| Year | Stay in HDB | Upgrade to Condo | Diff |
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It projects two equity paths side by side over 5, 10, and 15 years: staying put in your HDB flat, versus selling it and buying a condo with the proceeds plus cash and a new loan. You enter current values, loan balances, a target condo price, and appreciation assumptions, and it shows the equity gap between the two paths.
No, and the tool is built to show that. Upgrading adds leverage and upfront costs such as Buyer's Stamp Duty and legal fees, so it only pulls ahead if the condo appreciates enough to outweigh them. With modest appreciation assumptions the HDB path can stay competitive. The honest answer depends on your figures, not a blanket rule.
This model assumes you sell your HDB flat first and then buy the condo, so Additional Buyer's Stamp Duty does not apply. ABSD is triggered when you keep the HDB flat and buy the condo as a second property at the same time. If you intend to hold both, the upgrade maths changes materially and should be modelled separately.
It accounts for upfront upgrade costs such as Buyer's Stamp Duty and legal fees, and applies your appreciation assumptions to both properties. It deliberately excludes the cashflow gap during the transition between selling and buying, which should be modelled on its own. So treat the equity curves as a strategic comparison, not a complete cashflow plan.
No. The figures are projections driven entirely by the appreciation rates you input, and property prices can rise or fall, so actual outcomes will differ. The value is in comparing the two paths under the same assumptions and stress testing them. Winfred Quek can run your specific numbers, including the cashflow gap the tool leaves out.