Singapore is a busy commercial hub that attracts a large number of people from all over the world. Singapore is the second freest economy in the world according to the 2019 index, with an economic freedom score of 89.4. According to the corruption perception index, it is also the least corrupt country. A transparent and better political system besides, lowers the risk of political issues.
It is also an investor-friendly nation. Especially the real estate sector is quite lucrative with the availability of a number of properties to invest in. A new launch property is yet to be built properties as it takes a maximum time of four to five years for complete construction. It is the best category of properties that a real estate agent in Singapore will always suggest you to invest in. Anew launch home project in addition to the basic benefits comes with more added advantages. Therefore, it is quite a shrewd decision invest in such property for long term gain.
1. Low monthly installment
When you buy a new launch property, the monthly installment amount is not subjected to such huge amount of repayments as; the amount is lower compared to other ready to move properties, which demands a hefty installment amount. On the other hand, the return on investment keeps increasing due to the increasing market value of the property.
2. Zero depreciation value
The money value of any property declines with time. It is due to the deduction of depreciation cost from the real value of the property whereas a new launch property includes no such deduction in the property value. Since a new home project is yet to be built, it incurs zero depreciation value. Even after a few years of usage, the property loses only a minimum amount of depreciation value as compared to other existing properties.
3. The low burden of repayment
In Singapore, you are levied to SSD (Singapore stamp duty) if you intend to sell a property you own in less than five years of usage. In such a scenario, the buyers of the resale unit usually tend to find a tenant quickly in order to reduce the burden of such hefty monthly payments which is, obviously not the case with a new launch property due to lower installment amounts.
4. Doesn’t include any hidden cost
Buying a new launch property in Singapore can let you avoid several hidden costs including repairing cost, pest control cost and other miscellaneous costs. The situation may e even more badly if you are not accustomed to detecting a property’s defects carefully.
Therefore, it is of utmost importance that you keep a keen eye to every minute details of the property before investing in the same. But, it often becomes tough for a common Singaporean or any foreigner to be aware of every single detail. Thus getting the help of a property agent in Singapore can help you a lot to get the maximum benefit of your investment and own your dream house.