A Singaporean's Step-By-Step Guide: Applying for Your First Executive Condo (The Ola EC Launch)
February 2020 Executive Condominium Sales Launch Prices
Looking to buy an Executive Condominium (EC)?
The Ola EC is finally launched!
The estimated prices for the EC project are out too, so you can do the math and see if it’s within your reach.
Note: The finalised prices for Executive Condominiums are usually released after the application is closed.
But what you can get is an estimated price, which is usually provided by the developer a couple of days before the actual launch.
The Ola EC Estimated Prices
Launch date: 21 February 2020
Application close date: 1 March 2020
| Town | EC Project | Unit Type | Floor Area (sqft) | Number of Units | Estimated Price (Excluding Grants) |
|---|---|---|---|---|---|
| Sengkang | Ola EC | 2 Bedroom | 775 | 30 | $837,000 - $891,250 |
| 3 Bedroom | 926 - 947 | 196 | $1,000,080 - $1,089,050 | ||
| 3 Bedroom + 1 Deluxe | 1,001 | 15 | $1,081,080 - $1,151,150 | ||
| 3 Bedroom + 1 Premium | 1,055 | 211 | $1,139,400 - $1,213,250 | ||
| 4 Bedroom | 1,389 | 87 | $1,500,120 - $1,597,350 | ||
| 5 Bedroom Penthouse | 1,722 | 9 | $1,859,760 - $1,980,300 |
Prices listed are based on the estimated price range of $1,080 to $1,150 psf.
Overview of The Ola EC Launch February 2020
| The Ola Project Details | |
|---|---|
| Expected Launch | Q1 2020 |
| Showflat Preview Period | 21 February 2020 |
| Number of Units | 548 units (2-,3-,4-,5-room penthouse) |
| Tenure | 99 year leasehold |
| Estimated Selling Price (per square foot) | $1,080 - $1,100 |
| Expected Date of TOP | 14 December 2023 |
| Expected Date of Legal Completion | 14 December 2026 |
Upcoming Executive Condominium (EC) Launches in 2020
Parc Central Residences EC @ Tampines Avenue 10
| Tampines Ave 10 Project Details | |
|---|---|
| Expected Launch | Q3 to Q4 2020 |
| Number of Units | ~695 units of 1-4 bedrooms |
| Tenure | 99 year leasehold |
| Average Selling Price (per square foot) | $1,050 - $1,150 psf |
| Expected Date of TOP | 2024 |
| Expected Date of Legal Completion | TBA |
Parc Central Residences EC Estimated Prices
Launch date: TBC
Application close date: TBC
Past Executive Condominium (EC) Launches in 2020
Parc Canberra @ Canberra Link, Canberra
| Parc Canberra EC Project Details | |
|---|---|
| Expected Launch | Q1 2020 |
| Showflat Preview Period | 31 January - 10 February 2020 |
| Number of Units | 496 units of 3-5 bedrooms |
| Tenure | 99 year leasehold |
| Average Selling Price (per square foot) | $1,080 psf |
| Expected Date of TOP | 2023 |
| Expected Date of Legal Completion | To be announced |
Parc Canberra Estimated Prices
Launch date: 31 January 2020
Application close date: 10 February 2020
| Town | EC Project | Unit Type | Floor Area (sqf) | Number of Units | Price (Excluding Grants) |
|---|---|---|---|---|---|
| Sembawang | Parc Canberra | 2 Bedroom + Study | 829 | 1 | - |
| 3 Bedroom | 818 - 926 | 77 | From $855,000 | ||
| 3 Bedroom + Utility | 926 - 947 | 168 | From $958,000 | ||
| 3 Bedroom Premium | 947 - 1,001 | 182 | From $995,000 | ||
| 4 Bedroom Premium | 1,152 - 1,184 | 57 | From $1,210,000 | ||
| 5 Bedroom Premium | 1,453 | 11 | From $1,490,000 |
Step-by-Step Guide: How to Apply for an Executive Condominium?
As compared to an HDB BTO, the price tag of an Executive Condominium is definitly larger.
But buying your first executive condominium doesn’t have to be a scary affair!
(You just need to REALLY understand what your financial situation is like before committing to such a huge purchase)
Whether you’re looking for an affordable home, or maybe you exceeded the HDB BTO income ceiling.
Here’s all you need to know about the entire EC application process!
1. Check Your Eligibility to Apply for an Executive Condominium
Before you get too excited about applying for your first home, it’ll be good to do a quick check for your eligibility.
| Criteria | Public Scheme, Fiancé/Fiancée Scheme or Orphans Scheme | Joint Singles Scheme |
|---|---|---|
| Citizenship | You must be a Singapore Citizen | All singles must be Singapore Citizens if applying under the Joint Singles Scheme |
| At least 1 other applicant must be a Singapore Citizen or Permanent Resident | ||
| Age | At least 21 years old | At least 35 years old |
| Income Ceiling | Household income must not exceed $16,000 | |
| Property Ownership | You do not own other property overseas or locally | |
| You have not disposed of any local or overseas property within the last 30 months | ||
| You have not bought a new HDB/DBSS or received a CPF Housing Grant before | ||
| You have only bought one of the above properties & received 1 CPF Housing Grant thus far | ||
Apart from the eligibility conditions, you should also find out which eligibility scheme you can apply under.
| Eligibility Schemes | Who Are You Applying With? |
|---|---|
| Public Scheme | Spouse & Children |
| Parents & Siblings | |
| Children under your legal custody (if widowed or divorced) | |
| Fiancé/Fiancée Scheme | Spouse-to-be |
| Orphans Scheme | Siblings who are orphans and single |
| Joint Singles Scheme | Up to 3 other co-applicants |
Similar to an HDB BTO application, if you applied under the Fiancé/Fiancée Scheme, you’ll be required to submit a copy of your marriage certificate to your EC developer within 3 months of keys collection.
