I've laways wanted to own a house'. So you start looking for one and find one that makes you drool again and you say, 'I can afford to pay the mortgage on this my salary'. And then you plunge into it without preparation.
This is my story and it makes feel really stupid.

A few days from now, on the last day of the year, my first monthly downpayment is due. I could not send the money way ahead of the due date because, as I've narrated my lousy mentality about money, I've not saved up for this investment. I've already sent the money but it's a long bank holiday in the Philippines until January 1.

Whew! I've asked a relative to do some online banking transaction using her own account and I hope she actually does it to save my butt. If she doesn't, the bank will penalize me for signing a cheque credited to an account that doesn't have enough moolah.

Yay! It's not really that bad since I can always pay the penalty, but I hate the idea of incurring unnecesarry extra expense about a month after I made an important decision to buy that condo unit.

Now I'm fidgetting on my seat.

Why is it so difficult to get into the habit of saving?


::: THE PICTURE: Not bad to have this view when I look down from the balcony of my condo. Remind me (and that's years from now) to instruct the building management to keep the grass green all the time. Dreaming, as always.

::: First time to visit this blog? You'll have a better idea of what this blabber is all about if you click on previous entries below.

I bought a house
Poor guy signs a cheque for 4m++ pesos


::: btw, i found very good and some interesting reads on these sites: by john nery -- perfect stop for newshounds out for updates on happenings in the philippines. by ian -- nice for dessert. writer sees his own city (dumaguete, philippines) in a new light with the visit of fil-am performance artist.

My librarian's page

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Scroll down for a listing of articles on a Pinoy expat's journey to finally owning a property back in the Philippines while he toils in a foreign land. Do browse through this mini-library where you will find a catalog regularly updated by our Pinoy expat's librarian -- Ms. Tapia.

If you're new to this site, you may want to subscribe to my pages. The buttons are on the top left parts of this page. Have a good day!

Ang pera ko at ang presyo ng bilihin
Inflation rates in the Philippines next year are projected to be milder than in 2008. Must be good news. But what do I care? You and I should at least keep track of this economic indicator once in a while. We may earn in currencies that when converted give us loads of pesos, but when inflation rates are red-hot, we lose. Okay, lemme listen to the pea-sized economist part of my brain.

Don't ask me how to save money
Now I know how important it is to save up way before you actually buy a house or go around scouting for one. Tell me I sound mega-clueless. Well, I knew since ages ago that anyone who wants to invest in a property or buy one has to have saved a significant amount. But it's not easy when there are so many things that you want to have -- things that you've always

My librarian's page
Scroll down for a listing of articles on a Pinoy expat's journey to finally owning a property back in the Philippines while

Buying a condo is unwise?
Blogging has sparked in me an interest in checking out other blogs on related topics and this has led me to sites that I think would be useful to people mulling investing in property. I wish I had come across some of their blog posts prior to deciding on buying my own condo unit, but I've no regets really. Sometimes it's just reassuring to know what you think you should know before you make an

cyber-clippings (dec2708)
Most of us who work away from home are most likely in a situation that does not allow enough time to keep ourselves updated with news that we cannot afford to miss. I'm just lucky though that my job involves mining the Net for information, so let me gather from time to time some tidbits that I guess will be useful reading for you guys. The items below are clippings from websites that I believe

Got extra money but expenses have soared
Finally, I’ve finished writing my second report for the month, the second one that will earn me extra money to help make ends meet. The two reports will bring in an additional 5,500 pesos. I promised to write four such reports every month and I do hope I will be able to succeed in forcing my brain to think of topics that the bosses will find agreeable – four every month, wow. If I succeed in

An ATM talks
let me forget my own woes and worries today and give you instead links to some sites and blogs that talk about the trials and travails, and successes, of pinoys working overseas:
liham ni amer: melodramatic ang dating pero katuwa pa rin basahin lalo na kung ikaw'y ofw at pakiramdam mo tinuturing kang ATM ng mga kamag-anak mo sa pinas. storya ni ramona: isa siyang caregiver sa US na maituring mo

When liempo is truly sinful
And I thought we’d be having less than sinful meals to cut costs. But today we had grilled liempo and stir-fried chicharo for brunch, and pochero (the genuine one, according to Ilocanos) for dinner. Sarrraap. How exactly are we going to truly cut costs if we keep this love for delicious food? I don’t know. I enjoy a meal of tuyo (dried fish), but I can’t possibly have it twice a day or five times

Poor guy signs a cheque for 4m++ pesos
Signing cheques for the first time gave me the creeps. Having to sign one for close to five million pesos is something that freaks me out. But this is something that I have to contend with right now. The developer’s finance office, the broker says, wants me to sign another cheque, one for close to five million pesos instead of the one that I’ve issued for less than three million pesos. Yup,

I bought a house
I’m still incredulous at buying a house a few days ago in the Philippines. Okay, I’m actually scared. The Contract to Sell that my wife and I signed says the condominium unit costs 3-point something million pesos. That’s the net contract price. Add up the interest and … well, let me just mention the lower figure, it makes the future easier to imagine for now. The unit is on the 20-something

Buying a condo is unwise?

