seeking advice about 1st time property buying

[gtr_Gtti]

Hi all,

I'm really new to property buying, and have limited budget to do so, i've 72k in cpf and able to shell out 100k max in cash. im buying as investment, thus looking for something that is already tenanted. Would like to ask experts here what i should do and where i should buy. i am fully commissioned based thus i believe i might have problems getting 80% financing. sighz. a few questions

1) based on the above budget, what price range do u think i can afford assuming the 100k is incl of stamp duty fee

2) current economic climate, where is a good place to invest in?

3) should i buy new projects pre-TOP ones or those which already TOP.

4) Is it true that tenanted units are usually more expensive than non-tenanted?

5) any projects or condo that fellow property experts here can guide me to research more?

Thanks for being a help, i'm a real noob at this

 

[BMCS]

Re: seeking advice about 1st time property buying

fabian, get a hdb flat if u r 35 then rent it out.
rental yield is higher.
things to note: near mrt preferred and u can't rent out whole place yet
my 2 cents worth

 

[gtr_Gtti]

Re: seeking advice about 1st time property buying

fabian, get a hdb flat if u r 35 then rent it out.
rental yield is higher.
things to note: near mrt preferred and u can't rent out whole place yet
my 2 cents worth

problem is... me oni 28

 

[Red3er]

Re: seeking advice about 1st time property buying

Hi all,

I'm really new to property buying, and have limited budget to do so, i've 72k in cpf and able to shell out 100k max in cash. im buying as investment, thus looking for something that is already tenanted. Would like to ask experts here what i should do and where i should buy. i am fully commissioned based thus i believe i might have problems getting 80% financing. sighz. a few questions

1) based on the above budget, what price range do u think i can afford assuming the 100k is incl of stamp duty fee

2) current economic climate, where is a good place to invest in?

3) should i buy new projects pre-TOP ones or those which already TOP.

4) Is it true that tenanted units are usually more expensive than non-tenanted?

5) any projects or condo that fellow property experts here can guide me to research more?

Thanks for being a help, i'm a real noob at this

I would only be able to answer your question 1. You should be able to get a property of $700,000 to $750,000 purchase price, this is based on 80% loan quantum. Next question is what is your income level to support the loan.

Based on $700,000 Purchase @ 80% loan you will need :-

1. 5% Cash - $35,000,
2. 15% Cash and / or CPF - $105,000, ($72,000 CPF and $33,000 Cash)
3. Purchase Stamp - $15,600 (Cash)
4. Legal fee (before subsidy) - $3000 (Cash)

Total Cash: $86,600

 

[gtr_Gtti]

Re: seeking advice about 1st time property buying

thanks. At current economic climate and situation, should we wait to purchase or to purchase now than to risk the prices going up north further. What areas are generally safer to buy as a potential investment with likely capital gains and average rental yield?

 

[limrichard]

Re: seeking advice about 1st time property buying

My recommendation (you decide) - for investment, buy a 2 rooms apartment in Novena/Newton area. The prices had fallen since it hit the peak of $1500psf in that area. Today, can get around $900 to $1000 psf. Good for expat rental - MRT, near town, small expat family size means smaller room sizes, etc. Another area for consideration is East Coast and Tanah Merah area. East coast - as usual , beach, food, promixity to IR and town via ECP. Tanah Merah - close to the Changi Business Park and 4th university, MRT too. Looks like market inching up a bit lately for the mid-price apartment.

 

[mrericlee]

Re: seeking advice about 1st time property buying

What do you guys think of the market today? It was really hot 2-8 weeks ago.

BUT today, I went around and the crowd is gone.

Too many new launches... The Wharf, Martin Place, Killiney, One Devonshire, etc etc. Also, other developments have seen prices shoot up 30%.... like Rivergate, Suites @ Central, etc.

I believe the market is tapering off now....

What do you other guys think? Some correction coming up?

 

[Red3er]

Re: seeking advice about 1st time property buying

IMHO: The current property market rally is sentiment driven, mainly due to the recently Bull run in stock and shares. Also note that sellers have increase their asking price but the valuation is not following, thus buyers might need to come up with lots more $$$ for cash over valuation.

 

[timechaser]

Re: seeking advice about 1st time property buying

Straits times saturday edition good article about the property market...

 

[golfgti]

Re: seeking advice about 1st time property buying

if u cant take 5-7yr view on investment prop, then i suggest parking $ into stock mkt instead coz if u r bullish physical, expect equities to outperform physical earlier. so yes if STI falls back to 1900, then its really stupid but do expect physical to fall down anyway.

oh yea, dont take analyst/consultant reports too seriously, 90% of them duno wats gonna happen anyway or else they stay home shake leg instead of working liao.

To invest, u need Your Own View, not wait for others to say first, or else u will forever lag opportunities to buy or sell.

Also, beware of currency basis effects as USD movements have large equity mkt correlations. Dow jones will say stocks do this/that coz of this/that newsflow, but watch JPY & USD u see them reacting accordingly.

 

[ACS CAB3]

Re: seeking advice about 1st time property buying

I put the money on stocks! Just click some buttons. Broker fees afforable! hur...
The time is coming! Everything must go down!!

 

[gtr_Gtti]

Re: seeking advice about 1st time property buying

oh well, i jumped into a property in town area, burlington sq, near mrt, amenities, full condo facilities, low maint and 800+ psf only

 

[C3P0]

Re: seeking advice about 1st time property buying

oh well, i jumped into a property in town area, burlington sq, near mrt, amenities, full condo facilities, low maint and 800+ psf only

Great, near SMU too. Congrats.

Btw, can I assume that's resale property?
Because I think resale property price is still not picking up - i.e. there's still a big disparity between new home prices and resale prices.
If true, I may decide to look at resale units too....

 

[gtr_Gtti]

Re: seeking advice about 1st time property buying

Great, near SMU too. Congrats.

Btw, can I assume that's resale property?
Because I think resale property price is still not picking up - i.e. there's still a big disparity between new home prices and resale prices.
If true, I may decide to look at resale units too....

has picked up a little, but generally its in erp area, thus its closing near to 1Kpsf for most units now, and would still continue climbing till approx 1.2-1.3k psf, thats pretty much a 99yr lease property to go esp when its approx 8 years old.

I got mine at a fantastically low price becoz its at low floor, and owner is looking at buying other properties. the wait was worth it. hehe... and buying with tenancy of 4K/mth, which works out to be approx 4.8% pa Whooo hooo!