hearts 0 Report post Posted May 10, 2011 (edited) Hi all,I am new to loans and I have quite many doubts on HDB loans. Please advise on whether my following understandings are correct or not. Thanks in advance.I need to ask these questions because we are planning to have 5 rooms BTO and it's expensive, and we've tried to apply for BTOs for a year already and no luck so far. We will consider DBSS too, and DBSS is even more expensive. I doubt that we will have to apply for a very large amount of loan. My wife is having a baby and she's not working so I have to probably apply for loans on my own behalf. My current salary alone may not support such high amount of loans but I believe that the loan will be within our financial capability (my wife is Ph.D. graduated and she can earn even more than me).1) For BTO, during selection date, I have to pay for 5%/10%/20% down-payment by CPF or Cash, and I have to pay another 95%/90%/80% after several years (during key collection process). Does it mean that I only need to apply for HDB loan after I collect my key? And does it mean that I only need to start paying the monthly installment after I collect my key?2) It's said that I have to apply for an HLE letter during BTO selection process, what's the use of this letter if I need to apply for HDB loan after several years? Can I still successfully sign the agreement even if currently the HLE letter can't grant me the loan I wants? What will happen if say I need S$400,000, but HDB only grants me S$300,000 in the HLE letter during BTO selection process? Will HDB grant me more during key collection? Or I have to pay another S$100,000 in CPF or cash during key collection (or during BTO selection?)3) What will happen if say I need S$400,000, but HDB grants me S$300,000. And after several years when I collect my key, my income is reduced. Will HDB reduce my loan amount during that time?4) If I will take loan from bank other than HDB, what will happen if the granted loan is not enough currently but are enough after several years?Thanks again.Vincent H. Edited May 10, 2011 by hearts Share this post Link to post Share on other sites
bepgof 20 Report post Posted May 10, 2011 (edited) Read this for Q1.http://www.straitstimes.com/STI/STIMEDIA/pdf/20100105/btoannexc.pdfyou can loan up to 90% @2.6% interest rate. "Defer payment" mode applies to BTO = start monthly instalment upon completion = collect key. Can all be settled by CPF, provided yr cpf OA got enough money.Watch out for VL,minimum sum rules & various cpf rules.http://www.mom.gov.sg/newsroom/Pages/HighlightsDetails.aspx?listid=31Just casted your GE vote for the 1st time? Edited May 10, 2011 by bepgof Share this post Link to post Share on other sites
hearts 0 Report post Posted May 11, 2011 Read this for Q1.http://www.straitstimes.com/STI/STIMEDIA/pdf/20100105/btoannexc.pdfyou can loan up to 90% @2.6% interest rate. "Defer payment" mode applies to BTO = start monthly instalment upon completion = collect key. Can all be settled by CPF, provided yr cpf OA got enough money.Watch out for VL,minimum sum rules & various cpf rules.http://www.mom.gov.sg/newsroom/Pages/HighlightsDetails.aspx?listid=31Just casted your GE vote for the 1st time?Thank you for answering this. I am clearer about the rules now. One more question, does BTO deferred payment impose more cost on me? I think DBSS deferred payment requires 2% or 3% more on the current price.I didn't go for voting. I move almost once a year and I have really no interests to vote for a district that I just moved in。 Share this post Link to post Share on other sites
bepgof 20 Report post Posted May 11, 2011 (edited) Sorry for confusing you on the defer payment scheme. Only DBSS & EC apply this payment scheme. Read this: http://www.hdb.gov.sg/fi10/fi10296p.nsf/PressReleases/DA4F63C348AA4B9C4825784500035F4A?OpenDocumentIf not seriously mistaken, payment to loan will commence once disbursement starts which is at completion day = the day you take key.Pay attention to line 15 in Annex C.Voting is compulsory in Singapore for all 21 yr old & above citizen irregard whether citizens like or not, otherwise without valid resons will be fined. Unlike, say our neighbour, Malaysia, voting is "optional"- need to register first then can vote.Thank you for answering this. I am clearer about the rules now. One more question, does BTO deferred payment impose more cost on me? I think DBSS deferred payment requires 2% or 3% more on the current price.I didn't go for voting. I move almost once a year and I have really no interests to vote for a district that I just moved in。 Edited May 11, 2011 by bepgof Share this post Link to post Share on other sites