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Blogging has sparked in me an interest in checking out other blogs on related topics and this has led me to sites that I think would be useful to people mulling investing in property. I wish I had come across some of their blog posts prior to deciding on buying my own condo unit, but I've no regets really. Sometimes it's just reassuring to know what you think you should know before you make an important decision.

I thought of coming up with a list of these useful sites so people who drop by my blog (and of course I doubt anyone's reading this other than myself) and are cruising the Net for information on investing in property could get an idea where to go to quench their thirst for insights.

The Property Spectrum: It's got short pieces on property investment choices for expat Pinoys. There's an interesting discussion on when it's best to buy that dream house relative to the number of years that an expat worker will have to slave overseas to pay the mortgage.

F. Colayco: I've not read most of his posts but I'm pretty sure he's got this amazing perspective on investing in property. He asks: Is a condomimium a good investment? I hate that piece. Makes me question my own choice. But if you're thinking of buying a condo unit, go visit his blog and minimise guessing.

I'll try adding more sites to this list in future. Subscribe to this page for additions to this list.

You know of any other useful sites? Jot it down here please.

cyber-clippings (dec2708)

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Most of us who work away from home are most likely in a situation that does not allow enough time to keep ourselves updated with news that we cannot afford to miss. I'm just lucky though that my job involves mining the Net for information, so let me gather from time to time some tidbits that I guess will be useful reading for you guys. The items below are clippings from websites that I believe are reliable sources of information.


Global unemployment to increase by 20 million

The global financial crisis could increase world unemployment by an
estimated 20 million women and men, the Director-General of the International Labour Office (ILO) said. "We need prompt and coordinated government actions to avert a social crisis that could be severe, long-lasting and global", he added.

Based on revised global growth estimates by the International Monetary Fund (Note 1) (IMF), the UN and early reports suggesting rising job losses for most countries where data was available, ILO Director-General Juan Somavia said the ILO's preliminary estimates indicated that the "number of unemployed could rise from 190 million in 2007 to 210 million in late 2009."
Mr. Somavia added that "the number of working poor living on less than a dollar a day could rise by some 40 million – and those at 2 dollars a day by more than 100 million".

"The demand for Filipino seamen will continue to rise because of their ability to speak English, which other seamen in Asia do not possess," he said.

Linsangan said the ability of Filipinos to speak English is an advantage in the shipping industry, and they can get a higher rate of at least $500 compared to their Asian counterparts. --- From GENEVA (ILO News)


Not so stormy sea for Pinoy seamen

More than 200,000 Filipino seamen on board foreign vessels will not be affected by the global
economic crisis because the demand for skilled and English-speaking seafarers will continue to rise, a leading international maritime lawyer said yesterday.

Lawyer Pedro Linsangan told reporters during the weekly Philippine Business and News Forum that despite the economic crisis, countries will continue shipping their products to various parts of the world. --- From Philippine Star

Got extra money but expenses have soared

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Finally, I’ve finished writing my second report for the month, the second one that will earn me extra money to help make ends meet. The two reports will bring in an additional 5,500 pesos.

I promised to write four such reports every month and I do hope I will be able to succeed in forcing my brain to think of topics that the bosses will find agreeable – four every month, wow. If I succeed in this, that means an extra income of 11,000 pesos monthly.

But for this month, my bottom line is really bad. A number of expenses that we previously did not plan came up.

One, we spent close to triple that amount we were supposed to spend for the son’s schooling. Second, we didn’t plan on preparing anything special for Noche Buena, but the wife and I decided it’s just too much to drop an important tradition. We’re a bit worried it might be such a letdown not to see food on the dining table for our eyes to feast on Christmas eve. So, okay, let’s throw in 4,000 pesos for groceries.

You know how it is to be an expat worker, particularly being tunay na expat Pinoys. We work hard in a foreign land, depriving ourselves of easy access to family and friends, barkada and SanMig just to make sure Noche Buena is a real feast.

Would you dare scrimp on Noche Buena?

mga drama ng kapwa ko

let me forget my own woes and worries today and give you instead links to some sites and blogs that talk about the trials and travails, and successes, of pinoys working overseas:

liham ni amer: melodramatic ang dating pero katuwa pa rin basahin lalo na kung ikaw'y ofw at pakiramdam mo tinuturing kang ATM ng mga kamag-anak mo sa pinas.

storya ni ramona: isa siyang caregiver sa US na maituring mo nang super milyonaryo sa pinas. masipag at sinserong nag-alaga sa isang matandang kano na nag-iwan sa kanya ng limpak-limpak na salapi bago sya pumanaw. wala pa syang bahay sa pinas pero meron na syang limang bahay sa US dahil iniwang yaman ng kanyang ward.

When liempo is truly sinful

And I thought we’d be having less than sinful meals to cut costs. But today we had grilled liempo and stir-fried chicharo for brunch, and pochero (the genuine one, according to Ilocanos) for dinner. Sarrraap. How exactly are we going to truly cut costs if we keep this love for delicious food? I don’t know. I enjoy a meal of tuyo (dried fish), but I can’t possibly have it twice a day or five times a week.

