Property Advice On Buying / Selling (Compiled)

[Guest]

it's advisable to get an *in-principle loan approval from your banker

and by doing so, you'll more or less know the price range of properties that you should be looking for

 

*note: maximum quantum of financing is 80% of valuation or purchase price, whichever is lower

that means, you need to fork out cash of at least 20% (or at least 5% if using cpf monies)

there're also legal fees & stamp duty to be paid (about 3.5% of purchase price)

 

fyi:

1. getting the buying paperwork right for resale properties

2. progress payments for buying directly from a developer

Edited August 12, 2013 by jcho

[Kevin Choy]

 

it's advisable to get an *in-principle loan approval from your banker

and by doing so, you'll more or less know the price range of properties that you should be looking for

 

*note: maximum quantum of financing is 80% of valuation or purchase price, whichever is lower

that means, you need to fork out cash of at least 20% (or at least 5% if using cpf monies)

there're also legal fees & stamp duty to be paid (about 3.5% of purchase price)

 

fyi:

1. getting the buying paperwork right for resale properties

2. progress payments for buying directly from a developer

 

 

 

Sorry to ask this....if we are planning to buy a condo of $1.3 mil, given the case that if we are able to get a in-principle loan of 80% of the purchase price. How much physical cash we need to fork out if let say we have around $220,000 of CPF monies?

 

Thanks.

[Guest]

Sorry to ask this....if we are planning to buy a condo of $1.3 mil, given the case that if we are able to get a in-principle loan of 80% of the purchase price. How much physical cash we need to fork out if let say we have around $220,000 of CPF monies?

 

Thanks.

if valuation matches purchase price of $1.3m,

housing loan (max) : $1,040,000

cash (min)               : $65,000

*cpf                         : $195,000  (*balance $25K may be used for legal fees & stamp duty or to reduce loan amount)

purchase price       : $1,300,000  

Edited August 12, 2013 by jcho

[Guest guest]

Not a good time to buy now. Wait till dec or jan......

[Kevin Choy]

if valuation matches purchase price of $1.3m,

housing loan (max) : $1,040,000

cash (min)               : $65,000

*cpf                         : $195,000  (*balance $25K may be used for legal fees & stamp duty or to reduce loan amount)

purchase price       : $1,300,000  

 

Thanks you very much. At least i can have a rough gauge for my planning.

 

Thanks again.

[Guest Guest]

Is Kevin Choy and HydroNaut same?

 

private: VIP, pre-launch, launch, near completion, completion price all different psf.

[Guest LONEly NIGht]

if valuation matches purchase price of $1.3m,

housing loan (max) : $1,040,000

cash (min) : $65,000

*cpf : $195,000 (*balance $25K may

be used for legal fees & stamp duty or to reduce

loan amount)

purchase price

: $1,300,000

May I know the bank base on what ground to

grant u such a huge loan?

[Guest Guest]

Is Kevin Choy and HydroNaut same?

 

 

seems like!!

 

or maybe brothers. the other one called Hydro Choy

[Moo]

Hi guys,

 

Thanks for the constructive responses.

 

 

 

it's advisable to get an *in-principle loan approval from your banker

and by doing so, you'll more or less know the price range of properties that you should be looking for

 

*note: maximum quantum of financing is 80% of valuation or purchase price, whichever is lower

that means, you need to fork out cash of at least 20% (or at least 5% if using cpf monies)

there're also legal fees & stamp duty to be paid (about 3.5% of purchase price)

 

fyi:

1. getting the buying paperwork right for resale properties

2. progress payments for buying directly from a developer

 

jcho, thanks for the information! Did you buy a property recently? You seem very well versed.

 

Not a good time to buy now. Wait till dec or jan......

Guest, why do you advise Dec or Jan specifically?

 

A little worried, just read an article about the number of units to be completed in 2016 and potential oversupply during the 2016-7 period as projects complete. This is in line with numerous HDB completions too. Worried these might drive prices down. Other indicators include slowing GCB sales this year (lowest rate in years) and a slowing market (slow sales, slow tenancies) - BUT still no fall in prices!

 

 

Its all quite daunting!

[zwei]

May I know the bank base on what ground to

grant u such a huge loan?

The loan is based on your monthly income, 30% mortgage servicing ratio, and also determined by 60% total debt servicing ratio(new mas ruling).

Personally I usually don't recommend my client to take up a huge loan if they have the means to pay more, reason being very simple, why pay more for something you can afford to get at a lower rate? Only aim for highest loan quantum when you are only able to fork out the minimum down payment.

Edited August 12, 2013 by zwei

[Guest]

May I know the bank base on what ground to

grant u such a huge loan?

