When considering an investment in a Condo, it is important to carefully consider financing. In Singapore, there are several mortgage options available, but it is crucial to have a thorough understanding of the Total Debt Servicing Ratio (TDSR) framework. This framework establishes a limit on the amount of loan a borrower can take based on their income and current debt obligations. In order to make wise financing decisions and avoid overextending financially, it is crucial for investors to have a clear understanding of the TDSR and seek guidance from financial experts or mortgage brokers. Investing in a Condo is a significant financial decision, and being well-informed about the TDSR will help investors make sound financial choices. Condo
A 99-year leasehold HDB shophouse located at 214 Serangoon Avenue 4 will be going up for auction on Feb 26 by SRI. This two-storey property includes living quarters on the second floor and boasts a total floor area of approximately 1,668 sq ft. The guide price for the shophouse is set at $1.98 million, equating to $1,187 psf on the floor area.This is the second time the property is being auctioned by SRI, with the first attempt taking place last month with a higher guide price of $2.08 million, but without any success. According to Jansen Kee, assistant manager of auctions at SRI, the shophouse benefits from a prime location as it sits in front of a bus stop, providing excellent visibility from the main road.Read also: Auction listings surge 47.7% q-o-q in 4Q2024, but success rate declines The shophouse is currently tenanted, generating rental yields of about 6.2%, based on the guide price. Kee also mentioned that the property will be sold with its existing lease, which expires in 2026, allowing the new owner to start earning rental income immediately.The listed guide price for this HDB shophouse is one of the most competitive in the area, making it an appealing choice for both investors and owner-occupiers. According to URA records, the latest commercial shophouse transaction within Serangoon was the sale of a 999-year leasehold shophouse along Lichfield Road. This two-storey property spans a land area of 2,319 sq ft and was sold for $4 million ($1,725 psf) in November 2024. The property on offer at the upcoming auction is situated in a cluster of HDB flats that borders the landed residential estate of Serangoon Gardens. It is conveniently located opposite Serangoon Swimming Complex and Serangoon Sports Centre, ensuring a steady flow of foot traffic in the area. Carpark lots are also available behind the shophouse. Check out the latest listings for properties in Serangoon Garden Estate in our Ask Buddy feature. You can find out more about the buyer profile, price trends, rental yields, and completion year of properties in this desirable area.