Treasure at Tampines

[Clazav]

12% absd is very xiong leh.. Maybe get a dual key or triple key to save absd?

Ohh yes ,up moderately still okay de. Let me take a breather and save up again. Maybe another 1 bedder before I turn 30?

For now, save save save. CM lifted or not, only time will tell.

 

[Clazav]

Whoa, so you have your hdb as well as a private? Without paying absd? Will you still go on to buy a next one?

I had spent lots of time and much patience to hunt for the correct FH property and completed my decoupling successfully to skip the ABSD.

The result is rather sweetening. Managed to save the previous 7% ABSD.

Cannot really imagine guys willingness to pay 12% now.

 

[foxer77]

When will the 10% be deducted after u had successful selected your unit or ?

 

[bjory]

When will the 10% be deducted after u had successful selected your unit or ?

You mean the 5% booking fees? That is after you select your unit and sign the OTP they will proceed to deduct.

 

[Broadwalk]

Whoa, so you have your hdb as well as a private? Without paying absd? Will you still go on to buy a next one?

He will probably stuck with an aged freehold property with high maintenance fees per month. also no one will buy over priced aged property from him or he can sell as he needs to find another one where the price would be higher. also when he aged he also has lesssr year loan eligibility. he is stuck in this viscous asset ‘rich’ cash poor peasant. many property sdxpert here all say they buy this and that jin sarki but government already warn you many many times. you only have a lifetime of 40-50 productive years but government can play you out many many generation.

 

[foxer77]

You mean the 5% booking fees? That is after you select your unit and sign the OTP they will proceed to deduct.

Oh ic does this apply for first time or 2 Nd time ?

 

[Pokémon]

Oh ic does this apply for first time or 2 Nd time ?

Are you sure you are in the right thread?

This is discussion about a private condo, but I already had a feeling you were asking for HDB when you mentioned the 10%.

 

[ThinkCarefully]

Exactly my thoughts. Why let developers dictate your property prices? Just be a little patient, they will lower their crazy asking prices. Those who caught the boat last year, too bad for you.

Depending whose mouth it comes from. From one group, they will tell you Developers always win, even if buyers need to pay high price, they have to be suxxxxrs.
‘Eventually all projects sell...’
‘If don’t buy, price will only go higher’
‘Buy now or you miss the boat’
That ‘celebrity’ X even went as far as to say shoot up shoot up ...
Those jokers who write reports will predict a 900 psf land price when it turned out to be only about 700 psf....

Then, you have another group who say, calm down, look at what is happening around us,
Don’t practice herd mentality or be led by FOMO.
Developers have made losses in the past like The Paronama, where the developer has to write off losses because the market cannot accept their launch prices (based on land costs)

As there are $$$ and jobs involved, views are seldom fair and neutral. If you are the buyer, it is your money, DYODD. If you lose money, it’s your money.

 

[1993newbie]

Yea, buying as single. Bo pian lo. If want another prop, gotta suck it up and pay ABSD . Let’s see how it goes in 4 years time ba. For now enjoy my condo facilities and save up bah.

12% absd is very xiong leh.. Maybe get a dual key or triple key to save absd?

 

[Asphodeli]

Good to hear that Developers are starting to deleverage.
Else they will acquire land like there’s no tomorrow.
Oxyley in the last 2 years is a good example.

This hopefully will stabilised the oversupply issue and stablized the price.

they can't deleverage unless they sell units and book them as revenue...i dont think it will help much in stabilizing the oversupply issue.

 

[Clazav]

Within next 4 years I think difficult to have absd reduced, like what Master NSZ said. So got to find some way to tackle this.. With absd in place, dual key units should get popular again perhaps.

Yea, buying as single. Bo pian lo. If want another prop, gotta suck it up and pay ABSD . Let’s see how it goes in 4 years time ba. For now enjoy my condo facilities and save up bah.

 

[1993newbie]

Yup understand that cooling measure damn hard to be lifted. Hence I decided to just keep saving lo. No worries, age is on my side. Once got enough funds, will jump in again. As a single buyer, tackling ABSD damn susah lo. So LL pay lo.
Coz even if I buy a second prop at age 30 or 35, still can take max number of years to loan. Starting young isn’t that bad just that buying as single susah abit.

Our NSW master says it is difficult for cooling within next 4 years I think difficult to have absd reduced, like what Master NSZ said. So got to find some way to tackle this.. With absd in place, dual key units should get popular again perhaps.

 

[NiShiZhu]

Yup understand that cooling measure damn hard to be lifted. Hence I decided to just keep saving lo. No worries, age is on my side. Once got enough funds, will jump in again. As a single buyer, tackling ABSD damn susah lo. So LL pay lo.
Coz even if I buy a second prop at age 30 or 35, still can take max number of years to loan. Starting young isn’t that bad just that buying as single susah abit.

If u have plans to own multiple properties, your first property should include one of your parents name (example your Father if he still working and got income) plus your name. U can give 99% ownership to your Father and u put yourself 1% ownership.

