Property

A roof above your head or more?

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Property
  • Asked by Anonymous

    Tay Wen Hao
    Tay Wen Hao
    Level 2. Rookie
    Answered 6h ago
    Hey there. I was recently reading up on these as my brother was thinking about getting a BTO first as well. Had some brief knowledge after reading tips from seedly posts! Just check out their blog articles and you'll know what I mean. First of all, as others have mentioned about the amount of money that is actually required is way beyond the upfront 5%/10% down payment. Theres other fees and also renovation cost that you need to factor in as well. But maybe we'll talk about the money later... Regarding the 'early bird gets the worm' its partially true. Cus usually you wont be so heng to get a flat in your first try. And i believe that if you are a 2nd application onwards applying, you will get extra ballot chances which means that your chance of getting the flat after a few tries is higher. However, if you manage to get a queue number but didnt book a flat your extra ballot chances will be resetted. Also, another good thing about applying early is that you may get more grants and stuffs because of the lower income, etc. However if I'm not wrong one of you must start working (full time) before collecting the keys for them to calculate your income and also the amount of loans that you guys can take. Given the above scenario, if you guys are damn lucky to get a flat on your first try, you guys may not be able to get your first job before collection of keys. As for the amount needed for BTO, if im not wrong you need about $40-50k in total before you can collect the keys. (Note, this amount is before renovation cost) Its true that you only need 5% for initial payment and the remaining amount when collecting the keys but as what Farhan mentioned you may not be able to save that remaining amount of money given the fact that both of you are still studying and working part time. So I hope that both your savings currently (including CPF OA) have roughly $40k. (Erm P.S. I hope you ain't my brother ya? 😂) Source: (You can read the following blog post for more details) Ultimate BTO Guide For Undergraduates https://blog.seedly.sg/ultimate-bto-guide-for-undergraduates/
  • Asked by Cherie Julianne Tan

    Billy Ko
    Billy Ko, President - Investment Club at Singapore Institute Of Technology
    Level 5. Genius
    Answered 2d ago
    Allow me to showcase the reason in 3 pictures Take a look at the statistics. Scroll through your social media newsfeed these couple of weeks and what is the most common thing you see, be it on news or shared by friends? JEWEL If you manage to make a trip down to Jewel and stay till the Waterfall Light Show in the evening, just observe the number of people whipping out their phones to insta-story / Facebook Live the show. It makes my hair stand. Imagine each instastory reaches out to approx. 200 followers, multiply that by the number of insta-stories posted and one will then have the realisation that whatever costs involved was worth it. One can pay for advertising (posters, facebook ads) but one can never pay for publicity (i.e. word of mouth, reviews etc.) Furthermore, one has to understand the cruciality of an airport and its surroudning infrasturcture. The Airport serves as the first impression of a country, being the first and the last thing travellers see when they arrive and depart. It's how a country bades a tourist goodbye or hopefully, a see you. And Singapore has indeed done in right. I personally think much credits has to be given to Chairman of Changi Airport Group, Liew Mun Leong, who was also once the CEO of Capitaland whom I believe has a significant influence in this project. A big kudos to everyone involved in this project.
  • Asked by Anonymous

    Teo See Hwa
    Teo See Hwa, MArketing Associate at Propnex
    Level 3. Wonderkid
    Answered 4d ago
    Use what you are given first. All SC are given two chance to buy BTO, lose this will set you back a few Thousand only. You remind me when I was your age. I bought my first HDB in 1988. profit 180k @ 24 second HDB in 1995, paper gain from 250k to 640k @ 31 first Condo in 2006, paper gain 535k to 1,550k @ 42 second condo in 2011, paper gain $1,305800 to $1,588,000. @ 47 Now 55.
  • Asked by Anonymous

