Selling A Flat Bought Under Enbloc Scheme

[pinkpetter 0]

Need some advice from you all.. The details are a bit skimpy cos the person who bought the flat has passed..

a decade ago when the other flat was gg to be revamped they were offered this flat (40 yr old) for just $30k under the enbloc scheme. They bought this flat and continue to stay in it. One of the buyers has passed on and now left the flat under the wife's name. Now they want to sell and upgrade... the flat can be sold for about $200k... what happens to the money? How is it subdivided then?

Is there money left for them to upgrade to a bigger flat leh?

[delirious_jeff 0]

Need some advice from you all.. The details are a bit skimpy cos the person who bought the flat has passed..

a decade ago when the other flat was gg to be revamped they were offered this flat (40 yr old) for just $30k under the enbloc scheme. They bought this flat and continue to stay in it. One of the buyers has passed on and now left the flat under the wife's name. Now they want to sell and upgrade... the flat can be sold for about $200k... what happens to the money? How is it subdivided then?

Is there money left for them to upgrade to a bigger flat leh?

Correct me if I understand ur qn correct. I have rephrased as follow...

Owner X and Owner Y (joint owners) own Flat A.

Flat A is revamped so Flat B is offered to Owner X and Owner Y (joint owners)

Owner X passed on.

Owner Y becomes sole owner of Flat B

If Flat B is sold, the sales proceeds shall go to Owner Y. Unless there is a Owner Z not mentioned above. Is there a Owner Z?

[pinkpetter 0]

Hello!!! thank you for your reply. No there's no Owner Z.

But how is the amt calculated? I'm hoping to get a ballpark figure before going to HDB...

Since they buy it under this scheme, they received a large subsidy right? cos they bought it for $30k only. So will the subsidy be taken back or need to be repaid? Also if the monies to pay the amt came from the CPF of the one who had passed on.. what happens now? Are the monies returned to his CPF?

Sorry for bombarding so much. TIA

[bobztoise 0]

Hi,

not sure if I answer correctly

anyway I also bought a flat under SERS scheme 4 years ago

the flat owner Y bought was probably not under subsidy

the reason it was at 30K was because

(A) it was 10 years ago

(B) 30K was possibly the nett value after offsetting the value of the old flat prior to the current one

200K now is market value which is very much in line with general HDB price trend

Hence, owner Y is entitled to the full proceeds of the sale in the absence of owner X

[pinkpetter 0]

Hi,

not sure if I answer correctly

anyway I also bought a flat under SERS scheme 4 years ago

the flat owner Y bought was probably not under subsidy

the reason it was at 30K was because

(A) it was 10 years ago

(B) 30K was possibly the nett value after offsetting the value of the old flat prior to the current one

200K now is market value which is very much in line with general HDB price trend

Hence, owner Y is entitled to the full proceeds of the sale in the absence of owner X

Thank you thank you... it's possible leh! I never thought of it... maybe. I must probe more. but cos the remaining owner Y.. is not educated and all the decisions were made by Owner X so I'm afraid she may not know much. Sigh

But thank you for this answer.

Anyone else who has inputs pls pls pls reply. thank you.

[Warrior88 0]

Price just under 30k ? Or was it, they were given 30k, some kind of reimbursement.

Usual for SERS, to be offer 30k, or 20% off for the new flat. Easiest way to logon to their CPF to see the history of their purchase.

[hdbfan 0]

Thank you thank you... it's possible leh! I never thought of it... maybe. I must probe more. but cos the remaining owner Y.. is not educated and all the decisions were made by Owner X so I'm afraid she may not know much. Sigh

But thank you for this answer.

Anyone else who has inputs pls pls pls reply. thank you.

Hi,

I didn't know that HDB offered a 40yr old flat under the SERS scheme. Usually new flats are built for them and some remaining flats built earlier elsewhere are also offered sometimes. Anyway if selling this flat and buying another - should not have any issue with profit as long as MOP has been met (for this case it is 10 yrs already) - so no issues and profit should go to the surviving owner. Need only payback HDB the 30K discount if buying a brand new flat

Can i know where is the flat located? (just curious)

Edited August 22, 2010 by hdbfan

[pinkpetter 0]

Price just under 30k ? Or was it, they were given 30k, some kind of reimbursement.

Usual for SERS, to be offer 30k, or 20% off for the new flat. Easiest way to logon to their CPF to see the history of their purchase.

