Buying a home is a great investment only if you do it right. In this, the following are three common mistakes that you should avoid as you are seeking to buy a private home in 2015.
Mistake #1: Avoid Rushing Into the Market
The market has quite a lot to offer and rushing into it may get you all mixed up. This is evident with the report provided by URA. In this report, there are about 88,627 private residential units that are uncompleted with an inclusion of ECs. I addition, there are 28,120 units were launched as of the 3rd quarter of 2014 with the exclusion of ECs that have not been sold. Turning into the year 2015, about 16,900 BTO flats will be launched by the HDB for Sol Acres.
Sol Acres Buying Homes
Looking at the number of resident household, you will notice that the number of homes surpass the demand in the market. It is actually more than double the number which is sufficient to enable you make the right decision without rushing into the market.
About 81.9% of HDB dwellers, who are looking to upgrade to settling into condominiums, are finding it hard to sell their homes as the prices have been falling gradually. In addition, HDB flat and EC buyers must meet the 30% Mortgage Servicing Ratio for Sol Acreswhich is straining them on the Total Debt Servicing Ratio.
In reference to foreign buyers, they have to meet higher costs with an additional Buyer Stamp Duty and a Lower Loan to Value. This led to the drop in the number of foreigners by about 2.9%.
From the provided statistics, there is a slowdown in the property market which means you need to exercise patience. This will help you to obtain a real bargain for your property.
Sol Acres EC Property
Mistake #2: Acting Unprepared
Raising interest rates are taking on the market and the bite is killing the moment for every home buyer. It is therefore important that no matter the situation, you should be prepared as 2015 is not lowering the interest rates either.
Over the years, the interest rates have more than doubled in Sol Acres and you need to be prepared to take on this situation. While you may start paying off your loan at a lower interest rate, you will notice that the rate is being revised and the effect only leads to an increase.
Alternatively, for those who are considering buying a private home as opposed to using the 3.5% interest rate from TDSR, you are also not very far from a nearly similar interest rate of 4%.
For home owners, it is advisable that you make the follow up and identify if there are any interest rate revisions rather than waiting for them to send you a letter indicating interest rate increase.
Interest Rates of Choa Chu Kang Sol Acres
It is evident that the increase of interest rates is effective as of a month later after revisions. However, it will take you some time (about three months) to make adjustments on your property investments. In this, you will have to pay the higher rates without increasing your property value Sol Acres.
Mistake #3: Making Quick Riches with Properties
It should not be the selling point when someone tells you that you will be making quick cash with the purchase of properties. These sales teams promise to make the best of your investment. However, what they do not tell you is that the properties are overseas projects.
What you should know is that with the right timing, every property will make you great profits as long as the market is growing. Overseas projects are currently at saturation with the prices being offered for Sol Acres EC.
Sol Acres EC MCL Land
It is therefore advisable that you make your investment with individuals who are well known with a reputable background rather than with some strangers promising to deliver. Investing with strangers is a blind investment as opposed to a investing with people known to you.
While it is good to attend motivational seminars on quick money-making projects, it is also better when you remain realistic. Bottom line is that there are no short-cuts to making money in the property market.
You need to avoid all distractions that may be in your environments. Before making any final decisions, you need to ensure that all the fundamentals are in place.