Ways To Avoid Condominium Purchase Nightmares

Buying a condominium is a long-held dream for many Singaporeans. But sadly your condo purchase can turn into a nightmare if you aren’t careful. Home buyers have lost thousands of dollars due to dishonest property agents, construction delays, and hidden property defects they were unaware of. 

Luckily there are ways to avoid common real estate pitfalls so you don’t lose money on the most important investment of your life. Here are some tips on how to prevent condo purchase nightmares. 

Buy a Condo With a Defects Liability Period

It’s every condo owner’s worst nightmare to have to deal with major unexpected repairs right after moving in. You’ll probably be low on funds after covering your down payment and closing costs. Paying for a new dishwasher or air conditioner immediately after buying your condo would put a major strain on your budget. 

That’s why it’s a good idea to consider purchasing a new HDB flat or condo. New properties usually come with a 12-month defects liability period that protects you in case anything breaks. The developer is obligated to fix any property defects that arise within the first year due to poor workmanship, such as leaky faucets, gaps in flooring, and cracked windows. 

Limitations of Defects Liability Periods

However, it’s important to keep in mind that there are limitations to defects liability periods. Your developer doesn’t have to cover the cost of a repair if you’re responsible for the damages. That means if you break something, you’ll have to pay to fix it out-of-pocket, so make sure you take good care of your condo.

It’s also recommended that you avoid renovating your home until after the defects liability period ends. If you bring an outside contractor into your condo, it may create uncertainty about who caused the defect. This makes it harder to get the repair covered by your condo’s builder. 

Get An Inspection 

Resale condos are usually sold on an as-is basis and don’t come with buyer protections like defects liability periods. So you’ll need a bigger emergency fund to cover the cost of repairs if you want to buy a resale flat. 

You should also hire an inspector to take a look at the unit before you sign the option to purchase agreement. They’ll be able to tell you if the condo needs any repairs so you can renegotiate with the seller and get the cost covered. 

Although you’ll have to shell out a couple hundred dollars for the inspection, it could save you thousands in the long run. You don’t want to be caught off guard by major issues after the purchase is finalized, so do yourself a favor and hire an inspector.

Purchase a Condo From a Reputable Developer 

Another way to prevent condo nightmares is to purchase a new unit from a reputable developer with a proven track record. Buying a condo from a builder known for excellent construction standards will reduce the chances of something major going wrong with your unit. Because the condo is brand new, there’s less risk of things breaking, plus the added assurance of the defects liability period. 

You can find a developer with a spotless reputation by reading reviews of their past developments and checking their construction quality scores. Singapore’s Building and Construction Authority gives builders scores based on the quality of their workmanship and ranks them from best to worst. 

City Developments Limited, one of the leading builders in Singapore, has the highest construction quality score. Their newest project is a luxury condo complex in District 15 called Jalan Tembusu Residences. Buying a Tembusu Grand will give you the best chance of avoiding real estate headaches like construction delays and defects. All of CDL’s condos are built to exacting standards using premium materials, so you can feel confident in your purchase. 

Hire a Trustworthy Property Agent 

Surveys have shown that most home buyers were satisfied with their property agent and the customer service they provided. But we’ve all heard at least one horror story about an agent who acted in their own self-interest to the detriment of their client. 

Instead of helping you find the right condo for your needs, a disreputable agent may steer you toward the most expensive property to earn a higher commission. One buyer even lost S$30,000 because his agent didn’t tell him the seller would’ve accepted a lower price for the condo he bought. 

Protect Yourself From Bad Agents

So how can you protect yourself from the few bad property agents out there? First, make sure the agent you want to hire is registered with the Council for Estate Agencies. You can do this by going to the CEA’s website and checking their public register of property agents. 

Next, ask your agent what their commission rate is and make sure it aligns with industry standards. A typical commission rate is usually 2% to 4%. It’s also a good idea to ask your agent about any conflicts of interest they may have, such as working at the same property agency as the seller’s representative or collecting a co-broke commission. 

Finally, research property prices to ensure you’re getting a good deal on your condo. When deciding how much to offer the seller, don’t rely solely on your agent’s advice, because they could encourage you to pay more to earn a higher commission.

Buy a Condo Stress-Free 

Want to make your home buying experience stress-free? Consider purchasing a Jalan Tembusu condo. City Developments Limited is currently offering direct developer discounts to early bird buyers, so you can rest assured you’re getting a good deal. 

Each unit is built with the highest quality materials and includes smart home features such as connected lighting, smoke detectors, and air conditioners. Although every Jalan Tembusu condo comes with a 12-month defects liability period for peace of mind, you probably won’t need to use it thanks to the superior construction quality. 

The complex also features an array of amenities including a state-of-the-art gym, a clubhouse, and a children’s playground. It’s conveniently located near shops, restaurants, schools, hospitals, and MRT stations so you can get where you need to go quickly. If you’re in the market for a luxury condo, book an appointment to see the Tembusu Grand show flat today.