Choosing between a new or resale HDB flat? Well, consider the factors that will help you gain more clarity along your housing journey such as your budget, your preferred waiting period, and even the extent to which you like the property. But buying either a new or resale flat inevitably comes with its own pros and cons, so be sure to consider both sides in your decision making. Here’s a brief overview of what you need to know!
What are the advantages of buying a new flat?
- There may be freebies such as shopping vouchers by Developers as well as progressive payment plans such as the Staggered Downpayment Scheme
- You will be entitled to the 1-year Defects Liability Period (DLP) which allows developers to fix any property defects
- You have more buying influence over the unit you want
- You can expect the new flat to possess a modern, elevated look, as well as outfitted with modern fixtures and fittings
- You are eligible for housing grants when applying for new flats
What are the disadvantages of buying a new flat?
- You will need to wait a longer time up to several years before moving in
- You are limited to the assigned locations, i.e. many new flats are in non-mature estates
- You will not have much negotiation power as new flats have fixed prices
- You will not have a first hand experience of the new flat as it is still being built
What are the advantages of buying a resale flat?
- You will be able to assess the present condition of the flat
- You are able to move in as early as 2 months, depending on your agreement with the seller
- You have more room for negotiation
- You will generally have more living space and amenities in resale flats, with 4 and 5-room flats built by HDB since 1997 remaining mostly at 90 and 110 square metres respectively
- You will have more chances to live in mature estates, as well as a wider variety of locations overall
- You are also eligible for housing grants when applying for resale flats
What are the disadvantages of buying a resale flat?
- You would need to cover the renovation costs if the flat is in a bad state or the renovation works done is not suitable to your family’s growing or changing needs
- You may have to pay the full loan amount immediately due to a lack of a progressive payment scheme
- You may need to replace older fixtures and fittings
- You can expect an older property to have a basic or dated look
You are probably looking to settle into your new home as soon as possible. But whether you choose to purchase a resale or new flat, always consider your unique housing needs and situation first.
Looking to buy a resale house? Start your home search by browsing thousands of genuine and unique listings available on our platform. If you require more assistance on buying your flat, feel free to find out more about our Fixed-fee Agent Services by calling 6886 9009 today!
Source: HDB- Resale