BTO FLATS
Sunday, 6 October 2013 | 08:55 | 0 comments
Alright, since I'm bored, and being so enthusiastic about the BTO flat boyf and I applied, I shall just blog about BTO flat (using mine as an example) and the process. Be warned, this is gonna be a really wordy post.
Got some info on the HDB website HDB BTO
What is a BTO flat ?
The Build-To-Order (BTO) is a responsive system offering flexibility in location and timing for flat buyers. Eligible buyers (planning to shift into a new HDB apartment in the near future) can apply for apartments in their preferred location from the specific sites launched.
Types of flat offered under the BTO :
- Studio Apartments - More info here :SA Info
- 2 Room Flat
- 3 Room Flat
- 4 Room Flat
- 5 Room Flat
The BTO Process :
I indicated my experience in blue
1. HDB announces the site of the new flats
2. Interested party submits their application within the application period (SGD$10 Administrative fee applies) - Le boyf and me applied ours for the March 2013 BTO on 21st March 2013.
3. HDB conducts a computed ballot to determine applicants' queue number to book the flat - We got notified by a letter sent from HDB during mid April that we got the queue number 86 our of 196 units of 3 Room Flats, the type we applied.
4. HDB invites applicants to select their choice of unit. - We got our appointment scheduled by HDB on 17 July 2013. We also applied for our HLE* and AHG* on this day.
HLE : The HDB Loan Eligibility Letter (HLE) will give an indication of the loan you are eligible for but the final or NET loan that is given will depend on HDB's prevailing conditions governing the granting of loans such as the loan ceiling of 90% of selling price or value of the flat, and the amount of CPF in your ordinary account.
AHG : The Additional CPF Housing Grant (AHG) Scheme is meant to help lower-income citizen families with a steady household income to buy their first subsidised home. It is based on a workfare concept, where at least one of the applicants must have worked continuously for 12 months prior to the flat application and remain employed at the point of flat application. The AHG amount is graduated according to income brackets, in favour of lower income households. It can be used to offset the purchase price of a new flat, resale flat or DBSS flat. It is an additional subsidy over and above the regular subsidy and CPF Housing Grant that new and resale flat buyers receive respectively.
5. HDB assesses the demand for each BTO launch and decide whether to build the flats. Contract will not be offered if the demand is low.
6. Our HLE got approved on 29 Sept 2013. It's validity will be for 3 months. When the date for the collection of keys is near, we will have to apply again. (Correct me if I am wrong)
Whereas our AHG got approved on 3 Oct 2013.
7. Second appointment which is to sign the Agreement of Lease is being scheduled on 13th Oct 2013 (Surprisingly, on a Sunday morning)
8. Realised that the construction has already started on 15th Sept 2013 (Approximately)
9. Waiting for the Construction of flat patiently. (Takes approximately 3-5 years depending on certain variables that might affect the duration of the construction)
10. Applicants will be informed to collect the keys when the construction is completed. - Boyf and me applied under the Fiance/Fiancee Scheme and hence we have to provide our ROM (Registry of Marriage) Certificate before collecting the keys.
The above are approximately the process of applying a BTO flat in Singapore. Overall it will take 3-5 years to be able to move in. I'm in the state of waiting to attend the second appointment to sign the Agreement of Lease.
To sum it up, it took us approximately 7 months from the date of application for the ballot online to signing the lease of agreement at HDB. I see people completing the process as fast as about 5 months. So I ain't too sure what are the affecting factors of the waiting duration.
It's a new and amazing experience for me (well, boyf asked me to make the decisions for all matters regarding our flat so I'm the one being more experienced as compared to him).
After all, it's a love nest between a couple who are both in a stable relationship getting ready to enter into the next phase of life and for some, getting ready for kids after that? So ultimately, I believe it will all gonna be a worthwhile wait :)
