{"id":33918,"date":"2021-11-24T17:35:31","date_gmt":"2021-11-24T09:35:31","guid":{"rendered":"https:\/\/www.you.co\/sg\/?p=33918"},"modified":"2021-11-24T17:35:32","modified_gmt":"2021-11-24T09:35:32","slug":"resale-flat-singapore-2022","status":"publish","type":"post","link":"https:\/\/www.you.co\/sg\/blog\/resale-flat-singapore-2022\/","title":{"rendered":"How to Apply For a Resale Flat in Singapore 2022"},"content":{"rendered":"\n

Here are seven easy steps, plus a library of acronyms, to make purchasing a resale flat in Singapore a little easier \u2014 especially in light of soaring prices. Bookmark this guide for a comprehensive guide on all you need to know about purchasing a pre-owned HDB on the island<\/strong>!<\/h2>\n\n\n\n
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I\u2019m not the best at waiting. There<\/em>, I said it.<\/em> Yes, patience is<\/em> a virtue to many, and, yes, good things do come to those who wait \u2014 but I\u2019d really rather have things done asap, especially <\/em>when it comes to a future home. Don\u2019t get me wrong, there are definite pros to playing the long Built-To-Order<\/a> game, but it\u2019s just not for me. And I\u2019m pretty sure, I\u2019m not the only one who feels that way. So thankfully, we\u2019ve got an alternative path to take: the resale flat. <\/p>\n\n\n\n

Of course, before diving in, we\u2019ve got to address the elephant in the room \u2014 escalating prices of resale flats. According to the Business Times<\/a>, resale flat prices rosed nearly 11 per cent from about a year ago despite the pandemic. In fact, The Straits Times<\/a> noted that more buyers were leaning towards condominiums now that prices for resale flats were \u201cclimbing higher than those for private housing\u201d. In response to all that, HDB has assured the public<\/a> that they will be monitoring the housing demand and making adjustments where necessary. <\/p>\n\n\n\n

So we\u2019re headed into this guide, optimistic, but also aware of the steep incline of resale flat prices. That being said, if you\u2019re still keen on getting a resale flat but completely clueless about the various processes and criteria for owning or buying one in Singapore, you\u2019ve come to the right place. By the end of the guide, you\u2019d be prepped and (hopefully) ready to be a homeowner in 2022. <\/p>\n\n\n\n

\ud83d\udca1<\/strong> But first! <\/strong>Let\u2019s jump into some common acronyms<\/a> used when talking flats<\/em> in Singapore:<\/p>\n\n\n\n

<\/div>\n\n\n\n
Acronyms<\/strong><\/td>AKA<\/strong><\/td>What Is It?<\/strong><\/td><\/tr>
COV<\/td>Cash Over Valuation<\/td>\ud83d\udc49\ud83c\udffb When a buyer overpays for an HDB resale flat
\ud83d\udc49\ud83c\udffb Hike in prices usually happens due to accessibility, amenities, and attributes of the flat<\/td><\/tr>
CSC<\/td>Certificate of Statutory Completion<\/td>\ud83d\udc49\ud83c\udffb Legal document that allows the building to be occupied<\/td><\/tr>
DRC<\/td>Directory of Renovation Contractors<\/td>\ud83d\udc49\ud83c\udffb List<\/a> of approved home-reno contractors for HDB flats
<\/td><\/tr>
EIC<\/td>Ethnic Integration Policy<\/td>\ud83d\udc49\ud83c\udffb Racial quota that ensures an HDB block\u2019s units are fairly distributed 
\ud83d\udc49\ud83c\udffb The percentages are roughly 80% for Chinese, 20% for Malays and 10% for others<\/td><\/tr>
MOP<\/td>Minimum Occupation Period<\/td>\ud83d\udc49\ud83c\udffb Period of time required to occupy flat before you can sell it (different timelines for different kinds of flats)
\ud83d\udc49\ud83c\udffb Calculated from the date of key collection<\/td><\/tr>
OTP<\/td>Option to Purchase<\/td>\ud83d\udc49\ud83c\udffb Legal contract between buyer and seller of residential property
\ud83d\udc49\ud83c\udffb Gives buyer exclusive rights to purchase the property from the buyer <\/td><\/tr>
SBF<\/td>Sale of Balance Flats<\/td>\ud83d\udc49\ud83c\udffb A housing sales exercise that encompasses unsold flats from past projects that are already underway or completed<\/td><\/tr>
SERS<\/td>Selective En Bloc Redevelopment<\/td>\ud83d\udc49\ud83c\udffb Procurement of flats before their 99-year lease is up for residential renewal 
\ud83d\udc49\ud83c\udffb Will receive compensation and relocation assistance in return <\/td><\/tr>
TOP<\/td>Temporary Occupation<\/td>\ud83d\udc49\ud83c\udffb Permit that allows you to stay in a building temporarily, once sanitary and safety specs are met
\ud83d\udc49\ud83c\udffb While waiting for a CSC <\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
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Before The Resale Flat<\/strong><\/h2>\n\n\n\n
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HDB recommends that you have an idea of a few things before you begin using the HDB resale portal<\/a>:<\/p>\n\n\n\n

