If times turn bad, it can take months for an agent to market the property, conduct viewings and negotiate the price. Which is why you should have the means to service the mortgage for at least six months even if you have no income.
A safety net is always useful to have in place before you climb any higher. For private condos, however, the sequence matters. It is most convenient to buy the condo first, and then sell your flat later. All it requires is 12 per cent of the condo price for Singapore citizens and you can get ABSD remission. You also need to be a married couple, and one of you must be a Singapore citizen.
The alternative is to sell your flat first, and then buy a condo; but you need somewhere to live in the interim. This story first appeared on We know it's a hassle to switch browsers but we want your experience with CNA to be fast, secure and the best it can possibly be. To continue, upgrade to a supported browser or, for the finest experience, download the mobile app. Singapore Property Market. The five times of income to property price ratio is quite ridiculous.
No way, even if the property market is to crash, or rather correct. Nevertheless, I would definitely wish such a ratio would still hold today, and I would bet all my money into property. In a nutshell, the rule is skewed towards an unrealistic scenario which is unlikely to happen in Singapore for Rule 3.
We need to be realistic about the current pricing, current market, and hopefully, capitalize or gain from it through long term investment or enjoyment of the property. When people are in a high-price environment for too long, they will gradually think that it is normal and acceptable to pay high prices. When the market prices are climbing rapidly, salespeople will tell their clients that it is impossible to go back to the low prices in the past.
But history has proven that they are wrong every single time. It is when market prices have corrected sharply that people begin to realize that buyers have been overpaying for their properties during the last peak of the property market. But to make this a more accurate portrayal, we should look at actual transactions to see how compact units have really done over the years.
Ideally, we want something more than 5 years back a reasonable number for most young couples that would outgrow a compact unit , but not too far back that factors like BSD or SSD would have been drastically different. Finally, resale condominium transactions that made money — there were only 14 projects that had transactions that fit our criteria. Whether you would have holding power if you were to buy e. But we can help if you want to know which properties you can afford, or which ones are likely to appreciate better.
The sooner you buy and pay off your home loan, the quicker you cross a major hurdle toward financial freedom. Ultimately, even if capital appreciation is your main factor between the two, you can clearly see how important it is to choose the right project and unit — make the wrong choice and you could be setback for the foreseeable future.
This article was first published in Stackedhomes. Should 'sandwiched Singaporeans' rent first, or buy the cheapest condo they can afford? Ryan J Ong. Sep 27,
0コメント