What should I be buying? Resale HDB, resale EC or resale condo?

I’m looking to buy a home with my wife (both 31 years old) for immediate stay and we have a combined income of 12k with 150k cash savings.

Don’t really want resale HDB as I am afraid of making a loss after 5 years.

Also worried about stretching as I’m not sure if we should get a 2 or 3 bedder resale condo at 1.1mil budget? Is my budgeting even correct?

Should I be getting a condo as a first house?

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Kas

29 Mar 2021

Research Associate, Writer at The Astute Parent

If you are a Singaporean/PR first time buyer, I recommend resale HDB. This is due to the generous subsidies and grants meted out to help citizens afford their first homes.

There are certain criteria to these grants and the amount received is dependent on combined income.

For Executive condominium (EC)

The amount varies from $5,000 – $30,000 depending on your income when purchase from developer.

For Resale Flat Buyers

CPF Housing Grant: The CPF Housing Grant provides first-time homeowners earning up to $12,000 and buying a resale flat a grant of $50,000 for 4-room and smaller flats and $40,000 for 5-room or larger flats.

Proximity Housing Grant: If you are buying a resale flat in the same town or within 2km of where your parents are staying, or are intending to stay with them in the same flat, you will be eligible for the $20,000 Proximity Housing Grant (PHG).

No subsidies given to resale condominiums.

Thus, it is good to make use of the "discount" given by the government. When you are looking to sell, the capital gain (percentage yield) will be higher as compared to EC and condominiums.

Check out what property I would buy if I had $1M in cash!

https://www.youtube.com/watch?v=7KqketogfP4

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