Buying your first property may be one of the biggest decisions you will have to make. We want to help you ease the journey, so take note of the things to look out for before becoming a first-time homeowner!
See if you are looking for a property for your own stay or for investment purposes. This will help you properly allocate the appropriate budget or types of renovation needed for the different types of purchasing a property.
Know your budget before looking into purchasing a property. To purchase an HDB, look at your CPF ordinary account (OA) and ensure that you have a sufficient amount in your CPF ordinary account should you be intending to get an HDB loan. It is recommended to have at least 10% or more of the price of your property in your CPF OA so that you can do a down-payment for your property.
For Build to Order (BTO) buyers, ensure that you do your Housing Loan Eligibility before the invitation to select a unit by HDB. For resale buyers, ensure that you seek help from your agent with regard to the HLE. Do note that you may get grants from HDB for both BTO and Resale HDB flats according to your household income.
For private property buyers, ensure that you have done a mortgage estimate for your property. You may also do the In-Principal Approval (IPA) to get an estimate from banks on the amount of mortgage loan that you may receive based on your income. This will help you to plan and look at whether there is a need to adjust the budget. Ensure that you have at least 5% of the property price in cash when purchasing properties using a bank loan which would be used for exercising your option.
For HDB, make sure that your ethnicity qualifies under the ethnic integration policy for HDBs before deciding on that property. This could help you filter out the properties that you might look out for.
For private properties, do note the restrictions that have been imposed by the corresponding MCST and it important look at their fees before deciding the purchase of the property, as it will cost over a long run.
For HDB resale properties, you will need to be within 4km of your parents to qualify for the proximity grant. Ensure that you will fulfil this before purchasing your property. Get a feel of the property by viewing it in the day and night to understand the ambiance of the neighbourhood. If you are looking to purchase a property that is nearby a desired school for your child, ensure that you are within the required proximity before deciding to make a purchase. Check with the individual schools if they have any requirements before making a decision.
Take note of the defects to the property during your viewing of the property. Some common defects include uneven or hollow tiles, mold on the walls, or leakages from the aircon ducts. See whether these defects can be rectified with the town council or MCST. Upon securing your property, ensure that you have done a defects inspection so that it can help you to budget for appropriate repairs and renovations. Remember to look out for any illegal alterations to the property too!
Now that you know what to look out for when it comes to getting your first home, are you ready to start your purchase? Let us help you with that! At Storeys, we will be partnering with you and this could give you peace of mind. Simply mail us at firstname.lastname@example.org or call us at 8366 8383 for us to be part of your journey