How ABSD Deadlines Can Negate Your New Launch Discounts

  • July 19, 2020
  • 5 min read
Join our Telegram group for instant notifications
Join Now

Ryan J

Ryan is an old school print journalist gone digital. He's lived in almost every type of housing in Singapore, from flats to landed homes. Over the past 18 years, he's been a content developer for companies large and small, a co-founder in an education business, and sometimes a voice on the radio. He also spends too much time and money on painting little plastic soldiers.

Notify of
Newest Most Voted
Inline Feedbacks
View all comments
Rani Govin
Rani Govin
2 years ago

Thanks for the great article Ryan, very useful in educating buyers like me as well as informing us of the options in securing the best deal possible. I am actually torn between buying an older resale HDB unit with little to none loan taken or a new launch with a longer loan repayment but possibility of growing capital investment. I am 46 years old and I have a steady income ($10K a month). I recently sold my condo at a negative sales and while all the proceedings were returned to my CPF, i actually bled cash due to the 2% commission paid to the property agent which was all paid in cash. So now, I have a choice of buying a resale HDB fully paid with CPF and cash (the good ones come with a hefty COV) or buy a new launch with again a big loan to my name. While my inclination is to go with the former, I am also not closed to the option of exploring newer launches or even resale condo (as mentioned above) with good potential or discounted due to the ABSD deadline. I am just worried about carrying a big loan as I am planning to take it easy and slow down with work.

Do you have any advice for me? I have about $500K in CPF and about $50K in cash that I can use for home right now.


Stacked Homes
2 years ago
Reply to  Rani Govin

Hey Rani! Thank you for sharing your detailed thoughts with us. While it’s hard to advise you here simply based off what was said, I do think that the general advice would apply to most people in your situation. I think it boils down to what is the quality of life you’re looking for, and not something we can say is right or wrong for you. HDBs are generally bigger and more comfortable in terms of living space, but it lacks facilities – so if that’s important for you, then we’d be leaning towards condos. There’s also monthly cash outlay for having these facilities too, so do be aware that on top of the loan, you’ll have to pay for the maintenance fees on top of the loan interest rates each month. That being said, a 10K monthly income is okay, but if you’re the only person with this income to sustain the loan, then it can be quite dangerous because if this source of income is lost, then you may be in a position to sell your property quickly which would not be good. If you do have 6-8 months of living expenses + mortgage payments, then this is still acceptable. So ultimately it just boils down to what kind of quality of life you’re looking for, and whether you have the financial power to purchase a condo without putting yourself in a potentially distressing situation. Hope this helps!

Latest Posts

Fajar HDB 130 Block 412
Advice We Are In Our 20s With $17k CPF And Are Saving Up $60k For A HDB: Should We Get A 3-Room Flat?
September 22, 2023
Tai Hwan Estate 30
Property Picks 50 Affordable Freehold Landed Homes From $3m In Singapore: Where To Find Them
September 21, 2023
In House Thumbnail
On The Market Inside A Rare $60.6 Million Super Penthouse With Stunning Sunrise Views!
September 21, 2023
Stacked Homes Google Featured Image
Commentary How Bad Are Singapore’s 5 Worst Google-Rated Condos? We Take A Closer Look At The Reviews (Part 2)
September 21, 2023
UOTW #185
Units Of The Week 5 Biggest Jumbo HDB Units Above 1,700 Sqft For Families Who Need More Space
September 21, 2023
Maisonette Potong Pasir Interior x Living Room 5
Renovation Journeys A Young Architect Couple’s 40-Year-Old HDB Maisonette Transformation: How They Created A “House In The Sky”
September 21, 2023
Bukit timah Featured image
Commentary 2 Different Locations In Singapore Getting Upgrades: Exploring Bukit Merah & Marina Square’s Future Transformations
September 19, 2023
investing australia property
Investment Thinking Of Investing In Australia? We Spoke To An Australian Property Developer To Find Out The Insider News
September 18, 2023
Aroozoo Avenue Featured Image
Editors' Pick Touring Aroozoo Avenue: Affordable Freehold Landed Living In Kovan (Reader Recommended: Best Place To Stay In Kovan)
September 17, 2023
2023 09 17 18.00.15
News How Buying A Condo With This Agent Resulted In A Huge $380k Loss For This Buyer
September 17, 2023
Sarah And Jun Hao 6 no watermark
Living In Inside A Surprisingly Spacious 992 Sqft Woody Home With A Flexible Layout
September 17, 2023
SkyParc@Dawson 103 block design
Editors' Pick 19 Resale HDB Flats That May Be More Valuable Now (Thanks To The New Prime/Plus Model)
September 16, 2023
queens peak
Advice We Own 2 Condos & Live In An HDB: Should We Sell It All To Invest In REITs, Or Buy A Landed?
September 15, 2023
425A Ver 2 (3 of 4) no watermark
Insider Tour Inside A Family’s Coastal-Themed Home Inspired By Beachfront Villas
September 14, 2023
UOTW #184
Units Of The Week 5 Lesser-Known Freehold 3-Bedroom Condos Under $1.6M
September 14, 2023
Bedok South Brutalist Mid Century Dining 1
Renovation Journeys From A 30-Year-Old HDB To A Raw Eclectic Home: How A Couple Designed Their Home For $70k
September 13, 2023