New MSR make PC more attractive than EC?

[Missumuch]

EC buyers can only loan up till 30% of their monthly income, whereas if they buy PC, they can loan up to 60%.

For a couple who earn a combined income of $10k per mth, they are likely to only be able to afford a $1mil EC under tis ruling.

However, if they choose to buy PC, they can afford to buy one tat is valued at $1.5mil.

Wat do u tink?

 

[haato89]

10k income can afford to buy PC? I think chiur definition of affordability....

 

[Missumuch]

10k income can afford to buy PC? I think chiur definition of affordability....

if buy EC, mthly repayment is capped at $3k per mth, but if u choose PC, mthly repayment will be 6k per mth.

if u say PC is not affordable for 10k earner, isn't EC even less affordable now?

 

[haato89]

if buy EC, mthly repayment is capped at $3k per mth, but if u choose PC, mthly repayment will be 6k per mth.

if u say PC is not affordable for 10k earner, isn't EC even less affordable now?

I never said EC was affordable for 10k. IMO unless max loan of 300k, both not affordable for 10k earners (gross including sidelines)

Monthly repayment of 6k for couple earning 10k is

 

[Missumuch]

I never said EC was affordable for 10k. IMO unless max loan of 300k, both not affordable for 10k earners (gross including sidelines)

Monthly repayment of 6k for couple earning 10k is

lol ... but if yr combined income is $10.5k, sorry no BTO for u liao

the purpose of my thread is to focus on these group of ppl. not eligible for BTO & dun wanna buy resale. originally plan to buy EC. but now wif new msr regulations, will PC be a more viable option?

 

[haato89]

lol ... but if yr combined income is $10.5k, sorry no BTO for u liao

the purpose of my thread is to focus on these group of ppl. not eligible for BTO & dun wanna buy resale. originally plan to buy EC. but now wif new msr regulations, will PC be a more viable option?

if you think paying 6k a month for home repayment out of 10k is affordable then good luck to chiu. sorry I'm not the kind to lower my standard of living, sacrifice restaurant meals and holidays just for a condo

 

[Missumuch]

if you think paying 6k a month for home repayment out of 10k is affordable then good luck to chiu. sorry I'm not the kind to lower my standard of living, sacrifice restaurant meals and holidays just for a condo

haiyo!!! y u kept twisting my sentence!

u kept saying not affordable. so u r suggesting they shd buy resale hdb?

 

[SKWSMC]

EC buyers can only loan up till 30% of their monthly income, whereas if they buy PC, they can loan up to 60%.

For a couple who earn a combined income of $10k per mth, they are likely to only be able to afford a $1mil EC under tis ruling.

However, if they choose to buy PC, they can afford to buy one tat is valued at $1.5mil.

Wat do u tink?

Not very sure of what MSR but just base on what you state above. It is quite good. The reason these EC buyers will have less to pay meaning developer can't charge too high too as their potential customer does not have a deep pocket. So in a way is good. Of course there will still be buyer who is 2nd time buyer and with backing from rich parents.

 

[haato89]

haiyo!!! y u kept twisting my sentence!

u kept saying not affordable. so u r suggesting they shd buy resale hdb?

You were the one who said that $10k couple can afford to buy condo one what

As I said it depends on how much the couple wants the condo la. I'm not willing to halve my current standard of living just for the sake of PC and the $6k repayment haha. if that's affordability to you ok lor...for me, resale is a much more manageable option.

 

[Missumuch]

Not very sure of what MSR but just base on what you state above. It is quite good. The reason these EC buyers will have less to pay meaning developer can't charge too high too as their potential customer does not have a deep pocket. So in a way is good. Of course there will still be buyer who is 2nd time buyer and with backing from rich parents.

u mean EC will be better priced?

which developers like to trim profits?

their usual practise is shrinking the sizes to increase the psf wor!

 

[Missumuch]

You were the one who said that $10k couple can afford to buy condo one what

As I said it depends on how much the couple wants the condo la. I'm not willing to halve my current standard of living just for the sake of PC and the $6k repayment haha. if that's affordability to you ok lor...for me, resale is a much more manageable option.

