Blog : Selling a flat
Singaporeans often perceive selling their flat and buy a condo to be a major milestone in their lives. However, many Singaporeans have ended up losing more money than they anticipated in the process. This should serve as a cautionary tale for all HDB flat sellers, regardless of whether they are upgrading to a condo or not, as this could mean the difference of tens of thousands of dollars. Many who are selling a flat do not set aside funds for unexpected delays. Remember that selling a flat is a process that cannot be rushed. If you’re looking to refurbish your unit to sell it for a higher price, always give your contractor the benefit of the doubt and set aside a wider window frame than you perceive to be necessary for the renovation work to be completed. A rule of thumb to set aside enough cash for three months of temporary accommodation. Another major mistake that flat sellers make is waiting out too long for a good price on a flat, and paying a whopping 12% property value on Additional Buyers Stamp Duty (ABSD) on the subsequent property. Keep in mind that buyers are entitled at anytime to back out of a sale just before the deadline, which means that a seller stands to lose out on his ABSD remission.