Similarities and Differences between Executive Condos and Private Condos
Since the early 70’s, the private condos have been in the Singapore landscape, meanwhile, the condominium is just introduced into the system, only entering the scene in the late 90’s. Singapore has, from the scratch, going after a policy that works for homeownership, as the society grows into stronger middle class, several ways have been discovered to house the growing rich population. Proverbially planted in the middle of the private and public sector, the hybrid that is the rivercove ec was thought up to create a bridge, attending to the upper-middle-class division of the society.
Not looking at the laws and removed of its public features, an Executive condominium is in the form that is seen and not just looking alike but completely like a condominium. It has the same improved comfort and a good selection of facilities such as private parks, swimming pools, 24/7 security, tennis courts, and the likes.
As for the differences, somehow, you cannot have what you have already given out, at least not immediately. While importantly identical informs, a buildup of rules and regulations is joined to the Executive condominium efficiently separating it from their private colleagues.
Here are some of the differences between private and executive condos like rivercove ec:
In the case of an executive condo the owners can’t sell their homes within the first 5 years. That’s because they must complete the minimum occupation period (MOP). After owning the condo for a decade the condo becomes private. It can then be sold to foreigners at that juncture.
Buyers of ECs can get CPF home grants when they’re eligible. Home Grants are a good idea to potential EC buyers and especially professional couples who are first-time home buyers. In that situation they might have less cash than CPF.
The costs of ECs are usually up to one-quarter lower than private condos. That’s due to the goal buyers and possession limitation. Another issue is EC jobs the price controls that are built in make them much more affordable than private condos.
ECs usually have the majority of the facilities of private condos. However, there’s a leasehold of 99 years rather than a freehold. This is something to keep in mind since it’s a major difference.
Other important issues are car park space and maintenance fees. There’s no extra parking fees for ECs. So you have the ability to park 1 vehicle at your unit. There’s also no resale levies. These are all important issues to take up if you’re planning to buy or sell an EC. As always there’s pros and cons of buying an EC so it’s important to consider them before making a decision about which one is right for you.
Here are some of the most important factors to take up when buying an EC:
- CPF grants
ECs begin under the HDB umbrella. This makes you eligible for CPF Housing Grants. This is possible if your income is low enough but you still have the funds to purchase the EC.
First-time applicants who apply as a couple can get up to $30K of CPF Housing Grants if the combined income is up to $12K. Another issue is ECs usually are priced much lower than private condos. That includes the same perks like gym, swimming pool, and so on.
- Executive Condo to Private condo
Anexecutive condo will turn into a private condo after 10 years. What’s the big deal? It’s about more than just owning a private condo. The fat will also be turned into a better investment. That’s because you can sell your unit to PRs and foreigners. In addition, the buyers won’t have to deal with HDB rules about who can and can’t buy the unit.
Meanwhile, keep in mind that buyers won’t have access to any CPF housing grants when the EC turns into a private property. That could have a negative effect on the sale of the property.
- Middle Class options
If you’re in the middle class an EC might be the best choice for you. The ceiling for a brand new HDB flat is $12K. Meanwhile the income ceiling for ECs is $14K. If your combined income is between $12,000 and $13,999 the only way to buy a new home is to buy an EC or a unit within a private development. This makes an EC a much more practical option.