2. Understand & Work Out Your Financial Situation
| Stage | Payment Due | Mode of Payment | |
|---|---|---|---|
| Submitting your application | Application fee (determined by developer) | Determined by developer | |
| Booking of flat & signing of Option to Purchase (OTP) | Downpayment | 5% of purchase price (Option fee) | - Cash - Cashier's order - Cheque |
| Signing Sale and Purchase Agreement | 15% - 20% of purchase price | - Cash - Cashier's order - Cheque - CPF |
|
| 1% - 3% legal fee and stamp duty | |||
| Collection of keys | Other payments required will be informed by developer | - Cash - Cashier's order - Cheque - CPF |
|
Since you won’t be able to take an HDB Housing Loan for your EC, you will need to apply for a bank loan to finance your future home.
As a first-time applicant with no prior property, you may borrow up to 75% of the purchase price of your EC, subject to the Mortgage Servicing Ratio (MSR) and the Total Debt Servicing Ratio (TDSR).
That’s right, this step becomes really important since you need to ensure that you’ve got enough cash and CPF monies to cover the 25% downpayment.
Fret not, eligible EC applicants can also receive CPF Housing Grants, depending on your household income.
| Average Gross Monthly Household Income | Family Grant | Half-Housing Grant | |
|---|---|---|---|
| Of all persons in application (i.e. applicants & occupiers) | Singapore Citizen (SC/SC) Household | Singapore Citizen / Permanent Resident (SC/PR) Household | First-timer Singapore Citizen / Second-timer Household |
| $10,000 or lower | $30,000 | $20,000 | $15,000 |
| $10,001 to $11,000 | $20,000 | $10,000 | $10,000 |
| $11,001 to $12,000 | $10,000 | Nil | $5,000 |
| $12,001 to $14,000* | Nil | Nil | Nil |
| * Figures retrieved from HDB website. As reflected in MND's press release, there are no housing grants for applicants with monthly household income from $12,001 to $16,000. |
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Be sure to work out the costs and apply for a place that is within your financial means!
3. Look out for the EC Launch & Submit Your Application
Since you’ll be purchasing your EC unit directly from the developers instead of HDB, the application process and timeline may vary.
Most developers will require you to submit an online application to register your interest in the project before inviting you to the showroom when the development is launched.
Like an HDB BTO application, an application fee applies, which will be determined by the developer.
4. Visit the Showroom
When the development launches, you’ll be invited to the showroom where you can choose to book a flat you if you are still interested to do so.
Before heading down to the showroom, remember to check and prepare the necessary supporting documents:
- Proof of identity/citizenship
- Proof of relationship/marital status
- Proof of income
- CPF Housing Grant application form (if you are eligible)
Your developer may require other documents to verify your eligibility to purchase, so be sure to clarify with them in advance.
Typically, the selection and booking of an EC unit will also be done with a balloting process.
Regardless of your ballot number, be sure to shortlist a few units to avoid disappointment in case your dream unit is taken up! Unless you’re the first in the queue, then nevermind…
5. Book Your Unit
Now, if you are lucky enough to be able to select your unit, you’ll need to pay an option fee to secure your Option to Purchase (OTP).
The option fee payable is 5% of the purchase price of your unit and will be made in cash or cheque.
Bear in mind that the Option to Purchase is tagged to the unit you have selected, so choose wisely as you won’t be able to change your mind once it’s completed.
It takes approximately 3-5 weeks for HDB to review and approve your application, giving you time to research and finalise your loan options.
6. Research & Finalise Your Bank Loan
Since you’re not able to take an HDB loan for your EC unit, it’s important that you do your research on the bank loans available and find the home loan that suits you best.
You’ll be issued a Letter of Offer by the bank when your loan application has been approved after submitting the required supporting documents.
While settling your bank loan, you’ll also have to engage a lawyer to handle the legal aspects of your purchase.
Most of the time, the banks will have assigned lawyers for you to choose from.
Alternatively, you can also appoint your own trusted lawyer.
7. Receive & Exercise Sale & Purchase Agreement
Once your EC application has been approved by HDB, you’ll receive your Sale and Purchase Agreement (S&P) and you’ll have 3 weeks to exercise your option. Yay!
Hold up!
When you sign and exercise your S&P, you’ll also have to pay the Exercise Fee and Buyer’s Stamp Duty.
The Exercise Fee, which is the remaining 15% of your downpayment, is payable on the day of signing the S&P or within 9 weeks from your OTP, whichever is later.
Your Buyer’s Stamp Duty depends on the purchase price of your EC unit and is payable within 14 days of signing your S&P. Since 14 days is a relatively tight timeline, you can always apply for a one-time reimbursement from your CPF account to offset the cost.
| Purchase Price or Market Value of Property | Buyer's Stamp Duty Rates (for residential properties) |
|---|---|
| First $180,000 | 1% |
| Next $180,000 | 2% |
| Next $640,000 | 3% |
| Remaining Amount | 4% |
Do note that Additional Buyer’s Stamp Duty applies if you are purchasing your second property.
At this stage, you’ll also be required to pay legal fees and valuation fees, either with cash or your CPF monies.
8. Start Making Payments, Or Wait To Pay…
Now that most of the administrative matters have been taken care of, it’s time to wait for your EC be completed!
For first-time applicants on the Normal Payment Scheme (NPS), repayment for your home loan commences even before you collect the keys to your unit.
Payments are made when your developer reaches the predetermined construction milestone for the project.
However, if you’re on the Deferred Payment Scheme (DPS), you’ll only need to pay the remaining after collecting your keys.
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