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Buying an Executive Condominium (EC) in Singapore can feel overwhelming for first-time buyers, especially when it comes to understanding the timeline of payments and paperwork. To help you navigate the process, here’s a clear breakdown of the first 9 weeks after booking your EC unit.
On booking day, buyers are required to pay 5% of the purchase price to secure their chosen EC unit. This is commonly referred to as the Option to Purchase (OTP). Once issued, the OTP legally reserves your unit and prevents it from being sold to another buyer.
* The 5% booking fee can be paid by cheque or bank transfer. For bank transfers, you’ll need to add the developer as a payee and raise your transfer limit at least one day in advance. Using a cheque is often recommended, as banks may block large transactions for security reasons.
Within two weeks of booking, the developer will deliver the Sales & Purchase Agreement (S&P) to you or your lawyer (need to inform the developer or it will be deliver to you). This important legal document outlines all the details of your EC purchase, including terms, conditions, and payment schedules.
* The two-week period is also subject to HDB’s eligibility check. If your case involves an appeal—such as exceeding the income ceiling, Minimum Occupation Period (MOP) issues, or other factors—the process may take longer. Until HDB approves your case, you will not receive the S&P, and in some instances, this can extend beyond six weeks.
After receiving the S&P, you have three weeks to exercise it. Exercising the agreement confirms your commitment to purchase the EC. If you fail to exercise within the timeframe, you risk forfeiting your 5% booking fee and losing the unit.
* In some cases, you may need to prepare both the 15% payment and the foundation payment together if your S&P is delayed due to an appeal.
The next step is to settle your Buyer’s Stamp Duty (BSD) with IRAS. This must be done within 14 days after exercising the S&P. BSD is a mandatory tax payable on all property purchases in Singapore. If applicable, this is also the stage where Additional Buyer’s Stamp Duty (ABSD) comes into play.
By the 9th week from your booking date, you will need to make an additional payment of 15% of the purchase price. This is the official completion stage, after which your EC purchase timeline continues according to your selected payment scheme (Normal Payment Scheme or Deferred Payment Scheme).
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