Should I Buy Executive Condo in Jalan Besar Singapore?

Are You Shopping for Property in Singapore? Consider An Executive Condominium (EC). ECs offer affordable private home ownership solutions for Singaporeans looking for something beyond an HDB flat.

These condos are constructed and sold by private developers on land acquired from the government, then fully privatised after 10 years and then made available for sale to any citizen or permanent resident of Australia.

1. Lower Upfront Costs

New EC launches are rapidly altering Singapore’s property landscape, often located near commercial centers or the central region. While they may cost more than an HDB resale flat, their luxurious features and prime locations make them more appealing to wealthy investors.

As such, they’re drawing in an increasing number of upgraders; those unable to afford private condos or BTO flats, including “sandwich class” residents whose income exceeds that of an HDB resale flat.

ECs offer Singapore citizens and permanent residents greater purchase flexibility compared to BTOs; buyers may even take advantage of CPF housing grants to lower upfront costs. Therefore, these homes make an excellent alternative to BTOs or private condos and also boast greater potential for capital appreciation over time.

2. Amenities

If you’re seeking a luxurious home complete with amenities such as swimming pools, quality gyms and function rooms but can’t afford a landed property, condos may be an excellent alternative. Condos tend to be closer to MRT stations for easier travel around the city.

As well as lower upfront costs, another advantage of purchasing an EC is being able to sell it as private property after your MOP term has ended – though you will incur ABSD if selling to foreigners.

As first-time buyers, EC owners are eligible for the CPF housing grant; this benefit cannot be enjoyed when buying private condominiums which do not receive government subsidies.

3. Potential for Appreciation

Financial planning and budgeting are integral parts of successfully purchasing a new condo in Singapore. Buyers should first gauge their bank loan eligibility in order to identify properties within their price range and examine pricing trends closely in order to ascertain whether any condo provides good capital appreciation potential.

ECs and private condominiums both offer similar facilities, yet differ significantly in terms of eligibility criteria, pricing structure and minimum occupancy period (MOP). Therefore, buyers should become acquainted with their key differences prior to making a purchasing decision.

Buyers looking for executive condos in Singapore will find themselves immersed in elegance. 2023 will likely bring numerous eye-catching developments from CapitaLand, MCL Land and Hoi Hup Realty developers that promise an exquisite lifestyle experience for buyers.

4. Shorter Lease Period

Resale and subletting restrictions associated with ECs make them less appealing for homebuyers looking to resell or rent out their property in the near future. On the other hand, private condos can be sold without restrictions from year four of ownership onwards.

ECs were created for Singaporeans who find both private condominiums and HDB flats too costly or basic; these hybrid forms of housing combine the best aspects of both public and private living spaces. During their first 10 years of tenure, ECs are treated like public housing under HDB regulations; after this point they revert back to being private housing units.

Jalan Besar Road is well-known for its local cuisine and vintage shophouse stores offering specialty goods, as well as being within walking distance to amenities like Berseh Food Centre and Rochor MRT station.

5. Restrictions on Resale and Subletting

An EC is an innovative mix of public and private housing designed for those in the “sandwich class,” who find private condominiums too costly, yet are unable to afford basic HDB flats. Although developed and sold by private developers, it falls under public housing designation with prices lower than private condominiums due to government subsidies.

Due to this factor, eligibility criteria for public condominiums are more stringent. Buyers must form a family unit (whether that’s just you and your partner or also including parents, children or siblings) without exceeding an income ceiling.

Prior to selling or subleasing their flat, buyers must comply with a Minimum Occupation Period requirement in order to ensure ECs are used primarily as residential properties rather than as investments. This requirement applies both new and existing ECs.