Purchase Of Older Flats

[bythesea 0]

Are there any issues to be aware of when buying older flats? Recently viewed an unit which is already 40 years. Location is good, amenities are round the corner and the MRT station is less than 10 mins away.

My main concern: Would there be takers if I want to sell away the unit in 10 years time? By then, the unit would be 50 years old

Do banks not provide or restrict loans amount for purchase of units that are above a certain age?

[forgotten 1]

Ah Long issue

[salavanun 0]

guess will be cpf withdrawal problem or bank loan issues if yr future buyer is taking a bank loan. bank tenure will be shorter and higher monthly instalments. Given a chance rather look around m sure slightly younger flats available

[dean 5]

newer flat better than older flat. older flat have alot of old people?

[sugardaddy 0]

Older flats tend to be bigger in size compared to new ones .. am staying in a 25 year old flat now .. have to admit that flat may be old .. but definitely a bigger space compared to friends with new flats

concern is more on en-bloc issues since you would be forking out quite a sum for renovations etc

[therat 18]

Old flats has

1. more coffee shops

2. more mama shops

3. more primary schools (at least for my area)

4. better transportion

5. more childcare centre (at least for my area)

6. bigger floor area

7. don't have the house shelter

8. better floor plan.( more rect . Some new floor plan, cut here, cut there. Don't know how to put furniture)

[rickoveron 0]

but older flats also have:

1) alot of beams

2) alot of pillars

3) unsightly sewage pipes

4) crooked walls

5) in-house garbage chute (cockroach friendly)

6) massive amount of PVC casings outside the unit, accumulated over the years from various vendors

[therat 18]

but older flats also have:

1) alot of beams

2) alot of pillars

3) unsightly sewage pipes

4) crooked walls

5) in-house garbage chute (cockroach friendly)

6) massive amount of PVC casings outside the unit, accumulated over the years from various vendors

1 & 2 - I think depend on area. And also you want to do hack the wall or not.

3 ) has HIP program. Will change for you . FOC

5 ) Oh! I prefer chute inside the house lay.. no need to walk outside and thrown. Then if your neighbor is those type, anyhow throw or 'best' just put outside type. Make u even more angry.

6) as long as those PVC don't drop on my head , can liao

[bythesea 0]

of all the points raised up so far, the unit's age of 40 years does not seem to put off anyone!

concern is more on en-bloc issues since you would be forking out quite a sum for renovations etc

by the way sugardaddy, what do you mean by the above?

[zanntan 0]

of all the points raised up so far, the unit's age of 40 years does not seem to put off anyone!

by the way sugardaddy, what do you mean by the above?

Actually the age doesn't turn me off at all ! I was looking at areas like tpy, stirling rd, etc. which is all near 40 years.. what bothers me is that alot of them are I model.. which does not have a toilet in the MBR...

i tink sugardaddy meant that since the unit is old, will end up spending alot on reno.. but after some years, hdb might enbloc it (SERS) and you might waste the reno.. but then again, SERS usually will piority to buy a new house and the locations of the new house is even better !!

[gimz63251073 0]

40yr old flats are still "ok" for the time being. Reason is that HDB has been carrying out SERS for older flats.

so somehow, the value of a 40year old flat is valued on the basis that lease never expires.

would there be a day when HDB is unable to keep up with the pace of expiring lease?

i think i would live old enough to see how HDB reacts..

[sugardaddy 0]

Actually the age doesn't turn me off at all ! I was looking at areas like tpy, stirling rd, etc. which is all near 40 years.. what bothers me is that alot of them are I model.. which does not have a toilet in the MBR...

i tink sugardaddy meant that since the unit is old, will end up spending alot on reno.. but after some years, hdb might enbloc it (SERS) and you might waste the reno.. but then again, SERS usually will piority to buy a new house and the locations of the new house is even better !!

thanks zanntan for clarifing .. apologies for being unclear

cos you may end up spending tens of thousand to renovate the place but SERS would just relocate you and you would have to spend another sum on renovations again

[bepgof 20]

Land lease is quite a concern for HDB flats( actually for all commercial/residential properties), though not obvious now, in coming 10 years or so, will see the impacts on HDB pricing(new hdb flats' price pegged to resale price), I foresee.

http://mycpf.cpf.gov.sg/CPF/Templates/SubP...HEHINT=Guest#Q3

- There is a stupid cpf rule of 30:80 for residential properties which built on leasthold(L99,L999) or FH. Can't activate cpf $ to buy properties with less than 30yr lease, AND, the remaining lease must last you up to at least 80 yr old. Confusing right?

Eg, remaining lease = 99-40 = 59yr. Say, now you are 30 yr old, still have 80-30=50yr to live

- condition 1: remaining least > 30yr old, yes, can buy.

- condition 2(age): remaining lease in term of year > (80- present age), 59>50, so you can buy

Under condition 2: which implies that only "older" buyers can satisfy this. Imagine, now a 21yr old. 80-21 =59, so 59>=59.

2012, 58>=80-22

2013, 57>=80-23

2014, 56>=80-24

so on and so for...

Before buying the present 1979-built 5rm in 2009 Aug, I'd advised wife & MIL on this(leasehold issue), better to choose those in Tampines or punggol. They insisted, I surrendered. Anyway, I have no intention to sell away this one.

Cosmetic/outlook of staying environment is always an issue to younger ppl, but not for older ppls. Why?, who can answer this?

Edited April 14, 2011 by bepgof

[bythesea 0]

the unit i viewed has gone through some upgrading. the living room has been extended to form a balcony.

the unit is definitely not move-in or live-in condition so reno is a must. and i doubt en-bloc is likely in the forseeable future since some upgrading have been done