Property Indicative Value

Reply to Property Indicative Value on Tue, 29 Sep 2009 16:02:40 GMT

heutistmeintag — Tue, 29 Sep 2009 16:02:40 GMT

momoshop:

If you have a choice, for a budget of 750K, will you buy a 5BR HDB in Farrer road, or will you buy a 99 2BR apartment (assuming u wait for market to crash for you manage to find some good buys)? Why?

Besides the good views given already, let me add on other factors not expressed yet.

1) For budgeting, do consider the loan and interest amount in order to compare the total cost of ownership. Would buying a HDB get you a cheaper loan?

2) Are you buying the place for investment or to stay?

3) What are the historical lows and highs of both choices? Know your low side and up side. How much (paper) loss are you prepared to stomach when the property market corrects?

4) Can you wait?

5) Does the private property offer facilities that you need?

6) How much space do you need? 5BR vs 2BR?

Reply to Property Indicative Value on Tue, 29 Sep 2009 14:55:42 GMT

smurf — Tue, 29 Sep 2009 14:55:42 GMT

if the seller (private property) has no time to let buyer's bank valuer value the house, what can the buyer do? sue the seller? in this case, who will win?

let's say, accordng to buyer, they sent a lawyer letter to buyer's lawyer requesting for bank valuer to go up to the house to value, but due to some personal reason, the seller declined, in this case, whose fault?

from what I understand, only for HDB, then it is a must to do valuation, but for pte ppty? :?

Reply to Property Indicative Value on Sun, 16 Aug 2009 16:01:22 GMT

jedamum — Sun, 16 Aug 2009 16:01:22 GMT

smurf:

I kept thinking that HDB are meant to be affordable but looking at the prices now, it doesn't seem so. can buy a same size freehold in a farther estate!

HDB is only affordable if you compare to private housing and opt for the less matured estate.
If one is not picky, and with low income, taking into account the AHG given, i can say it is still pretty affordable - at least better than renting in the long run.

Reply to Property Indicative Value on Sun, 16 Aug 2009 15:58:18 GMT

jedamum — Sun, 16 Aug 2009 15:58:18 GMT

insider:

Once purchased a private property, HDB kicks you out from buying any HDB for a certain period of time (can't remember 18 or 30 months after disposal of the private property), meaning difficult to do 'downgrade' anymore in the event of needs or whatsoever...

There is a time bar of 30mths for getting HDB flat directly from HDB after you have dispose of your private property.
For buying resale flat, there is no timebar after disposing of private property; can even own both at any one time; bearing in mind that one has to maintain a min sum in the CPF retirement account for owning up to 2 property or more at any one time.
Even if in time of need and one wants to purchase flat directly from HDB, still have to take into account the resale levy (ie if you had already enjoyed the subsidy once) before HDB allows you to buy another subsidized flat from them.

Reply to Property Indicative Value on Sun, 16 Aug 2009 15:27:58 GMT

smurf — Sun, 16 Aug 2009 15:27:58 GMT

the prices for HDB is kinda ridiculous now. even valuation for a 5 room high flr in Strathmore ave cost $685k and that doesn't include COV. :shock:

I kept thinking that HDB are meant to be affordable but looking at the prices now, it doesn't seem so. can buy a same size freehold in a farther estate!

Reply to Property Indicative Value on Sun, 16 Aug 2009 02:57:35 GMT

momoshop — Sun, 16 Aug 2009 02:57:35 GMT

jedamum:
...1. will not pay 750k for a HDB flat

Hi

Agree, will not pay 750k for HDB, so if the HDB is less than that say 650k or buy 99yr condo for 750k?

Given that HDB is prime areas are now ex, matching price of smaller condos somewhat, it is a tough choice to go for private or HDB. But Itake your point on the easier option to rent a 2 bedder indeed!

Reply to Property Indicative Value on Sun, 16 Aug 2009 01:09:53 GMT

jedamum — Sun, 16 Aug 2009 01:09:53 GMT

momoshop:

If you have a choice, for a budget of 750K, will you buy a 5BR HDB in Farrer road, or will you buy a 99 2BR apartment (assuming u wait for market to crash for you manage to find some good buys)? Why?

i will go for the apt cos
1. will not pay 750k for a HDB flat
2. not easy to sell a 5BR let alone such a high price if there are cheaper alternatives around, other people will go for cheaper alternative if their only aim is to shift near a choice school
3. easier to rent out smaller unit (rent to executives) than big units (rent to families)

Reply to Property Indicative Value on Sat, 15 Aug 2009 17:34:29 GMT

momoshop — Sat, 15 Aug 2009 17:34:29 GMT

Hi

This is an interesting thread and i will like to tap on some of your views…

If you have a choice, for a budget of 750K, will you buy a 5BR HDB in Farrer road, or will you buy a 99 2BR apartment (assuming u wait for market to crash for you manage to find some good buys)? Why?

Assume that staying in the apt brought is not an issue, as we are not in SG. Both apartment gives you proximity to the good schools and option to rent. What do you folks think?

