5 common regrets to avoid when buying your first property
Updated: Jul 12
Buying your first property can be nerve-wracking, especially with all the details to sort out and unfamiliar paperwork to submit. The process can also be overwhelming, fast and expensive. If you're new to the property game, it's easy to feel like you're going to miss something during the process of purchasing a property. But don't worry, this article will guide you through the process of avoiding common mistakes made by most of the first property buyers.
If you are ready to buy your first property? Lets read on...
1) Not figuring out how much you can afford
Where buying a property is a huge milestone for most of us and it is a long term financial commitment. So it is crucial to buy a property that you can afford in the long run, cos you wouldn't know what may happen in years to come, for example: if you are planning to start of family do also consider the future added expenses, change of job etc. You will need to have sufficient resources to pay for your upfront costs, especially the ongoing home expenses and the monthly home loan instalments. In this segment, I will split into two parts, for couples buying first property and single buying first property.
Couples buying first property:
The things you need to take into considerations before buying your first property are, your combine income, CPF OA amount, on hand cash for the property downpayment, home loan eligibility and other existing expenses if any.
And the manner of holding, whether Joint Tenancy or Tenancy-In-Common. You may ask why is the manner of holding important in this case? For those who are planning to purchase second property in future, you will have to decide whether to hold it as Joint Tenancy or Tenancy-In-Common so as to avoid huge sum of ABSD. This, I will discuss in the next article soon.
Singles buying first property:
If you are single, there's a few things to take note of. To own a private property, the legal age to be at least 21yr old. If you are looking to buy a BTO HDB or Resale HDB flat, the legal age to be at least 35yr old. Singles have to consider, their income, CPF OA amount, on hand cash for downpayment, loan eligibility and other existing expenses if any.
Here's the upfront costs for purchasing a property:
These include the option fee, property downpayment, stamp duty fee, the legal cost, other cost also include the agent's commission fee, renovation and other miscellaneous cost that may take into account. So it is best to do your financial calculation first before taking the next step to search for your ideal home.
Not knowing how much you can afford in purchasing a property can be very stressful. Figuring out how much you can afford is an important part of the home-buying process. By taking the time to do some property research and figure out what type of property you can afford, this way it can help ensure that you find a home that is right for you.
One of the most important steps in buying a home is understanding the price range. You don't want to fall in love with a home that is outside of your budget, so it's important to have a clear understanding of how much you can afford to spend on the property be it new launch or resale flat. There are also a few factors that will affect your budget range, including your monthly income, existing debts, and property down payment. By taking the time to understand all of these factors, you can ensure that you're looking at homes that are within your budget.
2) Emptying your savings to buy a property
With the current economy situation, it is even more important than ever to have a strong savings. So when you are considering emptying your savings, do think carefully about the short and long-term consequences. By doing these really help you reach your financial goals? Or will it set you back from purchasing a property? If you find yourself in a situation where you need to empty your savings, there are a few things you should keep in mind.
Firstly, make sure you have a financial plan for how you will replace the money you are taking out.
Second, take note of any potential miscellaneous fees or property taxes that may be associated with withdrawing money from your savings account. Finally, remember that you may need to make some sacrifices in order to get your finances back on track. If you need recommendation for bankers, do contact me for me for contacts.
3) Underestimating the costs of homeownerships
Don't underestimate the costs of homeownership - it can be expensive! Make sure you budget for things like maintenance, repairs, and other unexpected expenses.
One of the biggest mistakes people make when considering homeownership is underestimating the costs. There are a lot of expenses that come with owning a home, from the mortgage and property taxes to the cost of repairs and maintenance. If you're not prepared for these costs, you could find yourself in financial difficulty.
So, make sure you do your research and budget for all the expenses of homeownership before making the decision to buy a home.
Where the neighbourhood is a great place to live. There are plenty of things to do, and it's close to everything. The people are friendly, and it's a great place to raise a family. Where you live can have a big impact on your quality of life. If you live in a safe, friendly neighbourhood, you'll probably be happier and healthier than if you live in a place that's unsafe or not very social. Choose a neighbourhood that's right for you, and you'll be one step closer to happiness.
5) Miscalculation repair and renovation cost
If you're planning to repair or renovate your home, it's important to calculate the costs accurately. Otherwise, you could end up spending more than you planned.If you're planning to repair or renovate your home, it's important to make sure that you accurately estimate the costs of the project. Otherwise, you might find yourself in a financial hole that you can't get out of. Here are a few tips to help you budget for your repair or renovation project. 1. Get multiple quotes from contractors. This will help you get a better idea of the true cost of the project. 2. Make sure to factor in the cost of materials. Don't just focus on the cost of labor. 3. Don't forget to budget for permits and other fees that might
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You can buy a home in Singapore if you plan ahead and budget carefully. This way, you'll be able to save up enough money for a down payment and other associated costs for your property. Once you've done that, all you need to do is find a property that meets your needs and budget. I know that it's a big decision to purchase a property here in Singapore, and I want you to feel confident about your choice. I am here to provide information and support so that you can make the best decision for you and your family.
Thank you for taking the time to read this blog post about first time home buyer the five common mistakes to avoid!
Anna Thng specialised in HDB Resale, Private Properties, New Launches and Commercial Lease in Singapore.
As a real estate agent, I personally understand the frustration of finding a good property you call home. Finding the right home involves a lot of effort and is not an easy feat. As a real estate agent, it is my job to make your home search as easy as possible, to ensure you find the right home for you within your budget.
Helping clients to achieve their dream home is what keeps me going and motivated to excel further in this real estate industry.
If you want to find out more about my property and potential property investment services, you can do so by contacting me at 8282 7210. I will be more than happy to assist you for all property related enquiry.
Anna Thng: 8282 7210
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