I wonder how simple our Noche Buena (Christmas Eve) will be. Will it be keso’t tinapay? I doubt the wife would live up to our earlier pledge to have only pochero and some other simple dish for Noche Buena.

Oh well.

A cheque for 4 million ++ pesos

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Signing cheques for the first time gave me the creeps. Having to sign one for close to five million pesos is something that freaks me out. But this is something that I have to contend with right now.

The developer’s finance office, the broker says, wants me to sign another cheque, one for close to five million pesos instead of the one that I’ve issued for less than three million pesos. Yup, we’re talking millions here, and for ordinary folks like me any change in the figures can make my knees shake. The amount they want, obviously, is double the one I’ve already signed for. No, I don’t think I’m being duped; this is all, I believe, related to accounting matters and I wish I knew more about these things.

You see, when you buy a house or any property and can’t afford to pay in cold cash or produce the down payment upfront, you’ve got to choose a number of financing schemes that the broker enumerates.

They’ve got this so-called In-House Financing, with several variations, which actually means you’re getting financing from the developer itself. It looks attractive in the sense that it makes you feel you can afford the payment scheme. In my case, I got a scheme that involves paying the developer above 30 thousand pesos a month for about three years. What I pay in this period is my down payment, which is 30 percent of the net contract price, and during this time the developer does not impose interest charges on the price of the property. Right after completing the down payment I will then begin paying for the amortization of less then 40 thousand pesos a month for 10 years.

I don’t intend to continue with the In-House Financing scheme past the down payment period because bank financing offers more affordable interest rates. But it’s not that easy to avail yourself of bank financing unless you’re ready to put in equity or the down payment right upon obtaining such financing. On top of this, the bank takes time to investigate credit history, so if you’re in a hurry such as I was, chances are you’ll go for the In-House Financing on the proviso that the developer is open to any changes in the financing scheme for the property you’re buying.

So there, I signed the Contract to Sell, signed the cheques for three years. And oh boy, what a task! I had to make sure there were no mistakes on dates, figures. I realized it was impossible to sign my name in exactly the same way as the last cheque. Add to that fears of the unknown that sent shivers down my fingers.

Okay, I signed the cheques for three years and signed only one cheque for the balance. There was just no way I could get the bank to give me four cheque books in one go. You will need that many post-dated cheques unless you go for a financing scheme involving a shorter period like five years. Less the down payment, the balance would be a little less than 2.5 million pesos, so I wrote the amount on one cheque. Already, that sent shivers down my knees. The broker said it was okay. Apparently now, it’s not.

The developer wants me to sign a cheque for close to five million pesos. And that’s because they want me to add up the monthly obligations for the ten-year period, and these are figures that already include interest payments. Why would I include interest charges when the cheque is dated on the first month after the down payment?

Okay, fine, I can anyway change this lump sum cheque later when I have new cheque books from the bank.

Whew! A cheque for more than 4.5 million pesos.

Tell me if I'm being so stupid signing this cheque.

I bought a house

I’m still incredulous at buying a house a few days ago in the Philippines. Okay, I’m actually scared. The Contract to Sell that my wife and I signed says the condominium unit costs 3-point something million pesos. That’s the net contract price. Add up the interest and … well, let me just mention the lower figure, it makes the future easier to imagine for now. The unit is on the 20-something floor of ... (name of developer and project deleted) Tower.

We were on vacation in the Philippines and on the last week of our pre-Christmas holiday, the wife and I decided we had found the housing project we had been looking for. But oh we had only a few thousand pesos in our pockets days before the end of our vacation. We borrowed 25 thousand pesos for the reservation fee and to open a checking account. Call me stupid, maybe I am.

It was all lakas ng loob. I’m an OFW, an expat worker somewhere in Southeast Asia. I’ve been working away from the Philippines for three years now to save up for a dream house and when we decided last week to buy a condo unit in ... (names hidden) Residences in Mandaluyong, we didn’t have much in a savings account to convince us that we were ready for this investment. But I was convinced anyway that we would never be ready for this investment even if we waited a few more years to put money in the bank every month. We’ve tried several times to commit ourselves to saving up for prohibitive down payments and each time there was always a reason to bend our own rules on handling our money. So we agreed that buying a house via the developer’s in-house financing would force us to stick with our own money plans.

As I recall how we made that decision, I am biting my nails. There will be no vacations in the next three years, or until such time I get a much higher income. There will probably be no more experiments in the kitchen; the wife will have to prepare meals that cost less. Out with the plan to buy a secondhand car.

What else will we lose in the luxury department?

And how long will I have to work and live outside the Philippines to be able to finish paying the mortgage?

I’m not even supposed to ask myself these questions anymore. I thought to myself as I toured some of the units in a tower ready for occupancy in a few months that I would be focused on earning money to pay for the unit, and not on my fears.

Okay, I will try working harder on visualizing the view of Makati at night from my future condo unit. The lights at the glass towers at Rockwell. Century’s future skyscraper, which they say will be the Philippines’tallest. Uhmm, I’m not sure I’d like to have that monstrous structure in my vista; its location will be a bit too close and may cover too many other buildings behind it…