Question: Do we USUALLY profited from the sale of our first HDB?

[Raiders]

As you guys know that I'm making plans to run road overseas, the biggest concern is my pigeon hole. I have a choice to rent it out or sell it outright if I needed more cash. Being a first time home owner, I need to know if we usually make a profit. The info is as below.

1. It is a resale flat when I bought it.
2. Grant 11k
3. Hdb loan
4. Planning to sell at its 5th year
5. Monthly installment 600 by CPF and 360 by cash

Assuming market demand stays the same, will I make a profit?

 

[mollusk]

Run road as in also throw ic..?

 

[tonychat]

It is profitable, but they never say it is you.

 

[captainxerox]

usually make a profit i.e. selling price above bought price esp since got rebate thrown in. the qn is whether the profit is enough in your eyes as one will always compare with other sales.

 

[Raiders]

Run road as in also throw ic..?

Ultimately yes. But I doubt I can do that early as I need to get PR overseas first, then can qualify for their citizenship. Not every country gives citizenship like toilet papers

 

[mollusk]

If you throw ic, then might as well sell yur flat and cash out yur cpf.It not just rent it out for passive income

 

[Raiders]

usually make a profit i.e. selling price above bought price esp since got rebate thrown in. the qn is whether the profit is enough in your eyes as one will always compare with other sales.

Not greedy. 50k is good enough for me. I bought the place when COV was high. My COV was 28k. I paid because my wife and I love the flat and it was move in condition. But I doubt I can fetch that type of COV if I were to sell again. My wife was talking to my neighbour and she told my wife that many people came to view but was reluctant to match the 32k COV.

 

[valiant20]

I read somewhere, that you need to return to CPF, whatever sum of *your own*$$ that you took out of CPF to pay for the pigeonhole, when you sell the pigeonhole?

Plus interest??:*:

*Hope someone can clarify this..*

 

[captainxerox]

I read somewhere, that you need to return to CPF, whatever sum of *your own*$$ that you took out of CPF to pay for the pigeonhole, when you sell the pigeonhole?

Plus interest??:*:

*Hope someone can clarify this..*

yup. totally true.

 

[Raiders]

If you throw ic, then might as well sell yur flat and cash out yur cpf.It not just rent it out for passive income

Yeah boss, this one I know and this is the final step. I mean, in my early years when I'm overseas and trying to get PR, I cannot cash out my CPF. I either rent out the flat for a steady income every month while I'm overseas or sell it for abit of cash to tide me overseas.

 

[Raiders]

I read somewhere, that you need to return to CPF, whatever sum of *your own*$$ that you took out of CPF to pay for the pigeonhole, when you sell the pigeonhole?

Plus interest??:*:

*Hope someone can clarify this..*

Whatever sun I took out from CPF and must return, I know. But knn, still must pay interest on my own CPF money? KNNBCCB!

 

[godiva]

Resale Price $ LESS
1) Outstanding mortgage loan with HDB
2) Resale Levy (if applicable)
3) CPF utilised plus accrued interest
4) Upgrading Levy (if applicable)
5) Upgrading Cost (if applicable)
6) Deposit paid by Buyer (max $5,000)

= Net sales gain.

Grant no need to pay them back. CPF utilised need to include CPF used for legal fees and stamp duty.

http://services2.hdb.gov.sg/webapp/...BB24SSaleProceedsCalc?pageName=home&loanTag=H

 

[Raiders]

Resale Price $ LESS
1) Outstanding mortgage loan with HDB
2) Resale Levy (if applicable)

Grant no need to pay them back. CPF utilised need to include CPF used for legal fees and stamp duty.

http://services2.hdb.gov.sg/webapp/...BB24SSaleProceedsCalc?pageName=home&loanTag=H

Boss, resale levy is applicable only if I were to buy another flat right? If I never buy, no need to pay right?

 

[jubilee1919]

You will realised some profits but you have to do our sums. After reselling, there are many bills you have to pay, i.e. agent's commissions,. amount to be returned back to CPF, etc. Best is to consult your agent to know exactly how much you will gained in real cash, as most will go back to CPF plus sales tax.

 

[godiva]

Boss, resale levy is applicable only if I were to buy another flat right? If I never buy, no need to pay right?

I not boss, just a newbie.

Below is a guide on when resale levy is payable.

Payable
You are selling your first subsidised flat and buying a second subsidised flat from HDB.
You are a second-timer taking over the ownership of a subsidised flat.

Not payable
You are selling your first subsidised flat and buying a resale flat from the open market or a private property.

http://www.hdb.gov.sg/fi10/fi10322p.nsf/w/SellFlatResaleLevy?OpenDocument

Your case will not kena resale levy.

 

[godiva]

You will realised some profits but you have to do our sums. After reselling, there are many bills you have to pay, i.e. agent's commissions,. amount to be returned back to CPF, etc. Best is to consult your agent to know exactly how much you will gained in real cash, as most will go back to CPF plus sales tax.

Also need to deduct the reno cost that you have spend.

 

[Raiders]

Thanks for all the prompt replies. Appreciates all your input

 

[Reddog]

A EM flat sold by HDB for $114 is now transacted in the resale market for over $900K. Thanks to the PAP.

Huat Ah !!

 

[Raiders]

Also need to deduct the reno cost that you have spend.

I never reno. Basically, I have no debt except to HDB :o

 

[Raiders]

A EM flat sold by HDB for $114 is now transacted in the resale market for over $900K. Thanks to the PAP.

Huat Ah !!

This type is during my father time. Now our generation cannot dream liao. In one of the thread post by LTB, I mentioned that the dog lover Jason was my ex colleague. I realised he bought his 3 room flat for 400k. What the fish...