Singapore teacher burdened by hefty mortgage loan for HDB fl
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Originally posted by hisoka:
Separate issues. We are scolding her for not managing finances and doing her sums beforehand.
If you want to talk about Singaporeans deserving better, you can continue but it does not in anyway ameliorate her failure to plan. By the way, are you even sure she is a singaporean?
That's an unfair accusation.
What makes you think the flats in ulu estates are worth it's dime ?
Smaller and farther away from city center. The flats are in actual fact already OVERPRICED for it's value.
Until you lived the life, how can you criticise so harshly ?
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but now COV has reached an all time high of $70,000...
$30,000 above isn't alot anyway... i mean if they bought it at $500,000 and COV is just $30,000... it means HDB valued the flat at $470,000... hmm... is that possible?
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Originally posted by I-like-flings(m):
renting is never cheap anywhere.. the problem is they got money to BUY?? answer is no.. then rent lor...You think renting is very easy ah.
You ever rented before or not ?
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Originally posted by Fatum:
considering that a brand new BTO 4 room can cost less than $250k before rebates ..... and considering that there ARE listings for sin ming 4 rooms for less than 400k ..... and considering that resale 4 rooms at other estates are available from around 350 to 390k ..... and considering that first timer goverment rebates for resale is another 30-40k straight off .... and considering that no one pointed a gun to her head to buy a flat at sin ming for nearly half a million instead of a unit at other, much cheaper estates, and considering that for that kind of money she could have bought a 5 room or EA at other estates ....
what is she ranting about ? Did she really do the math ? Did she really do her homework ?
something is fishy here ...
Exactly.
If it's that bad, why the car and why not BTO?
They clearly want to live above their means. Sure, my gf is a teacher as well, and the pay is not exactly fantastic for the amount of time put in... the workload is tremendous and she's thinking of quitting next year when her bond ends... But that isn't an excuse for the writer above not to have planned the finances properly...
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something isn't right here... i've checked HDB website caveats and the last transacted price for a 4 room at Sim Ming is only $398,000 in March 2010... how come TS paid $500,000 for it?
kana conned?
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Originally posted by elindra:
I think if they are really a teacher and an engineer there is seriously something very wrong with their pay.
Either that or she is just not telling the truth about their occupations
It's not very clear, but she may be stating the take home pay after CPF, in which case, they are earning about 3k+ in gross each...
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Originally posted by novelltie:
something isn't right here... i've checked HDB website caveats and the last transacted price for a 4 room at Sim Ming is only $398,000 in March 2010... how come TS paid $500,000 for it?
kana conned?
transacted price got include ancillary costs or not ?
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Originally posted by seancannot:
Secondary school teacher are all degree holder ... my niece with a general degree no honours or merit already got 3.2 K when she start work in a primary school after 1 year NIE training, her bf also teacher pay more than 5K after 4 years of work,, , GLC engineer pay around 2.5 K at least ... maybe TS 5 K pay is after deduction of CPF . so their combine pay gross is 7 K actually , so I think TS story quite true
my gf general degree no honours don't get 3k after NIE... after 1 year plus of work then 3k...
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Originally posted by Arapahoe:
I was thinking the same line...about her combine income after CPF......
The short term solution is to rent out a room or 2 to ease cash flow.
sell off the flat after the restriction is over so that they don't committed themselved to a life long loan payment. Moved to a smaller flat.
I wonder what they did to their savings before deciding on this path.
She's 28, and assuming a graduating age of 23, she has worked 5 years. Where have 5 years of salary gone to?
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Originally posted by jojobeach:
transacted price got include ancillary costs or not ?
"We are planning to get married in July and just bought a 4-room resale flat at Sin Ming. Guess how much it costs? You won’t believe it, we bought it at almost $500,000. No kidding, it’s true! All the flats in the vicinity cost above $500K. After paying about $30,000 in COV partially paid for by our parents, we do not have a single cent left for our wedding which we will have a simple afternoon tea buffet at our church instead of the traditional 8-course Chinese dinner"
based on what TS said, we use $500,000 minus $30,000 = $470,000
Then if transacted price is around $400,000 for Sim Ming area
we use $470,000 minus $400,000 = $70,000
$70,000 as ancillary cost? i think can buy brand new car liao... no need loan, one shot pay all...
