If you are venturing into purchasing a Private Resale Condo for the first time, you will find the following overview of the helpful process.
- Once the property of choice has been found, you’ll want to negotiate with the seller for the right price.
- To receive the Signed Option to Purchase, an option fee of 1% of the purchase price must be issued by Cheque/Bank transfer to the Vendor(Seller).
The seller now has to honor your option for the agreed time frame (usually two weeks) before being able to
accept another offer.
- You should be looking for a home loan at this point. Discuss with the property agent; they will have a handful of bankers from different banks.
- Should you decide to exercise the OTP, you will be required to pay the remaining 4% of the downpayment as well as the Buyers Stamp Duty and Additional Buyers Stamp Duty (if applicable) within 2 weeks upon exercise.
For the Buyer Stamp Duty and or Additional Buyer Stamp Duty, If you intend to you use CPF, you have to pay in cheque/Cashier Order first and the appointed lawyer shall apply to get reimbursed later from CPF board.
- Again, the time frame between this point and the completion of the purchase varies in accordance to what you agree on with you seller, although usually its about 10-12 weeks from the time you exercise the OTP.
- Pay the balance of the downpayment (20%) and get your keys!
Private Resale Condo Timeline
| TimeFrame | Stage | Payment |
|---|---|---|
| Day 1 | Present Offer to Purchase in exchange for an Option | 1% Booking Fee |
| Engagement of Solicitors | ||
| Select Home Loan (Buyer) | ||
| Within 2 weeks | Buyer to exercise “Option” & sign Sales & Purchase at solicitor’s law firm | 4% Exercise Fee |
| Within 2 weeks from Exercising Option | Pay Stamp Duty (Buyer) Pay Additional Buyer Stamp Duty if applicable Singapore Citizen 2nd Property – 20% , 3rd onwards- 30% Singapore PR 1st Property – 5%, 2nd –30%, 3rd – 35% Foreigners – 60% | Formula for quick BSD calculation Less than $1 million (3% x purchase price or market value) – $5,400 = BSD you have to pay Between $1 million to less than $1.5 million (4% x purchase price or market value) – $15,400 = BSD you have to pay Between $1.5 million to less than $3 million (5% x purchase price or market value) – $30,400 = BSD you have to pay More than $3 million (6% x purchase price or market value) – $60,400 = BSD you have to pay |
| Within 10-12 weeks from Exercising Option | Completion of Sales & Purchase at Law Firm | 20% Remaining Payment (Cash/CPF) 75% Bank Loan if Applicable |
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We can assist you for a smooth buying Journey. Calling Gary 94507545 before making any decisions and we may assist you to make the sales planning more efficient.
Full Time Property Consultant Since 2009.
Gary Lim Lek Boon
Having a knowledgeable, experienced, helpful Salesperson with valuable
information and efficient marketing abilities, can make a big difference in your property investment or selling experience.
Look forward to chat up with you soon.
