Asked 2w ago
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)?
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.