Diana Teow – The Property Runway

Navigating Your TOP Property: A Guide For New Owners Key Collection

Diana Teow — Tue, 07 Nov 2023 02:35:46 +0000

Congratulations!

You are embarking on an exciting journey as a homeowner and property investor! As you begin the process of officially collecting your keys, there may be some uncertainty about the TOP process and what are the steps to your key collection. Fear not, our goal here is to guide you through the process and make it seamless and stress-free for you.

In this article, let us explore the ins and outs of navigating your brand-new property and help you feel confident in your ownership. Let’s get started!

5 KEY STEPS TO KEY COLLECTION

1 – The Law Firm Will Notify You On Payment & Key Collection

If you have not already received the email or letter from your law firm informing you about the key collection, this is the usual process you will go through.

Your Law Firm will receive from the Developer’s Law Firm a notice of T.O.P., which states that the development is now ready to be occupied and you can begin to arrange for key collection.
Your Law Firm will then forward the notice to you along with the steps that you have to perform.
You will need to make 3 payments at this stage, the surveyor’s fee, the six-month upfront maintenance fee and the 25% payment to the developer upon T.O.P.

Once the payment has been made, you will be able to arrange an appointment with the developer to collect the keys to your new unit!

2 – Book a Key Collection Appointment

Some developers will arrange for you to book an appointment for key collection using an app, and others might allow you to make an appointment by emailing the admin in charge or just by a phone call.

Whichever the process, you will be able to book the earliest appointment for key collection.

If you happen to be travelling during the key collection period, you can also authorise another person to collect the keys on your behalf. There will be an authorisation form that can be filled out to authorise the person who will collect the keys on your behalf.

Make sure however to inform the developer beforehand that you are authorising another person to collect the keys on your behalf, you will need to prepare certain documents to collect the keys too.

3 – Prepare The Documents Needed For Key Collection!

These are the Usual Documents Required:

Notice of T.O.P. from the developer’s Lawfirm ( Emailed to you from your Lawfirm )
Key collection appointment booking confirmation
Original NRIC or Passport
Copy of Vehicle Log Card and IU number ( To register your vehicle for entry )

If your representative is collecting the keys on your behalf, some other documents might include:

Original letter of authorisation signed by you
Copy of your NRIC or passport
Representative’s NRIC or passport
Power of Attorney ( If Applicable )

Different developers might request different documents, so it is best to check the letters you received from the developer on the exact documents needed!

4 – Apply For Utilities

Go to SP services website or download their mobile app if you have not.

Open a new utility account and book the turn-on appointment on the same day as your key collection, but an hour later so you will have time to be there to open the door.

The appointment dates are usually available 10-14 days in advance, so make sure you time it together with your key collection. If your key collection is too early, you might not be able to get an appointment on the same day.

5 – Book A Defects Specialist

Lastly, get a defects specialist to come down to check on the unit. We recommend hiring a vendor as they have special tools to check things such as the evenness of the ground and the hollowness in the walls.

Their inspection covers areas which are accessible and include:

Plumbing, sanitary and drainage including water ponding
Electrical points and appliances
Aircon system
Floor, walls, ceilings, including water seepage, lippage, unevenness
Tile hollowness and floor delamination
Doors, windows, fixtures and fittings check for installation, functionality and general build quality
Carpentry works
Structural integrity and problems
General cosmetic defects and alignment issues

You can also choose to do the defects check on your own too!

You would want to do this as soon as possible as the developer will only have a small workforce to rectify defects. It will usually take around 3 weeks to 1 month to rectify all the defects, depending on the severity of it.

The earlier you do it, the earlier they can rectify it for you.

But do take note that some defects might take longer to rectify as there may be a shortage of parts and materials. For example, glass panels might take longer to arrive as some developers order the materials from another country.

Finally, get your pineapple ready for your key collection day!

PRO TIP!

To save you from making multiple trips down, choose a date and time whereby you can do all these at the same time – Key Collection, SP Services as well as Defects Specialist.

Here’s a sample of our client’s scheduling, so she only had to make ONE trip down

2 pm – Key Collection Appointment
3 pm – SP Services Arrives To Open Utility (Owner / Power Of Attorney must be around)
3.30 pm – Defects Specialist Arrives

Key collection day!

You would have received instructions from the developer about where the key collection is taking place.

Usually, it will be in the function rooms of the development.

If not, you can always follow the signs and directions that will be at the entrance or in the car park to the Key Collection Room!

Bring along all the documents that are required for your key collection.

Once there, you will be greeted by a representative from the developer. They will go through with you the entire set of keys for your unit, the warranty for the appliances and how to register for them and also a manual for your unit.

The manual will include all the structural drawings and floor plans and the user manual for the appliances.

It might also include some application forms to apply for parking labels and registration of your phone number for the telephony system if your property has it.

They will also go through the defects inspection and reporting process and provide you with the method to contact their team for it.

After Key Collection

Now is the time to head to your unit!

Before stepping into the unit, roll the pineapple to bless your new property! Congratulations once again! Take a moment to enjoy and relish this moment!

