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Hi ,

I have a HDB Unit with outstanding loan of 120 k. I am a PR and my wife is a Singaporean . We have a combined balance of 60k currently in our CPF Ordinary account.We bought our HDB from resale market and now would like to invest in a 3 bedroom condo .
Could some one advise us on the following questions
1. For the 20% down payment, can we avail the ordinary account balance ?

2. Will banks finance us for the downpayment, , as both of us are working with monthly pay of 7 k.?

3.We are planning to rent out our 5 room flat and to pay the condo mortgages with the rental of hdb flat .

4. If we have only around 60k cash on hand , it is a right time to think about buying a condo or should we wait for a few more years ?



Thanks,

John Abraham.
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2 Answers

YT Tan (陈永达)
Replied
Hi John,

In order for you to be eligible for 20% downpayment rather than 40%, you must not have any outstanding housing loan which at the moment, you do have one for your HDB currently.

Even if you use the $60k in your CPF OA account and $60k cash on hand to clear your outstanding loan of $120k, you need to maintain a minimum sum in your CPF account before proceeding with another property purchase.

Yet to TOP 3BR unit may at least cost $650k and above (small unit). Even after you cleared the outstanding housing loan, you still need to fork out the 20% downpayment, where the banks wont lend you at all which means you have to fork out this amount by yourself.

Let's assume you cant maintain a minimum sum in your CPF account and no excess CPF funds, you have fork out this 20% in cash with addition to buyer's stamp duty (3 x purchase price) -$5,400 and legal fees. All these will add up to quite a sum.

I will suggest you work out your finances first before proceeding.

If you still need assistance, feel free to contact me. Cheers!

Warmest Regards,
YT TAN
District Consultant
R043025D
(M): 9111 5171 
(E): yt.lovelyhomes@gmail.com
(W1): www.yttan.com
(W2): yttan.stproperty.com.sg/
ECG Property Pte Ltd Read More
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Tricia Tan
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Dear John, I would be glad to sit down with you to access all your concerns. First thing to be eligible for the 80% loan, you cannot have any hdb outstanding loan.
There are many finances you need to know before you go ahead to purchase your condo.
I will appreciate you can drop me a text or give me a call at 92700867 
Tricia Tan
ERA @ Senior Marketing Manager Read More
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