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500k can buy a condo liao
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I think she represents a typical Singaporean, not exactly financially savvy and struggling to make ends meets. Coupled with poor work life balance in their jobs, they find life meaningless in the rat race. There are probably tens of thousands of Melissa
Leaving all the flats to BTO, isnt a good policy. Melissa is 28 years old, can she afford to wait another 3-4 years? If you understand what is "shelf life," you would understand why she no longer wants to wait 3-4 years. Once women hit 30, they may become "spoilt milk"
The median age of marriage for men is 31.2 and women 27.2 in 2006. can they afford to wait another 3-4 years? The govt wants us to plan in advance, but is it really so certain that the partner is the right one?
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Originally posted by novelltie:
"We are planning to get married in July and just bought a 4-room resale flat at Sin Ming. Guess how much it costs? You won’t believe it, we bought it at almost $500,000. No kidding, it’s true! All the flats in the vicinity cost above $500K. After paying about $30,000 in COV partially paid for by our parents, we do not have a single cent left for our wedding which we will have a simple afternoon tea buffet at our church instead of the traditional 8-course Chinese dinner"
based on what TS said, we use $500,000 minus $30,000 = $470,000
Then if transacted price is around $400,000 for Sim Ming area
we use $470,000 minus $400,000 = $70,000
$70,000 as ancillary cost? i think can buy brand new car liao... no need loan, one shot pay all...
So how much is the real ancillary cost to purchase a flat in Sin Ming ?
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Originally posted by Calvin86:
I think she represents a typical Singaporean, not exactly financially savvy and struggling to make ends meets. Coupled with poor work life balance in their jobs, they find life meaningless in the rat race. This is probably the average Singaporean story.
Leaving all the flats to BTO, isnt a good policy. Its good for those that are still young. The median age of marriage for men is 31.2 in 2006. can they afford to wait another 3-4 years? The govt wants us to plan in advance, but it is really so certain that the partner is the right one?
me and my wife waited for 3 years before our HDB flat came...
before that, we were staying with my parents for 1 year prior to the completion of the flat so we actually "booked" BTO 2 years before our wedding...
what i mean is if she or he is willing to "struggle" and put up with all sorts of nonsense before your love nest is built... i think it's a good test for the relationship.
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Originally posted by novelltie:
me and my wife waited for 3 years before our HDB flat came...
before that, we were staying with my parents for 1 year prior to the completion of the flat so we actually "booked" BTO 2 years before our wedding...
what i mean is if she or he is willing to "struggle" and put up with all sorts of nonsense before your love nest is built... i think it's a good test for the relationship.
So in actuality, you and your wife decided to get married and lived as a married couple before your wedding and flat arrives. Isn't that kinda "backwards" ?
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Originally posted by jojobeach:
So how much is the real ancillary cost to purchase a flat in Sin Ming ?
i work as an IT tech for one of Singapore real estate company so i roughly have an idea how sale and purchase work. i mean it's quite simple;
the seller will get a valuation from HDB and on top of it ask for COV and in this case $30,000.
so estimated the valuation from HDB is $470,000 which i think it's impossible for a 4 room flat at Sim Ming...
plus, whatever prices transacted listed on HDB caveat website is the combination of valuation plus COV so for example the last transacted at $398,000 is inclusive of COV...
i mean it is still possible for a unit to go for $500,000 but that means TS has made a mistake with the COV... it must be about $100,000 above.
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Originally posted by jojobeach:
So in actuality, you and your wife decided to get married and lived as a married couple before your wedding and flat arrives. Isn't that kinda "backwards" ?
maybe i missed the steps; let me put it in point form
1) me and girlfriend dated for sometime
2) decided to apply for HDB first cos' we know must wait at least 3 years (we were quite sure we are going to marry each other)
3) after acquiring the unit (no key yet, just a confirmation that we have a flat in 3 years time)
4) prepared for wedding and got married (took us 2 years)
5) before flat came, stayed with parents for 1 year
is this backward?
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Originally posted by novelltie:
me and my wife waited for 3 years before our HDB flat came...
before that, we were staying with my parents for 1 year prior to the completion of the flat so we actually "booked" BTO 2 years before our wedding...
what i mean is if she or he is willing to "struggle" and put up with all sorts of nonsense before your love nest is built... i think it's a good test for the relationship.
Things dont flow as logically as what the govt wants us to plan. The wife may not be able to get along with the in laws etc.... There are only two choices..
if you can afford it - resale...
if you can wait or cant afford it BTO
But being unhappy about PAP's uncontrolled immigration policies pushing up housing prices is a different matter altogether.
