Buying home is one of the key life events for the people of Singapore and probably it is the biggest purchase for most of the people. Home is the place where you relax, eat, sleep and feel comfortable. This article is all about House price in Singapore and what are the factors through which a person can easily figure out the actual price of the house. If a Singaporean is going to buy his first house he has many questions in his mind related to price estimate. Real Estate market of Singapore is one the most expensive market of the world because of this it is really hard to find a good home in a reasonable amount on the island especially for young families it is a challenging task.
Every Singaporean who is going to buy a house in Singapore must be aware that there are various casts factors related to housing, the purchasing cost, insurance of the house owner and amount of a bank loan are a major cost associated with the purchase of a house. Bank loan and insurance of the owner are two costs which significantly change with the passage of the time while purchase price is made up at the time of purchase.
House price in Singapore is different for landed property, condos and apartments. The rate of landed properties are much higher than apartments as ownership of land is included in the landed property while on the other hand in case of apartments and condos ownership of land is not included. House price in Singapore for landed properties is around S$400 per square foot and S$2,000 per square foot. House price in Singapore for apartments is closer to S$400 per square foot which is much cheaper and easily affordable as compare to landed property. You can get an idea from this that a 462 square foot with single bedroom and bath, HBD apartment will be around S$200,000 which is good for young small family who is looking for a home. A larger house for an average family of four people providing more bedrooms the price will be higher. If we look for landed property in Singapore the price will be 300,000 S$ or more than that.
This is not the only area with determining the price of house in Singapore, but there are many other factors most important one is location, that at which part of the city house is located, how much far it is from commercial area, facilities of hospital, school, park, gym etc are at how much distance, whether it is nearby from work or not, all this things matter. Most apartments are located at the prime location from where everything is easily accessible, mostly new developments provide such facilities in their boundary.
Most people don’t have that much amount of money in their bank account so they can use it for buying a house, that’s why they go for a bank loan for purchasing their house. One thing to keep in mind is that with thirty-year house loan of the actual price of for example S$300,000 you also have to pay interest with it which is S$77,412 this means that the actual price you have to pay is S$377,412 to make the purchase possible. This is just for example there are many house buying loans schemes and also the buyer can refinance them.
There are many houses which are financed by a bank and for that bank need insurance of house owner. In some scenarios the bank charge monthly fee withholding this insurance. This type of insurance is required by the bank because they own the house from a technical point of view. The entire value of house could be lost in case of fire or flood leaving the bank with no guarantee of house loan. The consumer is free to not go with many types of insurance. It is important to note that holding house owner’s insurance is a very right decision even if the house is purchased by fully self-financed. Addition to fixtures, windows, and wall there are many items which are covered by homeowner’s insurance. The total value of insurance you are going to shop is based on how much coverage you needed for you and your family.