HDB unveils temporary extension of stay for resale flat owners

Sellers can now stay for up to three more months.

In a bid to improve the country’s residential resale market, the Housing and Development Board today unveiled a new policy that will allow sellers of HDB flats to stay in their old homes for up to three months after closing a deal with a buyer.

According to the HDB, 15% of total resale transactions, or around 2700 households a year, will benefit from this relaxed rule.

“This is part of HDB’s regular review to respnd to the needs of HDB resale flat sellers and buyers. This move will facilitate sellers who are transiting to their next homes, including those who may need more time for renovation or those awaiting funds from the sale of their current flats, eg. contra cases,” noted the HDB.

Here’s more from HDB:

Flat sellers who wish to extend their stay temporarily must have committed to buy a completed housing unit in Singapore at the time of resale application, i.e, they must have exercisedan Option to Purchase or signed a Sale and Purchase Agreement.

The request for the extension of stay is to be submitted to HDB at the time of the resale application.

The extension of stay will automatically cease at the end of three months. Any earlier termination must also be communicated to HDB, as this will impact flat buyers’ Minimum Occupation Period, which commences on the day when they take over the flat.

Any such arrangements are, however, subject to the agreement of buyers. Details of the extension, including the duration and monetary compensation, if any, must be mutually agreed to by both parties.