Pro-Tips: How To Buy A Pag-IBIG Foreclosed Property (Last Part)

Winning the auction is your only way to own a foreclosed unit from Pag-IBIG. But how exactly can you score the top spot?

Let me share with you 6 pro-tips in this blog.

But before that, kindly read the first two parts (PART 1 & PART 2 of this series where you can learn the basics of bidding a foreclosed property.

Done? Let’s begin!

‘As Is, Where Is’ Basis

Foreclosed properties are secondhand units. This means, there could be a previous owner, or the property was built long ago but never sold.

Pag-IBIG acquires and sells these properties – whether they have unpaid bills and dues, legal issues, damaged parts, or even ghosts. All these responsibilities will be passed on to the new owner.

That’s why due diligence is key!

Never ever bid on a property without doing these 6 tips.

1. Google Maps and YouTube are your best friends.

You can easily find the address of the properties on the official website of Pag-IBIG. You can simply search it on Google Maps to see the unit’s satellite image. If you’re lucky, some properties can be seen in 360-degree Street View.

Why is this important? Because it gives you an idea of how the house and the community look.

Google Maps also has a review and photos section. You can read people’s comments which can help your judgment.

Once you find your preferred property, accessibility comes as your next priority.

If you don’t have a car, you may want a property that can be easily reached.

In my case, since my property is in Cavite, I wanted it to be near the Parañaque Integrated Terminal Exchange or PITX which caters to buses to the south.

What I did was I scanned the map to locate PITX and assessed its distance to the property. Good thing, the subdivision is near the national highway and only a bus away from PITX. The property is also just 5-minutes away from the subdivision’s gate.

Now that you’ve found them on the map, you need to find a way to visit the property. This will be difficult if you’re unfamiliar with the place.

YouTube can help you.

Try searching for available public transport heading to your preferred property.

In my case, I searched “PITX to Tanza”. I studied every single available video showing the bus trip from the terminal to the point of destination. I wrote down the signage on the bus and some key landmarks in the area.

You may check out “Dito Ang Sakayan” on YouTube. It’s a channel that gives helpful information on where to take the bus, especially that there are a lot of changes in the system amid the pandemic.

2. Visit The Property

Like it or not, you really need to personally visit the property. It is important to know how it looks and feels.

Inspect the unit. If it’s locked, you can check it from the outside. Have a look at the windows, walls, and roof. You may also peek inside through the window to check the ceiling and floor.

If you can’t personally visit the unit, check out “Adem’s Family Network” on YouTube. This channel provides a virtual tour of foreclosed properties. She visits the units and talks about their Pag-IBIG details based on the foreclosed units list.

I watched her videos before I joined the auction.

3. Do Not Buy OCCUPIED Units

Sometimes, foreclosed properties have illegal occupants even if they’re marked UNOCCUPIED. Pag-IBIG can’t do something about it. It is the buyer’s responsibility to kick them out or take them to court.

It’s not easy to tell people to leave. Some ask you for money, while some are firm and brave as if they paid for the property.

You don’t want that headache. That’s why most buyers snub units marked as OCCUPIED.

4. Talk To Neighbors

Upon visiting the foreclosed unit, it’s your chance to speak to your future neighbors!

Have a small talk with them about their living conditions in the area. Ask them if they experience flooding, earthquakes, ashfall from the volcano, or any other natural disasters. Find out from them if the area has a nearby market, hospital, mall, business center, church, school, and banks.

All these will help you decide whether you really want the unit or not.

5. Write Down Your Preferred Properties

Don’t just settle on one unit, have as many as you want and list them in a notebook.

Treat it like you’re looking for a new phone or a pair of shoes. You have lots of choices in mind before you decide to buy one, right?

In this case, compare the units from one another and weigh every factor such as what’s mentioned above – accessibility, location, neighbors, the structure of the unit, and most importantly, the price.

I personally looked at 6 properties before I decided to bid for one.

I visited every single one of them on a Saturday to make a wise decision. It wasn’t hard to go from one unit to another because the properties were just within the same subdivision or barangay.

6. Join Facebook Groups

Even in the crypto world, you need to join a forum to understand how it works. This is also the case in buying a foreclosed property.

There are lots of Facebook groups focused on purchasing a foreclosed unit. You can check them out and read the posts to learn more. Don’t be afraid to ask questions. There are helpful members who can answer you.

I also joined a Facebook group before I joined the auction. That’s where I learned all that I talked about in this series.

Bonus Pro-Tip: What Is The Winning Bid Price?

There are no limits, it’s really up to you. As mentioned in the previous parts of this series, it depends on your budget.

Thank you for reading!

What?

Yeah, right.

Here you go. Bid price reveal! @Lazysnail this one's for you.

I bought my first property for Php901,116.99. The Minimum Gross Selling Price was Php802,890. I added a total of Php98,226.99.

Why that amount?

There's really no explanation. I just thought of pricing the property just like how business owners priced their products in malls - always with extra Php0.99, Php199, etc.

Other bidders might think to close the price at Php900,000. But as a future winner, you have to think out of the box. If majority will price it that way, then add another Php0.99 so you can win.

Again, there are no rules for the bid price. Some members of the Facebook group that I joined said they only added Php20,000, while others revealed that they went as high as Php200,000. Some also said that they won in their third until fifth try, while me, it was just my first try.

Buying a Pag-IBIG foreclosed property is really a game of luck. When I submitted my bid, every single day, I tell the universe that I will win, I will own the house, and then it happened.

I hope this series inspired you to invest in a foreclosed property. I’m glad that I was able to get positive feedback in my first article I Bought My Own House At 27, Here's How I Did It.

If you have questions, feel free to ask them in the comment section. I would love to hear from you!

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