Buying a resale HDB flat must follow a few key steps. Here’s a detailed guide on the process.
Step 1: You have to nin HDB flat eligibility (HFE) letter.
To begin, apply for an HFE letter via the My Flat Dashboard. The letter will give you information on your housing and financing options as it confirms that you are eligible to buy a flat and the grants and loans that you can get. Seek In-Principle Approval from financial institutions when in doubt.
Step 2: Look for a Suitable Flat.
With HFE letter in hand, start searching for a flat of your choice within your budget. You can look at the listings on the HDB Flat Portal and use the Resale Flat Listing (RFL) service. You can choose to handle the purchase on your own or hire a salesperson. Once you’ve found a flat you like, you’ll need to negotiate the price and secure it with an Option to Purchase (OTP). Make sure the seller has an Intent to Sell lodged for at least 7 days.
Step 3: Confirm Financing Mode.
Before getting an OTP, make sure you have a valid HFE letter if you intend to use an HDB loan to finance your purchase. If you are getting a loan from a bank, get a Letter of Offer (LO) before exercising the OTP.
Step 4: Submit Request for Value.
If using CPF savings or a housing loan to purchase the property, submit a Request for Value within the next working day upon getting the OTP. If not using these funds, then this step is not needed.
Step 5: Switch your In-Principle Approval to a Letter of Offer.
If you got an In-Principle Approval when you are applying for the HFE letter, ensure that it is converted to a Letter of Offer before you exercise the OTP.
Step 6: Submit Resale Application.
After exercising the OTP, you and the seller must both fill in and submit the resale application.
Step 7: Accept Resale Documents and Fees Payment.
Once HDB get the complete resale application and all the supporting documents, they will confirm eligibility within 28 working days. You and the seller will then sign the required documents and pay applicable fees.
Step 8: Obtain Resale Approval.
Once the documents are endorsed and fees paid, HDB will approve the resale transaction.
Step 9: Attend Completion Appointment.
Generally, the resale transaction is completed around eight weeks after HDB accepts the resale application. If you want a delay in completion, you must notify the seller on your decision.
For a seamless experience of buying a home, contact me for professional assistance.
