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HDB Resale Levy and Revised Resale Levy

HDB Resale Levy and Revised Resale Levy


 

RESALE LEVY AMOUNT FOR EC PURCHASE

* Status of ownership or date which subsidised flat was sold When to pay How & where to pay An indication of how much to pay
#Own an existing subisidised flat at the point of singing the EC Sale and Purchase Agreement Upon the sale of the subsidised flat, after signing the EC Sale and Purchase Agreement Resale levy will be deducted from the cash proceeds upon completion of the resale transaction. Any shortfall will have to be made good in cash. Refer to Table 1: revised resale levy amount
^Sold subsidised flat before 19 May 1997 Before the EC buyers sign the EC Sale and Purchase Agreement Developer will collect Cashier’s Order (in favour of “HDB”) from the EC buyers and forward it to HDB as payment for premium. 20% of EC purchase price
^Sold subsidised flat between 19 May 1997 to 2 March 2006 Before the EC buyers sign the EC Sale and Purchase Agreement Payment to the HDB branch by Cash or Cashiers’ Order only. (No personal cheque or CPF money to be used for payment of resale levy) Refer to Table 2: Resale levy rates
^Sold subsidised flat on or after 3 March 2006 and before signing the EC Sale and Purchase Agreement Before the EC buyers sign the EC Sale and Purchase Agreement Payment to the HDB branch by Cash or Cashiers’ Order only. (No personal cheque or CPF money to be used for payment of resale levy) Refer to Table 1: revised resale levy amount
Previously ^sold an EC unit which was bought from a Developer and have waited out 30 months as at the point of current EC application Before the EC buyers sign the EC Sale and Purchase Agreement Payment to the HDB branch by Cash or Cashiers’ Order only. (No personal cheque or CPF money to be used for payment of resale levy) Revised resale levy amount of $55,000

 

RESALE PREMIUM

Resale Premium applies to subsidies flat sold (based on Option-To-Purchase date) before 19 May 1997. These are very old regulations at times when new housings are insufficient to cater to the rapid growing demand. Unlike Resale Levy, Resale Premium is paid based on 20% of the purchase price for the next subsidised housing (EC/DBSS/BTO) at point of application. Therefore, there are no accumulation of interest like Resale Levy.

REVISED RESALE LEVY (Table 1)

Revised Resale Levy applies to sale of first subsidised flat or EC on or after 3 March 2006 based on Option-To-Purchase date.

First subsidised flat type

Resale Levy amount

Households Singles Grant receipients
 2-room  $15,000  $7,500
 3-room  $30,000  $15,000
 4-room $40,000 $20,000
 5-room & executive $50,000 $25,000
 EC $55,000 $27,500

 

RESALE LEVY (Table 2)

Applies to cases which first subsidised flat was sold before 3 March 2006 but after 19 May 1997.

First subsidised flat type

Resale Levy amount

Based on resale price of the sold flat, or 90% of is market valuation, whichever is higher

Households Singles Grant receipients
 2-room  10%* or 15%  5%* or 7.50%
 3-room  20%  10%
 4-room  22.5%  11.25%
 5-room & executive  25%  12.50%

*Only applicable to 2-room sellers that upgrade to a larger flat type

If the graded resale levy is not paid when the first subsidised flat was sold, there will be a annual interest of 5% being charged. This can result to an alarming amount due to the compounding effect and deferment of many years.