Advertisement

Ren Fa Kay

04 Jan 2021

∙

How does HDB Grant work together with Cash over Valuation?

Assuming following scenario, given the agreed price between buyer and seller is 650k and grant allowed for buyer is 70k and the COV is 630k.

Do we need to pay the 20k difference in cash (650k-630k)?
Or should it be based on the valuation? (650-70k-630k i.e no cash top up)?

1

Discussion (1)

What are your thoughts?

Learn how to style your text

Wrong Sean

04 Jan 2021

COV is CASH over valuation.
In your case, the price is 650k and the valuation is 630k.

The HDB grant is given in the form of CPF funds to offset the non-cash portion of the downpayment/purchase price.

Means you have fork out cash of $20k as none of the grants and loan will cover the additional $20k.

Remember the loan only covers a percentage of the price or value whichever is lower.

Reply

Save

Write your thoughts

Related Posts

My parents are considering to sell their 4-room HDB to get a 4-room SBF, with minimal cash outlay. Confused when searching HDB online, how does the sale proceedings and CPF work to fund for the SBF?

Both 23 BTO 4R HDB for upcoming August 2021 listing. I'm finishing NS+starting Uni on August. My fiancée is working Full time ~$2.5k/mth. What are the grants available? Any overlooked financial risk?

[SG News] 1 in 3 HDB resale flat buyers paid cash over valuation this year, up from 1 in 5 in 2020

What's the average COV (Cash over valuation) 💵 for HDB resale flats now?

I’m 28 YO, married and have bought a HDB resale with Single Grant Scheme. Now, my wife has just gotten her SPR. Should I go for the HDB TOP-UP grant (est.$60K)

Related Posts

My parents are considering to sell their 4-room HDB to get a 4-room SBF, with minimal cash outlay. Confused when searching HDB online, how does the sale proceedings and CPF work to fund for the SBF?

Both 23 BTO 4R HDB for upcoming August 2021 listing. I'm finishing NS+starting Uni on August. My fiancée is working Full time ~$2.5k/mth. What are the grants available? Any overlooked financial risk?

[SG News] 1 in 3 HDB resale flat buyers paid cash over valuation this year, up from 1 in 5 in 2020

What's the average COV (Cash over valuation) 💵 for HDB resale flats now?

I’m 28 YO, married and have bought a HDB resale with Single Grant Scheme. Now, my wife has just gotten her SPR. Should I go for the HDB TOP-UP grant (est.$60K)

Advertisement