Since the pandemic, we have been experiencing BTO delays in the range of 6 to 12 months and that has led to a surge in the resale market. Now that you have issued your Option to Purchase (OTP) and secured yourself a buyer, what’s next? In short, you will be required to complete the HDB resale application. It might sound like a taunting process for many 1st time sellers but it’s actually not as hard as you think.

Fret not, in this article we will outline in details what you need to know about your HDB resale application. 

1. What is the HDB resale application
2. What are the documents needed for the HDB Resale Application
3. Resale application fee
4. What do I need to do after submitting my HDB application
5. Can I cancel my HDB resale application
6. When is the HDB resale procedure completed

1. What is the HDB Resale Application?

This is the next step after your buyer has exercised the Option to Purchase (OTP). At this stage, both your buyers and you are required to submit your respective portions to HDB, through the HDB Resale Portal. This is one of the final steps in the HDB resale process.

Quick tip:
Do remind your buyers to check on their eligibility conditions and resale requirements before submitting your resale application 

The process takes around 15-30 minutes to complete. However, you do not need to worry if you are interrupted in between as you can save your application as a draft and then continue filling it out later on.

HDB will notify both the sellers & buyers of the acceptance of the application via SMS or email and will take about 8 weeks from the date of acceptance to process your application.

2. What documents are needed for the HDB Resale Application?

You may be required to provide soft copies of some of the following documents, so do get them prepared beforehand!

• Details of Option to Purchase (I.e, OTP Serial Number, Date of Purchase, Excercise Date, Purchase Price, Option Fee/Exercise Fee)
• Seller’s particulars
• Buyer’s particulars
• Indication on whether there is an existing loan (HDB/ Financial Institution)
• Declaration regarding of purchase
• NRIC (for citizens)
• Passport and Re-Entry Permit (for non-citizens)
• Duplicate lease, if issued
• Wife’s/Husband’s endorsement on the Resale Application Form, or the Spouse Consent to Resale form if he/she is not a joint-owner
• Death certificate of the seller, if applicable
• Power of Attorney or Lasting Power of Attorney (LPA), if applicable
• Deed of Separation / Divorce Certificate (or similar), if the resale is a result of a separation and both partners were owners
• A letter of consent from the Official Assignee (applicable if selling flat after bankruptcy filing)

Your buyer will also have a number of documents to submit on their end, such as their personal income documents and HLE letter. On a side note, do ensure that your buyer has sufficient enough funds to buy the HDB flat and are familiar with the restrictions on usage of CPF and HDB loan. 

Once you’ve submitted your HDB Resale Application, do remind the buyer to submit theirs within 7 calendar days. If you fail to do so, the application will lapse and you’ll lose your application fee!

*Note: If you’re using the proceeds from the sale of this HDB to buy a new flat, you’ll need to indicate that you’re applying for the Enhanced Contra Facility on the HDB Resale Application.

3. What are the Resale Application fees?

Both you and your buyer will have to pay an administrative fee when submitting the Resale Application. The exact amount differs depending on the size of the flat:

Source from: HDB

Payment can be via Visa / Mastercard on the HDB Resale Portal.

After you’ve paid up, HDB will send you an SMS within 10 working days. This message will either inform you that they’ve accepted your application or that you’ve missed something out. HDB’s official acceptance marks the beginning of the 8-week processing time.

(Read also: The Costs of Selling Your Property)

4. What do I need to do after submitting my HDB Resale Application?

During the 8-week processing time, you’ll have a number of tasks to clear:

1. Acknowledge and endorse documents within 6 days (HDB will send you an SMS informing you when the documents are ready)
2. Pay all the legal fees online (Visa/Mastercard)
3. Schedule a date for HDB’s inspection
4. Schedule a date for the Resale Completion Appointment
5. Get HDB’s in-principle approval for the resale (usually within 2 weeks after both sides have endorsed the documents)
6. Move out of the HDB flat completely
7. Pass HDB’s inspections
8. Invite buyer to inspect the flat for vacant possession
9. Attend the Resale Completion Appointment

Throughout the 8-week timeframe, both you and the buyer can login to the HDB resale portal and check on your application status at any time. 

5. Can I cancel my HDB Resale Application?

You may require the buyer’s consent if you are doing it later on in the 8-week timeframe and keep in mind that the OTP is a legally binding contract that you’ll have to privately settle.

If you are firm on cancelling your HDB Resale Application, do write to HDB to inform them of your case.

Else, the application might also be cancelled under the following scenarios:

• HDB aborted or did not approve the resale (possibly due to incorrect information in the resale application by the seller or buyer)
• The buyer and seller mutually agreed to withdraw the application (by giving HDB a notice in writing)
• The buyer has insufficient funds to purchase the flat
• Either the buyers or sellers are not eligible to submit the application under the prevailing HDB policies (e.g., buyer doesn’t meet any eligibility schemes)

6. When is the HDB resale procedure complete?

Assuming all the documents have been approved and the financing has come through, you will have to attend the Resale Completion Appointment with a HDB representative (applicable even if you have engaged a HDB solicitor to act for you). However, you do need to attend if you have engaged a private solicitor as he/she can attend this appointment on your behalf.

The date of the appointment is usually around 8 weeks after the resale application has been accepted. Both seller and buyer will be notified via SMS about the exact date and time.

The HDB resale procedure may seem like a long journey, but in most cases, it is not as painful as it sounds. The time taken from exercising the OTP to completion is typically between 3 to 4 months and most of the steps in this resale procedure can be performed online. 

If you have any questions about the resale process, please feel free to reach out and schedule a non-obligatory consultation with our Bluenest advisor.

At Bluenest, we sell our properties faster, better and more efficient than the other agents in the market. This is the result of our AI tools, personalized marketing strategy & top-notch agents. At only 1% commission fees, you get to enjoy best-in-class service and expertise!

Speak to us at +65 3138 2554 or simply drop us a mail at hello@bluenest.sg

Check out our HDB success stories:

1. HDB sold in 6 days despite ethnic quota
2. HDB resale flat sold at record price

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