Short answer
Buying an HDB resale flat involves an Option to Purchase, a valuation, and sometimes cash-over-valuation (COV) if the agreed price exceeds the HDB valuation, which you pay in cash. Eligible buyers may get CPF grants and an HDB loan (HDB).
Steps
- Get an HFE letter (for a loan and grants).
- View flats; check lease remaining, floor level and recent transactions on data.gov.sg.
- Agree the price and pay the option fee (between $1 and $1,000, agreed with the seller).
- Exercise the option; submit your resale application via HDB.
- Valuation, completion and key collection.
Valuation and COV
If the price is above the HDB or bank valuation, the difference (COV) is paid in cash, not from CPF or a loan. Check recent transactions in the same block and flat type before agreeing a price.
Sources to check
Frequently asked questions
Do I need a valuation?
Yes. HDB requires a valuation, and a bank loan is based on the lower of price and valuation.