Free advice/discussion on buy/sell of Resale flat (Part 5)

[linusz]

Near MRT, high floor, nicely renovated, can be asking for 30-60k cov still.

Far from mrt, low floor, average unit, can be asking for 20-40k cov.

COV is depending on individual sellers and buyers agreement.

In simple layman term, as long as demand outstrip supply for a particular estate/ block / area, COV will always be there when there are a few group of buyers willing to fork out the cash to get that particular unit.

vinz

thanks. the selling cov is about 70k now. wonder if they are over optimistic or testing the buyer market.
anyway to know if the seller agent is indicating an actual cov bid?

 

[vinz]

anyway to know if the seller agent is indicating an actual cov bid?

What do you mean?

Whether the seller's agent is telling the truth about some other price/cov being offered by other buyers?

70k is way too much and I wouldn't advise any one to buy

40k at present market can get you a very good unit.
Just make an offer with the ability to increase another 5k-10k more if its being rejected.
(eg. your max is 30k cov, so you make your first offer at 20k range).

there are always seller trying their luck, in good or bad times.

vinz

 

[slang]

Vinz,

Would like to ask if any of you have such experience or anyone can advise on this...

my aunt is planning to buy a pte property. However she is still serving a loan for her HDB flat which she has stayed for about 8 years.

In order to be granted an 80% bank loan of her new pte property, does she has to first sell away her HDB flat?
Is there anyway she can buy Pte property first, and be given a deadline to sell her HDB at a later date so as to be granted 80% bank loan to her new property?

 

[therat]

So the question is, they still have 3 more years before they can sell the flat and if they cant sell the flat to anyone since this location is really ulu and they also think that its really difficult to sell, can they sell the flat back to the HDB?

HDB seldom buy back unit.
I only heard once which is divorce case. The owner return the unit back to HDB and subjected to punishment - 10 yrs cannot buy HDB.

Also, can they apply a BTO flat now, to ensure they have a place to live after selling the current flat? They told me they did bought a new flat from the HDB in 1996 and sold it in 2000 and purchase the serangoon flat from the resale market. They heard from the HDB that if they want to purchase a new BTO flat from the HDB, they need to pay a resale levy(?) or what from the flat they sold in 2000.

Yes, they need to pay resale levy. If they apply BTO.
Assume they didn't get CPF Grant from the serangoon flat.

 

[avalonie]

Currently I'm single and stay with my parents. If I want to buy a new BTO flat, can I apply together with either one of my parents? Do they need to sell the house 1st in order to apply for this new flat?

 

[aptget]

Vinz,

Would like to ask if any of you have such experience or anyone can advise on this...

my aunt is planning to buy a pte property. However she is still serving a loan for her HDB flat which she has stayed for about 8 years.

In order to be granted an 80% bank loan of her new pte property, does she has to first sell away her HDB flat?
Is there anyway she can buy Pte property first, and be given a deadline to sell her HDB at a later date so as to be granted 80% bank loan to her new property?

someone correct me if i am wrong

1. to be granted 80% loan for pte property, you need to clear off hdb loan
2. if unable to clear off hdb unit loan, then banks would only finance 60% loan, she will need to cough up 40%
3. don't need to sell off hdb if she can afford it

 

[vinz]

my aunt is planning to buy a pte property. However she is still serving a loan for her HDB flat which she has stayed for about 8 years.

In order to be granted an 80% bank loan of her new pte property, does she has to first sell away her HDB flat?

As long as there is an existing loan, the loan will not be able to loan her 80% for the next property.

Is there anyway she can buy Pte property first, and be given a deadline to sell her HDB at a later date so as to be granted 80% bank loan to her new property

I don't think she is able to do so, but will check with a banker and let you know.

 

[vinz]

so my relative sold their serangoon flat at the end of 2010 because of outstanding loans, and then using the money to pay for outstanding loans. The HDB offered new flats and remaining flats to them and because they do not have time, they chose a completed flat which is located in boon lay.(This flat is not a newly build flat.)

