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Factors to consider before your next big purchase

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Metrobank

<div class="embed-wrap"><figure data-feedback="fb:likes,fb:comments"><img alt="Photo source: Metrobank]" src="https://sa.kapamilya.com/absnews/abscbnnews/media/2023/advertorial/07/21/metrobank.jpg"/><figcaption><em>Photo source: Metrobank</em></figcaption></figure></div><p>Every life decision—like getting your own car or house may seem overwhelming at first. But do not let your worries take away the excitement of achieving this life milestone. All you need is a useful guide to help you make the right decision when doing a big purchase. </p><p>Here are some factors to help turn your dream into a reality. </p><div><strong>1. Ensure you are financially prepared</strong></div><p>When taking on a home or car loan, you must have two key qualities: Responsibility and Financial Commitment. In trying to gauge whether you are ready for your first big purchase, it is important to help evaluate your current financial situation. </p><p>Budget tip: Your total loan amortizations should only be 30% of your monthly income. If you can manage to pay for all your essential expenses including monthly bills and loan amortizations while being able to have enough savings for emergencies, then you are likely financially ready to take on a loan.</p><div><strong>2. Budget for all costs involved</strong></div><p>On top of your monthly loan payments, there are also other costs associated with owning a car or a home. </p><p>For car buyers, additional costs may include LTO registration fees, insurance premiums, preventive car maintenance or repair costs, fuel expenses, and parking fees. </p><p>Homebuyers should also take into account extra expenses such as property taxes, homeowner&#x27;s association fees, insurance premiums, and repairs or maintenance costs. </p><p>Creating a comprehensive budget that factors in these costs will help you avoid stressful financial situations that may arise in the future.</p><div><strong>3. Find the right partner for your loan</strong></div><p>After identifying all associated costs of your loan, it is now time to look for the right financial partner. </p><p>Take advantage of banks&#x27; special promos with low interest rates. For example, for a 5-year car loan, Metrobank&#x27;s &quot;Your Dream is on Us&quot; promo offers a special interest rate of 9.11% p.a. for a one-month advance payment scheme. Meanwhile, this promo also provides a special interest rate for home loans with rates 6.50% p.a. fixed for one year.</p><div><strong>4. Check additional perks</strong></div><p>On top of low interest rates, car and home buyers may benefit from loans that offer waived fees and other exclusive promotions.</p><p>As part of Metrobank&#x27;s &quot;Your Dream is on Us&quot; promo, you may enjoy waived fees of up to P50,000. As an additional perk for home loan clients, Metrobank is also waiving appraisal fees of up to P5,500. This gives you a breather to use those saved funds on personalizing your new car or home, or even use it to pay for your amortization in the coming months.</p><p>Promo perks may also add value to your loan. For example, in Metrobank&#x27;s promo, you can be pre-qualified to avail of a Metrobank credit card. You may use it to get more deals like a 3% rebate on fuel at select Petron stations nationwide, as well as great dining deals and shopping discounts.</p><p>When choosing a car or home loan, carefully consider your lifestyle, and long-term goals. Opt for a loan that offers competitive rates and flexible terms to ensure that it suits your financial capabilities.</p><p>With financial preparedness, responsible decision-making, and awareness of the different offers and rates, reaching for that dream car or home becomes easier.</p><p>To know more about Metrobank&#x27;s Car and Home Loan promos, check out their website at: <a href="https://www.metrobank.com.ph/articles/car-home-loan-promo-2023">www.metrobank.com.ph/articles/car-home-loan-promo-2023</a> and <a href="https://www.metrobank.com.ph/promos/q2-free-home-loan-appraisal-fee">www.metrobank.com.ph/promos/q2-free-home-loan-appraisal-fee</a>.</p>

Have you ever wondered where to start when it comes to buying your dream car or your own home?