Preparing to Sell your HDB?

 

Some home-owners may want to consider selling their property themselves without engaging an agent. We like to share how you can do that and the pros and cons without going through an agent.

 

1. Eligibility

First of all, you need to know if you’re eligible to sell, fulfilling the Minimum Occupancy Period (MOP) is one of the most basic requirements.

E.g, if you’d rented the whole unit or given extension to the previous seller, that period will be not be considered in the calculation of the MOP.

 

2. Planning

Once you’d confirmed your eligibility, you need to consider your next housing plan. Most of the HDB owners fall under:

• BTO buyer

• Upgrade to a bigger resale flat

• Upgrade to a private property

• Resizing to a smaller unit

• Move nearer to Parents/children

• Moved to lived with family members

• Divorce

 

Each case will have some impact to how your property should be marketed and to work out the timeline so you can have a smooth transition to your next home.

 

 

3. Register Intend to Sell

You need to login to the HDB Resale Portal to register Intend to Sell, once registered, it will be valid for 12months. There’s also a cooling period of 7 days before you can issue the Option To Purchase (OTP) to buyer after registration.

 

4. Price Tag

As the home owners, you will want fetch the highest price for your property. There’re tools available online where you can get an estimation of the value of your property.  Priced too high or too low will not bring you the right potential buyers.

 

5. Preparation

Check the Ethnic Integration Policy/Singapore Permanent Resident (EIP/SPR) Quota for your block. This is updated monthly via the HDB website.

Any upgrading works done or to be done (e.g HIP) should be shared with the potential buyers as well.

 

6. Advertise & Viewings

The higher the exposure rate, the more potential buyer will be attracted to view your unit, giving you higher chance of negotiating the best price for your property.

To give potential buyers a good impression, do prepare your house before the viewing.  Open up the windows to ventilate the unit, keep the house neat and tidy.

 

7. Negotiations & Agreement

Agreement on price and conditions with the buyer, including the submission timeline, if there’s any extension required.

If you’re doing contra, note that only 1 party is allowed to do contra in the transaction.

 

8. Grant OTP

Sellers will grant buyer OTP upon receipt of the deposit (max $1,000). Note both sellers and buyer must go through the terms and conditions stated in the OTP.

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OTP is valid for 21 days and buyer must exercise OTP within the option period (21days). Once OTP expired, the option fee will be forfeited.

 

9. Exercise OTP

Buyer will give another maximum $4,000 if they decide to proceed with the purchase during the option period. Both buyer and seller will now decide when they will submit the Resale Application.

 

10. Submit Resale Application

Both buyers and sellers must submit the Resale Application via the HDB resale Portal with the required documents within 7 calendar days from the 1st party who submitted and also within the submission timeline agreed in the OTP (clause 12).

Both buyers & sellers will receive SMS notification from HDB on the estimated completion date & when the documents are ready for endorsement.

There’ll be an administrative fee payable during the resale submission. $40 for 1 & 2 room flats, $80 for 3 room & larger flats.

 

11. Endorse resale documents

Each seller & buyer will have to login to the HDB resale portal to endorse the documents and make payment for Caveat/ Conveyancing fees online.

 

12. Receive approval of Resale

Typically, you will receive approval for the resale within 2 weeks after both sellers and buyers endorsed the documents.  You will be notified by SMS and emails, you can also retrieve the letter from your Resale Portal.

 

13. Resale Completion

Both Sellers and buyers will have to attend the Completion Appointment at HDB Toa Payoh Hub, unless represented by lawyer. Sellers will handover the keys to the buyers and also received the Cash Proceeds on this day.

CPF refund will be received about 2 weeks after the completion.

 

• Note: Buyer will arrange to do an inspection to ensure all the loose items are cleared before the Resale Completion.

 

Below is the list of Pros & Cons of engaging an Agent:

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Contact us for a free 30min consultation if you like to know more.