 

banks in general grant housing loans based on stipulated guidelines (eg quantum of financing, total debt servicing ratio, etc) and background checks (eg blacklist check, employment, conduct of existing credit card & loan accounts, etc)

[Guest]

Hi guys,

 

Thanks for the constructive responses.

 

 

jcho, thanks for the information! Did you buy a property recently? You seem very well versed.

 

Guest, why do you advise Dec or Jan specifically?

 

A little worried, just read an article about the number of units to be completed in 2016 and potential oversupply during the 2016-7 period as projects complete. This is in line with numerous HDB completions too. Worried these might drive prices down. Other indicators include slowing GCB sales this year (lowest rate in years) and a slowing market (slow sales, slow tenancies) - BUT still no fall in prices!

 

 

Its all quite daunting!

 

you're welcome

i know the product well as i've worked in the banking industry before

 

guess he is expecting property prices to fall with the new total debt servicing ratio framework for housing loans

[Guest Guest]

Is Geylang property a good buy? Saw many freedoms projects there. I m not bothered w shores since I'm gay. Think that's the only con.

[Moo]

 

guess he is expecting property prices to fall with the new total debt servicing ratio framework for housing loans

 

Perhaps, but why Dec Jan specifically?

 

Sorry if i appear ignorant.

[Guest Guest]

Anybody know?

 

Not thinking of high-end condo, just the average type.

[Guest Hot Swimmer]

About 300k cash and the rest can take housing loan.

[Guest Guest]

About 300k cash and the rest can take housing loan.

 

for 3 bedroom? 

[Guest Hot Swimmer]

Yes boy

[Guest Guest]

Yes boy

 

sounds cheaper than i thot

[Guest Hot Swimmer]

Good to hear that you have 300k cash in hand to pay the downpayment and lawyer fees. If you have 500k even better, can buy condo in sommerset area or marina bay.

[matric]

If you are a local, purchasing your first property under first property loan:

Purchase price of property: $900k

Payment:

5%: Cash = $45k

15%: Cash or CPF = $135k

80%: Loan = $720k

Other fees:

Stamp Duty: $22k

Lawyer Fees: $2.5k

If you are 35years old, and taking a 1.75% interest rate, your monthly repayment is about $2500 per month.

Hope it helps:)

Cheers!

[Guest guest]

how about electric bill?  ,maintence bill?  is it true that even air con charges cleaning  is higher than hdb? still got internet , transport and food bill.mmmm. i earning only 3k a month enough?

[Guest Fatty]

how about electric bill? ,maintence bill? is it true that even air con charges cleaning is higher than hdb? still got internet , transport and food bill.mmmm. i earning only 3k a month enough?

Hoot first talk later. Good time to buy now. Don't miss the boat.

[Guest Guest]

Buy already sell to who?

America is in debts and Caucasians all over the world are running to Thai and Bahamas to retire and nip on their savings.

China is not doing as well as the past few years.

I buy now I sell it to who later on?

[Guest Guest]

Other countries properties are less than half of Singapore. Free hold. Some got private beach,some are build on top of lunatics where it is always cool and some even give lifelong golf membership to golf club if people buy houses from the developers.

Singapore developers use what to attract buyers to buy their houses here?

[Guest Guest]

Mountains. Typo error lol

[Guest Fatty]

Buy already sell to who?

America is in debts and Caucasians all over the world are running to Thai and Bahamas to retire and nip on their savings.

China is not doing as well as the past few years.

I buy now I sell it to who later on?

Buy and stay. Why always think of speculating?

[Guest Fatty]

Other countries properties are less than half of Singapore. Free hold. Some got private beach,some are build on top of lunatics where it is always cool and some even give lifelong golf membership to golf club if people buy houses from the developers.

Singapore developers use what to attract buyers to buy their houses here?

NTUC vouchers

[Guest Guest]

Last time so shiok my cousins graduate and earn 3k can buy hdb 5 room flats then later sell it for a handsome profit and then use the money to upgrade to condos without breaking their backs financing it and as they enter middle age they become promoted and earn even more.Now 20 years graduates wage are still the same as the 90s but houses cost much more tganthe 90s. I buy hdb or condos I still will become a debt slave.

Let it continue for another twenty years like this will the ponzis self destruct? Will Singapore sink? Will locals run road?

[Guest Fatty]

Last time so shiok my cousins graduate and earn 3k can buy hdb 5 room flats then later sell it for a handsome profit and then use the money to upgrade to condos without breaking their backs financing it and as they enter middle age they become promoted and earn even more.Now 20 years graduates wage are still the same as the 90s but houses cost much more tganthe 90s. I buy hdb or condos I still will become a debt slave.

Let it continue for another twenty years like this will the ponzis self destruct? Will Singapore sink? Will locals run road?

As long as we are in the capable hands of pap, we will be ok.

[Guest Guest]

Buy and stay. Why always think of speculating?

[matric]

@guest:

Other than the maintainence fee, the rest is more or less, you pay for what you use.

If you have some cash to pledge to the bank for 4 years (deposit with the bank for 4 years), it may help you get the loan approved.

Or if you have a sum of money, you can show them 2 times. You do not have to deposit with the bank. You just have to show them you have a certain amount of money for 2 times in the 4 years.

@Fatty

Agreed:)

Cheers!

[Guest Guest]

Actually hor I don't want to speculate too but fatty gor gor you say hoot first then talk later mah now is a good time to buy mah.

But why now good time to buy you never explain hah?

Why should people buy a apartment at over a million dollar huh?

To cry in it is it? Lol

[Guest Guest]

As long as we are in the capable hands of pap, we will be ok.

Really ah?

You can tell the future huh?

Can tell me Saturday 4d first prize is what or not?

If accurate I listen to you lah.

Hahahahaha

[lonelyglobe]

NTUC vouchers

u mean aunty you see voucher :yuk:

definitely not a good time to buy, whoever told u yes must be a property agent or developer.....world economy is not doing good and if the 10 year cycle strike (1997, 2007) then the next one will be here soon.....base on matric's calculation of $2500 payment per month and the ideal scenario of 30% of your pay on house loan, you should have a total income of 9 to 10k to be comfortable, otherwise u will be over stretch when interest rate went up, live within your limits is the best unless u want to work like a slave just to make the mosquito (bank) fatter.....

[Guest heremeee]

Hdb flats used to cost $300K for a 5 room flat in the early 2000s. Location was good too. Now, a good location 5rm flat would cost $500k. Tt is a 67% increase.

In the early 2000s, a fresh grad pay was $2.5k. Now, it would be $3k on average. Tt's only a 20% increase.

Houses are getting more expensive faster than incomes r getting higher.

[mate69]

how about electric bill?  ,maintence bill?  is it true that even air con charges cleaning  is higher than hdb? still got internet , transport and food bill.mmmm. i earning only 3k a month enough?

U can forget abt it if u r earning 3k per month.

[faberC]

reno, servicing, some fixtures etc, it's known that they will charge higher for condo residents. it's unfair, but the market is like this.

[Guest guest]

Aiyoh ....i earn only $6K a month and am happy to stay in 4 room flat. Must remember you need to service loan 20 yrs from bank ok! You also want to enjoy travelling, spending on clothes, weekends nite out with guys. I am happy w myself..... no much loan,, easy to pay. If u live in condo and only earn less than 5K .....alamak your whole life is nothing but Pay and Pay! Some of my friends stay in condo with double income.....they had hard time servicing their loan. especially when they buy at high price ....i think i have the last laugh....LOlxxxxxxxxxx

[Guest Guest]

Last time so shiok my cousins graduate and earn 3k can buy hdb 5 room flats then later sell it for a handsome profit and then use the money to upgrade to condos without breaking their backs financing it and as they enter middle age they become promoted and earn even more.Now 20 years graduates wage are still the same as the 90s but houses cost much more tganthe 90s. I buy hdb or condos I still will become a debt slave.

Let it continue for another twenty years like this will the ponzis self destruct? Will Singapore sink? Will locals run road?

 

,just pray that the gove can continue to have the right policies to keep growing the economic pie so mor e people can benefit, and hopefully when the next big wave comes , Singapore as a whole can ride the crest and sail over the troughs that our neighbouring countries are struggling to get on.

 

otherwise, economy doesn't grow then everybody who are employees will have sleepness nights wondering about retrenchments and if you have an outstanding mortage or loans , you will more than double your stress and anxiety level.

 

Very thankful , that our governement are always one step ahead and keep growing and plugging singapore in so that Singapore stays relevant..

 

my hongkong friend says Hongkong have difficulty absorbing all its graduates and there are severe job mismatch with graduates ,

 

in hongkong, most people probably will not be able to move to another country to find a suitable jobs, they are very good in their cantonese,  i think singapore still produce graaudates who can fit into a foreign enviroenment more easily than Hk, because singapore is less chavinistic about holding on to old  Chinese culture...

 

 

muahahahahaha...

[Guest Guest]

,just pray that the gove can continue to have the right policies to keep growing the economic pie so mor e people can benefit, and hopefully when the next big wave comes , Singapore as a whole can ride the crest and sail over the troughs that our neighbouring countries are struggling to get on.

 

otherwise, economy doesn't grow then everybody who are employees will have sleepness nights wondering about retrenchments and if you have an outstanding mortage or loans , you will more than double your stress and anxiety level.

 

Very thankful , that our governement are always one step ahead and keep growing and plugging singapore in so that Singapore stays relevant..

 

my hongkong friend says Hongkong have difficulty absorbing all its graduates and there are severe job mismatch with graduates ,

 

in hongkong, most people probably will not be able to move to another country to find a suitable jobs, they are very good in their cantonese,  i think singapore still produce graaudates who can fit into a foreign enviroenment more easily than Hk, because singapore is less chavinistic about holding on to old  Chinese culture...

 

 

muahahahahaha...

 

[onlylonely]

U need alot of cash if ur cpf has not alot. U need good agents? Can intro mine to you. I just got one condo in aug

[Guest Guest]

If you are a local, purchasing your first property under first property loan:

Purchase price of property: $900k

Payment:

5%: Cash = $45k

15%: Cash or CPF = $135k

80%: Loan = $720k

Other fees:

Stamp Duty: $22k

Lawyer Fees: $2.5k

If you are 35years old, and taking a 1.75% interest rate, your monthly repayment is about $2500 per month.

Hope it helps:)

Cheers!

 

Not forgetting renovation costs which most will forget during time of purchase. A simple renovation may cost another $30k while a bigger one may go up to $120k. And that's excluding the cost of furniture, beds, etc. 

 

 

Aiyoh ....i earn only $6K a month and am happy to stay in 4 room flat. Must remember you need to service loan 20 yrs from bank ok! You also want to enjoy travelling, spending on clothes, weekends nite out with guys. I am happy w myself..... no much loan,, easy to pay. If u live in condo and only earn less than 5K .....alamak your whole life is nothing but Pay and Pay! Some of my friends stay in condo with double income.....they had hard time servicing their loan. especially when they buy at high price ....i think i have the last laugh....LOlxxxxxxxxxx

 

I'm not so sure if you will be having the last laugh. People buy condo for the potential upside in prices. I won't call it speculation. But when the market is right, it's more profitable and easier to sell condos than HDB. HDBs are only limited to Singaporeans and PRs now, but anyone can buy a private property.

[Guest Guest]

reno, servicing, some fixtures etc, it's known that they will charge higher for condo residents. it's unfair, but the market is like this.

There are some real reasons for that eg condos may allow for concealed pipings and wiring etc which take more work for it to be done. But HDB may only allow for boxed up pipings which is aesthetically less pleasant. 

[Guest marcus]

I have 2 questions for the property experts here.

 

Roughly how much more downside for condo prices in the next few years? 10% 20% 30%?

 

When do you think govt will remove the cooling measures? 2016? 2017? or even longer?

 

Lets discuss.

[Guest Hot Swimmer]

I think gov will remove the cooling measures next 1-2 more years when interest rates rising to 3-4%. Current interest rate is about 1.7%. In december the US will raise interest and the bank interest will leap forward.

[lonelyglobe]

Not forgetting renovation costs which most will forget during time of purchase. A simple renovation may cost another $30k while a bigger one may go up to $120k. And that's excluding the cost of furniture, beds, etc. 

 

 

 

I'm not so sure if you will be having the last laugh. People buy condo for the potential upside in prices. I won't call it speculation. But when the market is right, it's more profitable and easier to sell condos than HDB. HDBs are only limited to Singaporeans and PRs now, but anyone can buy a private property.

question is when the market is right? over the next 2 to 3 years, there will be more than 60000 units excluding EC dump into the market, must have the power to hold, if you are looking at rental yield, hdb actually offer a better yield, also the government every year give rebates for hdb, if your flat is old and in good location, also got a chance to get enbloc, which already happen to a few of my friend

[kratos]

Don't overleaverage yourself, after the initial purchase and renovation, think about your mortgage. In the worse case scenario, your loan interest may go up to 5%. If you are able to comfortably service the payment on top of your property tax and maintenance fee without a job for a couple of years, then go ahead.

[xboyhunk]

Income of 3K a month in SG is fresh grad starting pay. Anybody thinks all fresh grads here can start buying condos? How much money will a bank lend to someone with 3K monthly income? With that income, HDB and condoms will be ok, not condo unless you don't need any help from banks!

Edited November 6, 2015 by xboyhunk

[hornbird]

Be modest in the assets chase. The condo owners today mostly started with 4 room hdb. Fresh grad salary was 2,200 15 years ago for non engineering.