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I'm a S+SPR household. We own a fully paid HDB & have met CPF min sum. In dilemma between buying private condo (keep HDB for rental) or upgrade to EC.

Our points/concerns for private condo:
1. Immediate have 2 properties
2. Immediate HDB generate rental income
3. ABSD (plan to get citizenship to reduce)
4. Outlook for HDB rental in long term
5. Worth of HDB in long term (~20yrs old)

Our points/concerns for EC:
1. Save on ABSD (70k for 1mil ~3yrs rental)
2. Larger unit for similar price of PC
3. Single property, no rental income
4. Very competitive EC resale (so many!!)
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4 Answers

Hi,

Since you have laid out quite a number of valid concerns / benefits, may I know what's the main thing that's holding you back. The long-term hdb outlook may not be rosy for certain locations, especially for properties 20 years old and above.

May I have more info and requirements about your plans so to make better recommendations? Thanks and look forward to value-add to your housing plans.

Warm Regards,
Ivan Ng ERA ASAP
(ASk Anything Property)
Proactive. Sincerity. Feedback.
SMU BBM (Finance), Magna Cum Laude

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Dear Sir/Mdm,

If I am in your shoes, I will consider the following:

1. HDB is easy to rent out with a relatively stable rental demand as compared to private condos. Yield is also higher especially if it is located near MRT/amenities. Yes, HDB rental makes good passive income.

2. If you are eligible for EC, then it is one option worth considering as they are priced lower than private condos within the same location. This means that in the future, you have a very good chance for capital appreciation. In fact, there was a report on EC owners and the statistic proved that a large percentage of EC owners made a good profit when selling. I can email you the article if you are keen to read it.

Both options are worth considering as each has its merits. Please feel free to contact me so that I can understand your situation better and assist you further!

Regards,
Nick Tan
(M) +65 9644 4854 
B.Eng(Chemical)(Hons)(NUS)
Cert-in-REA
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Testimonial from Satisfied Clients (2015/2016)
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“Nick has conducted himself ethically and professionally when handling the sales of our property. Thanks to his patience and perseverance, we managed to secure a sales price beyond our expectations.
We are very happy and satisfied with his services and will definitely recommend him to our friends and family in the future.”
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“Nick is very pro-active in helping us to resolve whatever questions and problems that we encountered. All the issues are settled even before us having to request or ask for a second time. He was very frank and transparent with all the details, limitations and advantages that we wouldn’t have known. I think this is the most important virtue to be successful in this line. I will surely recommend him to anyone who needs his service because I trust that they will be equally satisfied!!”

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Robbie Chen Chee Howe
Hi,

Congratulations on your fully paid HDB flat! As for your situation, it is a good dilemma to have!

Perhaps before you decide to commit to any purchase, think about what is your number one objective? Is it about creating a passive income from rental from your HDB flat? Or are you looking for an upgrade in lifestyle?

I agree that 7% ABSD is too much to pay. It's like 3 years of rental income, just to breakeven the ABSD paid. I would not advise you paying that either.

However, if I can propose something to you, where you can save on ABSD and yet own 2 properties, one for own stay and one for rental income, will you be interested?

If you find this interesting, please contact me at my mobile 9748 6305  . I will be happy to assess and share with you the possibilities for you in the current market.

Thank you.

Best regards,
Robbie Chen
 9748 6305 
PropNex Realty Read More
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GAN ENG JOO ONASSIS
Dear Buyer,

Re: Today’s SG Professional Choice- SGAgent.com & SGRealtor.com

Congrat you have fully paid your HDB. You just have calculate on your financial whether it will be prudent to purchase 1 bedder rather than 3 bedder. In view of the loan tenure and age you are now.

Do not reply to this thread as we will not be alerted to any response posted on this thread. Get in touch with me via email or through my mobile.

I am contactable at 92222389  or onassis@sgagent.com / sgrealtor.com

In all Areas of Singapore. Sale/Buy/Lease/Rent, Please call and/or drop me an email me. I’m always at your Services.

Onassis Gan | R021244C | Today’s SG Professional l SGAgent.com & SGRealtor.com

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