My BTO just MOP & Im looking to upgrade to a condo of 1mil @ 9xx sqft. ECs are not an option due to MSR & new launch condos seem too ex. Are resale condos viable, with plans to downgrade in 2033-2035?
Some resale condos in Tampines / Pasir Ris meet my budget and are only 8-10 yrs old. Objective to upgrade is to assist & ease into retirement by downgrading to an affordable 4rm HDB when Im in my early 50s.
My main fear for this is that I will have trouble exiting when the condo is already 22-25 yrs old, let alone appreciate in value.
est. value of BTO: btwn 520k-550k
37 yr old / 31 yr old couple with a newborn & a helper
combined income: 6k - 9.5k per mth
Not an expert on this but I think resale condo might be more expensive than new ones. Normally new condo will appreciate in value. If the condo drop in value after launch, could be a sign that something's wrong, I would avoid.
Also, I think with your current income, you may be hard-pressed to afford a $1M condo (but I'm conservative). I'm assuming your current income is comfortably covering your BTO mortgage. You're better off either (1) staying put where you are, save your extra income and invest it to generate returns for retirement or (2) increase your income, and at the same time look out for new launches. Usually new launches are released in tranches. Go for the first tranche as it will be the cheapest due to first mover advantage.
And unless your condo is in super prime location (read: CCR +/- OCR) you are right about your concerns that its value probably won't increase significantly past a certain point. You might also want to consider whether it's freehold/99 year leasehold.
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