Worth Buying Old Hdb

[dean 5]

hi, i have a flat in bukit batok central, it was built in 1989 ...i bought in 1999 until now. Currently it is undergoing painting. But it is well maintained there.

Which area of bukit batok you referring to ?

And btw, the jtc charges that area $70 plus a month for s&c

bukit batok east, the entire block not well maintained, ground floor ceiling with peeling paint, pop up ceiling, worst ground floor wall with white bug infested. Wall cracking.

Edited March 15, 2012 by dean

[barryc 0]

Mr. paladin's comparison is so funny lol. but quite true arh ahhaa...

[leo7606 0]

Paladin - excellent comparison :-) ....but iam also in the confused boat ..not sure of landing .

I have narrowed down on a flat in Bedok of 34 years old . The good thing is it is just opposite to my daugther's school which is one of the good girls school in singapore . Also market is nearby and this block and its surrounding is pretty calm . Iam totlly confused whether to buy this flat or not as Iam the first time buyer and looking into newer flats / play areas/ car-parks ..think I will be loosing the new things around me if I go for this old flat . Saw some new flats and also liked it but no amenities nearby and will be loosing the school . One is the mental block of OLD flat and another is whether I will be able to sell this without loosing my capital ie., down the lane after 10 years when i think of an upgrade . Will there be any takers of a 45 year old flat by then . Iam really really confused. I had put int he OTP but still in a confused state of mind whether to go for it or withdraw .

I have gone through the entire thread but just worrying on the resale value of a 40-45 year old HDB and the COV which iam paying at 25K + reno of 15K ..

Require all your expert advice on this please .

[therat 18]

Are you referring to St Anthony's Canossian?

If yes, just FYI.

Their present building locate at Bedok North Ave 2 is a temporary building.

Bedok area has 40-45 yrs old HDB?

I thought the oldest is build est 1980

[Guest Shadow222]

Buy the HDB that is 5 year old.

[leo7606 0]

Are you referring to St Anthony's Canossian?

YEs therat , this is the school. Next year they are moving back to NOrth AVE 4 which is opposite to the block which i have narrowed down .

If yes, just FYI.

Their present building locate at Bedok North Ave 2 is a temporary building.

Bedok area has 40-45 yrs old HDB?

I thought the oldest is build est 1980

The block is 34 years old now ..so afraid if this will have any value after 5-10 years .

I see only one bus ( 17 and 545 , out of 545 runs in morning and evening only ) and after the flat the industrail area starts ..

I have to pay my rest 4K coming sunday but still i havent mad my mind .

[salavanun 0]

You have made a good choice. go for it. My 1st flat was a 5 yrs flat with no amenities. Nearest atm was 1km away. schools and amenities are daily life needs. my present house is 29 yrs and my sons walks to school n my wife crawls to market. why worry about the lease? go to hdb website places like holland clementi marineparade built earlier than ours but still command premium prices. in real estate is always about location. regards

[therat 18]

Agree with salavanun,

Don't worry about the HDB age.

I bought a unit @ bedok, near to your girl temp school.

I pay much more higher COV then you. Now.. very happy with the location and house.

Within 10 min walk, I can access market, hawker centre, bus stop, library, coffee shops, etc..

And the some important thing, 5 min cycle to my kid school.

The pro and con between old and new HDB, paladin126 summaries has nail to the point.

[bepgof 20]

I stayed 94D since 1992 for 13yrs. Red SS is within 1km, yr 2001 phase 2B, my son, now in RJC1, was BALLOTED OUT!Both mother & son cried on the spot, I was outstationed. Son managed to get into RSS, under waitlist Queue#21, on 24/12/01 christmas eve - after I kept bombarded the then principal(Mr.Chia)(till he raised white flag)that "will be a loss to RSS without letting my son in". Son proofed what i said. Hope similar history repeats not onto you. My understanding is u've not secured a place in SACPS. Another real story, just knew few days ago, my nephew got a girl like yr, rented out his flat in Telok B for $3100/pm, then rented a ROOM for $3200/pm in Orc Rd, 1km within RGS, now husband & wife already "voluntary worker" in RGS, expect some "fighting" within the "VW" in phase 2B.

SACPS is not really a good sch, to me, cos of its affiliation to SACSS to be exempted from another round of "fight", most parents love sending girls to SACPS as "shield".

In the interim, rent a room within 1km first, get IC address changed, do yr best making sure got a seat, then decide next. I earned the "first bucket of gold" from selling away my 1st hdb unit without "subsidy". With "subsidy" now, new flat owners these days v hard to earn even "1/4 of bucket of gold" from selling, don't try luck in first attemp. Failing to prepare is preparing to fail.

What 34yrs, new flat, sell away...issues are less urgent, settle the important yet urgent issues first. Hope not sound like "lecturing" you. BTW, the "oldest" ones at bedok south, 1976. Those Blk 7x, 8x along bedok N rd, in 1978. Flats with less than 60yr leasing(studio apt, 30yr lease)cannot use cpf. Believe me, this rule will be changed pretty soon, as more & more "39" yr flats coming like "flood", the "en-bloc" progm will walk into museum.

