What to consider when buying a home : 7 simple points : Almost everyone goes through this very scary thing of buying a property. And you would surely ask “What to consider when buying a home” ? Let’s discuss some factors here to help you out !
What to consider when buying a home : 7 simple points : Decide on Your Budget
Of course you need to get your numbers right. You need a capable and detail oriented property agent to help you decide on the appropriate budget after considering your CPF balances, your cash savings, your government grants etc.
Determine your budget and stick to it. Consider not only the purchase price but also additional costs like closing costs, property taxes, insurance, and potential renovations or repairs. It’s important to have a clear understanding of your financial limitations to avoid overextending yourself.
Money is the key factor in buying a property.
What to consider when buying a home : 7 simple points : Proximity to MRT and amenities
The location of a new home is crucial. Consider factors such as proximity to schools, workplaces, transportation options, amenities, and the overall desirability of the neighborhood. Think about your lifestyle and needs, both now and in the future, and ensure the location aligns with them.
With so many MRT stations opened in recent years and more opening soon (including the Thomson East Coast Line and the Cross Island Line), finding a place near to a MRT station is getting easier (not necessarily cheaper). It should be a key factor though especially if you don’t wish to buy a car.
Locations further from the MRT station may require a feeder bus ride or a very long walk, which could meant more than 15 minutes or 30 minutes to get home. That extra time in the mornings can meant more time to get your kids ready or kiss your wife or a slightly longer beauty sleep.
Furthermore, your property will more attractive when you want to sell your place, fetching 5% to 10% more if you are located within a 5 to 8 minutes’ walk to an MRT station compared to those which are not.
You will also want to be near to key amenities such as a shopping mall, NTUC FairPrice or Cold Storage supermarkets, a hawker centre or a food court or many ever loved coffee shops. Food places are never enough.
What to consider when buying a home : 7 simple points : Home and Family Size
Are you and your spouse planning to have children soon ? Are your parents or parents in law going to sell their properties and then moving in with you ?
That 3-room flat at Yishun may look very affordable NOW but will it be spacious enough LATER to accommodate any changes to the family unit?
Children will also affect your location to be near to pre-schools and a good playing environment.
Family planning is an important step which all young couples should be thinking deeply.
What to consider when buying a home : 7 simple points : 1km to good schools
Proximity to schools – especially being one km to specific schools that you wish to enrol the kids in – should be a key consideration, as this impacts their ability to get into top primary schools or even how long they take or you take to drive them to schools.
This is why private condos within one km of top primary schools are so attractive. Condos such as Enchante or Sanctuary@Newton are so close to top primary schools.
What to consider when buying a home : 7 simple points : Orientation and facing of the unit
Feng Shui also played a key role in Asian property purchases. A completely squarish with no missing corners are important to some families. Some religion does not allow your main door to face certain directions too.
The facing of the unit is another important aspect whithe unit’s orientation to the sun.
In most cases, units with North-South facing are the best, while units with East-West facing are less ideal as they would bear the full brunt of the late afternoon sun.
Sunset is nice and romantic but not so for your property and power bills.
What to consider when buying a home : 7 simple points : Lease tenure and remaining lease balance
There are several types of lease tenures for Singapore properties, among them are freehold, 999-year, or 99-year leasehold tenure. HDB flats are 99 years lease. Private Properties can be freehood or 999 or 99 years leases.
If you are interested in a leasehold property, particularly an HDB flat, it is important to check its balance lease. If the remaining lease + your age is less than 95 years, you might face troubles in financing to buy your flat especially if you are very young.
You should be doing these 5 Important Checks Before Buying an Old HDB Flat.
Freehold properties are usually popular with home buyers since they tend to better retain their value and can be passed down to generations to come. Landed Properties with freehold tenure are very popular. And expensive.
And do all leasehold properties make money or not ?
What to consider when buying a home : 7 simple points : Your own future plans
Are you planning to upgrade to a private condo in the future ? Or you planning to right size to a smaller unit soon ?
All these FUTURE plans might seem a little far when you are still trying to decide on your CURRENT home but it pays in the long run if you can spend some time to think NOW.
Even if you don’t plan to sell the home immediately, it’s wise to consider its potential resale value. Factors such as the location, amenities, condition, and market trends can impact the future value of the property. Do some research on the area’s real estate market and consider properties with good long-term investment potential.
Be aware of any future development plans in the vicinity of the home. This includes potential construction projects or zoning changes that may impact the area’s character or your quality of life. Check with local authorities or consult real estate professionals to gather information about future developments.
The most fundamental question that buyers will need to ask themselves is: what is the end goal for the property ? Will it be a forever home or will you be upgrading to another property in the future ?
The answer is very important in answering “What to consider when buying a home”.
Take your time to think. Talk to a competent property agent which can help you.
Conclusion : What to consider when buying a home
Buying a new home is an important decision, so it’s essential to consider key factors. Think about where the home is located, whether it fits within your budget, if it has the right size and layout for your needs, and its overall condition. Also, consider the potential for future resale value, prioritize safety and security, and be aware of any upcoming developments nearby. By taking these considerations into account, you can make a well-informed decision and find a home that meets your requirements and provides a comfortable and secure living space for you and your family.