\u2705  Know the kind of flat you\u2019re after<\/p>\n\n\n\n

\u2705  Know your budget (i.e. how much you\u2019re willing to offer)<\/p>\n\n\n\n

\u2705  Know the housing loans and grants<\/a> you\u2019re eligible for <\/p>\n\n\n\n

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\ud83c\udfe1 Step 1: Registering Your \u2018Intent to Buy\u2019<\/strong><\/h2>\n\n\n\n
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\"How<\/figure>\n\n\n\n
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\ud83d\udc49\ud83c\udffb  <\/strong>Who:<\/strong> Everyone who intends to buy a resale flat \u2014 even if you\u2019re planning to go through an agent. If you\u2019re purchasing the flat with others, only one of you needs to register <\/p>\n\n\n\n

\ud83d\udc49\ud83c\udffb  How:<\/strong> You log in with your Singpass<\/a><\/p>\n\n\n\n

\ud83d\udc49\ud83c\udffb  <\/strong>Where:<\/strong> HDB\u2019s Resale Portal<\/a><\/p>\n\n\n\n

\ud83d\udc49\ud83c\udffb  <\/strong>What:<\/strong> Instant assessment of your eligibility to buy a resale flat, as well as eligibility for any HDB housing grants and loans<\/p>\n\n\n\n

\ud83d\udc49\ud83c\udffb  When:<\/strong> Just be aware that it\u2019ll only be valid for 12 months \u2014 and it needs to be valid when the sellers grant you an Option to Purchase (OTP) and during the submission of the resale application. So time it well!<\/p>\n\n\n\n

\ud83d\udc49\ud83c\udffb  <\/strong>Why: <\/strong>To kick start the entire process. After you register, you\u2019ll be able to make an application for an HDB Loan Eligibility (HLE) letter \u2014 this letter is important to have around when sellers grant you the OTP during the next step. <\/p>\n\n\n\n

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\ud83c\udfe1  Step 2: Get an OTP<\/strong><\/h2>\n\n\n\n
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Now that you\u2019ve registered your intent, you may start looking for a suitable flat within your budget! After you\u2019ve found the one and have come to an agreeable price with the sellers (check out the transacted prices for resale flats within the past 2 years here<\/a> to get an idea) on the flat, they will grant you an OTP.  This is basically a legal form of contract in the whole transactional process.<\/p>\n\n\n\n

<\/div>\n\n\n\n
<\/td>Requirements<\/strong><\/td><\/tr>
Before Getting an OTP<\/strong><\/td>You must have:

\u2705   Registered your Intent to Buy

\u2705   Applied for an HLE if you intend to take an HDB housing loan

*The sellers can only grant you an OTP after you have obtained a valid HLE letter from HDB<\/em>
<\/td><\/tr>
Before Entering the OTP<\/strong><\/td>You and the seller must:

\u2705  Declare the actual resale price of the flat to HDB

\u274c  Not enter into any other agreements or arrangements that may cause the true resale price as declared to be inflated or understated

\ud83d\udc49\ud83c\udffb  Download form here<\/a>
<\/td><\/tr>
When Sellers Grant OTP to You<\/strong><\/td>\ud83d\udea8 You are not required to sign on the OTP yet 

\u2705  However, you will need to pay an Option Fee to the seller: 

\ud83d\udc49\ud83c\udffb  This is a negotiable sum that should fall between $1 to a maximum of $1,000

Implications of the Option Fee:<\/strong>

\ud83d\udc49\ud83c\udffb  Once the seller has granted the OTP to you, he cannot grant another OTP to another buyer until the OTP granted to you has expired*

\ud83d\udc49\ud83c\udffb If anyone backs out, you\u2019ll either have to forfeit (buyer) or refund (seller) the Option Fee

* OTPs last for 21 calendar days (including Saturdays, Sundays and Public Holidays) \u2014 from the date of granting the OTP till 4 pm on the 21st calendar day<\/em>

* Value of flat will remain for three months from the day it is made available in the portal if you exercise OTP<\/em>
<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
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\ud83c\udfe1  Step 3: Choose Mode of Financing<\/strong><\/h2>\n\n\n\n
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Now that you\u2019ve got a 21-day breather, it\u2019s time to decide if you really want to buy a flat. It\u2019s at this point that you\u2019ve got to decide how you\u2019ll be paying \u2014 cash, CPF savings, or a housing loan. If you\u2019re going for a regular bank loan, remember to get a letter of offer from the bank before you exercise the OTP. Also, be sure to indicate this mode of financing in the HDB Resale Portal. <\/p>\n\n\n\n

