DUBAI: An architect-turned-property-investment-guru recommends that overseas Filipino workers (OFWs) put their money on rental properties to support them when they decide to retire.

Carl Dy, who himself owns rental properties in Rockwell, Makati, Ayala Center and Bonifacio Global City in the Philippines, said investing in real estate is “one of the best means of funding one’s retirement.”

“Many Filipinos work abroad to help their families. They want to earn more money so they can send their children to school, so they can build their dream house, so they can buy a family car.

“But beyond these goals, many OFWs have no idea how they can increase their wealth. Stocks are mysterious and complicated. Starting a business can be a risky venture. So what can OFWs do with their money? Here’s an option: Invest in real estate,” said Dy, who has over 10 years’ experience in the real estate industry, working for property giant Ayala Land as sales director of Ayala Land Premier.

Original Article here :
http://filipinotimes.ae/news/2015/02/07/financial-expert-says-rental-properties-good-investment-to-sustain-ofws-in-old-age/

Dy said property increases in value; renting it provides for a monthly recurring cash flow.

“It’s also one of the best means of funding your retirement. How does this work? A financial strategy I often recommend is this: accumulate rental properties while you are between the ages of 25 to 55, and rent them out to good tenants,” said Dy.

He explained that if one is able to do this consistently, one can have up to 30 years of “strategic investing.”

“The rental income is passive income—it is money you earn without having to exert much effort. This is income that can support you during your golden years, from age 55 onwards. This is the ‘saving-up-for-the-rainy-days’ approach,” Dy said, further explaining that creating passive income while young enables one to continue being financially sound in his or her old age when prospect of continued employment is not as strong anymore.

However, Dy likewise cautioned on the downside of investing on rental properties, among them the challenge to meet a high entry cost.

“Good property costs millions of pesos,” he said. “So, proper financial planning and education is needed. You can take out a loan and stretch out your payments over a long period of time, but the lack of information and understanding about your loan payments can cause stress in the future. You should always have an exit plan.”

Another challenge is the timeframe needed to make a profit.

“Personally, I see property as a long-term tool to create passive income. If you are looking for a faster return on your investment, maybe opening a business or going to the stock market is better, but they also have their own risks and returns,” he said.

Dy will be in Dubai for a seminar he will be giving, entitled, “Creating Wealth Using Real Estate” to be held on February 13 at the Hawthorn Hall of Avenue Hotel in Deira, near the Rigga Metro Station. Doors open at 2pm.

Clieck here to sign up ( 60AED )
https://www.eventbrite.com/e/creating-wealth-using-real-estate-by-carl-dy-tickets-15348608100
dubaifinancialevents@gmail.com
+971-52-7673776

The event was put together by Associate Financial Planners (AFP), an advocacy group.