Asked by Anonymous
Asked 2w ago
I got married a year before i got a letter from NS. Now i have another year to serve. Currently been living at her parent’s house that is vacant(long story) and we’ve been wanting to buy our own house. Since BTO will take 3-4 years to be ready, we thought of applying a 4/5 room flat now so by the time it’s ready, we’re financially stable.
Currently our joint income is $3300. So i was thinking whether it is possible and also whether it’s advisable. Thank you in advance!
It’s possible. But here are a few factors to consider before deciding whether or not it is advisable.
What is the intention of the house purchase? Is it to be a permanent place of domicile?
After considering the first question carefully, you might than ask whether or not you actually want to get a BTO due to the process as opposed to resale. The time cost of 3-4 year might not be worth it in some cases for some couples, especially given your budget and flexibility, the BTOs you can get might not be in a convenient location.
While the cost of the option to buy is low, you might want to take into consideration resale as the process saves you time, which is also an important asset you need to take into account, not just the dollars.
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Top Contributor (Jan)
You may be able to apply for a BTO, subject to eligibility criteria. However, my main concern will be the mortgage that both your partner and you are going to bear.
Without a stable income, you may face stringent limitations in obtaining a loan (regardless of whether it is from the bank or HDB).
With this in mind, I will suggest for your partner and you to sit down together and have a detailed discussion on how both of you will want to plan for the future. In general, go back to the basics by understanding your cashflow and plan with the future in mind.
When both of you are ready, then apply for a BTO. This will be the responsible way to do so to ensure long-term affordability.
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Top Contributor (Jan)
It is possible and with the low joint income, you both are likely to get the maximum grants available. You can check further with HDB on other conditions by logging into HDB website with your info.
In this case, HDB loan is most advisable.