HDB recommends that you request for an assessment of the flat\u2019s value during this time as well (this can be done via the portal) \u2014 if you\u2019re planning to use your CPF or a housing loan, it\u2019ll be required anyways.<\/p>\n\n\n\n

Note that:<\/strong><\/p>\n\n\n\n

\ud83d\udc49\ud83c\udffb It\u2019ll take roughly 10 working days<\/p>\n\n\n\n

\ud83d\udc49\ud83c\udffb HDB will inform you via email once the value of your flat is available in the HDB Resale Portal<\/p>\n\n\n\n

\ud83d\udc49\ud83c\udffb Request for Value needs to be submitted together with a scanned copy of page 1 of the OTP <\/p>\n\n\n\n

\ud83d\udc49\ud83c\udffb Submit it by the next working day after the Option Date<\/p>\n\n\n\n

\ud83d\udea8 Do note that the evaluation will cost you a processing fee of S$120. <\/p>\n\n\n\n

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\ud83c\udfe1  Step 4: Exercise OTP \/ Let OTP Expire<\/strong><\/h2>\n\n\n\n
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You\u2019ve thought long and hard about this, it\u2019s time to make a decision.<\/p>\n\n\n\n

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<\/td>Do It<\/strong><\/td>Let It Burn<\/strong><\/td><\/tr>
Things to Take Note Of<\/strong><\/td>\ud83d\udea8 Must exercise OTP within 21 calendar day Option Period

\u2705 You and co-buyers will now sign the OTP

\u2705 You will need to pay a deposit to the seller but remember that the total amount of Option Fee + negotiated deposit must not exceed<\/strong> S$5000
<\/td>		\ud83d\udea8 Must wait for 21 calendar day Option Period to expire

\u2705  You will forfeit Option Fee<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
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\ud83c\udfe1  Step 5: Submit Resale Flat Application<\/strong><\/h2>\n\n\n\n
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In essence, it\u2019s now time for you and the seller to make a combined decision of when to submit the resale application to HDB \u2014 both portions need to be completed and submitted within seven days of each other. Find out what information you\u2019ll need to provide here<\/a>. <\/p>\n\n\n\n

If the application is in order, both buyer and seller will be notified of HDB\u2019s acceptance of the application via SMS or email within 14 working days<\/strong> and post updates of the application process on the portal. This marks the beginning of the 8 weeks processing time. <\/p>\n\n\n\n

\ud83d\udea8 Do note that there will be a Resale Application Administration Fee that will range from S$40 to S$80.<\/p>\n\n\n\n

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\ud83c\udfe1  Step 6: Acknowledge & Endorse Resale Documents<\/strong><\/h2>\n\n\n\n
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Hooray! You\u2019re halfway through the process. At this point, there are four documents<\/strong> for you to endorse \u2014 the Buyer\u2019s Financial Plan, CPF Withdrawal, Health Declaration Forms, and Resale Documents for Acknowledgement.  We\u2019ve compiled the stages in this step into a table:<\/p>\n\n\n\n

<\/div>\n\n\n\n
<\/td>HDB <\/strong><\/td>You<\/strong><\/td><\/tr>
Stage 1<\/strong><\/td>\ud83d\udc49\ud83c\udffb Compute your financial plan

\ud83d\udc49\ud83c\udffb Prepare the documents for buyer and seller to endorse

\u2705 When documents are ready they\u2019ll all be posted on the HDB Resale Portal, and you will receive an SMS to endorse the documents
<\/td>		–<\/td><\/tr>
Stage 2<\/strong><\/td>–<\/td>\ud83d\udc49\ud83c\udffb Endorse these documents within six days<\/strong>:
(with 2 day grace period after a reminder SMS)

1. HDB\u2019s proposed financial plan<\/strong> which you can make changes to on the HDB Resale Portal

\u2192 Just endorse the revised financial plan after

2. CPF Withdrawal<\/strong>

\u2192 After your endorsement, CPF Board will release the funds to pay for the flat

3. Health Declaration Forms<\/strong> for CPF Board\u2019s Home Protection Insurance Scheme

\u2192 To declare share of coverage and health status

4. Resale Documents<\/strong> for Acknowledgement
<\/td><\/tr>
Stage 3<\/strong><\/td>\u2705 Direct you to HDB Resale Portal to make payments for the resale flat fees online

