Executive condo (EC) is among the most sought-after homes in Singapore.
They're more 'atas' than HDB flats and, when in comparison to private condominiums, ECs are priced more attractively and have comparable amenities and designs.
Therefore, with no intention of making your brain explode, we'll go over everything you need to learn regarding an EC, especially with the new Yishun EC upcoming in early 2022, North Gaia EC.
What Is an Executive Condo (EC)?
The EC is also known by the name of "sandwich flat", an EC is a hybrid housing option to middle-income Singaporeans who do not qualify to be eligible for an HDB flat because of the income ceiling however, they still view private condominiums to be too costly.
ECs are constructed and sold by private developers but subventioned from the state.So, although they feature condo-like amenities like swimming pools, gyms, clubhouses and a better layout, they are also less expensive than private condos.The former Minister of National Development Khaw Boon Wan puts it that it's like buying a Lexus at the Corolla cost.
However, the downside of hybrid developments it is the fact that ECs are classified as HDB property for the first 10 years. This means they're subject to HDB's regulations.This includes the 5-year MOP requirement, HDB variouse schemes, HDB's selling restrictions , and the tax on resales (if you purchase the property from developers).
But, when ECs have reached the 11th anniversary, they'll become privatised. That's the time they really shine, because you're able to sell them to a wider buyer pool.
Can I Buy a New EC if I Currently Own an HDB Flat?
Yes, you can.However, you must own or have had one or more of these prior the application process:
A flat purchased via HDB (i.e.BTO flat)
A flat of EC/DBSS purchased from the developer
Resale HDB flat purchased using CPF Housing Grant (only for first-time applicants)
SCs that are eligible are able to purchase the properties mentioned above at a maximum of twice, but not per kind of property.Also you can possess an HDB flat as well as an EC but not two ECs or two HDB flats, etc.
If you've already purchased two properties, you won't be able to submit an application for EC or be included as an essential occupier on an application.