I receive many enquiries regarding executive condo (EC) property. Many of them are my friends who got married and looking for a house so they seek for my opinion on EC.
My personal view is very positive on EC. Just take note of some simple ruling from HDB:
EC is a HDB property, only after it got privatize, then it’s consider a private property.
EC can be sold after 5 years (starting from TOP date, its good to double confirm with your housing agent or HDB) to Singaporean. If you want to sell to PR, you can only sell it after 10 years.
Generally property in Singapore tends to appreciate and EC is one of the properties that appreciate the most as it’s evolve from HDB to private property.
For my recommendation, I would encourage my friends and young couples to get EC if they can afford (its not cheap nowadays).
As for home loan for EC, take note that comes with 2 kind of payment mode – progressive and deferred. Deferred payment usually comes with an additional 2% to your purchase price.
As for progressive payment, you do not incur the additional 2% but you start paying much earlier. So when choosing the right home loan for EC, always focus on the interest rate on year 3 and year 4 (instead of year 1 and year 2) as the 1st 2 years disbursement of the funds is very minimum.
You may read my article here on how to choose the right home loan for uncompleted property