Heikal Shafrudin - Seedly
Heikal Shafrudin

Heikal Shafrudin's profile is not filled up yet.

Heikal Shafrudin

2Upvotes

About

Heikal Shafrudin's profile is not filled up yet.

Credentials

Heikal Shafrudin's credentials are not filled up yet.

Heikal Shafrudin

2Upvotes
  • Answers (3)
  • Questions (0)
  • Reviews (0)

Condominium

Salary

Resale HDB

Property

Heikal Shafrudin
Heikal Shafrudin
Level 2. Rookie
Answered on 25 Apr 2018
its good to be a tenant today - rents are dirt cheap compared to what it was 4-5yrs back. rents are not expected to increase unless there's a policy change wrt to immigration laws and singapore being flooded with more expats. if you rent $3k a month for 5yrs - thats $180k. is it enough for your downpayment and stamp duties incurred for your condo purchase? probably yes. over the next 5yrs, you only pay for your interest portion of your mortgage + all the misc running fees of owning a property in singapore. you definitely get back your principal after 5yrs (unless we see a market C R A S H. if it does, then every one is screwed. you. me. everyone. cos if Pte market crashes, HDB will crash harder) dont buy an agent's hype of which project is the best buy today. DYOR and find out whats the best option in the market today in terms of entry price and growth areas that will help support price increases. with the right DYOR, you'll get back your principal AND a healthy capital profit on your purchase. if you buy a pte today, do you have to wait for 5yrs before you do anything? potentialy if your property increases in price from 900k to 1.2mil in 3 yrs, dont need to be greedy and hold on longer. you can already cash out. since you have a time frame of 5yrs, the next two years you have a $300k kitty to pay for your rental (since that was your original alternative). makes sense?

Loans

Heikal Shafrudin
Heikal Shafrudin
Level 2. Rookie
Answered on 25 Apr 2018
if you can afford to get a bank loan for your first property (meaning you can afford the 5% cash deposit) AND you know you will sell and buy another HDB property again in future, consider taking bank loan now because you can only use HDB loan facilities only 2x. HDB loan DOES NOT have any minimum loan amount required, while Bank loans have a minimum of $100,000 loan amount. so you should consider the fact that when you are in your 40s/50s, you will be better off if you have the opportunity to use HDB loan again. because at the age of 48-52, who wants to move to a bigger/smaller flat and still take $100,000 loan and have to service it till 65-67? not typical, but common pattern of home ownership due to income strength during your lifetime: 25-35yo - first home 3 or 4rm flat 35-45yo - second home , usually an upgrade to 5rm or maisonette 45-52yo - final retirement home , usually a downgrade back to 3 or 4rm if during the 45-52yo stage, you just want to have a small space for yourself and be able to fully pay for the flat. but not everyone can afford this, and sometimes you just need a $30-50k loan to cover the home purchase price. what if you've already used your HDB loan for your first two houses? then you'll be stuck with bank loan being your only option. and you have to take out a minimum $100k loan and you only have 10-12yrs to clear off that loan. most of the time you'll not proceed as the monthly payments will be crazy high, and that means you can't downgrade to your retirement home and you can't cash out comfortably. so plan your HDB loan usage wisely as its almost a priviledge to be able to use it in singapore (fixed rates & no minimum amout). also plan your loans and CPF savings wisely so that you can fully pay off whatever property you live in before you hit 55yo and your CPF OA contribution rate drops and you can't afford to service your loan using your CPF fully. good luck. source: hdbhero

Property

Heikal Shafrudin
Heikal Shafrudin
Level 2. Rookie
Answered on 25 Apr 2018
If you are using CPF to pay for your flat downpayment or monthly installments - this is probably linked to the Home Protection Scheme (HPS) insurance which will leave your HDB flat fully paid upon death/permanent disability up till your 65th birthday. It works like any other insurance and they'll want to know if you have any pre-existing conditions which will disqualify you for the HPS. This HPS is payable through your CPF.
Level 2. Rookie
2UpvotesGoal 5
3 UPVOTES TO LEVEL UP
Browse Rewards