Income documents to prepare
For your flat application, you and the other applicants and essential occupiers will need to get ready the following documents for our verification:
1) 3 months’ payslips preceding the month of application, if employed full-time (not on commission-basis)
2) 6 months’ of income documents preceding the month of application, for other types of employment
3) Proof of unemployment, if not working
Aside from these documents, the developer may also request further documentation if needed.
For Employed person
3 months’ payslips preceding the month of application
or
Letter from employer certifying salaries for 3 months preceding the month of application; the letter must contain the:
1) Company stamp/ letterhead
2) Certifying officer’s name, signature, and designation
Assessment is based on the average gross monthly income, which:
1) Excludes bonuses and income earned from ad hoc overtime work
2) Includes allowances (fixed/ variable) received on a regular basis (e.g. allowances for food, transport, laundry, uniform, etc.)
If you are employed full-time but on no-pay leave for less than 6 months, we will consider you as employed and use your last drawn pay for assessment. If you are on no-pay leave for 6 months or more, your income will not be considered in the assessment.
Notice of Assessment (NOA) from the Inland Revenue Authority of Singapore (IRAS) is not accepted
Note: If your income includes allowances, we will require 6 months’ payslips preceding the month of application.
Self-employed person
Latest NOA from IRAS or Statement of Annual Accounts certified by an audit firm
and
Valid Accounting and Corporate Regulatory Authority (ACRA) Computer Information (Business Profile) or valid licence of trade
and
Undertaking affirming the average gross monthly income for 6 months preceding the month of application
Assessment is based on the average gross monthly income for the past 12 months
Commission-based person
6 months’ commission statements/ payslips preceding the month of application
or
Letter from employer certifying salaries for 6 months preceding the month of application; the letter must contain the:
1) Company stamp/ letterhead
2) Certifying officer’s name, signature, and designation
Assessment is based on the average gross monthly income.
Part-time worker
6 months’ payslips preceding the month of application
or
Letter from employer certifying salaries for 6 months preceding the month of application; the letter must contain the:
1) Company stamp/ letterhead
2) Certifying officer’s name, signature, and designation
Assessment is based on the average gross monthly income.
Odd job worker
Latest NOA from IRAS
And
Letter from employer certifying salaries for 6 months preceding the month of application; the letter must contain the:
1) Company stamp/ letterhead
2) Certifying officer’s name, signature, and designation
Assessment is based on the average gross monthly income.
Unemployed person (between 18 to 62 years old)
Undertaking affirming the unemployment status
or
1) Valid Student Pass or letter from school/ college/ institute of learning to confirm student status, if currently a full-time student
2) If unemployed for less than 3 months, the following documents are required:
3) Income proof for the preceding month(s) from the previous employer stating gross monthly income and last day of service
Latest 15 months’ CPF contribution history
Income/ allowance that will be considered for income assessment
1) Allowances (fixed/ variable) received on a regular basis (e.g. allowances for food, transport, laundry, uniform, etc.)
2) Sustenance allowance
3) Stipend
Income/ allowance that will not be considered for income assessment
1) Alimony allowance
2) Bonuses
3) Director's fee
4) Income from ad hoc overtime work
5) Interest from deposit accounts
6) National Service Allowance
7) Rental income
8) Scholarship overseas allowance
9) Overseas cost of living allowance
10) Pension
This usually happens when someone:
1) Has not met the Minimum Occupation Period (MOP) of a current flat/ EC unit
2) Has previously cancelled a flat application
MOP requirements: current owner/ essential occupier of a flat or an EC unit
Before applying for the new EC unit, you need to check if you or any other flat applicant(s)/ essential occupier(s) to be listed in the EC application own any of these:
1) HDB flat bought from HDB or on the open market
2) EC unit/ DBSS flat bought from the developer
If so, that person must have already met that flat/ EC’s 5-year MOP before he can apply for a new EC unit. An essential occupier must also have met the flat/ EC's 5-year MOP before he can be listed in a new EC application.
In the case of ECs, you must also wait out a 30-month period from the EC’s effective date of disposal, which we will verify using your Notice of Transfer, or any other such documentation we may require.
