Executive condominiums, or ECs, are popular housing options for many Singaporeans due to their affordability and strategic locations. However, not everyone is eligible to purchase an EC – until now. The government has recently announced a new grant scheme that aims to empower more Singaporeans to own an EC.
In this blog, we’ll be discussing everything you need to know about the GRANT FOR EXECUTIVE CONDO – who’s eligible for it, how much you can receive, and how you can apply for it. So if you’re interested in owning an EC and want to know more about this new grant scheme, keep on reading!
What is grant for executive condo?
The Grant for Executive Condo is a subsidy provided by the Singapore government to eligible first-time homeowners who purchase an Executive Condominium (EC) from a property developer. The CPF Housing Grant is available for EC purchases and can be used to offset the purchase price of the EC.
There are two types of CPF Housing Grants available for EC purchases from developers: the Family Grant and the Half-Housing Grant. The amount of the grant depends on factors such as the applicant’s income, citizenship status, and family nucleus. First-time homeowners who are Singapore citizens or Singapore permanent residents may be eligible for a CPF grant of up to SGD $30,000. It is recommended to check the latest information on CPF Housing Grants and eligibility criteria before applying for an EC in Singapore.
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Types of CPF Housing Grants
There are two types of CPF Housing Grants available for Executive Condominium (EC) purchases from developers – Family Grant and Half-Housing Grant. Both grants are designed to assist eligible first-time buyers in purchasing an EC. The Family Grant is available to Singapore citizens and permanent residents who are purchasing an EC unit together. The grant amount ranges from $5,000 to $30,000, depending on the income bracket of the family. The Half-Housing Grant is only available to Singapore citizens who are purchasing an EC unit themselves. The grant amount is $10,000. These grants make it easier for first-time buyers to own their dream home and are an excellent opportunity to take advantage of for those who meet the eligibility criteria.
CPF Housing Grants
To be eligible for CPF Housing Grants for Executive Condominiums (EC), applicants must meet certain criteria. First and foremost, the applicant and any co-applicants must be eligible for the grant at the time of booking the EC unit. Additionally, there is an income ceiling of $16,000 for those wishing to buy new ECs and take up CPF housing grants. This means that if an applicant and their co-applicant have a combined income higher than this amount, they won’t be allowed to apply for an EC. It’s also important to note that applicants cannot take grants for Resale ECs or if they own a flat through HDB. There are two types of CPF Housing Grants available for EC purchases from developers – Family Grant and Half-Housing Grant. The maximum CPF Housing Grant amount for ECs varies based on which grant is being applied for and the applicants’ income level. Overall, knowing the eligibility criteria is crucial when considering applying for CPF Housing Grants for ECs.
For Singapore citizens and permanent residents looking to purchase an executive condominium (EC), the CPF Housing Grant comes in two forms: the Family Grant and Half-Housing Grant. The Family Grant is applicable to couples or families composed of at least one more Singapore citizen or permanent resident, with grant amounts varying depending on the flat’s size. Couples or families with all Singapore citizen members are eligible to receive up to $50,000 for 2- to 4-room flats or $40,000 for 5-room flats. The Half-Housing Grant, on the other hand, is applicable when one spouse has already received a housing subsidy before. Foreigners are not eligible for either grant, but if their spouse is a Singapore permanent resident, they may apply under the Half-Housing Grant. These grants greatly assist eligible buyers in securing an EC and making homeownership more accessible.
The Half-Housing Grant for Singapore Citizens is another type of CPF Housing Grant that can be used for the purchase of an Executive Condominium (EC). This grant is available only to Singapore citizens who are applying for an EC under the Public Scheme or Sale of Balance Flats. The grant amount is half of the Family Grant, which is either $25,000 or $20,000 depending on the flat type. While this grant may not be as substantial as the Family Grant, it still provides a significant amount of assistance to EC buyers who meet the eligibility criteria. It is important to note that both the Family Grant and Half-Housing Grant cannot be combined for the purchase of an EC. However, these grants, along with other financing options, can help first-time EC buyers achieve their dream of owning their own home.
