Financial Planning...

Firstly, I think everyone worries about whether they'd have enough in the bank to purchase and renovate their ideal home when they are 35.

Get the word out there - IT CAN BE DONE. It takes a lot of discipline and sacrifice though.

I do not intend to take out any loans for my re-sale purchase & mind you, I've traveled to about 30 countries on 7 continents (yes, Antarctica is not a country, but it is the 7th) in the last 4 years alone. This article on How to Save Money for a Flat, spells out some tips too.

Most important points, don't smoke, drink excessively, splurge at restaurants. Fly economy, stay at hostels if available,. Don't buy a car before the flat, and LIVE WITHIN YOUR MEANS. Branded goods are superficial. Make-up is expensive. Shoes wear out be practical. Heels are bad - for legs, posture and purse. Good friends need not have expensive pursuits to enjoy each other's company. If you need to 'maintain' your boy/girlfriend, you can do without one.

Set up a regular savings plan. I had 3 with varying interest rates and terms. I did some low risk investments, but that is another story.

So I made sure I saved more than 50% of my Net salary, and yes, I've had that habit since very young. My first job was at 15, and I was contributing to CPF since then I think. I contributed about 12-50% of my income to my parent/household expenses over the years. Living at home does save a lot on living expenses too. Junking the phone HELPS!

So yes, it can be done. I'm testament to that.


Now to work out your budget...

Do take note that you can find a comprehensive guide on this here:
http://www.hdb.gov.sg/cs/infoweb/residential/financing-a-flat-purchase

Go get your HDB Loan Application (HLE) or your Bank Loan (AIP) done first to understand what is the pricing of the flats you should focus on.

Unless you're able to pay full cash + CPF OA (terms and conditions apply), then skip the loans.

CPF
Good news, you can use your CPF Ordinary Account, but there are many considerations. There is a comprehensive write up on the HDB Facebook on 8 Things You Should Know About Using CPF For Property I like that we can enquire immediately on any issues, and it makes it more informative as such.

If you're buying a flat which has only 30 to 60 years lease left, your age together with the remaining lease years must be at least 80 years. So if you're 35 now, you shouldn't be looking at flats with less than 45 years left on them. Also, you can only use a percentage of your CPF OA, which is calculated based on your age and the lease left. You can reference the table to figure the percentage in this CPF brochure.


You'll need to budget how much cash you've on hand too (If you do not have a healthy saving account, APPLY for your HLE or Bank Loan BEFORE you start hunting to ensure you know how much you can afford), and the costs that you need to consider are:

P.S. When CASH is indicated, it means Cashier's Order or NETs, I believe. Still not reached this stage yet, so will update and firm up the info as I pass through these gates.

Deposit to Seller - a maximum of $5000 (Paid in two stages, the Option Fee and the deposit) [CASH]
Valuation Report - $140.40 (for 2-room or smaller) OR $199.25 (bigger) Not needed if not taking any loans or using CPF. [CASH]
HDB Resale Application Admin Fee - $80 ($40 for 2-room or smaller) [CASH]
Legal Fees - $500 for HDB Lawyer or $2500 for Private Lawyer (if agent asks to intro to their lawyer, don't because it is Private Lawyer) [Can use CPF]
Conveyance Fee (based on HDB Legal Fees) - About $659 for a purchase of $350k [CASH at 1st Appointment] - Not very clear on this, whether it is the same as Legal Fees, will update once I go through the actual process.
Stamp Duty Fees - tax levied on purchase of property Mine came up to about $6000 for a $350k purchase. Check that you don't 'qualify' for Additional Buyer's Stamp Duty (ABSD) More on this here [Can use CPF]
Caveat -  $128.90 if Buyer is obtaining an HDB loan OR $64.45 otherwise. [CASH at 1st Appointment]
Title search fee - Indicates $5.35 but mine was calculated to be $10 for a 3/4 Room bought at $350k [CASH at 1st Appointment]
Downpayment - 10% of purchase price if any to be paid within 10 days of 1st Appointment [Can use CPF]
Fire Insurance Policy from ETIQA - needed if taking up a housing loan
If you agree to Seller's Temporary Extension of Stay, it is another additional $20 admin fee.
Pro-rated Property Tax (payable to seller for months not living in property)

There will be a Cash Over Valuation (COV) which is payable only in CASH if the purchase price is more than the valuation price. Take note that the valuation is done after signing the OTP only. If you take up a bank loan, 5% of the valuation needs to be in CASH too.

