I recently had the pleasure of meeting with a client to discuss their next big move: selling their HDB in preparation for the exciting transition to their soon-to-be TOP executive condo, Copen Grand. This journey marks a significant milestone for HDB upgraders, and I’m eager to share insights from our discussion to assist others on a similar path.
I have created a detailed guide based on the timeline we reviewed, aiming to make this process as smooth as possible. While this guide is tailored for my client, it serves as a valuable resource for anyone upgrading from an HDB to an executive condo. Whether you’re considering Copen Grand or another development, this step-by-step breakdown will help you navigate the journey.
Step-by-Step Timeline for HDB Upgraders
Below is a comprehensive timeline for selling your HDB and transitioning to an executive condo:
Step 1: Register Intent to Sell and Prepare for Sale (7 Days)
Before issuing an Option to Purchase (OTP) to potential buyers, you must register your intent to sell with HDB at https://www.hdb.gov.sg/residential/selling-a-flat/plan-source-and-contract/intent-to-sell. This registration is mandatory and must be completed at least 7 days before you can issue the OTP. During this waiting period, you can work with your trusted property agent to market your HDB and prepare it for sale.
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Tip: Use this time to declutter, make minor repairs, and stage your HDB to make it more appealing to potential buyers.
Step 2: Looking for Buyers
After the 7-day waiting period, you can issue the Option to Purchase (OTP) to potential buyers upon receiving an option fee of up to S$1,000. In this stage, actively seek buyers by marketing your property effectively. Highlight its unique features, utilize online platforms, and consider collaborating with an agent to reach a broader audience. When a buyer expresses interest, they will exercise the OTP by paying a $5,000 option fee, which moves the process forward.
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Tip: Use high-quality photos and list your property on popular real estate portals to attract buyers quickly.
Step 3: Buyer Exercises Option to Purchase (Within 21 Days)
Within 21 days of receiving the Option to Purchase (OTP), the buyer must exercise the option by paying a fee of $5,000. If you require a bridging loan to finance the completion of your executive condo, you can activate it once you have received the exercised OTP from your buyer. Securing the exercised OTP is a strategic step, especially since the key collection date for your new condo may be uncertain. After the developer notifies you of the key collection date, you can trigger the bridging loan if necessary.
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Tip: Coordinate with your condo developer to align key collection with your HDB sale timeline.
Step 4: Submit Resale Application (0 to 3 Months)
Once the buyer has exercised the Option to Purchase (OTP), you must submit the resale application to the Housing & Development Board (HDB) within seven days of whichever party (buyer or seller) submits first. Since the key collection date for your executive condominium is unknown, you can agree with the buyer to submit the resale application only after you receive the key collection notification. However, ensure that this delay does not exceed three months from the date the valuation report for your resale HDB is issued.
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Tip: Double-check all documents before submission to avoid delays in HDB’s review process.
Step 5: Receive HDB’s Approval for Sale (Up to 28 Working Days)
HDB will review your resale application and provide approval within 28 working days. This step ensures that all paperwork and conditions are properly completed before the sale can proceed.
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Tip: Stay in touch with your agent or HDB to track the approval status.
Step 6: Completion and Handover of Property to New Owner (8 Weeks)
About 8 weeks after receiving approval from HDB, the sale will be finalized, and you will hand over the keys to the new owner. If you need additional time before moving out, you can request an extension of stay for up to three months, subject to approval. l.
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Tip: Start packing early to ensure a smooth and stress-free handover process.
Step 7: CPF Returned into OA Account (If Any) and Receival of Cash Proceeds
In this step, any Central Provident Fund (CPF) money that was used for your Housing Development Board (HDB) purchase will be returned to your Ordinary Account (OA). It’s important to update your financial accounts following the sale. At this stage, you will also receive your cash proceeds.
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Tip: Arrange with your lawyer to utilize your returned CPF for your new home.
Key Considerations for HDB Upgraders
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Timing is Crucial: Coordinate the sale of your HDB with completing your executive condo to avoid housing gaps or unnecessary extensions. If you need more time before moving out, you can request an extension of stay for up to three months after the sale’s completion. However, be aware that requesting more time may limit your pool of potential buyers, as some may prefer a quicker handover. Discuss your timeline openly with potential buyers to find a mutually agreeable solution.
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Bridging Loan Strategy: Secure the exercised OTP before activating your bridging loan to align with the uncertain key collection date.
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Resale Submission Flexibility: Arrange with your buyer to time the resale submission based on your key collection notification, but keep it within three months of the valuation report.
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Financial Planning: Understand how your CPF funds will be handled and returned after the sale to manage your finances for the new purchase.
Future-Proof Your Upgrade
If you plan to upgrade from your HDB to an executive condo, bookmark this guide for future reference. The process is largely the same, and having a clear roadmap will make your transition smoother when the time comes.
Additionally, please explore our website’s remaining executive condo options (like Novo Place, Lumina Grand and Altura) and consider signing up for our mailing list. You can also join our WhatsApp and Telegram channels to stay updated on upcoming executive condo launches and alerts. Whether it’s Copen Grand or another exciting development, we will keep you informed every step of the way.
Disclaimer
This guide is intended for informational purposes only and does not constitute professional real estate advice. The timelines and steps provided are general and may vary based on individual circumstances, HDB policies, or market conditions. We strongly recommend engaging a licensed real estate salesperson to assist with your specific plan, ensuring that your HDB sale and transition to an executive condo are tailored to your unique needs and comply with all regulations.
This guide ensures you’re well-prepared for your move into an executive condo, empowering you to embrace your new home with confidence.
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