When u want buy 2nd property, u need to decouple with your Father, ur Father only need to pay stamp duty based on 1% of the value of your property. Plus legal fee of $5600 roughly.
Of cos, your Father will need bank’s new loan approval as this is treated as a new sale.
But normally your Father age is a crucial factor due to the short loan tenure. Since u r only 25 year old, I’m assuming your Father age is 50 years old and he can still probably still can get 15 years loan.
Not forgetting your 1 bedder is Low quantum also, so should be ok.

Then when u buy 2nd property, u total free from ABSD.
Because of your age advantage, you are able to buy your second property at a higher quantum since I assume your earning power will also increase over time plus your age allows u to go for longer loan tenure.

 

[ThinkCarefully]

Yup understand that cooling measure damn hard to be lifted. Hence I decided to just keep saving lo. No worries, age is on my side. Once got enough funds, will jump in again. As a single buyer, tackling ABSD damn susah lo. So LL pay lo.
Coz even if I buy a second prop at age 30 or 35, still can take max number of years to loan. Starting young isn’t that bad just that buying as single susah abit.

The ABSD is supposed to make your purchasing price higher so that you may consider all your investment options together. If you intent to purchase a 1 million property, you should consider the actual purchase price to be 1.12 million (if you pay 12%absd). If you still think that 1.12 mil is a reasonable price for that property, with reasonable rental and decent potential price appreciation above 1.12 mil, then go ahead.

If you have other investment options with better returns, then you may be better off with those investments.

Remember, your purchase price basis is no longer 1 mil, but 1.12 mil.
Your future tenant or buyer will not care or consider if you paid 12% absd or 30% or no absd.

 

[NiShiZhu]

The ABSD is supposed to make your purchasing price higher so that you may consider all your investment options together. If you intent to purchase a 1 million property, you should consider the actual purchase price to be 1.12 million (if you pay 12%absd). If you still think that 1.12 mil is a reasonable price for that property, with reasonable rental and decent potential price appreciation above 1.12 mil, then go ahead.

If you have other investment options with better returns, then you may be better off with those investments.

Remember, your purchase price basis is no longer 1 mil, but 1.12 mil.
Your future tenant or buyer will not care or consider if you paid 12% absd or 30% or no absd.

Not only just 12% ABSD, he should also factor in the 3% stamp duty.

 

[ThinkCarefully]

Not only just 12% ABSD, he should also factor in the 3% stamp duty.

Yes, taxes, legal fees , valuation fees etc.
The reason I left out the 3% stamp duty etc is that these are common basis, all buyers faced. I was trying to bring across the point that buyer should include their 12% or 15% whatever it is in their consideration of purchasing price. It is no longer the ‘selling price’ or what first time buyers pay. Second time buyers face a different ‘purchase price’ which should be used for investment calculations.

The 12 % absd is to let buyers know that since they are buying for investment, can they not find a better form of investment (considering the hefty tax) other than property? If really cannot, then pay Agong, they like your money.

 

[1993newbie]

Wahhh thanks all for the suggestions. Well I will see 5-10 years from now ba. For now, I’m happy with my first property. Will definitely save up in the meantime. Glad to be part of this property journey at a young age. Hope to learn more stuff from you all.

 

[NiShiZhu]

Wahhh thanks all for the suggestions. Well I will see 5-10 years from now ba. For now, I’m happy with my first property. Will definitely save up in the meantime. Glad to be part of this property journey at a young age. Hope to learn more stuff from you all.

Bro, u r doing well. I only started early 30s. Grad from Uni at the age of 25 (with zero saving at that time), work for 5-6 years before I can save for my first property. (Glad I didn’t buy a car back then. I took bus/mrt to work. Everyday, eat my mum’s home cook food, so easier to save more money)
However I still started later than u.

 

[Clazav]

If he wants to do that, he and his dad can buy an EC instead, that will be even better.

If u have plans to own multiple properties, your first property should include one of your parents name (example your Father if he still working and got income) plus your name. U can give 99% ownership to your Father and u put yourself 1% ownership.

When u want buy 2nd property, u need to decouple with your Father, ur Father only need to pay stamp duty based on 1% of the value of your property. Plus legal fee of $5600 roughly.
Of cos, your Father will need bank’s new loan approval as this is treated as a new sale.
But normally your Father age is a crucial factor due to the short loan tenure. Since u r only 25 year old, I’m assuming your Father age is 50 years old and he can still probably still can get 15 years loan.
Not forgetting your 1 bedder is Low quantum also, so should be ok.

Then when u buy 2nd property, u total free from ABSD.
Because of your age advantage, you are able to buy your second property at a higher quantum since I assume your earning power will also increase over time plus your age allows u to go for longer loan tenure.

 

[Clazav]

The future buyers will not care, but the owners will care. And hence the upward trend of property price. In the end gov take in the 12% and eat popcorn while watching the show.

The ABSD is supposed to make your purchasing price higher so that you may consider all your investment options together. If you intent to purchase a 1 million property, you should consider the actual purchase price to be 1.12 million (if you pay 12%absd). If you still think that 1.12 mil is a reasonable price for that property, with reasonable rental and decent potential price appreciation above 1.12 mil, then go ahead.

If you have other investment options with better returns, then you may be better off with those investments.

Remember, your purchase price basis is no longer 1 mil, but 1.12 mil.
Your future tenant or buyer will not care or consider if you paid 12% absd or 30% or no absd.