Why an HDB Flat Should be Your First Home

Although experts advise you to check your emotions at the door (pun intended), when it comes to buying property, it is impossible to leave excitement behind. Be it a decision that has been years in the making, or a brand-new venture into the world of real estate investment, owning a first property is an incredibly exciting stage of every Singaporean’s life. The pride of ownership also rears its alluring head, and many find it rewarding to be able to confidently manage and make decisions concerning the property you own. Meanwhile, others are more interested in the monetary benefits and the security they yield from owning property. 

There is a lot that goes behind the process of homeownership. It is important to learn how to assess the value of properties, choose the right location, and understand market conditions before taking the plunge. Furthermore, you will also need to consider how and where to go about getting the right loans, think about the application process and transition from the decision to the actual process of choosing what kind of property to purchase (resale, BTO, condo, executive condominiums). There is no need to get stressed over the process. Let us help you to make a smart and informed decision by showing you why HDB flat is the ideal first property for you. 

 Benefits of Choosing to Purchase a BTO HDB Flat

When it comes to buying an HDB flat, Singaporeans have a couple of options. One of which is getting a brand new flat through the HDB Build-To-Order (BTO) scheme. As its name suggests, these are HDB flats that begin construction only if 65-70% of the apartments in the flat have been booked. Young couples in particular, may find it more beneficial and financially wise to go for a BTO flat. 

This is because BTO flats are heavily subsidised by the government, with their prices being 15-20% lower as compared to resale flats within the same vicinity. The savings that result from the subsidies and grants make it more affordable for young couples to own a home. The Additional CPF Housing Grant (AHG) also offers up to $40,000 and the Special CPF Housing Grant (SHG) offers up to $40,000 for first-time homebuyers. 

Lower prices also mean that you need less cash for the downpayment. The money that you can save from this could potentially serve you in the long run – be it for renovation works or to purchase furniture. Renovation costs will also be minimal since there is no need to hack down existing walls, tiles and cabinets in BTO flats.

Besides its low prices, BTO flats also come with a fresh brand-new 99-year lease. From an investment perspective, this translates to your home garnering greater value over time. So, for the years to come, you can retain the value of the home or consider passing the flat down to your children. 

After fulfilling the 5-year MOP (Minimum Occupation Period), BTO flats can be sold on the market. There is always a good demand for these flats. Especially for singles, who are only eligible to apply for 2-room BTO flats when they turn 35. As for Permanent Residents couples, a 5-year resale flat is the “newest” HDB flat they can buy in Singapore.

Benefits of Choosing to Purchase a Resale HDB Flat

While buying a BTO flat has plenty of perks, not everyone has the luxury of time to wait for a BTO flat. Due to this, there has been a spike in demand for resale HDB flats. Opting to buy a resale flat gives you the opportunity to move into a mature estate. Meaning, you might have better and more locations to choose from. Older flats also tend to be bigger. Since these flats are older, chances are that the units are much larger, as compared to newer BTO flats. You can choose a resale flat based on what you know about the estate and the surrounding amenities. Choice and control are in your hands. 

As first-time buyers living near parents, couples can qualify for the CPF Family Housing Grant and the Proximity Housing Grant. The grants help to lower the down payment of the house and make the resale flat more affordable. However, resale flats often come with existing fittings placed by previous owners, but you also have the freedom to look for one that is already renovated, helping you to save costs in that corner. 

Find The Perfect First Property With Home Property Agent Now

Buying your first property is a very significant moment and investment in your life. Let Home Property Agent help you with buying and selling your HDB with our unique techniques. Get in touch for a free consultation today. 

You are fully protected by our 100% Satisfaction-Guarantee! We only charge agent fees if we have successfully helped you sell or buy your HDB flat (only with your permission and agreement to the offer made by the buyer!) If we are unable to sell your HDB flat within 1 month, let us know and we will do our best to correct it! If you are still not satisfied then, you can terminate our services at no cost.

Start selling/buying your HDB flat with us today!


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