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Originally posted by Calvin86:
Things dont flow as logically as what the govt wants us to plan. The wife may not be able to get along in the in laws etc.... There are only two choices..
if you can afford it - resale...
if you can wait or cant afford it BTO
But being unhappy about PAP's uncontrolled immigration policies pushing up housing prices is a different matter altogether.
this i agree with you, things do not always go as planned.
true, if you can afford it and you NEED the convenience due to family reasons like near parents or near workplace, buy a resale. but buy within their abilities... i mean why are they paying $100,000 COV if it's going to kill them? or if it's not the COV then do they know the market price of flats at Sim Ming?
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Originally posted by novelltie:
i work as an IT tech for one of Singapore real estate company so i roughly have an idea how sale and purchase work. i mean it's quite simple;
the seller will get a valuation from HDB and on top of it ask for COV and in this case $30,000.
so estimated the valuation from HDB is $470,000 which i think it's impossible for a 4 room flat at Sim Ming...
plus, whatever prices transacted listed on HDB caveat website is the combination of valuation plus COV so for example the last transacted at $398,000 is inclusive of COV...
i mean it is still possible for a unit to go for $500,000 but that means TS has made a mistake with the COV... it must be about $100,000 above.
I believe she factored in the loan costs into the cost of her unit.
When I purchase a property that's what I do too. I don't look at the property as just the base cost.
Because when you make payments you don't just pay base cost.. you are also paying the loan interests. That is your monthly expenses to consider.
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Originally posted by novelltie:
maybe i missed the steps; let me put it in point form
1) me and girlfriend dated for sometime
2) decided to apply for HDB first cos' we know must wait at least 3 years (we were quite sure we are going to marry each other)
3) after acquiring the unit (no key yet, just a confirmation that we have a flat in 3 years time)
4) prepared for wedding and got married (took us 2 years)
5) before flat came, stayed with parents for 1 year
is this backward?
wouldn't it be better if you don't need to wait 3 years for your own home ?
like at point #2, you and your wife move into your home to start your family.
1+2 years... wasted time. You child would have been 3 years old already.
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so you are saying she already calculated the loan amount plus interest into the total amount of the HDB flat? let's work backwards and calculate then... the current HDB loan interest in 2.6%
Total price is $500,000 after 30 years (let's take the maximum tenure)
So definitely the purchase price is lesser than $500,000 since she already factored in interest of 2.6% per annual for 30 years. let me do the maths...
if i'm not wrong (i'm pretty bad at maths... flunked my Engineering Maths during Poly)
i estimate that the HDB was bought at a mere $347,000 which in my opinion is quite acceptable... the highest transacted is $395,000... why is she complaining then? Valuation of the place is then around $310,000. if we use the loan calculator at HDB website, we can see that the monthly instalment is $1,215 bore by 2 persons...
if your pay is 2K, your CPF is as we know is $690 (34.5%) and 3K = $1035
combine them together is $1,725. of course we know we have to take up certain percentage for medishield and Special account. $1.725 x 0.6667 = $1,150
if we see the numbers, we can conclude that TS did not have a proper planning on her financials as she is still in the red after all the deductions.
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Originally posted by jojobeach:
wouldn't it be better if you don't need to wait 3 years for your own home ?
like at point #2, you and your wife move into your home to start your family.
1+2 years... wasted time. You child would have been 3 years old already.
that is subjective... we have no kids yet and we do not plan on having yet anytime soon... also, for the 2 years, we were trying to save some money for the wedding and renovations... so we decided that BTO suits us better...
we can wait - we need to raise funds for the wedding
we don't wish to pay $400,000 for something we can get at $250,000 for just waiting 3 years.even if we rent 2 rooms at $1000 a month, 3 years will cost us only $36,000 compared to $150,000 we will paying more
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Originally posted by eagle:
Exactly.
If it's that bad, why the car and why not BTO?
They clearly want to live above their means. Sure, my gf is a teacher as well, and the pay is not exactly fantastic for the amount of time put in... the workload is tremendous and she's thinking of quitting next year when her bond ends... But that isn't an excuse for the writer above not to have planned the finances properly...
you should quickly go book one BTO first dude, even if you do not intend to stay in HDB your whole life. A brand new flat twice in a life time is every citizen's entitlement. Once you have fulfilled the minimum occupation period, value sure appreciate one, so it's a win-win-win situation however you look at it. Think of it as our backdated NS pay
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Originally posted by Fatum:
you should quickly go book one BTO first dude, even if you do not intend to stay in HDB your whole life. A brand new flat twice in a life time is every citizen's entitlement. Once you have fulfilled the minimum occupation period, value sure appreciate one, so it's a win-win-win situation however you look at it. Think of it as our backdated NS pay
book already
queue number 581 out of 400+ 4-rm flats
