By MoneyBees
See what you pay at each stage of a new condo or EC under construction: the 5% booking fee, cash and CPF for the downpayment, bank disbursements and your instalment as the loan is drawn.
The standard way to pay for a private home bought from a developer before it is built. You pay a share of the price at each construction stage set by the Housing Developers Rules, from the 5% booking fee to 15% at the Certificate of Statutory Completion.
20% on signing the S&P (including the booking fee), 10% at foundation, 10% at the concrete framework, 5% each for partition walls, roofing, door and window frames with wiring and plumbing, and car park, roads and drains, 25% at TOP and 15% at CSC.
No. CPF cannot pay option fees to developers, so the booking fee of 5% to 10% is cash. CPF can pay the later progressive payments, after any minimum cash the MAS rules require.
After you have paid your downpayment. With a 75% loan you pay the first 25% yourself; that covers the booking fee, the S&P stage and half of the foundation stage. The bank pays the rest stage by stage.
The S&P stage is due within 8 weeks of the option date (9 weeks for an EC). Each later stage is due within 14 days of the developer's notice.
The bank charges interest only on what it has paid out. Each time it pays a stage the loan grows, so the monthly instalment rises until the last stage is paid.
No. The Government has disallowed deferred payment schemes for uncompleted private homes since October 2007.
The stages and percentages are the same. The first 20% is due within 9 weeks of the option, and the booking fee is fixed at 5%.
Junxiong-WFG Organisation is an authorised representative of AIA Financial Advisers Private Limited (Reg. No. 201715016G).