ECs are a type of housing property that has become quite popular over the years. They are often built for a “sandwiched” class of buyers. They are more expensive than BTO flats and are often built with a resale in mind. ECs are also popular for investors.
Resale ECs
ECs have been a good long-term investment. However, there are some pitfalls to consider before you buy. In this article, we are going to take a look at some of the reasons why buying ECs might not be the right choice for you.
One of the key reasons why ECs are popular among buyers is their affordability. This is because they are subsidised by the government. However, you will need to take into account the resale levy which is imposed on buyers who previously owned a subsidised flat.
Another advantage of ECs is their rental income. They are usually cheaper than private condos. There are also some grants that can help offset the cost of buying ECs.
The Progressive Payment Scheme is a slightly better option for new ECs. It starts out with a lower down payment than a standard home loan. It is then increased as each development milestone is achieved.
As of now, EC prices have come off of peaks. However, they are still in the S$750 to S$770 per square foot range.
ECs are more expensive than BTO flats
Whether you are buying your first flat, a resale flat or a private condo, there are several factors to consider before making your final decision. It is important to compare all the factors before deciding. You can also consult the mortgage experts from Keyquest to help you find the right home loan.
When comparing BTO flats to Executive Condominiums (ECs), you need to consider your budget and the location. The price of ECs will vary depending on the location. If you are in the mid-income bracket, you may choose to purchase a new resale flat instead of a new EC. However, if you want to invest in property for your own stay, a new EC may be a better choice.
If you want to buy a new EC, you will need to wait for two or three years before you can move in. The initial purchase price of ECs has gone up to S$1,300 per square foot on PropertyGuru after nine years. It is not uncommon for prices to rise in the near future.