PRIVATE PROPERTY PAYMENT SCHEDULE
For Properties Under Construction
The sales process and payment schedule for uncompleted private properties (or commonly known as new launches or developer's units) are governed by the Controller of Housing. It follows a standardised timeline:
- Initial Downpayment Schedule, followed by
- Progressive Payment Schedule
These schedules are illustrated in the diagrams below.
Initial Downpayment Schedule - First 20%
The duration of each stage can be earlier than stated, however the completion date for the entire process must be within 8 weeks from the Date of Option. If there is any delay, you should submit a request in writing through your lawyer. It is subject to approval.
DAY 1
BOOKING FEE - 5% (Cash)
Buyer will be issued the Option to Purchase (OTP). Meanwhile, you should also source and:
- Engage a lawyer, and
- Confirm your bank loan
WITHIN 2 WEEKS
RECEIVE SALES & PURCHASE AGREEMENT (S&PA)
This will typically be sent to your lawyer unless specified otherwise.
WITHIN 3 WEEKS
SIGN AND EXERCISE S&PA
This is to be done at the law firm. If you are overseas, it can also be done at the Notary Public or Singapore Embassy.
WITHIN 2 WEEKS
PAYMENT OF STAMP DUTIES
- Buyer Stamp Duties (BSD): [4% - $15,400]
- Additional Buyer Stamp Duties (ABSD) (refer to the ABSD chart to check the relevant rates)
WITHIN 8 WEEKS FROM DAY 1
PAYMENT REMAINING DOWNPAYMENT - 15% (Cash/CPF)
Be sure to exercise the Sales and Purchase Agreement (SPA) within 3 weeks upon the delivery of the documents. If the option expires, 25% of the booking fee (which amounts to 1.25% of the purchase price) will be forfeited.
Subsequently, the remaining 80% payments will be called progressively, base on the completion of each stage of the construction works.
Progressive Downpayment Schedule - Remaining 80%
Instalment payments of the purchase price are to be made at the completion of each stage of the project construction. Prior to that, the Qualified Person (a registered architect or professional engineer) engaged by the developer will issue a copy of the requisite certificate at each stage to certify the completion. The progressive payment schedule is as shown in the table below.
| Estimated Time | Stage of Construction | Payment |
|---|---|---|
| 6 - 9 months | Foundation work (inclusive of pile caps) of the Building has been completed | 10% |
| 6 - 9 months | Reinforced concrete framework of the Building has been completed | 10% |
| 3 - 6 months | Partition walls of the Building have been completed | 5% |
| 3 - 6 months | Roofing/Ceilings has been completed | 5% |
| 3 - 6 months | Electrical wiring, internal plastering, plumbing & installation of door & window frames have been completed | 5% |
| 3 - 6 months | Car park, roads and drains serving the Housing Estate have been completed | 5% |
| Notice of Vacant Possession (Temporary Occupation Permit - TOP) | 25% | |
| Legal Completion date (Certification of Statutory Completion - CSC) | 15% |
In the event of late payments, interest will be charged in accordance with the formula set out in the S&PA if any amount of the purchase price due is not paid by the deadline specified in the payment schedule. If any payment of the purchase price and interest remains unpaid for more than 14 days after it is due, the developer has the right to treat the S&PA as having been repudiated by you and may take steps as specified in the Agreement to annul the S&PA.
Once the S&PA is annulled, the developer has the right to forfeit 20% of the purchase price, recover all outstanding interest owing and unpaid by you, and to resell the unit to any other person.
If you intend to take up a mortgage loan, do proceed to our PROPERTY LOAN MATTERS section to find out the loan percentage you are eligible for. The Total Debt Servicing Ratio (TDSR) may be applicable to you as well. You can also get connected to bankers for fast loan applications.
Still Confused?
Fret not! You are not alone.
Property matters can get complex and it is oftentimes the largest financial decisions we make in our lives. As each individual Have different considerations and unique requirements, please contact us @ +65-89502606, to tailor solutions for your needs!
