To a lot of buyers, the process of buying a new launch condo can be rather confusing or complicated. Refer to the table below for a summary of the procedure and timeline for purchasing an uncompleted project (Building Under Construction) from the developer.
|Day 1||Signing of Option to Purchase (OTP)
(Meanwhile selection of Mortgage loan & Engagement of Lawfirm)
|5% Booking Fee|
|Within 2 weeks||Sales & Purchase Agreement (S&P) sent to Lawfirm, or sent to Buyer if no Lawfirm is appointed||–|
|Within 3 weeks from delivery of S&P||Buyer to sign and exercise S&P at Law firm||–|
|Within 2 weeks of Signing S&P||Buyer to pay Stamp Duty||Buyer Stamp Duty
Additional Buyer Stamp Duty
|Within 8 weeks from Day 1||Buyer to pay remaining downpayment
(Cash/ CPF / Both)
The S&P must be exercised within 3 weeks upon delivery of the documents. If the option expires, 25% of the booking fee (which amounts to 1.25% of the purchase price) will be kept by the developer.
The duration of each stage can be earlier than stated, however the completion date for the entire procedure must be within 8 weeks from the Date of Option. If there is any delay, a request in writing must be submitted to the developer and is subjected to approval.