Check that upgrading works like HIP/LUP/MUP have been done, completed and billed. 

Check that if has been done, (can be easily checked here or on HDB Map Services under Housing Icon for your chosen block) and whether it has been billed to previous owner yet. More on HDB upgradings in this post.

Any arrears left by previous owner like unpaid Service & Conservancy Charges (S&CC), PUB, Electricity charges - CHECK! (Talk to neighbours to get a feel of them, and also to find out if owner has any run-ins with loansharks.)

Agent Commission (1%+GST) - if you decide to throw in the towel and engage an agent, or are conned into engaging one (be careful of seller agent bringing along 'a friend' who pallies with you, and make it clear that you will not pay for seller agent's commission (theirs is 2% + GST) as some are duped to when it comes to signing.)

A tip: If you want to bring down price of the flat, it could be that seller is charging the higher price to offset agent commission. So take for example flat is selling at $318k and you'll like to lower it to $300k. At prevailing rate, SA would get $6,360 + GST. If you lower the price, SA gets only $6,000 + GST. However, if you request Seller to meet your offered price, and give SA $500, all benefit all around. It is a weak sellers market now anyway. (P.S. I didn't work out the GST on the commission for these figures yet.) Also, as a DIY Buyer, it helps that someone else who knows what's happening is there to ensure the sale goes through smoothly, as otherwise everyone makes losses all around. But remember, Seller's Agent CANNOT represent you, according to CEA rules. Make sure you are on top of your part of the documentation and what not.

Note: Buyer is to produce receipt of final cash payment (if any) on the completion of the resale at the Resale Office/2nd Appointment. Be careful of transacting in liquid cash as there is no saying if Seller would vouch for payments. Use GIRO, Credit Card and Cheques, so there is proof of payment.


Do not break the bank on just purchasing the flat...
Furniture - To populate the space. Can go into the thousands unless you're into Zen living. Try Salvation Army, or Gumtree to find pre-loved goods. I like looking at Qoo10 too. Look at this post for more ideas, and look at what $3000 can get you. Remember, the more rooms, the more furniture needed.

On Qoo10, BLMG Living has some good quality products and deals, like this 3-in-1 sofa/bed/couch.

Painting (3-rm):  S$850-S$1000 (if you purchase paints yourself you save more but more of a hassle, as they can be heavy. Painters are known to switch brands or dilute paints used. If you're particular on the type and colour, buy it yourself. I've heard about some engaging the neighbourhood transient workers to help paint their place, but I'd rather not take such risks as I'll be living alone and don't want to attract any attention.)

Lightings & Fan/Aircon - If you don't like what's there already

Rewiring/Plumbing - Especially for older flats - Need professional services

Moving (1 truck): <$250 (cheaper if you select companies that allow for half lorry pricing - how much do you own anyway?) This review lists the Best 5 House Movers in Singapore (Cheapest is Helping Hands which charges $150 for half a 14ft lorry.)

Electrical Appliances - Refrigerator, Washing Machine, Television, etc. (remember, you won't need an electricity guzzler like a huge fridge or washing machine, when you're living for one. I know some from my hostel who togged their laundry back home to get it done on the cheap.)

Curtains and Blinds (more windows, more cost - and more things to remember to shut when you leave the house...)

Changing locks and keys (especially the front door and gate). I like Digital Locks like this from Yale as it is more convenient.

And the biggest cost: RENOVATION