Buying a house is like finding a partner

Source : Straits Times - 7 July 2008

When it comes to finding domestic bliss, follow your head, not your heart

WITH the cooling property market, I thought it would be the perfect time to cash in on a modest, entry-level home.

After three months of searching, I have had an epiphany: Buying an apartment is a bit like shopping for a partner.

Cue: Sweet-faced real estate agents who, like pushy matchmakers, will spin such tales of domestic bliss as to leave you giddy.

‘Aiyoh, this one so beautiful, high floor and north-facing,’ one purred.

Yet another: ‘Very hot right now, that one, better book first - yes, sure you will be satisfied for long, long time.’

I was not sure at all.

But even if I were, I could count on family and friends to help with my indecision.

I learnt to identify ‘flaws’ I did not know I even cared about.

Musing about one development in Balestier, my sister sagely intoned: ‘Aren’t you worried that it has a small pool?’

Whether it is a house or a spouse, committing to a long-term relationship can be a big undertaking.

There are bank accounts to balance, loans to compare, and goals to consider: Does owning an apartment with a 30-year mortgage factor into my life in the long run?

These are especially important for youth, who typically rely more on gut instinct than Excel spreadsheet-styled pragmatism, never mind their weak budgets.

Three months ago, I was the model young house-hunter - all youthful passion, no sense of perspective.

I wanted to buy the first apartment I saw, a dingy triangular studio along Jalan Besar, a few streets away from the lure of call girls and neon-lit karaoke lounges.

‘It’s a triangle!’ my mother wailed. ‘Bad fengshui!’ (She did not seem to worry as much about the location.)

But, I reasoned to myself, it is cool and funky.

Yes, my criteria for signing away tens of thousands of dollars in savings were summed up in those six words.

Thankfully, I think differently now.

Before putting down the 10 or 20 per cent commitment dowry, there are a few questions I ask myself:

Is it near an MRT station?

What is its average transacted price per square foot in the last 12 months?

How much do other units in the vicinity cost?

Would anyone rent or buy it if I needed the money?

Will the area be developed in the immediate future?

And of course - is it regular-shaped?

The bottom line is this: You would not marry a person without first checking out his or her history (Any criminal record? Bout of the crazies in the last 10 years?); you would not pledge forever to someone if the person is unlikely to share your values and hope for the future.

A good fit needs time to discover, a sound plan to ensure a worthy rate of investment return.

Anyone can fall in love in a minute - building a home, however, requires a little more time and effort. I have not found my perfect apartment yet, but I know I will if I am patient.

When I finally put my name on the dotted line, one thing is for sure: Romance can take a backseat to a good rental yield.