BTO or HDB Resale? When considering whether to buy a brand-new Build-to-Order (BTO) HDB or a resale HDB flat in Singapore, there are several key considerations to keep in mind. Each option has its own advantages and factors that may sway your decision.

Buying a brand new BTO HDB flat

Advantages

1. You can choose the option to customize your unit with the fittings of your choice thus reduce the cost of renovation when the flat is ready for occupation.
2. Potential of higher value of appreciation over time as you would have bought it usually 20% cheaper than the resale price at that time of your booking of the BTO flat.
3. Fresh lease of 99 years lease thus gives a better attraction when you want to sell it off after the Minimum Occupation Period (MOP) of 5 years stay.
4. Great façade of a new buildings in a better landscaped environment.

Disadvantage

1. A longer waiting period once you have booked your choice home which can be as long as 5 years.
2. Eligibility criteria you must fulfill in terms of the loan amount.
3. You may not get the choice unit as it is very much dependent on your Queue number and the ethnic quota integration fulfillment.
4. The size of new flats are generally smaller compared to the resale market.
5. The new BTO may not be built around matured HDB estate which already has an existing amenities to complement a convenience of daily living.

Resale HDB flats, on the other hand, you have plenty of choice that you can go house hunting.

Advantages

1. You can choose the interior or layout to your liking before you commit to buy.
2. Completion of the resale purchase can take within 3 to 4 months only after you have confirmed the purchase by signing the OPTION TO PURCHASE (OTP).
3. You have a choice to choose your location to suit your family needs and requirements. For example, buying near the good school of your choice for your kids. Buying near parents to get the extra Proximity Housing Grant near parents which can help to reduce the size of your loan quantum.
4. More housing grants value are being granted to first timers to help them to purchase the resale flat.
5. You can choose who to be your neighbors and you can survey who are the people who will be living next to you.

Disadvantages

1. The value of the flat may be lower than the purchase price offered thus you need to fork out the Cash Over Valuation (COV) which may be a substantial amount for you.
2. The remaining lease may be short it is in the matured estate with many amenities, thus you need  to carefully consider if you can afford to buy as it will affect in CPF usage. To be able to use fully CPF funds for your resale purchase, your age plus the remaining lease of the house must not be lesser than 95 years.
3. The interior of the house may not be of your liking thus to tear down existing renovation will add in to your renovation cost of restyling your new home.

To make an informed decision with BTO or HDB Resale? it is crucial to consider factors such as :

1. Location
2. Price
3. Remaining lease
4. Customization options
5. Waiting time
6. Potential for value appreciation.

Each individual’s circumstances and preferences will play a significant role in determining which option is the better buy.

For expert advice and guidance in navigating the Singapore Public Housing HDB market, please reach out to Roza Sure Bagus, your friendly neighborhood Property Agent, with over two decades of experience in the market since 1998, Roza Sure Bagus can provide you with valuable insights and assistance in finding the perfect HDB home that suits your needs and preferences.

Don’t hesitate to contact Roza Sure Bagus today to start your journey towards finding your dream home.

Visit https://rozasurebagus.com/realestate for more information on her services.