Reply to Property Indicative Value on Sat, 15 Aug 2009 16:07:10 GMT

smurf — Sat, 15 Aug 2009 16:07:10 GMT

erm, basically we are looking for good buys, but prefer near schs (catholic schs)...ya lor, Bishan not worth buying at the moment, no supply, high demands...these push the price high up lor...queenstown river vally not cheap leh if not, more expensive.

Reply to Property Indicative Value on Sat, 15 Aug 2009 14:56:56 GMT

smurf — Sat, 15 Aug 2009 14:56:56 GMT

looking for bishan area.

Reply to Property Indicative Value on Sat, 15 Aug 2009 14:45:01 GMT

smurf — Sat, 15 Aug 2009 14:45:01 GMT

not much use leh...i checked...the asking price now and the transacted prce is at least 20-30k diff...some owners are asking skyhigh price.

there are few units which we are offering, but they have even higher offer. and the price we offer are at least 20k above COV. :x

the price is super crazy now for prime district.:(

Reply to Property Indicative Value on Sat, 15 Aug 2009 00:38:47 GMT

BigDevil — Sat, 15 Aug 2009 00:38:47 GMT

HDB’s website has an e-service which allows you to check the transacted price of past few months.

Perhaps you can use it to get a feel of how much you should pay.

Reply to Property Indicative Value on Fri, 14 Aug 2009 16:10:19 GMT

Rio — Fri, 14 Aug 2009 16:10:19 GMT

Yap....agreed that if slowly look around, might be able to find some good buy. And yes, I will try your method....dare dare offer lower and see what happen. Never know, might hit jackpot :lol:

Reply to Property Indicative Value on Thu, 13 Aug 2009 17:31:27 GMT

jedamum — Thu, 13 Aug 2009 17:31:27 GMT

insider:

If go buying house, try hantam and you may get it... (but if you are in a rush to get one, then power of negotiation a bit weaker...)

buy house must have fate. if it's yours, it's yours....

Reply to Property Indicative Value on Thu, 13 Aug 2009 16:34:56 GMT

Rio — Thu, 13 Aug 2009 16:34:56 GMT

Insider,

Wah....like this also can.....so lucky....that's a really good buy. Good location, young flat, nice deco...really a steal.

Was it a recent transaction? Wish I can have this kind of luck

Reply to Property Indicative Value on Tue, 30 Jun 2009 16:21:19 GMT

smurf — Tue, 30 Jun 2009 16:21:19 GMT

Hi Rio,

agent told me same thing too. when I sold my house, agent told me sell fast cos property price dropping, and I sold it at low prie, now agent told me better buy now cos prices going up. basically, I DUN trust them now.

I feel that if you saw a house that you like , you can consider buy it now, else wait until you find the one that you like. dunn be pressurised into buying. I made the mistake of rushing to sell, now I regretted it.

If you ask me, I dun think HDB prices will drop, it will remain as it is or go up. mainly because, econ down, people will buy hdb, econ going up, people still will buy hdb. or even offer higher COV.

if you are buying private, remember to check the caveat at URA website first before offering.:)

Reply to Property Indicative Value on Tue, 30 Jun 2009 15:51:52 GMT

Rio — Tue, 30 Jun 2009 15:51:52 GMT

Hi,

Wonder if anyone can provide me with some advise...

I just sold my flat, and is looking to shifting to a HDB or private condo at clementi, near to NHPS. However, I need not rush into getting one, cos I have a place to stay for the next 1 to 2 years in Clementi.

When I was selling my flat last month, the agent told me better sell fast cos property price will drop. Now that I sold my flat, other agents tell me better buy now, cos property prices will raise.

Haiz.....so should I buy now or wait for 1 to 2 years later? Clementi 5-room flat is still so high, at around $550K. Do u think the price will continue to climb? Or will it reach a peak and drop....really at a loss :?

Reply to Property Indicative Value on Sat, 27 Jun 2009 17:36:15 GMT

ankhlet.06013gmail.06013com — Sat, 27 Jun 2009 17:36:15 GMT

jedamum

if you have I/C no. and I/C name of seller, can run this with against a credit bureau service to confirm if they are the true owner of the place, and if they have any outstanding legal loans or court case.

People who have access to such bureaus can be real estate agents, lawyers, bank officers. So if you have friends in these occupations, can ask them for help (and lower fees!). Used to work in a company that subscribed to a credit bureau service, and for anywhere between $3 to $20, you can get a whole lot of info on a person’s credit history.

Never fully trust anyone when it comes to ANY property transaction. Lots of monkey business in this industry.

