Selling your HDB to buy a condo: plan the sequence
If you are selling an HDB flat to buy a condo, the two transactions need one financial and moving plan. Start with the funds you can actually use, then match them to the dates your purchase will require payment.
Sale price is not the same as cash available
Your outstanding home loan, CPF refund, legal fees, agent commission and any applicable Seller’s Stamp Duty affect the amount left after a sale. CPF returned to your account and cash received are different sources of funds, and may become available at different points. Use current statements when replacing an estimate with a firm plan.
Start with these figures
- Outstanding home loan and any redemption charges.
- CPF principal used and accrued interest to be refunded.
- Agreed selling costs and an estimate of cash proceeds.
- Cash and CPF already available for the next purchase.
Should you sell first or buy first?
Selling first can give you a clearer view of the proceeds, but may require temporary accommodation or an agreed handover arrangement. Buying first may secure a suitable home sooner, but can create overlapping commitments and additional funding needs. Neither sequence is automatically right for every household.
Questions to work through
- Can you fund purchase payments before sale proceeds arrive?
- Can the household manage overlapping repayments if dates shift?
- What happens if the sale takes longer than expected?
Map the HDB sale timeline against purchase payments
Write down the proposed option, completion and handover dates for both homes. For a resale condo, compare the purchase milestones with the expected availability of cash and CPF. For a new launch, use the project’s actual payment schedule rather than assuming the whole loan is drawn immediately. Confirm transaction dates with your agent, lender and conveyancing lawyer.
Check duties and eligibility before committing
ABSD depends on the buyer’s circumstances at the relevant acquisition date. A later refund or remission is not automatic. Check your eligibility and the conditions of any proposed arrangement before paying a deposit. Use the HDB sale proceeds calculator and ABSD calculator as starting points, then review your sell-and-buy plan with Hanson.