Pocy Hypersonic May 10, 2019 Share May 10, 2019 Yes ... new flat price will go up since young buyer now has lesser choice of older flat. Tel u nong nong ago ↡ Advertisement 3 Link to post Share on other sites More sharing options...
Angcheek Hypersonic May 10, 2019 Share May 10, 2019 Govt is putting a lot of effort to do many delicate balancing acts. The current situation is where some people when they were younger opted for the cheapest and best (central, large etc) option (be it landed, old central HDB etc). End up in a place where they ask for help currently but can't. For example, if they are left with 30 years lease (no loan and no CPF use), they can't get any decent price, and if they had chosen large / private homes, the Govt also can't bail them out. This presents a huge dilemma to Govt. For example, if they are left with 30 years lease (no loan and no CPF use) --> You mean they used cash to buy their property which left 30 yrs ? If no loan , no CPF use meaning they have alot of CPF ma . 2 Link to post Share on other sites More sharing options...
Wt_know Supersonic May 10, 2019 Share May 10, 2019 (edited) FRS better BRS requires one to pledge HDB and the rule can changed overnight ... once FRS ... it’s locked in tax ... forget it Edited May 10, 2019 by Wt_know Link to post Share on other sites More sharing options...
Angcheek Hypersonic May 10, 2019 Share May 10, 2019 First of all, the oldest HDBs are 52 years old or 47 years lease left. Which are the ones that are left with 30 years lease that could benefit from this new rule? Moving the no cpf use from 30 lease left to 20 years lease left sounded good, but I don't think there are many 30 years lease left properties around. This part is a interesting point ..... why they move the lower cap from 30 to 20 yr ... e.g. who can buy 30 yr left flat ........ generally should be someone at > 65 rite ... basically , allowing those over 65 to use CPF to change house ? but why would anyone at that age wan to change house ? If they dont have a house all the while , why would they wan to buy a house at 65 ? 5 Link to post Share on other sites More sharing options...
Showster Twincharged May 10, 2019 Share May 10, 2019 (edited) I think more clarity will emerge over time. Agents should be trained to advise also. Essentially this also does not stop those with excess CPF funds from loaning 10 years to buy a property with 30 years left. Previously this option was not available. Only can full cash. Edited May 10, 2019 by Showster 1 Link to post Share on other sites More sharing options...
Wt_know Supersonic May 10, 2019 Share May 10, 2019 (edited) so that owner of hdb with 30 years left will not cry papa cry mama kaypoh to zaobao cannot sell This part is a interesting point ..... why they move the lower cap from 30 to 20 yr ... e.g. who can buy 30 yr left flat ........ generally should be someone at > 65 rite ... basically , allowing those over 65 to use CPF to change house ? but why would anyone at that age wan to change house ? If they dont have a house all the while , why would they wan to buy a house at 65 ? Edited May 10, 2019 by Wt_know Link to post Share on other sites More sharing options...
Icedbs Turbocharged May 10, 2019 Share May 10, 2019 (edited) This part is a interesting point ..... why they move the lower cap from 30 to 20 yr ... e.g. who can buy 30 yr left flat ........ generally should be someone at > 65 rite ... basically , allowing those over 65 to use CPF to change house ? but why would anyone at that age wan to change house ? If they dont have a house all the while , why would they wan to buy a house at 65 ? That's a very good question and a darn good point. I wonder why too......and if the 65 years old buyer uses full CPF now to buy a 30 years lease left house, how does that affect his monthly payout? Anyway, it is a real issue only 17 years later cos currently the oldest HDBs still have 47 years left. Edited May 10, 2019 by Icedbs Link to post Share on other sites More sharing options...
Enye Hypersonic May 10, 2019 Share May 10, 2019 This part is a interesting point ..... why they move the lower cap from 30 to 20 yr ... e.g. who can buy 30 yr left flat ........ generally should be someone at > 65 rite ... basically , allowing those over 65 to use CPF to change house ? but why would anyone at that age wan to change house ? If they dont have a house all the while , why would they wan to buy a house at 65 ? wah... 1. allow seniors to monetise their current abodes through downgrading to flats with lesser leases to get more cash for retirement expenses 2. take the pressure off hdb to build new elder flats with 30 years leases 3. help to slow the depreciation down for these old flats Link to post Share on other sites More sharing options...
Angcheek Hypersonic May 10, 2019 Share May 10, 2019 wah... 1. allow seniors to monetise their current abodes through downgrading to flats with lesser leases to get more cash for retirement expenses 2. take the pressure off hdb to build new elder flats with 30 years leases 3. help to slow the depreciation down for these old flats 1 Link to post Share on other sites More sharing options...
