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.