Buying New From Hdb (dbss)

[koxxic 2]

Guys,

I badly need some doubts cleared now.

I'm looking to upgrade to a 5 room (with my 2nd boy arriving soon) and will most likely be trying for a new DBSS.

In my case, the DBSS will only TOP in 2013 or 2014.

If I were to apply now and if I heng heng get it, I will need to pay 5% cash (no issue on this) but the 15% will need to wait till my current flat is sold (after the proceed is refunded to my CPF).

That will mean I can only sell my flat nearer to the TOP of the new flat.

In such scenario; what can HDB do to help?

[chronograph 0]

Guys,

I badly need some doubts cleared now.

I'm looking to upgrade to a 5 room (with my 2nd boy arriving soon) and will most likely be trying for a new DBSS.

In my case, the DBSS will only TOP in 2013 or 2014.

If I were to apply now and if I heng heng get it, I will need to pay 5% cash (no issue on this) but the 15% will need to wait till my current flat is sold (after the proceed is refunded to my CPF).

That will mean I can only sell my flat nearer to the TOP of the new flat.

In such scenario; what can HDB do to help?

U have to do you planning properly. Besides, do u need to pay levy? Your current flat if buy new from HDB then u have to pay levy.

[koxxic 2]

U have to do you planning properly. Besides, do u need to pay levy? Your current flat if buy new from HDB then u have to pay levy.

no resale levy needed if I'm upgrading; what's more I'm buying a DBSS which resale levy (for 2nd property) is not applicable.

[bepgof 20]

U have to do you planning properly. Besides, do u need to pay levy? Your current flat if buy new from HDB then u have to pay levy.

DBSS/EC are not considered as "subsidised", so not subject to resale levy. BTO yes.

Edited August 20, 2010 by bepgof

[bepgof 20]

Guys,

I badly need some doubts cleared now.

I'm looking to upgrade to a 5 room (with my 2nd boy arriving soon) and will most likely be trying for a new DBSS.

In my case, the DBSS will only TOP in 2013 or 2014.

If I were to apply now and if I heng heng get it, I will need to pay 5% cash (no issue on this) but the 15% will need to wait till my current flat is sold (after the proceed is refunded to my CPF).

That will mean I can only sell my flat nearer to the TOP of the new flat.

In such scenario; what can HDB do to help?

Ah Di oei, seem u don't understand the rules of game well enough:

1. Once you "heng heng" got it, immediate need to pay 5% cash. 15% needs to be paid within 9wk after date of OTP or signing of S&P, then standard Progressive Payment kicks start. You need to borrow "ah kong"'s $ or bank's $.

2. You need to pay another 10% to developer once foundation completed......read the details of the payment method.

3. If payment smooth, heng heng about 2~3 years later then you can move in. Suay suay, the developer get caught in financial difficulty and project half-dead, good luck.

4. When near TOP, the total buying price is supposed to be disbursed to the developer already.

What can HDB help? -HDB will offer you a piece of advise: Get advise from your solicitor.

Note: When signing S&P, you need to pay stamp duty.(buying price x 3% - 5400)

Edited August 20, 2010 by bepgof

[chronograph 0]

DBSS/EC are not considered as "subsidised", so not subject to resale levy. BTO yes.

HDB rules changed alot. Few years back when i'm looking around for EC, the sales person told me must pay levy. Probably he did not do his home work and lost a potential sales.

Thanks for the info.

[bepgof 20]

HDB rules changed alot. Few years back when i'm looking around for EC, the sales person told me must pay levy. Probably he did not do his home work and lost a potential sales.

Thanks for the info.

I also quite confused abt these DBSS/EC/BTO. Not too sure when DBSS/EC get their straita title.

Edited August 21, 2010 by bepgof

[matrix0405 0]

Don think u get strata title for DBSS, it shd be renting from HDB for 99 yrs.

[bepgof 20]

Don think u get strata title for DBSS, it shd be renting from HDB for 99 yrs.

I'm quite blur over issues like : "Auto" conversion to condo after 10 years? HDB "wash hand"? or still in charge after 10 years? If wash hand, then building no longer under town council, but buildings need "title" for maintenance issue.

Edited August 21, 2010 by bepgof

[matrix0405 0]

EC becomes fully pvt after 10 years. DBSS is well-renovated HDB. (HDB goes into reno business).

[silverkris 0]

To answer most of the queries:

If you are looking into buying DBSS, you MUST have 5% CASH in the first place. The developer will require you to write a cheque out on the day of booking and WILL take the cash.

