3 Answers

Ivan Ng
Replied
Hi Ms. Jessie,

This 50% cash proceeds you have mentioned actually goes toward paying down the purchase price of the new flat, it is not a "tax" on the transaction. This is so to ensure that the 2nd HDB loan you take is on the conservative side.

Of more concern should be how to maximize the chances of a higher sale price, as HDB prices continue to moderate. If you have interim housing plans ready, maybe you like to start to consider active marketing? Will be glad to speak to you to understand your housing requirements further and share with you the pros n cons of each approach, and comparable prices of maisonettes in the vicinity. Thanks and hope to speak to you soon.

Warm regards,
Ivan ERA
 97432395 
Ivanng10@gmail.com Read More
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  • JW
    Replied
    Hi Ivan,

    I have to pay resale levy of $50k. I have no intention to take loan either from HDB or Bank.

    I wish to keep my cash sales proceed and do not want to pay 50% of cash sales proceed to the loan.

    I was told by HDB Officer that I've to sell my house before collecting the key for the new house so that I don't have to use 50% of sales proceed for the new loan.

    I believe after selling the house, the amount which goes back to my CPF account is sufficient to cover the loan for the new flat.

    My concern is when is the right time to sell my house before the collection of key in Apr 2018
Mike Lim
Replied
Evening Jessie,

Since you are looking at paying up for your BTO, it doesn't matter to you. 50% cash proceed from sales of HDB unit which was under HDB loan is required if you are taking another HDB loan. You only concern should be: is your EM purchased directly from HDB? Are you liable for levy of $50k?

FYI
Mike Lim
 96929209 
m52i@yahoo.com
ERA Read More
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  • JW
    Replied
    Hi Mike,

    I have to pay resale levy of $50k. I have no intention to take loan either from HDB or Bank.

    I wish to keep my cash sales proceed and do not want to pay 50% of cash sales proceed to the loan.

    I was told by HDB Officer that I've to sell my house before collecting the key for the new house so that I don't have to use 50% of sales proceed for the new loan.

    I believe after selling the house, the amount which goes back to my CPF account is sufficient to cover the loan for the new flat.

    My concern is when is the right time to sell my house before the collection of key in Apr 2018?
YT Tan (陈永达)
Replied
Good evening Jessie,

I do understand that you might have utilized housing grant for your current mansionette or it is your first BTO thus you are subject to $50k resale levy.

And do noted that you are not keen to take up loans for the new BTO.

My advice to you to prevent yourself from taking HDB loan will be:

1) take up a bank loan to finance the new BTO so you can avoid paying back 50% sales proceeds to finance loan (HDB). In this way, you don't have to sell off your current mansionette early and rent a place (additional expenses) before moving into the new BTO. Just need to do an early redemption of loan with bank. Could incur small amount of legal fees or penalty.

2) Check with the HDB officer when (time/ date/ year) is it compulsory that you need to take up HDB loan to finance the new BTO. Once you got hold of the date, you can start to work backward to sell off your current mansionette. But by doing so, you have to find a temporary accomodation or rent a place before moving into your new BTO.

I hope my advice are helpful to your decision making.

Hope to hear from you on the compulsory date to take up HDB loan.

Feel free to contact me via email or mobile as Propertyguru doesn't prompt us when there's a reply to our post.

Have a great week ahead. Cheers!

Warmest Regards,
YT TAN 陈永达 | ACCA Graduate, RES
District Director
ECG Property Pte Ltd
(M): +65 9111 5171 
(E): yt.lovelyhomes@gmail.com
(W): www.yttan.com Read More
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