In Singapore, the income ceiling for buying a new Executive Condominium (EC) is $16,000 and below. This means that if you and your co-applicant have a combined household income that exceeds this amount, you will not be eligible to purchase an EC directly from a property developer. It’s important to note that this income ceiling applies only to new ECs, and not to resale units. Additionally, it’s worth mentioning that this income ceiling was raised to $16,000 in September 2019 to provide more housing options for first-time buyers. If you meet the income ceiling criteria, you may be eligible for CPF housing grants such as the Family Grant, which can provide financial assistance towards your EC purchase.
CPF Housing Grant
The CPF Housing Grant for Executive Condominiums (ECs) provides financial assistance to first-time buyers who want to purchase an EC in Singapore. The maximum amount that can be received as a CPF Housing Grant for ECs is $30,000 for Singapore citizens and permanent residents. This grant amount is subject to eligibility criteria such as household income ceiling, property ownership status, and citizenship status. While the grant cannot be used for the downpayment and monthly mortgage installments, it can be used to offset the purchase price of the EC. It is important to note that the grant amount varies depending on the type of grant – either Family Grant or Half-Housing Grant – and the size of the flat being purchased. For those who meet the eligibility criteria, the CPF Housing Grant for ECs can go a long way in making homeownership affordable and attainable.
Enhanced CPF Housing Grants
Enhanced CPF Housing Grants are a great way to help eligible Singaporeans buy their first homes. These grants are available for both HDB BTO and resale flats. In fact, resale flat buyers stand to gain the most, with the maximum grant amount increased from $120,000 to $160,000. To qualify for an Enhanced CPF Housing Grant, the average gross monthly household income for the 12 months prior to the application must not exceed $9,000. HDB also rolled out Enhanced CPF Housing Grant for families purchasing resale flats for the first time, where those buying four-room or smaller flats can receive an enhanced grant. Overall, these grants are tremendously beneficial for homebuyers, making it easier for them to afford a home in Singapore.
Directly from HDB, DBSS or Property Developers
When it comes to buying an Executive Condominium (EC), buyers have the option to purchase directly from the developer, unlike regular HDB flats. This means that buyers can choose from a range of newly built units and enjoy the developer’s promotional offers. Additionally, buyers who purchase directly from developers are typically given more flexibility in terms of choice of unit size, layout, and location. However, buyers should keep in mind that resale ECs are considered private properties, which means they are not eligible for CPF Housing Grants. Hence, it’s important to weigh the benefits and limitations of purchasing an EC directly from developers and consider all financing options available.
Benefits and Limitations
One of the benefits of CPF Housing Grants for Executive Condominiums (ECs) is that it provides financial assistance to eligible first-time home buyers in Singapore. These grants can help offset some of the costs of purchasing a new EC from a property developer. However, there are some limitations to these grants, such as income ceiling restrictions and maximum grant amounts. It’s important to carefully consider your eligibility and calculate the amount of grant you can receive before deciding to purchase an EC. Additionally, it’s important to keep in mind that receiving a CPF Housing Grant may affect your financing options and repayment terms, so be sure to consult with a financial advisor before applying for these grants. Overall, CPF Housing Grants for ECs can be a valuable tool for eligible first-time home buyers, but it’s important to understand the benefits and limitations before applying for them.
Financing Options for EC Buyers
After receiving CPF Housing Grants for their Executive Condominium (EC) purchase, buyers can consider several financing options to cover the remaining costs. They can use their CPF monies or cash to pay off the outstanding payments. They can also get a bank loan or take up a combination of the aforementioned options. Buyers can choose to make monthly repayments for up to 25 years or increase their monthly cash payment to shorten the loan duration. It is important for buyers to carefully consider their financial capabilities before choosing a financing option to avoid any potential payment defaults. With CPF Housing Grants and the various financing options available, buying an EC has become more affordable for eligible buyers in Singapore.