Established in 1990, the Joint Singles Scheme aims to help Singaporeans aged 35 and above to jointly purchase a flat.
The longstanding HDB rule that singles below the age of 35 cannot own HDB flats is well known. But if you and a friend, sibling or partner are already 35 and above and would like to jointly own a flat, you have a few options, thanks to the Joint Singles Scheme.
1) Two grants, two rooms
Single Singaporeans aged 35 onwards can use one of two types of grants under this scheme: the Additional CPF Housing Grant (AHG) or Special CPF Housing Grant (SHG). However, this is applicable only if you and your fellow applicant(s) are first-timers applying for a new two-room Flexi flat in a non-mature estate.
The income ceiling for the AHG (Singles) is $5,000 a month; for the SHG (Singles), your average gross monthly household income over the last 12 months cannot exceed $8,500. Under both grants, each household can receive $5,000 to $40,000, depending on its gross monthly income.
2) Getting your grant
You must fill in the AHG / SHG application form (bit.ly/2j2EU5R) and submit it to the HDB at your booking appointment. Regardless of the number of applicants, your entire grant amount will be split equally between two applicants.
You can use the grant to either offset the flat’s purchase price, or reduce your mortgage loan for the flat. However, you cannot use the grant for the cash down payment or monthly mortgage payments. The grant will also affect your CPF withdrawal limit if you are taking a loan to purchase the flat.
3) Paperwork for property
As with all major purchases, you are required to submit the relevant documents when buying a flat under the Joint Singles Scheme. If you are employed — be it full-time, part-time, or on a commission-based arrangement — you must produce either your payslips from the last 12 months, or an official letter from your employer certifying your salary for the same period, as well as CPF statements showing your contributions for the past 12 months. Part-time employees need not produce CPF statements.
If you are self-employed, you must submit your latest Notice of Assessment (NOA) from the Inland Revenue Authority of Singapore (IRAS) or a statement of your annual accounts, certified by an auditing firm. You must also provide a valid licence of trade, or an Accounting and Corporate Regulatory Authority (ACRA) business profile.
 |
|||
 |
This article was first published in the print version PropertyGuru News & Views. Download PDFs of full print issues or read more stories now! | ||