Housing Development Board
For first time home buyers, it is usual for many to buy a Build to Order HDB (BTO), which is currently the most affordable housing option provided by the government. There are some, particularly those with a slightly higher budget, may consider a resale HDB, particularly one which is near their parents place, so as to enjoy the proximity grant.
First lets consider the BTO route, there are usually 4 rounds of BTO up for grab during a calendar year released by HDB in February, May, August and November. For upcoming projects with HDB, please click here.
After identifying the location that you like, you will first pay $10 to ballot for it. The number of tries to get a flat depends on the demand and supply of the place, as well as the chances that you are eligible for (for instance, married couple with children will have more chances as compared to unmarried first timers). It typically takes about 3 weeks for HDB to furnish a response on your ballot outcome.
If you are fortunate in getting your choiced HDB, you will have the option to take a HDB loan or bank loan, and you will have to pay the Option fee (between S$500 – S$2,000). After 3-4 months, you will then exercise your option and pay the first 10% (HDB loan) or 20% (bank loan), the legal and stamp duties. The BTO will be ready in 2-3 years after signing the sales agreement.
For resale flats, there’s a more lenient income ceiling for the first-timer home owners with an income ceiling of S$12,000 of $50,000. A further bonus of $20,000 grant will be given, if the resale HDB is within 4km of your parents.
Also, with a resale flat, consumer has a greater variety of flats to choose from, up to the layout of the flat, lease term, furnishing, accessibility etc. Unlike that of a new BTO, a resale flat can be quickly occupied from the sales purchase date.
Build-To-Order (BTO) Eligibility
Eligible Applicant/ Family Nucleus
Resale Flat Eligibility
|Ownership/ interest in HDB flats|
If you or any persons listed in the application owns an HDB flat, you must dispose of the HDB flat within 6 months of the resale flat purchase.
|Ownership/ interest in property in Singapore or overseas other than HDB flats|
If you or any person listed in your resale flat application owns a private property either locally or overseas, you must dispose of all private properties before or within 6 months of the resale flat purchase.
Note: If you own a private property, you are not eligible for a CPF Housing Grant or an HDB housing loan.