What Did It Cost To Build Your House, Not Counting The Land It's Sitting On?

[intrepid]

This is a great thread with really helpful information. In our case, we own a 750sqm lot on a beach near San Antonio, Zambales. We plan to retire in 2-3 years. We'll keep our home here in the states but hope to build on our property there as well. One great piece of advice I've seen here in other threads is to NOT build anything for at least the first year. We're quite familiar with our area, have friends and family there and are still going to wait a year. Correct me if I'm wrong but from what I'm reading here it appears the cost to build a 1500sqft home to NEAR western standards would be around $75,000. That's not cheap by any means. If after spending that kind of money, a guy decided it wasn't right for him and his wife/family, selling most likely would be very difficult. After a year, we may decide to build a home, sell the lot, or perhaps even build some rental units. Big decision. Certainly not one to make hastily. Thanks for the advice guys.

 

 

 

Correct me if I'm wrong but from what I'm reading here it appears the cost to build a 1500sqft home to NEAR western standards would be around $75,000. That's not cheap by any means. If after spending that kind of money, a guy decided it wasn't right for him and his wife/family, selling most likely would be very difficult.

 

1500 sq ft is about 140 sq m .  So yes, US$ 75,000 would get it done with luck and good management.  What often happens is it ends up costing you US$100,000 or more (when you start adding western standards) and people like to get their money back when they want to sell.  A future potential buyer will ask:  Why would I give you $100K when I can build a new one for $75K . .  and the cycle continues.

 

This is all pretty correct.  I have reasoned in my mind to take a loss if need be.  Just like loaning money.  If I cannot afford to give it away I cannot loan it.  And I have loaned/given away my share.

So for me if after building my close to US standard home and for whatever the reasons may be to have to leave I am already planning to take that loss of 30-40%.  We sure hope that won't be the case but if.....At least we could dispose of the property getting some of my money back and move on.  I understand everyone has their own ideas and plans but I have thought mine through and am comfortable with it.

[usa32]

 

Correct me if I'm wrong but from what I'm reading here it appears the cost to build a 1500sqft home to NEAR western standards would be around $75,000. That's not cheap by any means. If after spending that kind of money, a guy decided it wasn't right for him and his wife/family, selling most likely would be very difficult.

 

1500 sq ft is about 140 sq m .  So yes, US$ 75,000 would get it done with luck and good management.  What often happens is it ends up costing you US$100,000 or more (when you start adding western standards) and people like to get their money back when they want to sell.  A future potential buyer will ask:  Why would I give you $100K when I can build a new one for $75K . .  and the cycle continues.

 

Don't take this the wrong way. But why would anyone, spend 75 or 100k on a house in the Philippines? In some places in the USA , you can get a 1500 sq ft place for that, where you can own both the land and property and know the property will retain most of its value. You say thats for a western standard place, however you have Phillipinos building the place, with more lax standards and regulations, so I doubt it's on par build quality wise. Don't mean to come off the wrong way. But considering how cheap it can be to rent in the Phillipines, that seems like the best and less risky option. Sure if you can build a house for 15-30k, that you and your wife are happy with, go for it. If you lose it, hopefully it doesn't bankrupt you. But to put up nearly 6 figures in a house there, seems like a bad move.

 

Anybody help my understand?

[earthdome]

Don't take this the wrong way. But why would anyone, spend 75 or 100k on a house in the Philippines? In some places in the USA , you can get a 1500 sq ft place for that, where you can own both the land and property and know the property will retain most of its value. You say thats for a western standard place, however you have Phillipinos building the place, with more lax standards and regulations, so I doubt it's on par build quality wise. Don't mean to come off the wrong way. But considering how cheap it can be to rent in the Phillipines, that seems like the best and less risky option. Sure if you can build a house for 15-30k, that you and your wife are happy with, go for it. If you lose it, hopefully it doesn't bankrupt you. But to put up nearly 6 figures in a house there, seems like a bad move.   Anybody help my understand?

 

It all depends on your annual income and accumulated wealth. For one person 30K USD may be a large sum to lose. For others they could easily walk away from $100k. I toured a very nice home an expat from UK/USA (worked in silicon valley) built on the outskirts of Baguio. Land and home altogether was around 10M pesos, 8M pesos to build the house. The house cost more to build there due to all the extra work required for the foundation to ensue it was anchored to bedrock since Baguio is subject to both earthquakes and landslides. Beautiful house. We were considering purchasing the lot next door.

[BluesDude]

Correct me if I'm wrong but from what I'm reading here it appears the cost to build a 1500sqft home to NEAR western standards would be around $75,000. That's not cheap by any means. If after spending that kind of money, a guy decided it wasn't right for him and his wife/family, selling most likely would be very difficult.

1500 sq ft is about 140 sq m . So yes, US$ 75,000 would get it done with luck and good management. What often happens is it ends up costing you US$100,000 or more (when you start adding western standards) and people like to get their money back when they want to sell. A future potential buyer will ask: Why would I give you $100K when I can build a new one for $75K . . and the cycle continues.

