Is it worth to buy Executive Apartment under this condition?

[Chogokin]

Hi All,

 

Was looking around at properly guru website and happen saw this HDB EA unit at Choa Chu Kang District .(think not good to post the link) . Valuation at 420K + owner wan 20k cash . Move in condition.

 

Unit near school, sheng song, a stone throw to LRT, 10 mins walks to Bukit Panjang Plaza. Actually quite near to junction between Old Woodlands Rd and upper Bukit Timah Rd .

 

Upon viewing the unit with my friend (he is also a renovation contractor) , my friend comments that the Timber Laminiation at dinner area and all the way to bedrooms is going to give way might due to mopping the floor too wet causing to pook, can see edges coming up. His recommendation best is to remove and redo with new timber or lay marble again cost 10K+. Unit has too many down lite , need to remove, too many timber finishing on the wall , need to remove.

 

I express interest on this unit to the agent but need to lower down the cash top up maybe 5k to 10k cos of renovation and due to other issue(econ criss) . But some how agent take his own swee time to neg with the other agent( Co-broke) . And the top up cash is slowly reduce . Lastest rec sms from him is 15K cash top up. I believe he dun wish lower too much due to commission.

 

Anyway , i hope experiences bros can give me some comments .....

 

Thanks

Chogokin

Edited April 22, 2009 by Chogokin

[Carndablues]

Nothing you can do, just name your price and continue looking around.

 

What do you expect? The seller to cave into your demands?

[Chogokin]

Not the seller, I mean the agent ..... I doubt we can communciate with owner .....

[Sunnyvip]

Hi

 

If you can wait then hold on to your horses.

 

Personally, I do not subscribe to the idea of paying cash over valuation for both 5-room and bigger size HDB flats for the following reasons:

 

1. Read in the papers last week that HDB 5 room and bigger units (like EA) are showing signs of falling prices. In such trying economic times, bigger units selling price will fall first. In fact, most of the EA in CCK area are asking selling at valuation, some even below valuation.

 

2. If the unit is in need of repairs, why should u pay cash over valuation when the unit is not in total perfect move-in condition??..might as well use the cash over valuation amount to do reno for a unit which is not in such a good state and then do reno to your satisfaction with the cash.

 

Likely the agent is dragging his feet cos:

 

(i) it is a co-broke deal and he refuses to share his commision with another agent in the hope that the delay will buy him time to get someone else who is willing to pay the cash over valuation, or even better, some potential buyer who call him directly and he will be the sole agent handling both buyer and seller.

 

(ii) like what you said....he wants more commission.

 

If you can afford to wait...think can wait some more. If as a buyer you show eagerness then you will be up for "chopping" like a carrot. It is a buyer's market...prices will not be artificially supported when the economy worsens and deflation steps in to see asset fall in price.

 

All the best!!

[Ahgongwolve]

Think here think there..think so much for what..if feel like it then do it... all we have are like dust... it will be gone in a moment.. poof.... just like that... think think think tomorrow kena bang by MRT die also like that

[Ask98]

the owner is holding to his "dream" price, which agent don't want to closed deal asap, for 5K to 10k differ, comm is only $50 - $100..... u can't match the owner price just move on to other unit..... many unit selling at or below value.....

[Little_prince]

dun think it's the commission... it's only 1 percent. do your match, why would he risk the deal falling thru because of 100 bucks??

 

i think 15k is reasonable... put yourself in his shoes, would you sell if someone offer you 10k off your asking price?

[Carndablues]

i think 15k is reasonable... put yourself in his shoes, would you sell if someone offer you 10k off your asking price?

 

Yup, as I told the TS, just name your price and move on. If the seller is desperate enough, they will get back to you.

[Ahgongwolve]

the owner is holding to his "dream" price, which agent don't want to closed deal asap, for 5K to 10k differ, comm is only $50 - $100..... u can't match the owner price just move on to other unit..... many unit selling at or below value.....

 

Not only about price la... get cheap place but CMI for what.. later stay there also sian

[Chogokin]

Well Said . I agreed.

[Tarzan666]

Yes, agent would place less priority on a customer who have agent.

 

At 1st i started out with an agent, later on I found that the seller's agent is more willing to nego with me if im a walk in buyer.

 

I found my current dream home during the boom time, the owner was askin like 90k cov but manage to slash to 20k although other buyers offer higher. Buyer Agent pushed my offer coz more commission and also manage slash his commission from 1% to 1/2%.

 

But now mkt different liao, see so many ads in classified asking below or at valuation. I feel you should hold on to ur $$. If you really love the unit maybe offer 10k since owner wants cov to pay for the commission.

 

[Sgnick]

Do you think the owner will get many offers? He'll be lucky to get even one offer at valuation. So unless u really desperately want this flat, just make him your offer give him a deadline, and look elsewhere in the meantime.

 

My friend recently sold his flat 5rm 5mins walk to MRT. From asking 20K COV until finally sold off for $17K BELOW valuation. This days is not about what the sellers expects anymore, they can expect the sky but still end up down to earth in the end.

Edited April 22, 2009 by Sgnick

[Chogokin]

dun think it's the commission... it's only 1 percent. do your match, why would he risk the deal falling thru because of 100 bucks??

 

i think 15k is reasonable... put yourself in his shoes, would you sell if someone offer you 10k off your asking price?

 

Same agent , i view his EM , i offer 390k , pay 1K for OTP, 2 hr came back to me said his partner sold out the unit 388K. I did acheck found out deal closed at 385k.....

 

[Chogokin]

Ya check thru quite a nos of unit EM and EA selling under valuation or below . Think i better hold back first .....

[Ahgongwolve]

Ya check thru quite a nos of unit EM and EA selling under valuation or below . Think i better hold back first .....

 

What if tomorrow die then no chance to stay already

[Chogokin]

Haha go below stay a bigger one, with 3 levels .....lol

[Hiphiphoray]

20k COV should be extinct by now. Unless it has a damn good view, high floor, unblock, house in good condition.

[Chogokin]

Do you think the owner will get many offers? He'll be lucky to get even one offer at valuation. So unless u really desperately want this flat, just make him your offer give him a deadline, and look elsewhere in the meantime.

 

My friend recently sold his flat 5rm 5mins walk to MRT. From asking 20K COV until finally sold off for $17K BELOW valuation. This days is not about what the sellers expects anymore, they can expect the sky but still end up down to earth in the end.

 

He must suffer alot ..... this days I see that 3 and 4 rooms are more demanding. Also closed deal with 1 weeks when post. No wonder my 4 rms unit almost eveyday got ppl request viewing and min 2 couples .