09/11/2022
: Understanding Real Estate Jargon
๐๐๐ ๐๐ผ๐ฎ๐ป ๐๐น๐ถ๐ด๐ถ๐ฏ๐ถ๐น๐ถ๐๐ (๐๐๐)
HLE is not only required when purchasing a new home, it is also required when applying to take over the ownership of an existing flat (by way of transfer). HLE has a validity period of 6 months from the date of issue, however re-assessment is needed when there are adverse changes in applicant(s) incomes and financial position.
๐๐ป-๐ฃ๐ฟ๐ถ๐ป๐ฐ๐ถ๐ฝ๐น๐ฒ ๐๐ฝ๐ฝ๐ฟ๐ผ๐๐ฎ๐น (๐๐ฃ๐)
If you decide to take on a bank loan for the purchase of a new home, an IPA is what you will need to apply. Just like HLE, it is required when obtaining OTP from seller and when submitting a resale application. IPA however, typically, has a validity period of 30 days.
๐๐ผ๐ฎ๐ป-๐๐ผ-๐ฉ๐ฎ๐น๐๐ฒ (๐๐ง๐ฉ)
Whether you are taking HDB or bank loan, there is a limit to how much you can obtain. Currently, LTV for HDB loan is up to 80% and for Financial Institutions is up to 75%, of the purchase price or property value (whichever is lower). Do note that there are a few factors that may affect the LTV such as, the propertyโs remaining lease, applicant(s) age, credit score, etc.
Want to know more? Feel free to contact me.
Rusydi Roslan
9889 4443
CEA Reg No. R064334E
Facebook | Instagram | TikTok:
