Can I afford a condo as single? pls help with math and affordability.

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Hi anon,

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I'm going to take a different route here and not focus on the maths (which I'm sure many people have worked out numbers for you by now), and any competent property agent should be able to tell you what your affordability (on paper) is, as well as which areas would have condos that can suit you.

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I'll also take the assumption that $130K is the amount you have allocated for the condo and this should not include your emergency funds for 12 months (at least) of expenses nor any other loan repayments (if any) as well as saving goals for short term needs (e.g. if you're saving up for a holiday or anything like that).

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If I were you, I'd seriously evaluate affodability first. Just because you can take a max loan of $X (whatever the amount may be) doesn't mean you should.

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Just because the mortgage amount falls under the 55% TDSR ratio, doesn't mean you should take up this amount of mortgage.

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Consider the costs of upkeep of a property beyond just the mortgage. You'll have to consider at a minimum MCST (a few hundreds typically), utilities, etc.

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Beyond that, $130K can't just be for your downpayment as you'll definitely incur costs from furnishing, light reno, etc.

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A general rule of affordability I would use is not to buy a property that exceeds 5-7 times your annual income. With a take home of $4.5K monthly after CPF, that puts your gross annual salary at about $67.5K a year and 7 times that is $472.5K for the purchase price of the condo. It'll be hard to find a condo for that price to be frank. Unless your salary increases dramatically, I'll be cautious about committing to a condo that may bust your budget.

Get your loan assessment first. you can definitely get a 700+k condo in woodlands / aljunied area

Might be worth writing in to Stacked Homes for professional advice :)

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Maybe can also share with them your current OA balances so it gives them a full picture of your financial health, plus whether you are looking to rent it out or for personal stay.