Your CPF / CASH MUST have the rest of the 15% ready. Once the option is executed in HDB, HDB will deduct off the 15% as downpayment for the DBSS. Note: If your CPF has enough at this point of time to pay the full 20% of the downpayment, you MAY request the 5% CASH to be refunded to you at this point of time.

the rest of the 80% can borrow either from HDB (if eligible) or private bank which will pay the developers as and when the stated progress in constructions has been made. this is the major difference between BTO and DBSS, which you only pay (besides downpayment) after you have collected the flat.

Note: DBSS will NEVER be entitled to STRATA status and will NOT privatise in 10 years or 20 years. This is the main difference from EC. It is a HDB flat and will remain so, unless there comes a time where ALL the residents can clear the debts from HDB. EC applicants are never allowed to borrow from HDB in the first place.

Hope the above is clear enough?

[bepgof 20]

To answer most of the queries:

If you are looking into buying DBSS, you MUST have 5% CASH in the first place. The developer will require you to write a cheque out on the day of booking and WILL take the cash.

Your CPF / CASH MUST have the rest of the 15% ready. Once the option is executed in HDB, HDB will deduct off the 15% as downpayment for the DBSS. Note: If your CPF has enough at this point of time to pay the full 20% of the downpayment, you MAY request the 5% CASH to be refunded to you at this point of time.

the rest of the 80% can borrow either from HDB (if eligible) or private bank which will pay the developers as and when the stated progress in constructions has been made. this is the major difference between BTO and DBSS, which you only pay (besides downpayment) after you have collected the flat.

Note: DBSS will NEVER be entitled to STRATA status and will NOT privatise in 10 years or 20 years. This is the main difference from EC. It is a HDB flat and will remain so, unless there comes a time where ALL the residents can clear the debts from HDB. EC applicants are never allowed to borrow from HDB in the first place.

Hope the above is clear enough?

I see, thank you. Why developers for DBSS so desperate for payment like those pte condo? EC residents need to pay "extra money" when converting to Strata?

Edited August 26, 2010 by bepgof

[koxxic 2]

To answer most of the queries:

If you are looking into buying DBSS, you MUST have 5% CASH in the first place. The developer will require you to write a cheque out on the day of booking and WILL take the cash.

Your CPF / CASH MUST have the rest of the 15% ready. Once the option is executed in HDB, HDB will deduct off the 15% as downpayment for the DBSS. Note: If your CPF has enough at this point of time to pay the full 20% of the downpayment, you MAY request the 5% CASH to be refunded to you at this point of time.

so for my case; i need to have the 15% available in CPF right?

I thought HDB has contra facility for owners who have existing and will be selling to fund next new flat; seems like it don't work for DBSS here..

if i buy a $580K unit; i will need to fork out $29K cash (5%) + $87K CPF + Cash (15%), gosh..MBT not helping citizens much yah? haha

[bepgof 20]

so for my case; i need to have the 15% available in CPF right?

I thought HDB has contra facility for owners who have existing and will be selling to fund next new flat; seems like it don't work for DBSS here..

if i buy a $580K unit; i will need to fork out $29K cash (5%) + $87K CPF + Cash (15%), gosh..MBT not helping citizens much yah? haha

Must pay stamp duty (580kx0.03-5,400 = $12,000) to exercise the Sale & Purchase Agreement, Don't miss out this $12,000. I thought contra facility is used only in resale market?

- DBSS launch, you pay 20%, follow by progressive, only few yrs(3~4) later unit will be ready for occupancy. Implying, you willing be selling 3~4 later ? And expecting HDB....., or sell flat upon alloted one DBSS, contra, and rent or stay somewhere 3~4 yr?

Edited August 26, 2010 by bepgof

[chronograph 0]

Must pay stamp duty (580kx0.03-5,400 = $12,000) to exercise the Sale & Purchase Agreement, Don't miss out this $12,000. I thought contra facility is used only in resale market?

- DBSS launch, you pay 20%, follow by progressive, only few yrs(3~4) later unit will be ready for occupancy. Implying, you willing be selling 3~4 later ? And expecting HDB....., or sell flat upon alloted one DBSS, contra, and rent or stay somewhere 3~4 yr?

In the end, still a HDB flat but need to follow pte rule just because it is built by pte developer. I think comparing DBSS and EC, i will go for EC. Smelly smelly must have 100k ~ 200k at least cash on hand if all your funds are locked at your property.

Contra facility is for people taking HDB loan.