[paladin126 0]

If you want new HDB in old estates, can go for those SERS replacement flats sold under SOBF.

As for whether old HDB flats will depreciate as the remaining lease is reduced, my take is with SERS programme, no one will really stay in a flat till the full 99 years lease is up. They will probably get a SERS replacement flat after some time to redevelop the flat, especially if the block is near to MRT and has low height, to accommodate to a rising population. This is a risk that you have to analyse for your own block. However, looking at statistics from HDB's website, the valuation price of older HDB flats, eg those in 70s, 80s is slightly lower than the valuation price of newer HDB flats (those in 90s) in the same estate, not necessarily because the remaining lease is shorter,but because the condition is worse, eg low levels, noisy, lousy workmanship, etc. However, if the location is good and the place is kept well, the seller can ask for more COV for older flats and still sell at roughly the same resale price as newer flats.

If the flat has an unblocked view at level 38, you can be sure it will still be in demand 20 or even 30 years from now, even with a remaining lease of 50 years. Demand and supply determine the price of a flat, not the lease.

[leo7606 0]

Thanks Everyone .

Yes as begpof said , 75% of block in bedok are old ie., 35yrs+ hence i doubt all these flats will go for en-bloc. SO its the same case with me . looking 5 or 8 years down when we want upgrade then this flat is 42 years old and taking into account NO en-bloc , will there be a better selling price ? Will I be able to cover my COV + registration + agent ( buy and sell ) + will there be buyers as next to it is industrial area. My flat is at 9th floor ?

last night before I pay the OTP .

Thanks for all your advice folks . ( but still undecided )

[therat 18]

U're asking something what will happen 5-8 yr time later.

ask you a question

back in 5-8 yrs ago (2004-2007), if anyone told you, a HDB 4rm valuation $400k and need 25k COV. What will be your reaction?

I believe everyone will say..

go to sleep...

4rm $400k .. some more 25K COV.

Siao

U want a confirm + crop crop 100% win-win situation , who can advice you on this.

If I told you, I sold my 5rm @ Bedok North #11 floor 10k below valuation. And it is 37.5k lesser than what I had purchase during 1999.

1999, valuation is 310 K. And I pay 2.5K COV

2006 , sold @ 275k. Valuation is 285k.

If include agent fee, stamp duty, Loan interest. Paper lost 50k.

[Roflmaoxz 0]

In the interim, rent a room within 1km first, get IC address changed, do yr best making sure got a seat, then decide next. I earned the "first bucket of gold" from selling away my 1st hdb unit without "subsidy". With "subsidy" now, new flat owners these days v hard to earn even "1/4 of bucket of gold" from selling, don't try luck in first attemp. Failing to prepare is preparing to fail.

What 34yrs, new flat, sell away...issues are less urgent, settle the important yet urgent issues first. Hope not sound like "lecturing" you. BTW, the "oldest" ones at bedok south, 1976. Those Blk 7x, 8x along bedok N rd, in 1978. Flats with less than 60yr leasing(studio apt, 30yr lease)cannot use cpf. Believe me, this rule will be changed pretty soon, as more & more "39" yr flats coming like "flood", the "en-bloc" progm will walk into museum.

"first bucket of gold" is one mil right?

You are correct, bepgof, nowadays can only earn "1/4 of bucket of gold".

My wife and myself will be getting a 200k cheque from HDB next mth, only "1/5 of bucket of gold" nia.

[kalimantan 6]

"first bucket of gold" is one mil right?

You are correct, bepgof, nowadays can only earn "1/4 of bucket of gold".

My wife and myself will be getting a 200k cheque from HDB next mth, only "1/5 of bucket of gold" nia.

200k - how many family can save this up without selling anything ?

[bepgof 20]

"first bucket of gold" is one mil right?

You are correct, bepgof, nowadays can only earn "1/4 of bucket of gold".

My wife and myself will be getting a 200k cheque from HDB next mth, only "1/5 of bucket of gold" nia.

My FBOG = 450k-124.4k = 325.6k over period of 13 yrs. Some math cal here for u to correlate to real world:

PV=FV(1+r) to the power of -n

PV=present value of $ = 124.4k

FV= future value of $ = 450k

r = annual interest rate, flat throughout 13 yrs.

n= 13 yr

Result, r= 10.4% for 13 yrs! S'pore's avg CPI~5% per yr.

Or another way of putting it:

325600/13 = 25046.2 per yr

25046.2/12 = $2087.2/per month!

Conclusion: I earned $2087.2 every month continuously for 13 years!

= $1 gold coin x 2087.2 x 12 x 13 = 325,603 golden coin.

$1 coin weight 16.85g, so total = 0.01685 x 325,603 = 5,486 Kg! This "bucket of gold" is very heavy!

Once earned 1st bucket, easier to make 2nd, 3rd....This principle never change, no 1st bucket = no 2nd bucket....