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Hi...

As my MOP is coming to end soon next year
I would like to upgrade from my current 4rm to a exec

I would like to check the following

as hdb loan requires 10% up front (CPF) and 90 %loan, I am not sure if this applies to 2nd time loan applicants?

can I use the current ordinary balance to pay the upfront if the amount is enough and not use the contra facility and then when later I sell my current flat then allow the proceeds of the sale back to my cpf account and bank?
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1 Answer

Mike Lim
Replied
Afternoon Mr. Tan,

Firstly, to be eligible for second HDB loan, you need to comply with the income ceiling requirement. You are also required to use 50% of your profit from sales into your new purchase.

As per your description, you are looking at buy first and sell later. For this, you must have sufficient CPF OA and cash in hand. This is to cover the 10% downpayment, legal and stamp fee plus COV. You will not be given full 90% loan as the figure would take into account your possible profit from sales. You will also be given a time frame of 6 months to market your unit, from the time you collect your keys.

Do feel free to contact me if you require further assistance.

Regards
Mike Lim
 96929209 
m52i@yahoo.com
ERA Read More
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  • ST
    Replied
    the 50% profit that u mentioned pertains only to profits derived in cash form from the sale or the cpf profits or both cash and cpf?...

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