If you are venturing into purchasing a Private Resale Condo for the first time, you will find the following overview of the process useful.
- Once the property of choice has been found, you'll want to negotiate with the seller for the right price.
- To order to receive the Signed Option to Purchase, an option fee of 1% of the purchase price is required to 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. Do discuss with the property agent; they will have a handful of bankers of different company.
- 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 - 17% , 3rd onwards- 25% Singapore PR 1st Property - 5%, 2nd -25%, 3rd - 30% Foreigners - 30% | For Properties $1m and/or above. Stamp duties is based on 4% of Purchse Price - $15,400 For Properties $999,999 and/or below. Stamp duties is based on 3% of Purchse Price - $15,400
|
| Within 10-12 weeks from Exercising Option | Completion of Sales & Purchase at Law Firm | 20% Remaining Payment (Cash/CPF) Maximum of 75% Bank Loan if Eligible. |
