Step #1: Check Eligibility

First off, you will need to be eligible for a BTO application. Take a look at the criteria listed below to see if you pass the check.

1. At least 21 years old
2. At least one Singapore Citizen applicant and at least one other Singapore Citizen/Singapore Permanent Resident
3. To apply within respective income ceiling for intended flat
4. Must not possess other residential properties, either locally or overseas, or have disposed of them within the past 30 months

Step #2: Plan Out Your Loans & Finances

This is where you (and your partner) will need to sit down and discuss the best financial route to take on to acquire your BTO.

In Singapore, there are plenty of loans and grants made available for property purchases. These include the CPF housing grant, Deferred Income Scheme, HDB loans and bank loans.

Draft out the best plan possible and make sure the budget is adequately matched to your income. Whenever needed, you can always reach out to our trusted advisors for the best home financing plans!

Step #3: Research on Your Available BTO Options

It is advised that future homeowners take a look at BTO launches available at least 6 months prior. This will give you sufficient time to do research and shortlist the options that suit you and your partner best.

Some points to take into consideration when shortlisting includes:

• Location
• BTO size
• Nearby amenities
• Price points
• Available grants or priority schemes (if applicable)

Priority schemes are inclusive of these:

1. Parenthood Priority Scheme (PPS): For first-timer married couples with children to get homes more easily.
2. Multi-Generation Priority Scheme (MGPS): For parents and their married children to get new BTO flats located within the same estate.
3. Married Child Priority Scheme (MCPS): To help married children live closer to their parents. Could be in the same flat, estate or a neighbouring estate.
4. Third Child Priority Scheme (TCPS): To ease families with more than two children into getting a flat more easily. P.S. Up to 5% of BTO and SBF flats are allotted to eligible applicants.
5. Assistance Scheme for Second-Timers (Divorced/Widowed Parents) (ASSIST): Assists divorced or widowed parents with children under 16 years of age.

Step #4: Ballot for BTO During Launch Period

Once BTO is released and ready for balloting, homeowners are only given 7 days to decide and apply. You can only apply for one flat type at one location for each launch. You will be required to fill in your particulars, occupation, monthly household income and proof of status while balloting.

During this phase, a $10 application fee applies. A good strategy worth trying is opting for lesser popular locations that will give you higher chances of securing a BTO.

Step #5: Check Ballot Outcome & Get Queue Number

The outcome of your BTO ballot will be released 3 weeks after the application period ends. Throughout the 3 weeks, HDB does eligibility checks and computer shortlisting, which considers your household status, flat type, and allocation quotas under the different priority schemes. Once ready, HDB will inform applicants of their ballot results via SMS, email or hardcopy letters.

If you are allocated a queue number within the flat supply, you are assured of a flat as long as the racial quota is not filled! The lower your queue number, the greater your choice of units will be.

Meanwhile, queue numbers exceeding the flat supply would mean you have to depend on enough dropouts for a chance to pick a flat.

Step #6: Secure Loan

Before paying the OTP fee, it is important that you can secure the loan amount required! This is how you can apply for HDB or bank loans.

Securing an HDB Loan:

• Start by applying for an HDB Loan Eligibility (HLE) letter and upload your documents at www.hdb.gov.sg/hleapply
• Applications will be processed within 14 days upon uploading the required set of documents
• To view application status, log in to My HDBPage under My Flat > Application Status > HLE

There is no penalty for the early repayment of an HDB loan. However, do note that a couple’s combined monthly income cannot exceed $14,000.

Securing a Bank Loan:

• The application can be made directly with any approved financial institutions:

1. Regulated by the Monetary Authority of Singapore or
2. Through an established Mortgage Broker

• BTO purchases will require an Approval in Principle (AIP) from a bank
  • AIP is a pre-approval agreement that provides assurance that the bank would approve the loan amount required

P.S. The option fee you had paid for would be forfeited and non-refundable in situations where the loan amount you require is not approved by HDB or banks.

Step #7: Set Appointment 1 for Unit Selection

For your first appointment at HDB, make sure to bring these:

• Appointment letter
• Identification cards
• HLE (applicable only for HDB loans)

Alongside an HDB office, you will be able to select a unit based on what is still available. This selection process strictly follows the queue number you were initially provided with.

You will also need to pay an option fee of:

• $500 for a 2-room Flexi flat
• $1,000 for a 3-room flat
• $2,000 for a 4 or 5 room and Executive flat

After selecting your desired unit, you will have to submit your HLE if you are taking on an HDB loan.

Step #8: Set Appointment 2 for Downpayment & Lease Signing

Appointment 2 at HDB consists of:

1. Signing the lease agreement and
2. Paying of downpayment, stamp duty and legal fees

Your downpayment amount largely depends only on our loan type. If you are taking on an HDB loan, you will only need to pay a downpayment of 10% of the purchase price which can be paid via CPF OA.

Bank loan borrowers will need to pay at least 25% of the purchase price – 5% cash and the remaining 20% via CPF OA or cash.

Apart from payment, you will also need to appoint the ownership status of the BTO. A Joint-Tenancy gives both owners a 50-50 stake on the flat, no matter how much each owner has contributed to the flat purchase. A Tenancy-In-Common gives each owner a separate share of the flat.

Once that is cleared, all you are left to do is wait.

Step #9: Get Your Keys!

Now that your BTO is ready and the wait is over, you can finally collect your keys!

Have more questions?

Getting through the entire BTO process can be very time-consuming. From researching the upcoming BTO projects to securing mortgage loans and the balloting to the years of waiting, it can take up a good 4 to 5 years.

If you are feeling overwhelmed, drop us a message for customised guidance and recommendations by our mortgage advisors! We can help you with all the worrying.