suppose I buy an apartment in a old development that goes en bloc within a year, do I need to pay SSD?
suppose I buy an apartment in a old development that goes en bloc within a year, do I need to pay SSD?
YES, you have to pay SSDOriginally Posted by Jadey
even if you are selling against your will also need to pay. Like dat how to buy properties with enbloc potential?Originally Posted by SpinCity
Of course must pay SSD. Nowadays enbloc not in fashion already.
Gov don't care if it is going enbloc. If u sell, u pay. That's simple.Originally Posted by Jadey
If it can go enbloc, you will never make loss, at least a breakeven (financial loss ruling), if the proceed is attractive enough (at least 40% or more), you can still make a profit after paying SSD even in its 1st year. Enbloc will take one to two years to organise and materalise ("IF" can find a buyer) and SSD will be in its 3rd ,4th year already.......... It is really up to individual investment strategy and the attractiveness of the unit/site. Just my thought (2 cents)....Originally Posted by propertyinvestor
how can it possible be that you will NEVER make loss?Originally Posted by AAA
Considering that 1st year SSD is 16%, plus 3% stamp fee, renovation, moving cost etc you will need at least 20% "enbloc margin" to cover the cost alone.
Confirm must pay. My fren kanna, sad story .
Make big loss for no reason
Share the details why he lost, pls.Originally Posted by marktkt22
The "no financial loss" rule means the price each individual owner received must not be lower than their respective original costs, excluding any renovation, repairmen costsOriginally Posted by Jadey
Normally the Enbloc premium will be much higher than the highest costs among the curren owners, but the 16% SSD does make Enbloc salemore difficult
the question is can you include 16% SSD as part of the cost?Originally Posted by SpinCity
You can suffer either financial loss or a shortfall or both.Originally Posted by SpinCity
If you suffer financial loss, you can object to the sale to STB (Strata Title Board) with details and get it directed to the SC (Sales Committee) for them to cover your losses.
Below are some examples of the court's ruling in Regent Court and Tampines Court.
http://3.bp.blogspot.com/_-vq5BiDqSC...h/scan0006.jpg
http://3.bp.blogspot.com/_-vq5BiDqSC...h/scan0004.jpg
http://3.bp.blogspot.com/_-vq5BiDqSC...h/scan0004.jpgOriginally Posted by Jadey
For the determination of financial loss, stamp duties and legal fees are allowed deductions whereas renovation and interests costs are not.
Provided the owners need your signature to form the required percentage, they might just absorb your losses on SSD as a collective group. LOL! Think can always see the response of the other home owners!
Actually, even if the SC has the required percentage for the sale it can't go through if an objector can prove financial loss. Then this finacial loss must be made good.Originally Posted by ysyap
The law however does not specify what can be considered for financial loss but precedence from STB (Strata Titles Board not Singapore Tourism Board ) has shown legal fees and stamp duties are applicable.
However, if the case is a shortfall then the court may allow it to proceed.
Before CM of SSD. Buying shortly in a development that enbloc is like striking lottery. Now, is bad newsOriginally Posted by marktkt22
Ya lor. So now who dares to buy a unit with a potential enbloc sale.Originally Posted by DC33_2008
Buying into pearlbank is a risk now. Not many adverts with the word enbloc.Originally Posted by buttercarp
I think it is still ok bcoz of financial loss ruling. At the most don't make.
But may still end up in a shortfall situation. Best if possible don't use CPF for the purchase.