Asked on 12 Mar 2020
Our main concern is the potential earnings. If we do stay in TPY, we hope to sell it after MOP. But would the interim rent erode the earnings?
I’ve done this simulation many times with many clients. The savings are not significant enough for the effort and time.
My suggestion is to buy resale if you have an urgency for a place to stay together.
Just make sure to look out for key factors before doing so. Like price, years left of HDB etc.
Depends on your
cash on hand,
Rental income or
Just to understand, you main concern is that you will eat into your savings? I think it might be better to find a temporary place to stay that hopefully you won't need to pay rent while waiting for your place to be ready.
Cause it's always better to not touch money that can be better well spent else where. And also it's better to have more cash than less also. But of course this is just what I think, and it might be different from your situation.
It seems like there are two different purposes that both of you are trying to achieve.
For BTO, both of you are looking to sell it after MOP. How about resale? Will both of you sell it or intend to stay for long? In the latter, there won't be much potential earnings.
Next, do both of you urgently need a place to stay? If yes, then resale is probably the way to go. This is because rental hovers at about $2.5k monthly, or $30k annually. In 6 years, that will be $180k. With this amount, I will prefer to get a resale and move on with life.
Here is everything about me and what I do best.