MOP of 5 years
HDB flat bought from HDB or on the open market
DBSS flat bought from the developer
MOP of 5 years + 30 months from date of EC disposal
EC unit bought from the developer
Cancelled an HDB flat application after booking a flat
If you booked a new HDB flat and subsequently cancel your booking, you must wait out a 1-year period from the date of the cancellation before you can apply or be listed as an essential occupier of a:
1) New HDB flat
2) DBSS flat/ EC bought from a developer
3) Resale flat bought using a CPF Housing Grant
4) Resale flat announced for SERS
Terminated the Sale and Purchase Agreement for an EC/ DBSS flat
If you had previously bought a DBSS flat/ EC using a CPF Housing Grant and subsequently terminated the Sale and Purchase Agreement, you must wait out a 5-year period from the date of the termination before you can apply or be listed as an essential occupier of an EC.
No, you may not. For an EC flat application, all the listed owners and essential occupiers must not own, dispose, or have an estate or interest in any other local or overseas property:
Within 30 months before the date of the EC application, and up to the date of taking possession of the EC
The properties considered in this instance include but are not limited to:
1) HUDC flats (privatised and non-privatised)
2) Properties acquired by gift
3) Properties inherited as beneficiaries under a will or as a result of the Intestate Succession Act
4) Private property
5) Properties owned, acquired, or disposed through nominees, regardless of properties’ location
Prior consent must be obtained from the Official Assignee (OA) or the private trustee if you are applying to buy an EC. You do not need to seek prior consent from the OA or the private trustee to be listed as an occupier.
First-timer applicant
First-timers enjoy privileges and priority in flat allocation.
Yours will be treated as a first-timer application if you and any of the other listed owners and essential occupiers meet the following criteria:
1) Not the owner of a flat bought from HDB, or an EC/ DBSS flat bought from a developer
2) Not sold a flat bought from HDB, or an EC/ DBSS flat bought from a developer
3) Not received any CPF Housing Grant for the purchase of an HDB resale flat
4) Not taken any form of housing subsidy (e.g. benefitted under the Selective En bloc Redevelopment Scheme (SERS) or HUDC estate privatisation)
If you are a second-timer and your spouse/ spouse-to-be is a first-timer, you will be glad to know that you and your spouse/ spouse-to-be will enjoy first-timer privileges and priority as a couple.
Second-timer applicant
Yours will be treated as a second-timer application if any of the following applies to you or any of the other listed owners and essential occupiers:
Have owned or sold any of the following:
1) HDB flat bought from HDB
2) Resale flat bought using a CPF Housing Grant
3) EC/ DBSS flat bought from the developer
Once taken some form of housing subsidy (e.g. benefitted under the Selective En bloc Redevelopment Scheme (SERS), HUDC estate privatisation)
Yes, provided that you only own/ owned 1 of the following units prior to your application:
1) Flat bought from HDB
2) EC/ DBSS flat bought from the developer
3) HDB resale flat bought using a CPF Housing Grant (only applies to first-timer applicants)
In essence, an eligible Singapore Citizen is allowed to buy the above properties twice in total, not twice per type of property.
If you have already bought 2 such properties, you will not be eligible to apply for an EC or be listed as an essential occupier in an application.
You and your family members listed in the flat application must dispose of the existing flat within 6 months from the issuance date of the Temporary Occupation Permit (TOP) for the EC.
If you want to apply to buy an EC where the TOP has been issued, you will be required to dispose of your existing HDB/ DBSS flat within 6 months from the date the developer serves the Notice of Vacant Possession to you.
Taking a housing subsidy
You and your spouse will be considered as having taken a housing subsidy when you buy an EC from the developers.
Citizen Top-Up
If you are from an SC/ SPR household, you can apply for the Citizen Top-Up when your SPR family member takes up Singapore Citizenship or when you have an SC child.
The Citizen Top-Up is a $10,000 housing subsidy that is given to eligible Singapore Citizen/Singapore Permanent Resident (SC/SPR) households when a qualifying household member becomes a Singapore Citizen.
