facebookHow much to upgrade 4 room BTO to 5 room Resale? - Seedly

Anonymous

03 Feb 2021

Property

How much to upgrade 4 room BTO to 5 room Resale?

Hi may I know how much cash I would need to fork out when I upgrade from a 4room BTO (valued at 400k) to a 5room resale (valued at 700k)
Also roughly how much will the mortgage monthly payment be
I read many articles on upgrading flat but still am very clueless about it
Thanks

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Please use this Sales Proceed Calculator to calculate how much money do you earn/loss from selling your $400,000 BTO. https://homes.hdb.gov.sg/home/calculator/sale-p...

You will be required to insert details such as intended selling price, buyer’s deposit, outstanding HDB loan, CPF monies utilised, etc...

Do remember that by using CPF to pay off your HDB, you will be subjected to accrued interest which will need to be paid back to your CPF and it will eat into your earnings. Read more about accrued interest here: https://dollarsandsense.sg/cpf-accrued-interest...

After you are done will all the calculations, you can then see how much will you have left in cash + CPF to see your affordability.

For the $700,000 resale, you will first need to pay an option fee of an amount not exceeding $1,000 and also pay the Option Exercise Fee (which is a sum not exceeding $5000 - less the deposit already paid) to you after delivering the OTP to the seller. Please feel free to check with a Property Agent regarding the breakdown of the fees.

Assuming you are taking an HDB loan for the resale flat, you can get up to 90% financing. The downpayment is 10% (less the deposit of $5,000). In this case, it will be $70,000 - $5,000 = $65,000. You can pay this using your CPF OA.

Assuming for the remaining $630,000, you are repaying them for 25 years with 2.6%, your monthly instalment will be $2,859 which can be paid by CPF or Cash.

Im not a Property Agent so my knowledge is limited, speak to a Property Agent is the best way to work out the sum. Hope it helps!

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