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Need a professional advice.

Bought my EA unit at 350K
If i sell my unit now, i will get back about app 189K back into my CPF(including accrued int).
Remaining mortgage bal: App 217K

Now, if i want to sell my unit (believing the valuation to be 600K now), what is my ideal budget to purchase my nxt unit if i want to have some cash savings in hand.

2ndly, getting HLE for the 2nd time or getting a bank loan, which is more advisable to apply. Pros & Cons?

Pls advise. Thank u.
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2 Answers

Sky Chiu 赵国良
Replied
Dear Vito,

Assuming your EA is sold at $620,000, the sale proceed from the sales will be approx $214,000.

Under current HDB ruling on 2nd concessionary HDB loan, 50% of your nett sales proceed will be utilized to reduce the HDB loan quantum of next purchase. HDB concessionary interests will be constant across at 2.6%. Loan repayment period will be up to 65 years or max 30 years loan tenor.

To preserve substantial cash on hand, it is advisable to go for bank loan for its low interest and it is not necessary to utilize 50% of your nett sales proceed to reduce mortgage loan. Loan repayment period up to 70-75 years or max up to 35-40 years loan tenor. I can recommend my bankers which i work closely with, to you.

Do not hesitate to give me a call anytime at 9789 8770  to discuss futher.

ERA Sky Chiu K L
ERA Marketing Director
CEA Reg No. R027619J
Mobile: +65 9789 8770  / +65 9828 1334 
Email: skychiu@starhub.net.sg
For more listings: www.skychiu.com
ERA Property Navigators
(ERA No.1 Team in Singapore & Asia Pacific 2009/2011) Read More
1
Upvote Upvoted
Sky Chiu 赵国良
Replied
Dear Vito,

Assuming your EA is sold at $620,000, the sale proceed from the sales will be approx $214,000.

Under current HDB ruling on 2nd concessionary HDB loan, 50% of your nett sales proceed will be utilized to reduce the HDB loan quantum of next purchase. HDB concessionary interests will be constant across at 2.6%. Loan repayment period will be up to 65 years or max 30 years loan tenor.

To preserve substantial cash on hand, it is advisable to go for bank loan for its low interest and it is not necessary to utilize 50% of your nett sales proceed to reduce mortgage loan. Loan repayment period up to 70-75 years or max up to 35-40 years loan tenor. I can recommend my bankers which i work closely with, to you.

Do not hesitate to give me a call anytime at 9789 8770  to discuss futher.

ERA Sky Chiu K L
ERA Marketing Director
CEA Reg No. R027619J
Mobile: +65 9789 8770  / +65 9828 1334 
Email: skychiu@starhub.net.sg
For more listings: www.skychiu.com
ERA Property Navigators
(ERA No.1 Team in Singapore & Asia Pacific 2009/2011) Read More
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