28th April 2023 SIngapore – In an effort to simplify the home-buying process, the Housing and Development Board (HDB) in Singapore has announced the consolidation of eligibility assessments for HDB flat purchases, Central Provident Fund (CPF) housing grants and HDB housing loans into a single application through the HDB Flat Portal. According to HDB, buyers of new or resale flats will now receive a new HDB Flat Eligibility (HFE) letter, which will allow them to better understand their purchase costs and financing options. The move is expected to make the home-buying process more streamlined and efficient for potential homebuyers in Singapore.
Starting May 9, 2023, the Housing and Development Board (HDB) will introduce the HDB Flat Eligibility (HFE) letter, which will replace the existing HDB Loan Eligibility (HLE) letter. The HFE letter will offer flat buyers a comprehensive understanding and evaluation of their housing and financing options before they begin their home purchasing journey. The new letter will inform buyers of their eligibility for purchasing a new or resale flat, CPF housing grants, and HDB housing loans, along with the corresponding grant and loan amounts, allowing them to make informed decisions.
Currently, when buying an HDB flat, buyers have to show different documents at different stages of the process. This can cause confusion and uncertainty about how much money they can spend on their flat. But with the new HFE letter, HDB will make things simpler by combining all the eligibility assessments into one application. This means buyers will know upfront if they can get a flat, how much grant money they can receive and how much loan they can take. This will help buyers make better decisions when buying a home. From 9 May 2023, flat buyers must have a valid HFE letter when they apply for a flat from HDB or when they submit a resale application.
How to apply for an HFE letter
Step 1: Preliminary HFE Check
Flat Applicants will need to log in to the HDB Flat Portal using their
Singpass to retrieve their personal particulars from Myinfo and declare
information, including household income and ownership of private
properties. Based on the information provided, HDB will provide
applicants with an instant preliminary outcome, which gives them a quick
overview of their household’s eligibility to purchase a flat, receive
CPF housing grants and take up an HDB housing loan. Applicants with a
firm intent to buy a flat may proceed to the next step to apply for an
HFE letter. They can do so either immediately in the same session after
completing step 1, or within 30 calendar days of starting step 1.
Step 2: Apply for an HFE Letter
To apply for an HFE letter, all applicants and occupiers (where
applicable) will need to log in to the HDB Flat Portal using their
Singpass to retrieve their personal particulars from Myinfo and fill up
the application. They will also be guided to upload the supporting
documents, where required. Within 21 working days of HDB’s receipt of
the completed application, applicants will receive the HFE letter
informing them of their eligibility to purchase a new and/or resale
flat, as well as the amount of CPF housing grants and HDB housing loan
that they are eligible for. Applicants will be notified via SMS to log
in to the HDB Flat Portal when their HFE letter is ready. The HFE letter
will be valid for 6 months from the date of issue.
Other Key Enhancements to HDB Flat Portal
In addition to the HFE letter, HDB will also be rolling out several improvements to the HDB Flat Portal, as part of its continual efforts to streamline the home-buying journey.
Integrated loan application service with participating financial institutions (Financial Institutions/Banks)
Currently, the HDB Flat Portal provides information on housing loans
offered by both HDB and participating Financial Institutions & Banks. Flat buyers who wish to
take out a loan with the Financial Institutions & Banksfor the purchase of their HDB flat will
need to approach the individual Financial Institutions & Banksto apply for an In-Principle
Approval (IPA) and Letter of Offer (LO) separately. With the enhanced integrated loan
application service provided within the HDB Flat Portal, flat buyers will be able to go a step further
to request an IPA and LO from the participating Financial Institutions & Banks.
Flat buyers can concurrently request an IPA from the participating FIs to find out their
eligibility for a housing loan, when they apply for an HFE letter.
After securing a flat, buyers may also request a LO from their chosen Financial Institutions & Banks
through the HDB Flat Portal.
Guided journey for New flat buyers
Currently, new flat buyers access My HDBPage to view their flat
application details and upcoming appointment dates with HDB. Going
forward, flat buyers who have obtained an HFE letter and intend to buy a
flat from HDB will continue to be guided on their home buying journey
through the HDB Flat Portal. Flat buyers will receive personalised
information on their flat application, which will help them plan and
prepare ahead at different stages of their flat purchase journey, such
as working out their financial/ payment plans early. When their flat is
ready, flat buyers can also book their preferred appointment slot to
collect their keys through the same platform.
Integration of HDB Resale Portal with HDB Flat Portal
The HDB Resale Portal will be integrated into the HDB Flat Portal for greater convenience.
Resale flat sellers and buyers will thus transact via the HDB Flat Portal and be guided
step-by-step on their journey to complete their transaction seamlessly.
