Resale Levy

EC – Resale Levy (For Second Timer Only)

 

A resale levy is payable if you are buying an Executive Condominium (EC) from a developer where the land sale was launched on or after 9 Dec 2013, including those where tenders were not closed or launch from January 2015 onwards.

Those who have previously bought a flat from the HDB or taken a CPF Housing Grantwill have to pay a resale levy when they buy the next subsidised flat from the HDB. The resale levy is meant to reduce the subsidy on the second subsidised flat so as to maintain a fair allocation of public housing subsidies between first- and second-timer citizen families.

 

A resale levy is payable if you are buying an Executive Condominium (EC) from a developer where the land sale was launched on or after 9 Dec 2013, including those where tenders were not closed or launch from January 2015 onwards.

 

Revised Resale Levy

As announced on 3 March 2006, the resale levy is now set at a fixed amount of between $15,000 and $50,000, based on the flat type of the 1st subsidised flat. With a fixed amount, it will give greater certainty to existing flat owners who are deciding whether or not to buy a 2nd subsidised flat from HDB.

 

Amount Payable under the Revised Resale Levy Policy

Applicable for those who book a 2nd subsidised flat (EC) on/after 3 March 2006 and 1st subsidised flat is sold after 3 March 2006.

First Subsidised Flat Type

Amount of Resale Levy Payable under the Revised Policy

2-room

$15,000

3-room

$30,000

4-room

$40,000

5-room

$45,000

Executive Flat

$50,000

 

Amount Payable under the Previous Resale Levy Policy

Applicable for those who book a 2nd subsidised flat (EC) on/after 3 March 2006 and 1st subsidised flat is sold before March 2006.

Below are the charges under the Previous Resale Levy Policy, i.e. based on resale price or 90% of market valuation, whichever is higher:

Flat Type

Resale Levy payable by family grant recipient

+Resale Levy payable by singles/half grant recipient

2-room

*10% / 15%

*5% / 7.5%

3-room

20%

10%

4-room

22.5%

11.25%

5-room & Executive

25%

12.5%

 

*

2-room flat sellers pay a lower rate, i.e. 10% or 5%, only if they buy a bigger flat direct from HDB.

+

These resale levy rates apply only to sellers of flats previously bought with singles grant and who submit their resale applications on or after 15 Sep 2004

 

Resale Levy Payable by Single Grant Recipients
Regardless of the applicability of Revised or Previous Resale Levy Policy, single citizens, who have purchased resale flats with the lower CPF Housing Grant for Singles, need to pay only half the levy amount when they subsequently form a family and buy or take over the ownership of a second subsidised flat.

Making Payment for the Resale Levy
The resale levy payable is determined at the point of booking of the second subsidised flat (EC). The payment of resale levy is regardless of the type of ownership (i.e. joint-tenancy or tenancy-in-common) and the share of interest in the flat.

If you are buying your second subsidised flat (EC), you can:

  • Pay the resale levy immediately at the point of resale, i.e. when selling your first subsidised flat or

  • Defer the payment until you buy another flat from HDB. If you come under the previous resale levy policy and opt for this, an interest at the prevailing rate of 5% per annum will be charged.

 

You can pay the Resale Levy with either/combination of the following:

  • with your sale proceeds or

  • cash

The resale levy will be deducted from the sale proceeds when you sell your first subsidised flat in the open market. Any shortfall will have to be topped-up in cash.

 

For more information, you can visit:

Home . Updates . Project Details . Location . Site Plan . Floor Plans . Gallery . Price . Eligibility . Grant . Resale Levy . Payment Schemes . Booking Documents

You can also contact us or click here to apply your interest for this new EC.

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