AskGuru Q&A Community

Get answers from PropertyGuru experts in 24 hours

Asked by
With the new HDB rule in placed on 10 Mar 2014 for resale HDB flats (agree to sale price, grant OTP, then buyer request for valuation report). I have a question as a buyer. Let's say my HDB HLE grants me a max loan of $250k, and I have $150k in CPF, this means my max budget is $400k. If I agreed to a resale at $320k, and the valuation from HDB is $310k, the excess $10k I'll have to pay in cash? Or will HDB loan me $170k ($320k - $$150k) since my loan eligibilty is up to $250k?
0 •
1282 views
Upvote Upvoted
Want this question answered?
Get faster responses from our experts by upvoting.
Be the first to upvote this question.

2 Answers

YT Tan (陈永达)
Replied
Afternoon Victor, Yes you have to pay COV if valuation is lower than agreed purchase price. HDB will loan you up to 90% of property's valuation while 10% will be paid fully by CPF. Excess CPF funds will be used to pay buyer's stamp duty, legal fees and to reduce housing loan. Do bear in mind other than COV, other cash outlay will be resale submission, agent's commission and valuation fee. Hope it helps. If you need assistance in your property purchase, feel free to contact me. Cheers! YT Tan ECG Property 9111 5171  Yt.lovelyhomes@gmail.com Read More
0
Upvote Upvoted
Mike Lim
Replied
Afternoon Victory, Loan component will only cover the sum within valuation. Anything above the valuation will have to be paid by cash. FYI Mike Lim 96929209  m52i@yahoo.com ERA Read More
0
Upvote Upvoted

Still looking for answers?

Get answers from PropertyGuru experts in 24 hours

Ask Your Question
Previously Asked Questions