All the pieces you should find out about HDB BTO cost timeline
Shopping for a brand new HDB flat is nearly a ceremony of passage for brand new {couples} in Singapore. However with the joy of proudly owning a house, comes the scary half: the cost timeline to pay for the flat.
That’s why our prime recommendation for potential homebuyers is to guarantee that their funds are sorted earlier than making use of for a brand new flat from HDB (whether or not it’s through BTO, Gross sales of Stability Flats or Open Reserving). This ensures that they’re capable of afford the funds after they’re due.
For that cause, we’ve give you this little cheat sheet summarising the cost timeline that can assist you determine what you’re in while you signal the dotted line.
(Particularly for Open Reserving of Flats, given that you would be able to ebook for a flat as early as the subsequent working day, you’ll have to get the HDB Mortgage Eligibility (HLE) letter earlier than the appliance.)
HDB BTO, SBF and Open Reserving cost timeline
| Stage of buy | Charges payable | Quantity payable | Cost mode |
|---|---|---|---|
| BTO utility | Utility price | S$10 | Bank card or cellular cost app (eg. DBS PayLah!, UOB TMRW, OCBC Pay Anybody, and many others.) |
| Flat reserving | Choice price (kinds a part of the downpayment) | 2-room Flexi: S$500
3-room: S$1,000 4-room and greater: S$2,000 |
NETS |
| Signing of Settlement for Lease | Purchaser’s Stamp Obligation (BSD) | First S$180,000: 1%
Subsequent S$180,000: 2% Subsequent S$640,000: 3% Subsequent S$500,000: 4% Subsequent S$1.5m: 5% Remaining quantity: 6% (Given the value of BTO flats, the BSD charge payable ought to be as much as 3%.) |
GIRO, PayNow, AXS, web banking, SingPost, cheque |
| Conveyancing price (often known as authorized price) | First S$30,000: S$0.90 per S$1,000
Subsequent S$30,000: S$0.72 per S$1,000 Remaining quantity: S$0.60 per S$1,000 Rounded as much as nearest greenback earlier than making use of for GST. |
||
| Downpayment | If taking HDB mortgage: 10% of buy value, with CPF or money
If taking financial institution mortgage with LTV of 75%: 5% money, 15% CPF and/or money If taking financial institution mortgage with LTV of 55%: 10% money, 10% CPF and/or money |
||
| Key assortment | Registration price | Lease In-Escrow: S$38.30
Mortgage In-Escrow: S$38.30 |
Cashier’s Order, CPF |
| Survey price | 1-room: S$162
2-room: S$162 3-room: S$229.50 4-room: S$297 5-room: S$351 Govt: S$405 (inclusive of 8% GST) |
||
| Stamp responsibility for Deed of Task | 0.4% of the mortgage quantity, as much as S$500 | ||
| House Safety Scheme (HPS) annual premium | If you happen to’re utilizing CPF to pay for mortgage instalments, is dependent upon components like excellent mortgage | ||
| Fireplace insurance coverage
premium for five years |
If you happen to’re taking HDB mortgage.
1-room: S$1.63 2-room: S$2.73 3-room: S$4.91 4-room: S$5.99 5-room: S$7.19 Govt: S$8.18 (inclusive of 8% GST) |
Can’t be paid with CPF | |
| Downpayment | For flat purposes acquired between 16 Dec 2021 and 29 Sep 2022: 5% of buy value, with CPF or money
For flat purposes acquired after 29 Sep 2022: 10% of buy value, with CPF or money If taking financial institution mortgage with 75% LTV: 5% of buy value with CPF and/or money If taking financial institution mortgage with 55% LTV: |
||
| Stability of buy value | This will likely be lined by the house mortgage in the event you’re taking it | ||
Calculate how a lot you’ll be able to afford with 99.co’s affordability calculator!
Right here’s an illustration for taking an HDB mortgage
Let’s take the instance of newlywed couple Mark and Sophie, who’re each Singapore Residents of their 20s.
They’re first-timer candidates with a mixed earnings of S$8,000/month. They’re trying to buy a 4-room BTO Flat, with a purchase order value of S$500,000.
