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I made otp and exercise fee, upon hdb approval I was told if i were to proceed with the applications i need to fork out 10k cash because grant not enough under single scheme, i thought of cancelling the application but seller agent said they will take legal actions if the transaction does not go through. Kindly assist and advice.
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5 Answers

Hi Sir/Mdm,

If you are not able to complete the purchase, it is advisable for you to engage the seller and agent and come to a amicable solution. Legal actions will take time and money and therefore it may not be in the best interests for the seller to do so.

Please feel free to contact me so that I can assist you further.

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Nick Tan
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Hi,

It would be better for you to have a physical meeting with the sellers and to negotiate about it.

Regards
Aaron
 9730 8455 
aaronchong2774@yahoo.com.sg Read More
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They are right that you have entered into a legal binding agreement for the purchase, therefore legally speaking, the only way you can walk away from the transaction is when HDB rejects the transaction due to ineligibility. In your case, HDB has approved the transaction, thus seller have the rights to go after you in the event that you walk away from this. I agree with Nick's suggestion that you should engage seller to explain the situation and see if there are other solutions to this. Read More
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Hi,

1) At the point of exercising the OTP, you already entered into a legal agreement with the other party.
2) All the essential elements that a legal contract must have are already in place.
3) Your agent should have advice on the financial situation that you could commit to when the valuation report is out.
4) You should have backed out from exercising the OTP when you were aware of the risk you could encounter to proceed further.
5) Now, you have already submitted and received approval from the HDB. It is too late to back off without the other party asking for compensation.
6) The other party has the right to enforce the terms of the OTP for specific performance, damages, or any other remedy.
7) The HDB has advised to settle this dispute through mediation at the Singapore Mediation Centre (a company limited by the guarantee of the Singapore Academy of Law) before referring to arbitration or litigation.
8) So, before paying a 3rd party to settle this, it is recommended to meet up with the sellers to explain the situation and seek an agreement between parties. It is time and effort-consuming to go through the formal process.

Please give me a thumbs-up if the answer provided is relevant to your main concern. Thanks!!!

Hope the above answers your main concerns, but if there are more queries, please feel free to contact me at 90110636  , or email: ling.ck7@gmail.com if more information is needed.
I'll be glad to assist.

Best regards
Ling CK
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https://R056727F.propnex.net/
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