|Home > Let's Buzz > IM$avvy Buzz Lucky Draw [JOIN LUCKY DRAW HERE] > Week 2: 12/4/2010 - 18/4/2010|
|Have you ever thought about buying your dream house or perhaps you are living in it already? Tell us in not less than 50 words how you how you financed the home purchase, whether you are satisfied with your loan arrangements or share your story on how you feel about owing a property!|
|I am waiting the landed property to burst.It is like Dubai which look good at first and people run away and unable to sell it even 50% discount.We have to be careful.I will take a small loan with a shorter period orelse you keep on paying the interest.We must earn interest and Not to pay interest in order to be rich as I am he Life Planner from the Great Eastern Life. |
I am targeting freehold landed property and I can relax and do some organic farming at the backyard.There will be some fruit trees at the entrance with 5 parking lots.Children can play around the compound.It is geat.
|I have bought my HDB under the BTO scheme and it will not be ready till next year. So far we have only paid for the downpayment which is by CPF and we will not be required to make any other payment until the time we collect our keys. I would say that this is quite good as we are able to save up or invest our CPF savings for some time before our monies get swept away.|
|But then again, housing prices now is really horribly high. So right now, we are only thinking of saving up as much as possible so that we can be ready when the property market crash to enter the market for our second property (ie a private property). Not sure if this is asking for too much though.. ;p|
|My family is living in a 5-room HDB flat. It is not my dream house but it is definitely something that we can afford. I took a loan from HDB and have been paying for the flat using my CPF funds for the last 10 years. There is still a remaining loan period for another 15 years. I now agree that owning a house is a liability and not an asset. |
When we decide to buy the flat, we did not work any plan, we just head down to HDB, pay for the registration fee and submit the application form. We were told that we will get our flat within 5 years. A year after moving in, we encounter financial difficulty. My husband’s business was ceased due to bad debts. Before that, we have depleted our savings and chalked up huge credit card debts. Then a double blow to us, I was made redundant in my company and was jobless for almost 3 months. We have no savings and piles of debts to pay.
The difficulties we met were unforeseen. We did not make plans financially. Luckily for us, we had help from friends and family and we were finally able to repay our debts.
I would like to share with you that buying a HDB flat instead of a private property and using my CPF funds to service our mortgage payments was our best decision.
My advice to all future home-owners is to work a financial plan before you decide on the house you want – be it a flat, a condo or a landed property. IMHO, a house is just a roof over your head, buy what you can afford.
Edited by lowpp 2010-04-14 2:14 PM
|Recently, I have bought a HDB flat. This is a long-term financial commitment that is likely to stretch more than 10 years. We should assess our financial position and buy a flat within our means. HDB will work out the financial plan for our net loan at the point of selecting a new flat for purchase of a new flat or first appointment for purchase of the resale flat or processing our application for transfer of existing flat.|
|I am getting next year and we are planning to buy a resale HDB or private property. A dream home to me is one that I can finance with a peace of mind. We use CPF online regularly to check on our monthly contributions and how much we can afford to comfortably pay the monthly mortgage loan so that in the event that one of us is unemployed, we can still manage the financing well without any stress. CPF online is one channel that is so useful for me to track and plan. There are also many information that we read on!|
|My husband and I have already booked a HDB 3 rooms flat under BTO scheme, and we are planning to pay the full payment which 50% from our savings and 50% from both of our CPF ordinary account. The flat will not be ready until 4years later, so we still have fews year time to save money for it including renovation costs.|
|My housing mortgage is a HDB loan, something I appreciate greatly for peace of mind. |
My ideal property is one that is FULLY PAID UP (or at least 50% paid up). After which, I can move on to acquire another private property using cash, with the agenda of investing for rental returns and potential long term capital gains.
Another of my opinion is, the key thing is to educate people to be contented with the very first flat they purchase in their names, i.e usually the matrimonial flat. However, it seems even young people nowadays are so locked into making money out of their flats that nothing else matters. I am of the view that the primary housing should NEVER EVER be treated as an INVESTMENT. The roof over one's head must never be speculated! It is afterall a basic need.
Assuming if everyone goes by the ideal mindset that they stay in their first flat thoughout their lives and servicing a HDB mortgage rate of 2.6% for 30 years, there will never be a "bubble" like what is seen recently. And when the personal or family finances stabilizes, then a second or third property can be bought as an investment.
Like most Singaporeans, I am paying my housing mortgage from my CPF-OA, which is an ok thing to do, except the retirement funds that is supposed to be built up in the CPF-OA account is not doing so, as most of the money is paid into the mortgage. A catch 22 situation.
Then again, why not position it this way: FUND THE CPF-OA DEFICIT
Which means, if I am paying S$400 per month from CPF-OA into mortgage, I should park $400 from my savings into SRS and then invest the money; That not only plugs the CPF-OA deficit, and I get to enjoy some tax reliefs. Nice!
There is no magic in the above, just some shift in thinking. Another way to (re-)position your personal finances.
|We just got our PR status last January 2010. Our house rentals is quite big,we still dont have enough personal fund to buy a resale flat. But we are planning in getting one, once we have enough budget. Owning a flat should be plan so well. I hope we can make it in the next three to five years from now. We still have other financial stuff to pay, like the educational plan of our daughter and a housing loan in our home town country. Hope after these payments we can finally own an HDB flat here in Singapore since we are planning to stay here for good. Cheers and goodluck!|
Edited by ladymorena 2010-04-16 12:31 PM