That's the problem. Owner Y wasn't really involved in decision making.. She said (in chinese) that they paid 30k only. She doesn't have singpass so I probably have to go to CPF board with her to apply.

Thanks for the clarification on the SERS scheme.

Hi,

I didn't know that HDB offered a 40yr old flat under the SERS scheme. Usually new flats are built for them and some remaining flats built earlier elsewhere are also offered sometimes. Anyway if selling this flat and buying another - should not have any issue with profit as long as MOP has been met (for this case it is 10 yrs already) - so no issues and profit should go to the surviving owner. Need only payback HDB the 30K discount if buying a brand new flat

Can i know where is the flat located? (just curious)

Toa Payoh. Both the previous one and the current one.

Have to pay back the 30k discount wor??! omg. lol *crossing fingers hope it's not*

mm Shall make a trip to HDB to ask... seems like the best way.. just too busy.. and not sure how to convince Owner Y to go along. LOL

[Warrior88 0]

That's the problem. Owner Y wasn't really involved in decision making.. She said (in chinese) that they paid 30k only. She doesn't have singpass so I probably have to go to CPF board with her to apply.

Singpass don't need to go CPF. Just logon, key in IC number, and request for new password.

3 ~ 4 days later, new password will be mail to owner Y home.

[delirious_jeff 0]

That's the problem. Owner Y wasn't really involved in decision making.. She said (in chinese) that they paid 30k only. She doesn't have singpass so I probably have to go to CPF board with her to apply.

Thanks for the clarification on the SERS scheme.

Toa Payoh. Both the previous one and the current one.

Have to pay back the 30k discount wor??! omg. lol *crossing fingers hope it's not*

mm Shall make a trip to HDB to ask... seems like the best way.. just too busy.. and not sure how to convince Owner Y to go along. LOL

Yes, I think you should make a trip down to HDB and clarify. Sometimes a face-to-face discussion is better than many emails and phone calls.

You may want to ask HDB if the newer apartment under SERS is offered to Owner Y with a brand new lease of 99 years. In my opinion, owning a HDB is like owning a car. The initial value starts depreciating as the remaining number of years of the lease reduces with each passing year. Obviously, it will very good if the new flat comes with a brand new lease.

You may also want to check how CPF monies is used to purchase the current HDB flat. This shall probably determine how much money needs to be put back to the CPF if you want to take the reimbursement. Assume Owner Y is more than 55 years old, some minimum sum needs to be placed in the CPF, which would affect the next apartment purchase.

Good luck!

Edited August 23, 2010 by delirious_jeff

[pinkpetter 0]

Singpass don't need to go CPF. Just logon, key in IC number, and request for new password.

3 ~ 4 days later, new password will be mail to owner Y home.

mm thank you thank you!! Will do that when I get home.

Yes, I think you should make a trip down to HDB and clarify. Sometimes a face-to-face discussion is better than many emails and phone calls.

You may want to ask HDB if the newer apartment under SERS is offered to Owner Y with a brand new lease of 99 years. In my opinion, owning a HDB is like owning a car. The initial value starts depreciating as the remaining number of years of the lease reduces with each passing year. Obviously, it will very good if the new flat comes with a brand new lease.

You may also want to check how CPF monies is used to purchase the current HDB flat. This shall probably determine how much money needs to be put back to the CPF if you want to take the reimbursement. Assume Owner Y is more than 55 years old, some minimum sum needs to be placed in the CPF, which would affect the next apartment purchase.

Good luck!

YES I do think a trip down will be good.. but I'm not sure I can convince Owner Y to go with us without any solid plans in place which is why I'm afraid HDB might not want to give us any answers. I totally agree about the CPF thing it'll certainly help if we can calculate how much we need for the next purchase.

THANKS GUYS!!

[Always Happy 0]

mm thank you thank you!! Will do that when I get home.

YES I do think a trip down will be good.. but I'm not sure I can convince Owner Y to go with us without any solid plans in place which is why I'm afraid HDB might not want to give us any answers. I totally agree about the CPF thing it'll certainly help if we can calculate how much we need for the next purchase.

THANKS GUYS!!

Singpass just go community centre and apply on the spot. After that can go log in immediately to check on CPF website on property.

There will tell you if propoerty sold, how much to be return back (in this case the 30K).

Edited August 30, 2010 by Always Happy