This is still considered a DIRECT Flat from HDB, subjected to resale levy, 5yrs Minimum occupation period etc.

So the question is, they still have 3 more years before they can sell the flat and if they cant sell the flat to anyone since this location is really ulu and they also think that its really difficult to sell, can they sell the flat back to the HDB?

Do note, nobody will chose to sell back to HDB given a choice. A resale market property will usually get a better price compared to HDB. Of course this is subjected to the property market being on a upswing and there isn't drastic price decrease and everyone is selling below HDB valuation etc.

Also, can they apply a BTO flat now, to ensure they have a place to live after selling the current flat?

All home owners can only APPLY for BTO after their MOP of 5yrs.

They told me they did bought a new flat from the HDB in 1996 and sold it in 2000 and purchase the serangoon flat from the resale market.

1) Direct flat from HDB 1996, sold in 2000.
2) Resale flat 2000, sold end 2010
3) Direct flat from HDB end 2010 until now.
4) Want to sell existing flat and buy another BTO?!!!!

No offence, they seem to be in financial difficulties, why are they thinking of selling existing flat now? To repay loans ?
Please let them know they cannot do anything until the MOP of 5yrs is over, even if they took a bank loan as this existing flat is DIRECT FLAT from HDB.

They heard from the HDB that if they want to purchase a new BTO flat from the HDB, they need to pay a resale levy(?) or what from the flat they sold in 2000. It's quite a concern as their children are still young and the eldest this year is 16. Please enlighten me. Many thanks.

Yes, HDB will impose resale levy for any home owners who want to get a 2nd BTO unit. If not everyone will keep buying BTO flats and get a good profit when they sell, and then go back to buying BTO again.

I believe HDB didn't impose the levy on the existing DIRECT FLAT due to their financial difficulties then.

by looking at the location and the surrounding of their boon lay flat, I think its gonna be really difficult to sell the flat. I guess only new citizens who are desperately looking for a flat would want to consider.

Seriously, most HDB blocks are occupied by Singaporean, and not the so called New Citizens. Every unit in each block are almost 100% occupied, so there is no reason to think that nobody will be buying the unit and selling back to HDB is the best choice.

There are people with low income who will buy if it's a small unit, singles etc.

If the MOP is 3yrs away, anything can happen. We can't predict the property prices in future or whether the flat will be enbloc or not.

What is the reason for selling now? or apply a BTO?

vinz

 

[slang]

someone correct me if i am wrong

1. to be granted 80% loan for pte property, you need to clear off hdb loan
2. if unable to clear off hdb unit loan, then banks would only finance 60% loan, she will need to cough up 40%
3. don't need to sell off hdb if she can afford it

thanks for replying.

my aunt is planning for 80% loan. so now am trying to see if there is any alternative ways where she can "chop" the pte property she likes before its gone. then proceed to sell the HDB unit.

 

[slang]

As long as there is an existing loan, the loan will not be able to loan her 80% for the next property.I don't think she is able to do so, but will check with a banker and let you know.

thanks vinz. waiting to hear from your advise.

 

[noobishyang]

Hi, I am a citizen and my wife is a foreigner and we are considering getting a flat of our own. We can only apply for resale but problem is, we have little cash. We have about 50k cpf. Max loan we can obtain is $247200 based on HDB calculator. We looking for 2/3 room hdb.
1. Say we have 5k cash, possible to get a resale?
2. Heard of cases where people take personal loan for COV?
3. Which real estate company/agent do you recommend?
4. Any lobang?

And let's say we rent a room instead, how much should I expect to pay per month for me and my wife?

 

[cct75]

Currently I'm single and stay with my parents. If I want to buy a new BTO flat, can I apply together with either one of my parents? Do they need to sell the house 1st in order to apply for this new flat?

As far as I know, your parents can only owned 1 HDB flats. They are either Owner/Tenant or co-Owners relationships. Hence, if you are to apply a new BTO flat with either one, they have to release the current flats within 6 months of you getting the keys to your new BTO flats.

