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Hi
My sister and parents are buying a new 5 room bto flat under hdb public scheme. My sister with be the owner ,my parants as essential occupiers.
I myself own a 3 room hdb flat and it's fully paid. I intend to stay with them in her new flat and rent out my whole unit, and use part of the rental to help her with the loan. However, her cpf + maximum hdb loan allowed is not enough for her new flat.

I wonder will hdb allow me to use my hdb flat(to be rent out) as collateral to help her get a higher hdb loan? I am aware that hdb flat cannot be use as collateral to borrow money from a money lender or bank. However, in this case, the lender is hdb themselves, not any moneylender out there.

Can any expert give me a clue to this?
Thanks in advance.
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2 Answers

Evening John,

None of the financial institutions are allowed to utilize HDB as collateral.

FYI
Mike Lim
 96929209 
m52i@yahoo.com
ERA Read More
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  • J.
    hi mike
    To clarify, my sister is trying to get a loan from hdb, not from the bank.
    Thanks
Hi John,

Can I interpret as your sister has no issues obtaining HDB loan for this purchase even without the rental income from your HDB?

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