2 Answers

askguru expert
Hi Anonymous, thanks for writing to us on AskGuru.

The new valuation report from HDB is to ensure a fair market price and transparency for both the buyers and sellers. Yes, only the buyer can apply for the valuation. This happens after you have negotiated with the seller the selling price of the HDB flat. After paying the option fee of an amount not exceeding $1,000, the seller then issues you an Option to Purchase (OTP) form after 7 days from the date of the Resale Checklist. You can then submit the OTP to HDB to request for a valuation. An assigned valuer will then inspect the HDB flat to determine its valuation. You are also given 14 days to exercise your option. You still need a valuation report even after both the buyer and seller has agreed to the price. The resale HDB market is based on a willing buyer and willing seller basis. If the buyer still wants to proceed to buy the HDB flat at $800k, he needs to top up $200,000 in cash. If the buyer does not want to proceed, he will lose the $1,000 option fee. To check the market value of resale HDB flats in your area, you can click on the following link: https://services2.hdb.gov.sg/webapp/BB33RTIS/BB33PReslTrans.jsp: For more information, please refer to the following link https://www.propertyguru.com.sg/property-guides/hdb-valuation-sales-12882

Hope this answers your question.

Best Regards,

Team PropertyGuru
Ivan Ng

Only buyers with valid OTP issued by sellers can apply for valuation, and yes a HDB appointed valuer will visit the house, who will give an overall assessment of the place and then taking into account all factors (of unit and surroundings) give a professional valuation figure.
All buyers who are using CPF or hdb/bank loan need to apply for valuation.

If you have agreed 800k on price, but valuation comes in at 600K, the difference is the COV buyer has to pay. He may or may not exercise the option to proceed with the sale. But if buyer exercises the option, seller is obliged to sell at 800K.

If priced agreed 550K, valuation comes in at 600K, there is no COV, and seller is obliged to sell at 550K still if buyer exercises the option.

To ensure the price your interests are protected, it is best to work with a realtor who can advise the comparable transactions nearby and facilitate the negotiation process so that you can achieve your desired selling price.

May I understand your housing requirements further? Thanks and hope to have the opportunity to work with you soon.

Warm regards,
Ivan ERA