HDB Grants for First-Timers and Second-Timers: Your Ultimate Guide to Housing Assistance in 2024
Imagine this: You're ready to purchase your first home, but you’re staring at the daunting price tag of an HDB flat. Luckily, there’s help. As of August 2024, new grants are reshaping the landscape for first-time buyers, singles, and even second-timers looking for affordable housing options. With enhanced subsidies, some buyers could save up to $80,000 off their flat purchase!
Whether you're a young couple searching for your first nest or a second-timer exploring fresh options, these HDB grants can make your property goals more achievable. This guide will walk you through everything—from eligibility requirements to how much you can actually save. It’s time to make informed decisions and maximize the benefits available to you. Let's dive in and get you one step closer to your dream home!
HDB Housing Grant amounts for first timer families or singles after 20 August 2024 in a summary
Refunding Money to CPF
Though it is exciting to know that the HDB housing grant amounts have increased. Don't forget that the HDB housing grants are dispersed in the form of CPF. When you sell your HDB flat, all the money you used from your CPF to buy it, including any housing grants, goes back into your CPF account less any outstanding loan. This also includes the interest you would have earned if you hadn’t used that money. Think of it like returning borrowed money back to your savings account and paying yourself the interest that you would have earned from the sales of the HDB flat.
How Housing Grants Are refunded after the sale of a subsidised HDB flat
1. For Singles: The first $30,000 of the grants you received will go into your CPF Ordinary Account.
2. For Families: The first $60,000 of the grants will go into your CPF Ordinary Account.
3. The Rest of the Grant Money: Any remaining grant money is split between your CPF Special Account (or Retirement Account) and your Medisave Account.
Not forgetting Resale Levy
Very often, home owners have the misconception that they need to pay resale levy upon the sales of their HDB. This is only true when the following conditions apply.
1. Selling of subsidised housing flat: By subsidised housing, this means HDB flats that are directly purchased from HDB or Resale HDB flats purchased with housing grants.
2. Purchasing another Built To Order (BTO) or New Executive Condominium (EC): What this means is after the disposal of your first subsidised housing, you purchase another BTO or New EC subsequently.
For more information about the resale levy amount, do refer to our blog on Navigating the HDB Resale Levy: What You Need to Know
Why This Matters
Knowing what happens when you sell your flat allows you to plan better. You’ll know where the money goes and how you can utilise it in the future.
For more details, check out the HDB website.
Selling your HDB flat doesn't have to be confusing. By understanding how your CPF money and grants are handled, you can make smart decisions and plan for your next steps easily.
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