Angcheek Hypersonic May 10, 2019 Share May 10, 2019 so that owner of hdb with 30 years left will not cry papa cry mama kaypoh to zaobao cannot sell Young owner shld know that and the risk before they bought the house . Possible if they Gian Png aiming for enBloc and buy old flat . Now kana bite. If they wan to sell now , likely elderly will buy only but they are not going to pay alot for it. Elderly also need the money in CPF for retirement . Most likely owner will LL sell at a lost to exit . For Old owner ma .... if they are old , no point to sell either ma . And who will buy rite ...... another elderly? From one old man pass to another old man ? Sell and get FRS stuck ... Vs pledge HDB for FRS ... no diff i think 3 Link to post Share on other sites More sharing options...
Wind30 Turbocharged May 10, 2019 Share May 10, 2019 For discussion purpose 1. allow seniors to monetise their current abodes through downgrading to flats with lesser leases to get more cash for retirement expenses --> not necessary to go this way. senior can pledge their flat to CPF >? Even if they wan to go this way, their current flat will be rather old too . After selling off and minus off FRS + INT etc .... not much benefit . 2. take the pressure off hdb to build new elder flats with 30 years leases --> possible esp those Elderly Condo ... but as far as I know , the take up rate is rather low . 3. help to slow the depreciation down for these old flats --> only in HDB's book . They likely depre it linearly over 99 yrs . Owner cannot sell wont affect them ma ... In fact , if there is VERS , depre faster is even better for HDB . U are too narrow in scope. Policy needs have a wider view. How about those 65 year old with fully paid private housing? Or people with hdb but not much cpf used? With the extremely low interest rates in the past 10 years, I suspect there are quite a few who do not use much cpf for housing, The point is I don’t think the 30 years or even 20 years serve much of a point. I think the pegging the cpf use to buyers age removes a hard cliff issue when u use solely the age of the property. Link to post Share on other sites More sharing options...
Kopites Supersonic May 10, 2019 Share May 10, 2019 (edited) U are too narrow in scope. Policy needs have a wider view. How about those 65 year old with fully paid private housing? Or people with hdb but not much cpf used? With the extremely low interest rates in the past 10 years, I suspect there are quite a few who do not use much cpf for housing, The point is I donât think the 30 years or even 20 years serve much of a point. I think the pegging the cpf use to buyers age removes a hard cliff issue when u use solely the age of the property. thosee in the 65 I doubt many would shift take into factor like emotional attachment and mobility. Edited May 10, 2019 by Kopites Link to post Share on other sites More sharing options...
Showster Twincharged May 10, 2019 Share May 10, 2019 (edited) A 40 year old property can previously only loan 10 years with a very reduced amount amount of CPF that can be used. The same aged property can now loan 20 years with corresponding increase in CPF that can be used. Tell me that has no impact on someone willing and able to free his name to buy a second household (first individual) residential property, or a second private property, or purchasing a temporary stay property. Certainly there is a stimulatory impact. But for those less than 20 years left, really sorry. It’s meant to be a straight line depreciation till the end. Edited May 10, 2019 by Showster 1 Link to post Share on other sites More sharing options...
Wt_know Supersonic May 11, 2019 Share May 11, 2019 we must pump up the property for old flats at “all cost”? why? Link to post Share on other sites More sharing options...
Throttle2 Supersonic May 11, 2019 Share May 11, 2019 Good luck everyone. I know i’ll need it. Link to post Share on other sites More sharing options...
Voodooman Supersonic May 11, 2019 Share May 11, 2019 Good luck everyone. I know iâll need it. You should swap your new Punggol Field flat to an older flat, sure huat one. Link to post Share on other sites More sharing options...
Nhyone 4th Gear May 11, 2019 Share May 11, 2019 You win some, you lose some. Age + lease >= 95 is a pretty neat idea. Now young people have to think twice before buying old properties. Age 25, lease 70 years Age 35, lease 60 years Age 55, lease 40 years 3 Link to post Share on other sites More sharing options...
No_worries 6th Gear May 11, 2019 Share May 11, 2019 (edited) You win some, you lose some. Age + lease >= 95 is a pretty neat idea. Now young people have to think twice before buying old properties. Age 25, lease 70 years Age 35, lease 60 years Age 55, lease 40 years Members here may disagree with me. But my observation is that they are encouraging people to buy newer flats. But unfortunately the newer flats are usually located in the non mature estates such as Punggol , Tengah etc. Essentially the young people buying a hdb these days will have to decide : 1) newer flat but in far places, longer commute time 2) old flat in good location, short commute time but may have to pay more upfront cash for their flat due to loan curbs despite lower asking price from existing seller 3) newer flat in good location such as Bukit Merah , Holland drive, Queenstown, this is the most ideal especially for those who work in the financial service sector in CBD, however, the purchase price is v ex, at least 1 million for a 5 room flat. Cpf may not cover fully and they have to cough up additional cash too. All these options have a benefit and a cost component, won’t be easy for a young couple to decide but they will have to choose either one of them . Edited May 11, 2019 by No_worries ↡ Advertisement 2 Link to post Share on other sites More sharing options...
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