Reply to Property Indicative Value on Wed, 17 Jun 2009 10:15:49 GMT

hmsg — Wed, 17 Jun 2009 10:15:49 GMT

Probably a newbie learning his/her ropes… just move on and find others…

Reply to Property Indicative Value on Wed, 17 Jun 2009 02:21:38 GMT

jedamum — Wed, 17 Jun 2009 02:21:38 GMT

hquek:

FYI, I've heard of selling agents who settle for a lower bid just cos the highest bidder is not using their services (ie they have own agent), and the lower bidder is using their services (means double commission). For those sellers and buyers out there, be careful of such pp.

thanks hquek for your note!
ya..i was quite :!: when i heard that such practices happen in SG.

i believe some 'so called' agent who bring you around for viewing isn't really the agent you are dealing with, right? cos i came across this one 'agent' who have to keep calling his 'superior' for leads and confirmation and that he doesn't seems to know his work - doesn't know what is the min. occupation period for Enbloc residents, told us the valuation wrongly (the report stated $370+ and he said $270+; we just keep quiet and :roll: ), doesn't know about CPF housing grant incentives etc and gave us some lame reasons to promote the flats he has on hand. :roll:

Reply to Property Indicative Value on Wed, 17 Jun 2009 02:19:26 GMT

smurf — Wed, 17 Jun 2009 02:19:26 GMT

hquek:

FYI, I've heard of selling agents who settle for a lower bid just cos the highest bidder is not using their services (ie they have own agent), and the lower bidder is using their services (means double commission). For those sellers and buyers out there, be careful of such pp.

wow, I just sold my place at below valuation...your words made me think whether the agent did that. cos he has co-broke with other agents...but the buyer who bought my place didn't offer very high price...instead, he offered below value. :x

Reply to Property Indicative Value on Wed, 17 Jun 2009 02:14:27 GMT

hquek — Wed, 17 Jun 2009 02:14:27 GMT

I think it’s good practice to sniff out the neighbourhood - you can get a lot of information that way. It’ll be great if you can find some kaypoh auntie to ask about the flat, the neighbourhood. You probably won’t be able to see if there is a crazy neighbour in the short time you are there.

Also, do go during various times of the day to see if the sun/wind will be a factor. I’ve heard of pp getting conned thinking that the flat is a wonderfully windy place (wrong time lah).

FYI, I’ve heard of selling agents who settle for a lower bid just cos the highest bidder is not using their services (ie they have own agent), and the lower bidder is using their services (means double commission). For those sellers and buyers out there, be careful of such pp.

Reply to Property Indicative Value on Wed, 17 Jun 2009 02:05:40 GMT

jedamum — Wed, 17 Jun 2009 02:05:40 GMT

hmsg, fuena77, qms

thanks for all the tips and clarifications!

Reply to Property Indicative Value on Wed, 17 Jun 2009 01:55:04 GMT

qms — Wed, 17 Jun 2009 01:55:04 GMT

hmsg:
1) how do we know if we are dealing with the real owner of the flat?

When offer accepted, agent is suppose to verify on the owners particulars with official documents like from HDB, CPF, etc. The owners NRIC, names, etc will be reflected in the OTP.

Owners of flat should be able to produce documents from HDB certifying that they are the owners and that they are eligible to sell the flat, having met requirements such as minimum occupation period, etc. Ask the owner for such document. Genuine owners won't hesitate to show buyers.

hmsg:
2) how do we know if the flat owner did not default on their mortage loan and that ended up the bank need to take over the flat to reclaim the outstanding loan??

This one dunno leh.. by then cough out $5k in total already (i.e. payment made to owner when exercising option)... unless agent can check... anyone can verify?

Not sure about this, but in order for the HDB resale transaction to be approved, if the owner has a loan with the bank, the bank must approve the transaction. If not, the transaction cannot go through because effectively, the bank \"owns\" the flat until the mortgagor fully redeems the loan. This is only the bank loan. What about other loans that the owner obtain from other sources such as loan sharks? It would be more difficult to find out these.

hmsg:
3) just want to confirm, if buyer did not engage agent, buyer don't have to pay agent's fee to seller's agent, right?

For HDB transaction, under old norm, seller pays 2% and buyer pays 1%. If buyer direct, not sure if need to pay seller agent 1%. But there is no norm now (i.e. seller pays 2%), commission largely driven by mkt forces.

IEA used to have guidelines, but these were guidelines only. It is up to the buyer and the seller's agent to negotiate. Some sellers' agents refuse to bring the buyer to the sellers' flat unless the buyer agrees to pay commission (yes, they do such things - not very ethical, right?). There are very few sellers who handle such transactions direct. That is why agents usually have an advantage. HDB resale transactions are very easy. HDB conducts talks regularly to educate the public on procedures for resale transactions. If you really cannot avoid paying the commission, negotiate for a lower rate. If the agent won't budge, and you need to pay 1% commission, make full use of this amount you pay by getting the agents to do more work!

hmsg:
4) any other things to look out for?

Check whether good neighbors or v noisy or O$P$, ...
Also never pay cash advance... i.e. that may be a bad sign as that owner needs cash urgently... Check on infrastructures, i.e. leaking ceiling, illegal mod, etc.
will the agent do such for us???

I think the most important thing is - don't engage in under table transaction. Attend the HDB talk on resale transactions. Clarify your doubts with HDB during the talk. They may be in a better position to answer all your queries above.

hmsg:
Whether agent good a not is really dependent on your luck... i hope i am wrong or that u r very diligent in getting them to do your work... don't forget that they are servicing others too....

When hundreds of thousands of dollars are involved, it is always good to get referrals than look for one on the advertisements.