Don't take this the wrong way. But why would anyone, spend 75 or 100k on a house in the Philippines? In some places in the USA , you can get a 1500 sq ft place for that, where you can own both the land and property and know the property will retain most of its value. You say thats for a western standard place, however you have Phillipinos building the place, with more lax standards and regulations, so I doubt it's on par build quality wise. Don't mean to come off the wrong way. But considering how cheap it can be to rent in the Phillipines, that seems like the best and less risky option. Sure if you can build a house for 15-30k, that you and your wife are happy with, go for it. If you lose it, hopefully it doesn't bankrupt you. But to put up nearly 6 figures in a house there, seems like a bad move.

Anybody help my understand?

Good questions Dave and I think what you stated makes perfect sense for most folks. If you re-read my post though you'll see I was just stating, to build a near western standard 3 bedroom 2 1/2 bath 1500sqft home would apparently cost around $75,000 U.S. according to what was previously written. I also stated, anyway you slice it, that's a lot of cash so one should be absolutely certain before doing so.

Now to answer why someone would do so. I suppose because they can afford to. Some folks want a home the designed to their liking. In our case, my wife and I have been together for nearly thirty years and I fairly certain we'll ever have any ownership issues. Our children have dual citizenship so it's inheritable and I doubt they'd kick me out if my wife were to pass before me.

You're absolutely correct that a house can be built for $15-30,000. A nice can be built for much less but I don't see us being real happy growing old together in a nice. (Thirty years ago we actually had a nice on the very beach where our land is today.)

Anyway, I think the points you brought up are totally legitimate but I have to agree with Earth dome when he said it all depends on your income and what you're able/comfortable to walk away from if need be.

We love the location where our property is located and we could very easily see ourselves living out the rest of our live together based in that area.

I hope this and Earthdomes post helps to explain the mindset a little better.

[BluesDude]

The "nice's" above should read "nipa".

Sometimes spell check us a pain in the arse.

[Jake]

 

 

 

Correct me if I'm wrong but from what I'm reading here it appears the cost to build a 1500sqft home to NEAR western standards would be around $75,000. That's not cheap by any means. If after spending that kind of money, a guy decided it wasn't right for him and his wife/family, selling most likely would be very difficult.

1500 sq ft is about 140 sq m . So yes, US$ 75,000 would get it done with luck and good management. What often happens is it ends up costing you US$100,000 or more (when you start adding western standards) and people like to get their money back when they want to sell. A future potential buyer will ask: Why would I give you $100K when I can build a new one for $75K . . and the cycle continues.

Don't take this the wrong way. But why would anyone, spend 75 or 100k on a house in the Philippines? In some places in the USA , you can get a 1500 sq ft place for that, where you can own both the land and property and know the property will retain most of its value. You say thats for a western standard place, however you have Phillipinos building the place, with more lax standards and regulations, so I doubt it's on par build quality wise. Don't mean to come off the wrong way. But considering how cheap it can be to rent in the Phillipines, that seems like the best and less risky option. Sure if you can build a house for 15-30k, that you and your wife are happy with, go for it. If you lose it, hopefully it doesn't bankrupt you. But to put up nearly 6 figures in a house there, seems like a bad move.

Anybody help my understand?

Good questions Dave and I think what you stated makes perfect sense for most folks. If you re-read my post though you'll see I was just stating, to build a near western standard 3 bedroom 2 1/2 bath 1500sqft home would apparently cost around $75,000 U.S. according to what was previously written. I also stated, anyway you slice it, that's a lot of cash so one should be absolutely certain before doing so.

Now to answer why someone would do so. I suppose because they can afford to. Some folks want a home the designed to their liking. In our case, my wife and I have been together for nearly thirty years and I fairly certain we'll ever have any ownership issues. Our children have dual citizenship so it's inheritable and I doubt they'd kick me out if my wife were to pass before me.

You're absolutely correct that a house can be built for $15-30,000. A nice can be built for much less but I don't see us being real happy growing old together in a nice. (Thirty years ago we actually had a nice on the very beach where our land is today.)

Anyway, I think the points you brought up are totally legitimate but I have to agree with Earth dome when he said it all depends on your income and what you're able/comfortable to walk away from if need be.

We love the location where our property is located and we could very easily see ourselves living out the rest of our live together based in that area.

I hope this and Earthdomes post helps to explain the mindset a little better.

 

Hey BluesDude,

 

I hope you don't mind but I highlighted the above words to help me organise my thoughts better.  Although as you may know, most of my thoughts were weird and weirder......he, he.  Anyway, Earthdome nailed it!  In my own personal drama, my mindset at the time(s) was on fire.  The broiling anger and the frustration of losing/wasting large sums of money and blood, sweat and tears took me to the edge of my sanity.  

 

Until one day, it hit me like a lightbulb turning on above my head.  I went cold turkey by proclaiming -- from now on, consider all fraudulent loss as donations or contribution to your community of extended family and various govt officials.  Otherwise, the stress will kill you or your relationship.  

