Financing

Buying an HDB flat is a long-term financial commitment. Buyers should not only consider the immediate payments involved, but should also factor in the monthly instalments for housing (if applicable) and other expenses, e.g. property tax, service & conservancy charges, utilities bills, insurance premiums, etc. To help your buyer-clients work out a financial plan, you need to consider the following:

• Payments that need to be made by using cash and CPF savings;
• Amount of housing loan eligible; and
• Amount(s) of CPF housing grant(s) eligible for. 

The HFE letter will inform buyers upfront of their eligibilty to purchase a new or resale flat, as well as the amounts of CPF housing grant(s) and HDB housing loan they are eligible for. With the HFE letter, you can guide your buyer-clients on the financial considerations and the relevant policies and procedures related to buying a resale flat.

You may also wish to refer to the following resources: 

• Make use of our calculators to work out your client’s budget and understand the payments required, as well as compare the information on housing loans offered by HDB and participating financial institutions.
• Read about the mode of financing, where we provide a breakdown of the payments required, and the types of housing loans available and the financial tools you can use.