Still Blur About Contra

[learn*to*be*agent 0]

extracted from terms and conditions for contra (ecf) :

"Where there is a mortgage in favour of a financial institution and/or CPF Mortgage/charge on Flat A and/or Flat B or where private solicitors have to be engaged, HDB reserves the right not to approve the application for the Enhanced Contra Facility "

does the above mean : no bank loan, must use hdb loan

cannot use CPF to service loan......this part i most blur

cannot use your own lawyer

i need to know too : is doing contra ( involve 3 parties ) really complicated ?

what are the complexities ? case studies......

how common do people do contra ???

[friends78 0]

extracted from terms and conditions for contra (ecf) :

"Where there is a mortgage in favour of a financial institution and/or CPF Mortgage/charge on Flat A and/or Flat B or where private solicitors have to be engaged, HDB reserves the right not to approve the application for the Enhanced Contra Facility "

does the above mean : no bank loan, must use hdb loan

cannot use CPF to service loan......this part i most blur

cannot use your own lawyer

i need to know too : is doing contra ( involve 3 parties ) really complicated ?

what are the complexities ? case studies......

how common do people do contra ???

The 3 parties need to be around for the first appt. Your buyer and your seller have to agreed on a common date and go down with you on the first appt. You have to use HDB loan so u need not engage a lawyer, can use HDB lawyer to act for u. Can use CPF to service loan. You need not pay the COV within the 10 working days after your first appt if your sales proceeds is enough to offset it. Hope it's helpful:)

Edited December 18, 2010 by friends78

[Plastic3 0]

does the above mean : no bank loan, must use hdb loan

cannot use CPF to service loan......this part i most blur

cannot use your own lawyer

i need to know too : is doing contra ( involve 3 parties ) really complicated ?

what are the complexities ? case studies......

how common do people do contra ???

current & future loan must be from HDB, 1st appt is on the same date for all parties

most complex part is getting people to cooperate with each other

Contra is quite common...

Best,

Mark

[Jgal 0]

The 3 parties need to be around for the first appt. Your buyer and your seller have to agreed on a common date and go down with you on the first appt. You have to use HDB loan so u need not engage a lawyer, can use HDB lawyer to act for u. Can use CPF to service loan. You need not pay the COV within the 10 working days after your first appt if your sales proceeds is enough to offset it. Hope it's helpful:)

Just curious to know.... as a seller, if i want the $$ to be given to me within 10 working days after 1st appt... Do i need to hightlight to the agents and the buyer?

I cant assume they know right ?

[friends78 0]

Just curious to know.... as a seller, if i want the $$ to be given to me within 10 working days after 1st appt... Do i need to hightlight to the agents and the buyer?

I cant assume they know right ?

It's not possible. The buyer pays HDB directly not to u. HDB will hold the amt and will only give u the sales proceed cheque on your 2nd appt. So if u intend to buy and has scheduled your buying of flat's first appt before your 2nd appt, you will still need to come out with the cash required first.

Edited December 18, 2010 by friends78