The Rainforest EC

Rainforest.png
rainforest-ec

By now, you would have fell in love with your prized Executive Condominium, The Rainforest.

 

Be it savouring nature in the Canopy Deck, working out in your elevated Gym or relaxing in the Lagoon Pool, The Rainforest would have provided a upgraded lifestyle your family and yourself. And we know it is always a joy to come home to your beautiful home which is meticulously designed to exude quality and functionality.

Rainforest EC Club
Rainforest EC Pool

Moving Forward

Your EC will be approaching the 5 years Minimum Occupation Period in March 2020. Like many many Owners of other ECs and even BTOs, you have reached a crossroad which presents numerous options and opportunities.

Ever since you placed your 5% deposit 5 to 7 years ago and while waiting excitedly for The Rainforest's Temporary Occupation Period (TOP), many things have changed.

Some of you may have welcomed your bundle(s) of joy into your family and now need a bigger space for the little ones to run around.

Some may have experienced a change of job and hoping to move near office or a more centralised location.

Others may be looking to cash out on the capital gains and putting them into another vehicle for another leap towards their financial goals.

No matter what objectives you have in mind, we are here to help.

Complimentary Guidance and Discussion

Have you received our Complimentary Guide Sheet in your letter box?

I'm pretty sure few other agent actually provide as much analysis for their clients. And that is just one of your many options!

 

Below is a scenario of another EC Owner and how his decision affects his profits.

 

We also have case studies of Choa Chu Kang ECs which may be more relatable. Let's meet up to understand more and formulate a long term plan. Give yourself a chance to understand the market so that you can make an informed decision to benefit yourself and your family.

Again, as many of our clients can attest to, we pride ourselves to provide non obligatory and non pushy service to help as many clients understand their options at this cross junction and beyond.

Rainforest Flyer.JPG
Rainforest Flyer 2.JPG

Our Clients' Experience with Us

Screenshot 2019-10-31 at 12.03.35 PM.png

Wendy Hoo

(Home Seller)

Luke has been very proactive and going beyond call of duty during my flat selling process. Luke has never failed to keep me posted with the progress and has always been very friendly and patience to explain to me the whole selling process.

 

His knowledge and expertise in the property has put me in a comfortable situation and putting my mind at ease. Thank you Luke!

d50b1559-b1b1-447c-8c0d-06ffb9cc4f2f.JPG

Charles Goy

(Home Seller and Buyer)

We had engaged Luke and Damon as a team to sell our flat. We must say that, when paired together, the both of them were a very effective team. The 2 of them complement each other very well in various areas. Luke is very technical and able to help buyers and sellers make data based decisions while Damon will always provide the critical angle on every engagements that we made.

More Importantly, they were never pushy and always very approachable at any time of the day. The pair were also patient in their dealings, assisting and going above and beyond what was required of them. Coupled with their humility and authenticity, they have come to prove that there are agents around who are non stereotypical while capable. We strongly recommend engaging them.

Wandervale - Chris Steph copy.jpg

Christopher Chua

(New EC Owner)

I am pleased to be served by him throughout my entire journey to purchase my first home. Luke is very dedicated and spent time explaining to me about my options, making comparisons between different homes and understands my requirements.

I have convinced and made the purchase after a series of discussion with him, and so far there were no regrets and I couldn’t have asked for more to have Luke representing me as qualified real estate agent!

Luke Lim Clients

How can I Maximise the Value of my Executive Condominium (EC)?

To put things simple, The Rainforest, like all other ECs, is a Subsidised Condo. The key difference is an EC follows HDB ruling for the first 10 years. Buyers will have to fulfill the eligibility criteria and can only sell after the Minimum Occupation Period (MOP), which is 5 years after the Temporary Occupation Period (TOP).

So who can buy the EC after MOP?

After MOP, ECs can be sold to Singaporeans and Singapore Permanent Residents (PR). And that includes Single PRs (who otherwise can only consider private condos). Subsequently after the 10 year mark, EC can be sold to anyone (including foreign nationals).

Does it mean that ECs are run by HDB during the first 10 years?

That is a very common misconception and the answer is no. An EC is run and managed by the Management Committee, similar to any private condo. In fact for normal cases, the only time you will see the HDB logo is right after making the purchase when you will need to fill up the mandatory HDB forms and just before TOP when you will be sent the Final Particulars Form.

 

Other than those mentioned, perhaps the only thing that reminds you it is an EC is the Subsidised Price!

What is the Value of EC?

Let's take a recently MOP EC: Prive in Punggol as an example. Prive TOP in July 2013 and MOP in Jul 2018.

Prive chart.png

Prive was launched in 2011 at an average of $686 per square foot.  The average price after the EC MOP in 2018 was $954 per square foot which represents a close to 40% appreciation for the Owners.

 

In fact, immediately after the MOP in mid July till November 2018, there were more than 100 transactions in Prive! And all transactions are profitable. 0 unprofitable transaction till date.

 

Most ECs experience the same growth. I do not have much space to list down for all ECs. You may message me if there is any particular EC of interest.

Screenshot 2019-11-05 at 10.40.03 PM.png

How can I Maximise the Value of my EC?

Here comes the most important question. Yes, now I know the value of my EC but can I further maximise the value? The answer is Yes, and there are a few options available, depending on your objectives.

As with all developments, some owners will rush to sell upon MOP, some will observe (wait and see), some will wait till 10th year hoping for another jump in appreciation. Different market calls for different strategies.

Let us look at another EC: La Casa in Woodlands. La Casa TOP in February 2008 and MOP in February 2013. Privatised on February 2018.

Looking at the chart below, La Casa Owners A, B, C, D all bought into La Casa in 2005.

Owners A and B decide to sell their unit upon MOP in 2013. Their neighbours C and D decide to sell their units in 2019 after privatisation.

Despite holding for 6 more years and waiting for privatisation, Owners C and D actually earn lesser than A and B!

 

So it does not necessarily mean that holding longer will mean more profits.

Screenshot 2019-11-05 at 11.31.38 PM.png

And that is not all.

Owner A moved on to buy a unit in Riversails #09-32 (price below). He likes units on level 9.

 

At the end of the day, with the same holding period, Owner A profited a total of $635k! Much higher than the $403k of Owners C and D.

 

Despite that, Owner A regretted that if he had used the $423k proceeds to buy 2 units at Riversails, he could have profited a much more enviable $847k!

Screenshot 2019-11-05 at 11.48.35 PM.png

What if I plan to keep my EC?

Another approach for Owners who prefer to keep the EC is through Part Share Purchase, or commonly known as Decoupling. Where one party, for example, the husband buys over the wife's share of the EC.

 

This makes the husband the sole owner of the EC and the wife can purchase another property for investment purpose. As the wife has no property after the Part Share Sales, she will be able to buy the investment property as her first property, which attracts no Additional Buyer Stamp Duty (ABSD).

We hope this short guide is able to give you some insights into how we help our clients plan their Property Portfolio.

At the end of the day, we need to understand that we all have different ambitions, goals and limitations. It is therefore important for you to speak to an experienced and knowledgeable realtor who will be able to explain and illustrate the various scenarios, and customise a unique solution for you.

Screenshot 2019-12-02 at 11.38.39 PM.png

Take the first step today! Book your complimentary discussion to understand more and decide what benefits your family and yourself more!

HOW CAN WE HELP?

Get in touch with us to see how we can help.

8606 6797

  • facebook
  • linkedin

Your details were sent successfully!