\ud83d\udc49\ud83c\udffb These are legal fees that include conveyancing (for prepping documents), title search & other caveat fees including stamp duty fees
<\/td>		\u2705 Pay via credit card or any other mobile payment apps<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n
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\ud83c\udfe1  <\/strong>Step 7: Approval & Resale Completion Appointment<\/strong><\/h2>\n\n\n\n
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\"How<\/figure>\n\n\n\n
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We wait with bated breath for the approval \u2014 but the hard part is truly over. As a rule of thumb, the approval for the resale should be granted within two weeks after the seller and buyer have endorsed the documents. <\/p>\n\n\n\n

You will be notified by SMS and email as usual. Plus, an approval letter will also be posted on the portal \u2014 so don\u2019t worry about missing it!<\/p>\n\n\n\n

Once you\u2019ve gotten the OK, you\u2019ll need to attend the Resale Completion Appointment. <\/p>\n\n\n\n

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Before this appointment, make sure that you:<\/strong><\/p>\n\n\n\n

\u2705 Have inspected the flat<\/p>\n\n\n\n

\u2705 Bought fire insurance (it\u2019s a requirement)<\/p>\n\n\n\n

\u2705 Paid for the balance purchase of the flat and outstanding stamp fees<\/p>\n\n\n\n

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During the appointment, you\u2019ll be: <\/strong><\/p>\n\n\n\n

\u2705 Signing the mortgage document (for HDB housing loan)<\/p>\n\n\n\n

\u2705 Acknowledgement of receipt of keys to flat<\/p>\n\n\n\n

\u2705 Apportioning payment of property tax with seller<\/p>\n\n\n\n

\u2705 Indicating payment plan for first-month service\/ conservancy charges<\/p>\n\n\n\n


\ud83c\udf89 And just like that, you\u2019ve become the official flat owner!<\/p>\n\n\n\n

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Furnish Your Dream Resale Flat With YouTrip!<\/strong><\/h2>\n\n\n\n
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\"How<\/figure>\n\n\n\n
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Now begins the exciting part of crafting your nest \u2014 i.e. decking out your crimp in the best local<\/a>, international<\/a>, or Taobao furniture<\/a>. If that scares you, don\u2019t worry, we\u2019ve got plenty of guides from Taobao<\/a>, Amazon<\/a> and everything in between<\/a> to help you out. <\/p>\n\n\n\n

While we might not be able to help you get discounts off your monthly BTO repayments, our YouTrip Card<\/a> <\/strong>still comes in handy! Whether it\u2019s luxe furniture<\/a> for your future resale flat or discounts on that long-awaited VTL trip<\/a> out to anywhere and everywhere \u2014 just know that our Wholesale Exchange Rates<\/a> and YouTrip Perks<\/strong><\/a> will always be here for you. A little goes a long way, after all!<\/p>\n\n\n\n

If you still haven\u2019t gotten your free YouTrip card, what are you waiting for? Stack and save with <BLOG5<\/strong><\/a>> for a free S$5 off your shopping spree! For more great guides like this, join our Telegram Channel (@YouTripSG)<\/strong><\/a> and subscribe to our free weekly newsletter here<\/strong><\/a> or down below!<\/p>\n\n\n\n

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Related Articles:<\/strong><\/p>\n\n\n\n

7 Steps To Buying Your First BTO Singapore 2022<\/a><\/strong><\/p>\n\n\n\n

<\/a>10 Best Taobao Coffee Tables That Are Gorgeous, Aesthetic & Quirky<\/a><\/strong><\/p>\n\n\n\n

10 Bathroom Accessories & Fittings That\u2019s Hotel-Worthy<\/a><\/strong><\/p>\n\n\n\n

\"This<\/figure>\n","protected":false},"excerpt":{"rendered":"

Pre-loved gems.<\/p>\n","protected":false},"author":53,"featured_media":33919,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[623],"tags":[26137],"class_list":["post-33918","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-lifestyle","tag-home-decor"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.you.co\/sg\/wp-json\/wp\/v2\/posts\/33918","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.you.co\/sg\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.you.co\/sg\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.you.co\/sg\/wp-json\/wp\/v2\/users\/53"}],"replies":[{"embeddable":true,"href":"https:\/\/www.you.co\/sg\/wp-json\/wp\/v2\/comments?post=33918"}],"version-history":[{"count":0,"href":"https:\/\/www.you.co\/sg\/wp-json\/wp\/v2\/posts\/33918\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.you.co\/sg\/wp-json\/wp\/v2\/media\/33919"}],"wp:attachment":[{"href":"https:\/\/www.you.co\/sg\/wp-json\/wp\/v2\/media?parent=33918"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.you.co\/sg\/wp-json\/wp\/v2\/categories?post=33918"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.you.co\/sg\/wp-json\/wp\/v2\/tags?post=33918"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}