You’re young; your career is picking up; and have some cash saved up. You want to reward yourself for all the hard work and sacrifice; and reap the fruits of your toil. Given a choice, which should you buy first: a house or a car?
Hopefully, in time, you can have both; but usually resources are limited in your early independent life. Growing up for you has not ended apparently; and here your maturity and wisdom is put to a test.
Weigh the pros and cons of both. It’s prudent while humbling to ask and consult the more experienced among us.
I’ve gathered here the key points from peers and some elders (rephrased to make brief)—many of which reflect my own views.
- A car makes traveling from one place to the other more convenient, safer, and more fun.
- One’s house is shelter or protection, a place of activity, a home for memories and an everyday destination.
- Houses last longer and can be passed on to children.
- Cars depreciate in value through the years; while houses generally appreciate in value.
- Houses have higher collateral value than cars. Both can be source of capital though loan, but one is superior in valuation.
- Your car can be a source of income if used as a taxi, a TNVS (like Grab) or a rental unit.
- A house can also be rented out.
- Entry level cars can be cheaper; thus, can be more easily paid for.
- Both require maintenance and repairs.
Which asset for you proves to be a better investment, and which one is more of a liability? Dilemmas test our decision-making prowess. Both are good, but one is better. Get the better choice.
If you chose buying a house and you wish to live within Pampanga, then may we recommend the better choice? Talanai Homes in Sapang Biabas, Mabalacat City is offers quality starter homes at affordable prices. Ask us about it.