By the way, if you have arranged for your utilities to be turned on, this is when you will meet the technician who will help to turn on the supply for you.

When the power & water supply is switched on, your defects team will be able to do a thorough check of the unit and report the defects to the developer’s team on your behalf.

In The Weeks to Come

Other than dropping by often to admire your new home and perhaps use the facilities, keep in mind to follow up with the defects team to quickly finish up the inspection and rectification works.

Do not be surprised to see a ton of post-its everywhere as the defect specialist can point out even the smallest of scratches on the laminates.

It might take a while to finish the work depending on the number of defects and the earlier you finish, the earlier you can start your renovations.

Make sure only to start your renovations AFTER the defects reported have been jointly inspected with the developer’s team. Otherwise, any defects after your ID or contractor has started work can be deemed to be caused by your contractors and IDs.

Renovations MAY include:
– Lights and ceiling Fans installation
– False Ceiling or Feature Walls
– Curtains / Blinds fittings

Conclusion

As you navigate this exciting journey, remember to take things one step at a time and trust in the process.

If you ever need any help with selling or renting out your newly TOP property, feel free to reach out to us. Our team is here to make the process seamless and stress-free for you! Let us take care of the details while you focus on enjoying the fruits of this new chapter of your life!

Once again, congratulations!

Little Known Facts About Jumbo Flats

Diana Teow — Wed, 12 Apr 2023 16:50:02 +0000

Image: 666 Yishun Jumbo Flat

I quote from the article:

In one of the most unexpected, stunning property transactions to happen during the Covid-19 outbreak, a 40-year-old Ang Mo Kio HDB jumbo flat managed to fetch a price of $1,030,000—becoming the first ever flat in the town to break the million dollar price barrier.

Sold for $1.03 million, this designer house was bought in 2014 and cost $200k in renovations!

I’m pretty sure the top search word right now is ‘What is a Jumbo Flat?’ after the above headline appeared yesterday. I sat up for sure but I sat down again after I realised the transaction was done before the Circuit Breaker. The lucky buyer can certainly enjoy his house and all the wonderful branded appliances this seller has left behind!

Now back to Jumbo Flats…

Out of all HDBs, Jumbos are definitely one of my favourite. There are many reasons to love a jumbo flat, from its crazy sizes from 1400 sqf onwards (the ones sold at $1.04mil was 1916 sqf) to the flexibility of the space. The entire layout can be changed according to what you need, with only limitations to the location of the bathroom and kitchen.

Here are some little known facts!

1. Singles Can Buy This

As long as your income is strong enough, you can buy it as a single owner. However, you will not be eligible for any grants! Note that prices start at $700K, so your income will have to be at least $8,760.

2. Rental Income

You can create a dual key unit, which means there are two parts to the house. You can rent out part of the house for income, while keeping the other part for yourself. This is a sample of my client’s layout done up so that they can live with their parents.

I love this kind of arrangement. Can you imagine that one day, if they decide to move out, they can rent out the larger part of the house and the smaller part of the house separately.

Assuming you bought a unit for $700K, your monthly mortgage is $2,628.27. And that you can rent your unit at the following rentals (worst case scenarios) based on current market rental prices in the Yishun area.

Larger 3 Bedroom side – $2,000
Studio side – $1,200

In total, you are looking at a rental of at least $3,200, which means a cash flow of about $500 per month from rentals. That is not too bad for a worst case scenario, is it?

3. You can create this on your own

Not many people know this but you can apply to join the units. We encourage you to go and check if it is possible to combine and convert, before you spend any money excitingly. You can have your Conversion Scheme Application started here.

The savings could be nearly $100K, since buying two 3 Room HDBs could be around $600K++

There are areas with higher possibilities for such conversion, but honestly, the process could take a long time, and in this COVID situation, would you risk having to spend extra time on paperwork on top of renovations delays?

4. Old Gold Duck

Some of you are probably going to be shocked at the price that I quote – $300K for a 3 room HDB? Well, Jumbo flats tend to be in mature locations and found in older flats.

So far, the youngest ones have been found in Yishun, Sembawang and Woodlands. The slightly older ones are in Ang Mo Kio and Bishan (Yes, Bishan has them too, but very little, and I’ve only seen one for sale in the last 7 years. My buyers were heartbroken to miss it).

The reason I’m saying it’s an old gold duck is because it’s a great place to stay and maybe rent for passive income (gold eggs). This is especially when you have a specific range of housing prices and rather spend your hard-earned money elsewhere.

The bitter pill is that this duck will definitely die one day – what we know as the decaying lease, but that is a reality for all leasehold buildings in Singapore.

The Property Runway’s Take?

This is definitely perfect for a multi-generation family to live and thrive, even when we have to work from home or do home based learning moving forward.

If you have a more conservative approach to real estate investment and simply want a property to generate passive income for you over time, slowly and steadily, this is a good property type to look at.

If you are young, and capital appreciation is a bigger priority than passive income or space, this is not the property for you. There are many other opportunities out there, as long as you are clear on what you want, and the tools you need to get there.

References

Designer jumbo flat is first Ang Mo Kio HDB unit to break $1 million barrier