BACKGROUND
This page applies only for resale private houses. For HDBs, check out our respective guides for buying a BTO, SBF, New EC Flat or Resale HDB / DBSS / EC Flat. For new private properties, see our guide for buying a New Private Property.
ARRANGE FINANCING
You need to secure a bank loan for your property (unless paying full in cash). See our Mortgage & Financing Guide for important info and calculations for your housing loan.
I recommend Redbrick (and specifically Daniel) for their mortgage advisory services. They will provide you an optimal loan package and a conveyancing law firm at an attractive rate. Also, they cost you nothing as they take their fees from the banks.
I recommend Redbrick (and specifically Daniel) for their mortgage advisory services. They will provide you an optimal loan package and a conveyancing law firm at an attractive rate. Also, they cost you nothing as they take their fees from the banks.
- Redbrick Mortgage Advisory — Daniel Ong (+65 9875 4262)
SELECTION & BOOKING
- Check online property websites (mainly Property Guru, SRX, 99.co) for available HDB resale flats.
- Arrange an appointment with the seller's property agent (directly or via your agent) to view the resale flat(s) you are interested in (See: Finding Your Perfect Home).
- Once you have made your decision, make a price offer to the seller or seller's agent.
SUCCESS > RECEIVE OTP & COMPLETE FINANCING
- If your offer is accepted, pay the Option Fee (1% of purchase price, usually a cheque) to the seller who will grant you an Option to Purchase (OTP).
- Discuss with your bank representative/mortgage advisor to secure a Mortgage Package, Conveyancing Lawyer, and Letter of Offer (LO).
EXERCISE OTP & SIGN S&P
- Within 2 weeks of receiving the OTP, sign the OTP and return it to the seller along with the Booking Fee (4% of purchase price), the Buyer's Stamp Duty (BSD) and any Additional Buyer's Stamp Duty (ABSD) to "exercise" the OTP (usually all via bank transfer).
- Also sign the Letter of Offer and return it to the mortgage bank.
- Your lawyer will receive the Sales & Purchase Agreement (S&P) from the seller and will arrange an appointment for you to sign the S&P at the law firm office.
- If you decide not to purchase the resale flat, you will forfeit the Option Fee.
KEY COLLECTION
- Your mortgage bank and lawyer will complete all the paperwork.
- 2.5 months later, pay the remaining 95% to the seller via your lawyer (Balance of the purchase price minus your home loan amount to be paid using cash and/or CPF, usually by Cashier's Order).
- You can then collect your keys from the seller.
RESTRICTIONS
- For condos and apartments, check with your Estate Management on pet restrictions.
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