It is available to any of the following SC/SPR households who have:
1) Paid a premium of $10,000 for the purchase of an HDB flat direct from HDB
2) Taken a CPF Housing Grant for Family of $20,000, or a CPF Housing Grant for Family (Living Near Parents/ Married Child) of $30,000, for the purchase of a resale HDB flat or Design, Build and Sell Scheme (DBSS) flat
3) Taken a CPF Housing Grant for Family to Buy Executive Condominium (EC) projects launched for public sale
It is only distributed to:
1) The original SC applicant/ owner, or
2) The SC spouse who was previously an SPR (if listed as an owner)
Eligibility conditionsAn SC/SPR household will qualify for the Citizen Top-Up in any of these instances:
1) The SPR spouse originally listed in the flat application obtains Singapore Citizenship status
2) An SC child is born to the SC applicant/ owner and spouse originally listed in the flat application
3) The SPR parent/ child/ sibling* originally listed in the flat application obtains Singapore Citizenship status
* Conversion of sibling to SC to qualify for the Citizen Top-Up applies only to flats purchased under the Orphans Scheme and Non-Citizen Spouse Scheme.
TimeframeYou must submit your application within 6 months of being eligible for the Citizen Top-Up.
Minimum Occupation Period (MOP)
Sale of EC
You have to occupy the EC for 5 years from the date of key collection before you can sell it in the open market.
Essential occupiers in EC
Occupiers who are essential in forming a family nucleus with you in the EC application must continue to be listed in the application and stay in the EC during the 5-year MOP.
They cannot make a separate application, or be listed as occupiers in another application to buy an HDB flat or another EC within the MOP.
Renting out your EC
Renting out the whole EC unit
Renting out the whole EC unit within the 5-year MOP is not allowed.
Renting out rooms
You do not need prior approval from HDB to rent out the bedrooms in your EC within the MOP. However, you must register the subletting of bedrooms with HDB within 7 days of doing so. You are also required to notify HDB when you renew or terminate the subletting of bedrooms, and when there are changes to your subtenants’ particulars. You can go to the HDB Branch managing your EC to register the subletting.
Buying another subsidised home
After selling your EC in the open market, you must wait 30 months before you can submit an application to buy any of these:
1) A new flat from HDB
2) An apartment under the Design, Build and Sell Scheme (DBSS) from developers
3) Another EC from developers
Resale levy
The resale levy is meant to reduce the housing subsidy on the buyers' second subsidised flat or EC. It ensures a fairer allocation of housing subsidies among home buyers.
You are liable to pay a resale levy of $55,000:
1) When you sell an EC bought with the CPF Housing Grant after meeting the MOP, and, after meeting a 30-month waiting period, buy a second subsidised flat from HDB or take over ownership of another subsidised HDB flat
2) Buy an EC from a developer where the land sale was launched on or after 9 Dec 2013, including those where tenders were not closed, i.e. Westwood Avenue, Canberra Drive, and Anchorvale Crescent
If you do not intend to buy a second subsidised flat from HDB, and choose to buy a resale flat, a new DBSS flat, an EC from a developer where land sale was launched before 9 Dec 2013 or a private residential property, you need not pay the resale levy.
Interest in private property
You can invest in private residential property after the 5-year MOP.
Borrowers who currently own only one residential property (but with the intention of selling it) and are obtaining a second housing loan for the purchase of another property which is an Executive Condominium (EC) purchased directly from a property developer or a HDB flat can be treated as individuals with no outstanding housing loans.
In order to ascertain if you are eligible to get 75% loan, you need to be aware of MSR or Mortgage Servicing Ratio that is peg to 30% of your combined total income.
In order to avail themselves of such concessionary treatment, they will have to provide the bank granting the loan for the purchase of the second property a copy of the signed undertaking to HDB committing to complete the sale of his sole existing property within the period stipulated in the undertaking.
ABSD remission is applicable to the purchase of a HDB flat or a new EC unit if the remission conditions are met. Remission is granted automatically upon approval of purchase by HDB. Buyers do not need to submit a separate application to IRAS or HDB.
Conditions for Remission
For the purchase of a HDB flat or a new EC unit by a SC household, ABSD is fully remitted.
For the purchase of a HDB flat or a new EC unit by Singapore Permanent Residents (SPRs), the remission is granted such that lower ABSD at the rate of 5% is payable.
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