    John Smiths
    John Smiths
    Level 2. Rookie
    Answered 2d ago
    The eligibility conditions for buying a HDB BTO flat are stated in this website link: https://www.hdb.gov.sg/cs/infoweb/residential/buying-a-flat/new/hdb-flat While you can try appealing to HDB (email [email protected](mailto:[email protected]) or visit your nearest HDB branch directly), it is unlikely they will grant an exception to your case because that would mean opening the floodgates for future similar appeal cases. You are better applying for Singapore PR for the foreigner (F) in the couple if you are planning to get married and go for the HDB BTO flat afterwards. Or build up more cashflow to go down the HDB resale flat route to save yourself the trouble and inconvenience of approaching HDB for an exception appeal that is unlikely to be granted.
  • Asked by Anonymous

    Billy Ko
    Billy Ko, President - Investment Club at Singapore Institute Of Technology
    Level 5. Genius
    Answered 2d ago
    Perhaps just to add on a couple of points not mentioned Property - Requires monthly recurring payments (your monthly conservancy fees / taxes) - Paying by installements = Another financial burden / obligation, if suddenly your income stream is unable to support this outflow, problems may arise. - In land-scarce Singapore, with the increase in connectivity within various towns and with population projected to increase, I can foresee property prices increasing further (if you have the holding power) - Physical property, you'll be able to see with your own eyes it's there Stocks - One-time payment, lesser financial burden. - A stock is simply an intangible item, just a one-liner on your CDP / Broker account Portfolio. Most important, whatever you choose to invest, make sure it's within your means
  • Asked by @@ Lim

    Gabriel Tham
    Gabriel Tham, Tag Team Member at Kenichi Tag Team
    Top Contributor

    Top Contributor (Mar)

    Level 7. Grand Master
    Answered on 02 Mar 2019
    U are not paying to cpf. U are paying to yourself the interest u would have earned if u didn't use cpf for house.
  • Asked by Anonymous

    Zen Rogue Xuan
    Zen Rogue Xuan
    Level 3. Wonderkid
    Updated 3w ago
    The answer is no, especially if it is the "first" 30k in your OA. This is because the first 60k of your CPF monies earns an additional interest on top of prevailing rates so you enjoy an "inversion"- in which your CPF monies would be working harder than that of the loan . HDB loan is 2.5-2.6% interest loan but your 20K in OA will yield you 3.5% so you get more money each time- $180 a year to be exact. In fact, I would suggest a 10k OA to SA transfer so that it can be compounded at 5% yearly, which will x4 in 30 years time! Also, the sum that is withdrawn for paying your HDB will have interest accrued, which means that if you choose to instead of CPF paying you interest , you will "own" yourself interest if you utilise CPF monies for your home loan ! If you sell your property, not only will you have to pay back the principal(30k), you also need to pay back the interest accruded as if it was sitting in your CPF OA. Lastly, your 20k in CPF OA can also act as a back-up plan if you lose your job(touch wood) - it can probably ride you 1-2 years of HDB payment while you look for a job. This safety net will given you a much needed sense of security- imagine trying to secure a job, and worrying about your loan at the same time.
  • Asked by Anonymous

    Teo See Hwa
    Teo See Hwa, MArketing Associate at Propnex
    Level 3. Wonderkid
    Answered 4d ago
    Need to know your age. your loan tenure Do you know about Time value of Money. The time value of money (TVM) is the concept that money available at the present time is worth more than the identical sum in the future due to its potential earning capacity. This core principle of finance holds that, provided money can earn interest, any amount of money is worthmore the sooner it is received.
  • Asked by Anonymous

    Hariz Arthur Maloy
    Hariz Arthur Maloy, Independent Financial Advisor at Promiseland Independent
    Top Contributor

    Top Contributor (Mar)

    Level 7. Grand Master
    Answered 2w ago
    Keep the buffer if your loan amount can cover the excess 20k. This does 3 things: 1. You earn an extra 700 in your OA every year via interest. 2. Leaves a buffer in case you need to dip into future OA if you're tight on cash for some reason. But 3. You take on a bigger loan, which is an extra 90 dollars a month or 7000+ of interest over 25 years (the numbers here differ because first is principal plus interest repayment, the other is just total pure interest). But 7000 plus of extra pure interest is earned from your OA in just 10 years. So you net earn from leaving the 20000 behind which again you can tap into anytime you can't pay with cash.
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