How Much Do Young Singaporean Couples Really Know About BTO Flats?
In Singapore, applying for a BTO flat often comes before the actual proposal for many couples. What are some of the considerations couples need to discuss before they apply?
We prepared 7 questions to quiz 3 couples. Find out how they fared!
Q1 (1:05): What does BTO stand for?
Answer: Build-To-Order
Q2 (1:15): True or false? You need to be married before you can apply for a BTO flat.
Answer: False. At the point of application, you do not have to be married. However, you need to solemnise your marriage within 3 months of collecting the keys to the flat.
Q3 (1:31): True or false? It is possible to pay zero cash for your BTO flat.
Answer: True. About 80% of first-time homebuyers pay off their housing loans using just their CPF savings, with zero additional out-of-pocket cash.
With a HDB loan, you can use your CPF Ordinary Account (OA) savings to make the downpayment in full. If the CPF OA amount is insufficient, the balance is to be paid in cash.
Q4 (2:05): There are 2 types of grants for BTO flats: AHG and SHG. What do these acronyms represent?
Answer:
Additional CPF Housing Grant (AHG)
Grant amount: Up to $40,000 depending on gross monthly household income.
Income ceiling: $5,000
Special CPF Housing Grant (SHG)
Grant amount: Up to $40,000 for 4-room flats and smaller in a non-mature estate, depending on gross monthly household income.
Income ceiling: $8,500
Q5 (2:33): Alex and Rachel just applied for a 4-room BTO flat in Woodlands, a non-mature estate. They earn a combined monthly income of $4,000. How much grants will they be eligible for?
Answer: AHG = $15,000
SHG = $40,000
Total = $55,000
Here’s the handy housing budget calculator used by the couples: https://www.mnd.gov.sg/yourhousingjou...
Q6 (3:02): Are first-time BTO buyers eligible for the Proximity Housing Grant?
Answer: No. Only resale flat buyers are eligible for the Proximity Housing Grant (PHG). BTO flat buyers who apply for a flat within 4km to their parents will get priority when they ballot for their flat, under the Married Child Priority Scheme (MCPS).
Q7 (3:29): If you have urgent housing needs, what options do you have?
Answer: You can buy a resale flat and benefit from up to $120,000 in grants. You can also consider the Sales of Balance Flats (SBF) and the Re-offer of Balance Flats (ROF) exercises, which pool flats not taken up from past sales exercises.
Are you ready to get your BTO flat? How many questions did you get right?
This video was brought to you in collaboration with MND. Start planning your housing journey here: https://www.mnd.gov.sg/yourhousingjou...