Sellers of Housing and Development Board (HDB) flats will be able to negotiate with their buyers for a temporary extension of stay in their flats, allowing them to stay in their former homes for up to three months, the HDB said on Tuesday (July 22).
The new rule, which takes immediate effect, 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, the HDB said.
“We settled on a three-month period as we think it should be sufficient time for flat sellers to complete the purchase of their next home, or make the necessary arrangements to shift into their next home,” said Minister for National Development Khaw Boon Wan in a blogpost.
He added that the HDB estimates that about 15 per cent of total resale transactions, or about 2,700 households a year, will stand to benefit from this policy tweak.
Flat sellers who wish to extend their stay temporarily must have committed to buy another home – whether HDB flat or a private property – in Singapore at the time of the resale application. In other words, they must have exercised an Option to Purchase or signed a Sale and Purchase Agreement, the HDB said.
The request for the extension of stay is to be submitted to HDB at the time of the resale application.