Im comparing PC n EC; PC seems more affordable mah ...
resale is more manageable I agree, but resale oso mean not much profit to realise in the future wor ...

 

[haato89]

Im comparing PC n EC; PC seems more affordable mah ...
resale is more manageable I agree, but resale oso mean not much profit to realise in the future wor ...

If affordability means having to cough up more than half of monthly income go ahead and 'afford' the flat lor...

Less profit--but don't have to scrimp and save (remind me---for how long again?) just to foot monthly repayments if te couple is ok with living on $500 a month good for them la. like living in sexpensive prison. I'm not like that haha.

 

[Missumuch]

If affordability means having to cough up more than half of monthly income go ahead and 'afford' the flat lor...

Less profit--but don't have to scrimp and save (remind me---for how long again?) just to foot monthly repayments if te couple is ok with living on $500 a month good for them la. like living in sexpensive prison. I'm not like that haha.

u r treating the house as a source of shelter. but to me, if Im married n if combined income > 10k, I tink I wun buy resale hdb leh

I rather commit to a more expensive, unaffordable home wif hope of gd capital appreciation in the future den something which is very affordable yet not much of growth.

as the saying goes "好货不便宜，便宜非好货

 

[alo]

if buy EC, mthly repayment is capped at $3k per mth, but if u choose PC, mthly repayment will be 6k per mth.

if u say PC is not affordable for 10k earner, isn't EC even less affordable now?

Seriously.. paying 6k per month for the next 20-30 years is no joke.. u cannot afford to lose your job at any time

n if im not wrong, the banks, unlike hdb, will not hesitate to penalise u should u fail to make the repayments in time

 

[goodchong]

Gov trying very best to suppress the HDB value. One have to bear in mind that you merely buying a 99 years lease from gov, SG Gov as the owner can come out any new regulation just as they pleased.

 

[Missumuch]

Seriously.. paying 6k per month for the next 20-30 years is no joke.. u cannot afford to lose your job at any time

n if im not wrong, the banks, unlike hdb, will not hesitate to penalise u should u fail to make the repayments in time

isn't tis wat the pte owners r doing now? actually 6k is only 3k each.
of cos u nid to set aside buffer mah for lose of income etc.

 

[alo]

u r treating the house as a source of shelter. but to me, if Im married n if combined income > 10k, I tink I wun buy resale hdb leh

I rather commit to a more expensive, unaffordable home wif hope of gd capital appreciation in the future den something which is very affordable yet not much of growth.

as the saying goes "好货不便宜，便宜非好货

I can understand where u are coming fr if u talking about your 2nd or 3rd property..

but if it is your first property which I assume it is, since hdb is still being considered, it is not prudent to do so as u may lose the roof over ur head much more easily than the hdb option..

And if tat happens.. u will then realise a huge chunk of all ur years of repayments went towards bank interests.. cos of the huge loan u took..

 

[haato89]

u r treating the house as a source of shelter. but to me, if Im married n if combined income > 10k, I tink I wun buy resale hdb leh

I rather commit to a more expensive, unaffordable home wif hope of gd capital appreciation in the future den something which is very affordable yet not much of growth.

as the saying goes "好货不便宜，便宜非好货

If my combined income is 25k per month I won't buy resale HDB also. But we are talking about 10k here nia hope the couples buying PC at 10k have fun surviving on $500 a month I can't do that cos moi planning to get second property

 

[Missumuch]

If my combined income is 25k per month I won't buy resale HDB also. But we are talking about 10k here nia hope the couples buying PC at 10k have fun surviving on $500 a month I can't do that cos moi planning to get second property

pls la, b4 msr, couples borrow more to finance their EC ok!

govt new rule is to push the crowd away fm EC cos now EC land bids r catching up wif the pte sector.

 

[haato89]

pls la, b4 msr, couples borrow more to finance their EC ok!

govt new rule is to push the crowd away fm EC cos now EC land bids r catching up wif the pte sector.

That's why I said both EC and PC not affordable for 10k earners mah with such heavy borrowing. Unless its second property then considerations are different