Correct me if I am wrong?

 

[xternity]

Hi i have already choose my unit in may , and have done my hle application and gotten my HLE letter however , hdb have not yet call me to go for 2nd appointment , is there any hotline i can call to enquire , normally how long does it takes for the 2nd appointment after applying HLE.

 

[therat]

Hi, I am a citizen and my wife is a foreigner and we are considering getting a flat of our own. We can only apply for resale but problem is, we have little cash. We have about 50k cpf. Max loan we can obtain is $247200 based on HDB calculator. We looking for 2/3 room hdb.
1. Say we have 5k cash, possible to get a resale?

U need alot of luck

2. Heard of cases where people take personal loan for COV?

Ya. My friend did

And let's say we rent a room instead, how much should I expect to pay per month for me and my wife?

U forget to mention the most important thing.
Location.
Different place has different price tag.

 

[noobishyang]

hey therat thanks.

 

[vinz]

my aunt is planning for 80% loan. so now am trying to see if there is any alternative ways where she can "chop" the pte property she likes before its gone. then proceed to sell the HDB unit.

Hi, Bankers say there is a chance 80% can be granted , only if your aunt can show proof that the HDB is sold, with a first appointment letter from HDB.

In layman's term, means your aunt must sell off the HDB before committing to the bank loan for the pte property, in this way she can be granted the 80% loan. If she go ahead go buy first, only 60% loan can be granted.

vinz

 

[vinz]

Hi, I am a citizen and my wife is a foreigner and we are considering getting a flat of our own. We can only apply for resale but problem is, we have little cash. We have about 50k cpf. Max loan we can obtain is $247200 based on HDB calculator. We looking for 2/3 room hdb.
1. Say we have 5k cash, possible to get a resale?

Take a look at this : Transacted Resale Flat Prices (inclusive of cov)

Prices near the 300k range for 3rooms are mostly located at Jurong West , Yishun, Woodlands estate. Of course there are the rare few in other estate, but this is just a rough guide on where you should be looking for house.

Most units are still asking for COV 20-30k. There will be some rare one which will be looking at low cov, but do take note of the reason why they are selling at such a low price.

Please note, the rarer the unit, there be higher demand.
(eg, there are lesser 2room then 3room flat in Singapore, so 2room flats usually command a higher COV)

2. Heard of cases where people take personal loan for COV?

It's better to have the COV ready before you commit to buy a house, as there will be other stuff which you need to pay once you become a home owner (eg. simple renovation, painting, furniture etc). But of course if there is an urgent need to have a roof over your head, nobody can stop you from taking this personal loan.

And let's say we rent a room instead, how much should I expect to pay per month for me and my wife?

Room rental is between $600-$1000 for two person in a common room at a HDB unit.

vinz

 

[vinz]

Hi i have already choose my unit in may , and have done my hle application and gotten my HLE letter however , hdb have not yet call me to go for 2nd appointment , is there any hotline i can call to enquire , normally how long does it takes for the 2nd appointment after applying HLE.

Please call 1800-8663066 during office hour to enquire about your BTO unit. I am not sure about the time duration as I don't deal with BTO unit, sorry can't give you advice on this.

vinz

 

[frank6868]

Hi Vinz,

I am planning to sell my 4room (maybe for 400k) and move to stay with my sis....hope to take a break from work..haha! Not planning to buy another flat after the sale for the moment. Outstanding loan abt 30k and cpf + interest abt 120k.

Will I have problem if I decide to buy resale 3 room flat in few years time?
I am single and 44yrs of age.

Hope to hear your advise. Thanks.

 

[aptget]

thanks for replying.

my aunt is planning for 80% loan. so now am trying to see if there is any alternative ways where she can "chop" the pte property she likes before its gone. then proceed to sell the HDB unit.

if you found a way, PLEASE PLEASE pm me immediately.

i want to chop a pte prop as well but i need to wait another 3 years before i can :/ so far i can't find any loop hole