 

I mentioned in my old post(s) that I DID escape back to the States......without my wife, Judy.  I think I went over the edge finally.  Yeah, it was that bad and I'm Filipino.  

 

Respectfully -- Jake

[scott h]

Don't take this the wrong way.

 

We don't (at last I don't lol), In my view there should be no thin skins here on the board, but a free trade of ideas, how else are we going to help each other?

 

But why would anyone, spend 75 or 100k on a house in the Philippines?

 

There are almost as many reasons for there to move to the Philippines as there are members. For us, (like Bluesdude) we have been married over 21 years. We are both retired with pensions, and this is likely where we will die. It is where the wife is from so she has become reacquainted with all her batch mates and relations.

 

We were quoted approximately 16,000 pesos per square meter in the end it cost us about 19-20,000 per square meter. But that was due to our customization. We designed the house with two bedrooms upstairs and an "family" or "TV" room downstairs, each with their own split  air conditioning unit. The down stairs family room was designed specifically to be converted into a bedroom for us when we are to old to climb the stairs. We used the best quality building materials available locally, and bought top of the line appliances.

 

property will retain most of its value.

 

That is why we sold our home in the states, to finance our move and new build here in the Philippines. To me (and this is just ME) the only reason that a person should be concerned about the property retaining or increasing in value is if they plan to sell and use the profits for something else. Well for us this is the last train stop, so who gives a fig? :hystery:

 

 

If you lose it, hopefully it doesn't bankrupt you.

 

Very correct. If, and as I said there are many different reasons for men retiring here, a someone is moving/retiring to the Philippines and starting a new relationship, it would not make sense to sink an entire life savings into house and property.

 

But back to the OP's  original questions about what the cost would be. It seems to be around 12,000 to 20,000 pesos per square meter. But I am afraid that includes labor, most contractors/builders have their own building crews and it seems to be general practice here to include labor into the estimates. :cheersty:

[Jake]

 

Don't take this the wrong way.

 

We don't (at last I don't lol), In my view there should be no thin skins here on the board, but a free trade of ideas, how else are we going to help each other?

 

 

 

But why would anyone, spend 75 or 100k on a house in the Philippines?

 

There are almost as many reasons for there to move to the Philippines as there are members. For us, (like Bluesdude) we have been married over 21 years. We are both retired with pensions, and this is likely where we will die. It is where the wife is from so she has become reacquainted with all her batch mates and relations.

 

We were quoted approximately 16,000 pesos per square meter in the end it cost us about 19-20,000 per square meter. But that was due to our customization. We designed the house with two bedrooms upstairs and an "family" or "TV" room downstairs, each with their own split  air conditioning unit. The down stairs family room was designed specifically to be converted into a bedroom for us when we are to old to climb the stairs. We used the best quality building materials available locally, and bought top of the line appliances.

 

 

 

property will retain most of its value.

 

That is why we sold our home in the states, to finance our move and new build here in the Philippines. To me (and this is just ME) the only reason that a person should be concerned about the property retaining or increasing in value is if they plan to sell and use the profits for something else. Well for us this is the last train stop, so who gives a fig? :hystery:

 

 

 

If you lose it, hopefully it doesn't bankrupt you.

 

Very correct. If, and as I said there are many different reasons for men retiring here, a someone is moving/retiring to the Philippines and starting a new relationship, it would not make sense to sink an entire life savings into house and property.

 

But back to the OP's  original questions about what the cost would be. It seems to be around 12,000 to 20,000 pesos per square meter. But I am afraid that includes labor, most contractors/builders have their own building crews and it seems to be general practice here to include labor into the estimates. :cheersty:

 

Triple LIKE Sergeant Major!

[Tukaram (Tim)]

Don't take this the wrong way. But why would anyone, spend 75 or 100k on a house in the Philippines?

Everyone has their own needs/desires and available money.  I have never spent that much on a house in the US - I sure as hell won't spend it here.   ....but that is me.

 

 

Also, if anyone wants to see current (Iloilo) prices, I have an itemized list of everything we bought so far on my blog.  Bricks, cement, nails, lumber, rebar.... p127,000 so far.

[Dave Hounddriver]

why would anyone, spend 75 or 100k on a house in the Philippines?

 

I have often wondered the same and many here have given valid answers.

 

I have seen one foreigner come here and build a 40,000 peso nipa hut on rented land by the ocean and live with the bugs and snakes (literally) and be happy as that is all the money he has and he prefers that lifestyle.  The alternative was going back to a developed country and working for a living.

 

I have also seen a married foreigner couple build a 100 million peso mansion and only stay there a month out of the year as they are off earning their fortunes the other 11 months.

 

Neither of these scenarios appeal to me, nor does renting because I am at the mercy of the landlord as to being evicted when he sells the place or having him come on the property whenever he feels like it or raising the rent if the mood strikes him etc.

 

My compromise is to live in the smallest concrete house that I can afford to buy outright.  Cost = less than 1 million pesos.  Everyone will have their own level of comfort but the uniting factor is we all want a permanent residence in Philippines.