As well as, they qualify for the Staggered Downpayment Scheme (SDS), and will likely be financing their buy with an HDB mortgage which is able to cowl as much as 80% of the acquisition value (for flat purposes from 30 September 2022, in step with the current cooling measures), for a time period of 25 years. With a loan-to-value (LTV) ratio restrict of 80%, this implies their mortgage quantity will likely be S$400,000.
Additionally they intend to service their mortgage instalments utilizing their CPF financial savings.
| Stage of buy | Charges payable | Quantity payable |
|---|---|---|
| BTO utility | Utility price | S$10 |
| Flat reserving | Choice price (kinds a part of the downpayment) | 4-room: S$2,000 |
| Signing of Settlement for Lease | Purchaser’s Stamp Obligation (BSD) | S$9,600 |
| Conveyancing price | S$338.04 (after rounding up and making use of 8% GST) | |
| Downpayment much less choice price | 5% of buy value minus choice price: S$23,000
(money or CPF) |
|
| Key assortment | Registration price | Lease In-Escrow: S$38.30
Mortgage In-Escrow: S$38.30 |
| Survey price | 4-room: S$297 | |
| Stamp responsibility for Deed of Task | S$500 | |
| House Safety Scheme (HPS) annual premium | S$254 | |
| Fireplace insurance coverage for five years | 4-room: S$5.99 | |
| Downpayment (for Staggered Downpayment Scheme) | 15% of buy value (for BTO utility after 29 Sep 2022): S$75,000
(money or CPF) |
|
| Stability of buy value | Mortgage quantity:
S$400,000 |
|
| Whole | S$511,081.63 |
Calculate how a lot you should pay for the BSD 99.co’s stamp responsibility calculator!
If you happen to’re taking a financial institution mortgage for the BTO flat
Now let’s see how the funds work out in the event that they have been to take out a financial institution mortgage with a 30-year tenure. Because it’s their first mortgage, they’re entitled to a mortgage of as much as 75% of the acquisition value. This implies the mortgage quantity will likely be S$375,000
On this case, they resolve to go together with authorized counsel that their financial institution recommends, at a price of S$2,500.
| Stage of buy | Charges payable | Quantity payable |
|---|---|---|
| BTO utility | Utility price | S$10 |
| Flat reserving | Choice price (kinds a part of the downpayment) | 4-room: S$2,000 |
| Signing of Settlement for Lease | Purchaser’s Stamp Obligation (BSD) | S$9,600 |
| Authorized charges | S$2,500 | |
| Downpayment much less choice price | 10% of buy value minus choice price: S$48,000
(5% money + 5% money or CPF) |
|
| Key assortment | Registration price | Lease In-Escrow: S$38.30 |
| Survey price | 4-room: S$297 | |
| Stamp responsibility for Deed of Task | S$500 | |
| House Safety Scheme (HPS) annual premium | S$254 | |
| Downpayment (for Staggered Downpayment Scheme) | 15% of buy value: S$75,000
(money or CPF) |
|
| Stability of buy value | Mortgage quantity: S$375,000 | |
| Whole | S$513,199.30 |
Unsure on which financial institution mortgage to go for? Converse to 99.co’s mortgage dealer to seek out out extra.
HDB flats on the market
If you happen to discovered this text useful, 99.co recommends 99.co’s guides: Shopping for a BTO – The Course of & Procedures and My full BTO expertise: From balloting to renovation regrets.
[Additional reporting by Virginia Tanggono]
Ceaselessly requested questions
For HDB mortgage, in the event you’ve utilized for BTO between 16 December 2021 and 20 September 2022, the downpayment is 15% of the acquisition value. For BTO purposes from 30 September 2022 onwards, the down cost will likely be 20%. Alternatively, in the event you take a financial institution mortgage, the downpayment will likely be 25%.
The wait time is often three to 4 years. Nevertheless, because of provide constraints, manpower shortages and delays, it may possibly take round 5 years to finish.
So long as you’ve not purchased a brand new HDB, DBSS or EC, or acquired a CPF Housing Grant earlier than, you should purchase a BTO as much as two instances.
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