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Dear all

I am looking to sell my current HDB and buying a resale condo. A few questions to clarify please.

I need about $400k to put back to my cpf. Heard from an agent that the market rate for our unit is about $420k. May I know how does the valuation of the house work? If I'm selling at $440k, $440k-$400k = $40k cash proceeds? What if valuation is $410k? Will I only then get $30k cash proceeds? Does this mean that I should not expect $40k cash proceeds even if I managed to sell at $440k, because I have to wait for the valuation to be out?

We were hoping to use some cash proceeds to cover some of the balance 5% cash portion of the condo. Will this be able to work out? I'm not sure how the financial timeline works for selling our HDB and buying the resale condo.

Thank you very much for answering my queries!
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3 Answers

Mike Lim
Replied
Good afternoon,

Valuation is a guide on how much loan the bank can disperse to the buyer. Assuming that you have sold your unit at $440k and the valuation comes out to be $410k, the buyer will need to prepare additional $30k cash if they choose to proceed with the purchase. However, if the valuation comes out to be $440k or more, then your buyer will not be required to come out with additional cash.
With that being said, you will need to note that for any S&P, you will be required to clear the outstanding mortgage before CPF fund obtain the next cut. Whatever is excess will then be your gross profit. Therefore it would be prudent to understand what is required before moving forward.

Do feel free to contact me should you require additional assistance.

Regards
Mike Lim
 96929209 
m52i@yahoo.com
ERA Read More
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OHMYHOME PTE LTD
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Landon Chew
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Hi, hopefully you managed to sell your unit at a good price then. If, so then congrats! Hopefully you are doing well now.

If you are currently or planning to find a property agent, I can assist.

If you are interested in prices of houses in your neighbourhood, you may visit this website to find out more or contact me .

https://www.era.com.sg/R064892F

If you are currently planning to go on a property journey selling/buying/renting/investing, I can be of assistance. Do feel free to reach out to me for more queries and assistance.

Landon Chew
97 39 60 40
landonchew@email.com Read More
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