By Danielis Fermín
elinmobiliariodo@gmail.com
SANTO DOMINGO.- Owning a property is a dream for many people, whether for investment or as a home. However, monthly payments and closing costs can turn the process into a nightmare.
To avoid this, Luchy Álvarez, a financial mentor and expert in real estate investments, says that the key lies in financial planning and in properly negotiating the terms of financing with the financial institution.
During her participation in the Real Estate Investment and Financial Education Fair, organized by Álvarez and Yudelka Parra, a financial advisor, she recommended negotiating a fixed rate for a minimum of three years and having the possibility of making payments without penalty.
The mentor also emphasized the importance of knowing all the details of the financing, including penalties and insurance. “If you can get them to waive the penalties and allow you to make payments without additional charges, that’s the ideal negotiation. It’s vital to know all the associated costs, such as insurance, before deciding on financing,” Álvarez said, advising against extending the financing term beyond 20 years.
The stock market and entrepreneurship specialist recommended negotiating a minimum fixed-term loan of three years, although she suggested considering the possibility of five or ten years. "I like to move forward, but without stress. When the loan rate and the monthly payment go up, it affects all our other expenses. That's why it's important to negotiate the loan terms well," she explained.
Another strategy mentioned by the expert is buying properties off-plan, as it allows you to pay the down payment in installments. “This method is ideal for those who want to invest in real estate without a large initial sum of money,” Álvarez stated.
Savings and income
Álvarez recommended using investment funds to save. “Every month you earn interest that is added to the principal, and that way your money grows steadily. You just need to make a bank transfer and you'll see how that fund increases.”.
In addition, Álvarez suggested leveraging talents to generate extra income. “Investing in businesses is an effective way to increase your income. If you have skills like makeup artistry or baking, use them to generate revenue. The point is that businesses, as long as they are regulated, are an excellent way to increase your money.”.
