Second timers who wish to purchase Wandervale EC will need to pay a resale levy. The resale levy payable for second timers purchases will be as follow:

 

Half-resale levy for Singles Grant recipients

If you are Singles Grant recipient, you only need to pay half the resale levy amount when you subsequently form a family and buy/ take over ownership of a second subsidised flat.

 

Situations in which a resale levy is payable

You need to pay a resale levy in either of these cases:

  • You sell your subsidised flat after meeting the Minimum Occupation Period (MOP), and then buy a second subsidised flat from HDB or take over ownership of a subsidised HDB flat
  • You sell your subsidised flat after meeting the MOP, and then buy an EC from a developer where the land sale was launched on or after 9 December 2013, including those where tenders were not closed, i.e. Westwood Avenue, Canberra Drive and Anchorvale Crescent

You need not pay a resale levy if you are buying any of these:

  • Design, Build and Sell Scheme (DBSS) flat from a developer
  • EC from a developer; where the land sale was launched before 9 December 2013
  • HDB resale flat
  • Private residential property

 

Resale levy amount: first subsidised flat sold on or after 3 March 2006

This fixed resale levy amount gives greater certainty for financial planning, be it for upgrading to a larger flat, or right-sizing to a smaller flat.

First Subsidised Flat Type Resale Levy Amount
Households Singles Grant recipients
2-room $15,000 $7,500
3-room $30,000 $15,000
4-room $40,000 $20,000
5-room $45,000 $22,500
Executive $50,000 $25,000

 

Resale levy amount: first subsidised flat sold before 3 March 2006

For cases where the first subsidised flat was sold before 3 March 2006, a graded resale levy applies.

First Subsidised Flat Type Resale Levy AmountBased on resale price of the sold flat, or 90% of its market valuation, whichever was higher
Households Singles Grant recipients
2-room 10%* or 15% 5%* or 7.50%
3-room 20% 10%
4-room 22.50% 11.25%
5-room and Executive 25% 12.50%

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

If the graded resale levy was not paid when you sold the first subsidised flat, i.e. you opted to defer the payment until you purchase/ take over another HDB flat, interest at a prevailing rate of 5% per annum is charged.

 

Waiver of Interest for Elderly

If you have sold your first subsidised flat before 3 March 2006 and right-size to a new 2-room or 3-room flat from November 2015 sales launch onwards, you will pay only the percentage resale levy, with the interest waived, if you and your spouse are aged 55 and above at the point of the new flat application. The resale levy payable is subject to a minimum payment of $15,000 for 2-room, $30,000 for 3-room, $40,000 for 4-room, $45,000 for 5-room, and $50,000 for Executive flat. These amounts are the resale levy payable by second-timers who sold their first subsidised flat on or after 3 March 2006.

 

Paying the resale levy

The resale levy payable is determined at the point you book your second subsidised flat. It applies regardless of ownership type (joint-tenancy or tenancy-in-common) or shared interest in the flat.
Payment can only be made by way of your flat sale proceeds and/ or cash. HDB mortgage financing will not be extended to the payment of a resale levy.

 

When and how payment is made

Flat Sale Timeline Resale Levy Payment
First subsidised flat sold after taking possession of the second subsidised flat
  • Resale levy deducted from the sale proceeds upon the sale of the first subsidised flat
  • Any shortfall to be paid in cash
First subsidised flat sold before taking possession of the second subsidised flat
  • Resale levy paid in cash upon taking possession of the second subsidised flat

 

Source: HDB

You may want to know more about Eligibility Conditions to purchase an EC, First Timer CPF Housing Grant, Normal or Deferred Payment Scheme.