Step 1 — Get your HFE letter

This confirms your eligibility, indicative grants and loan estimate before you start viewing flats seriously.

Step 2 — View flats and negotiate

Once you find a flat, negotiate the resale price directly with the seller (often via their agent). The gap between the agreed price and HDB's valuation is known as Cash-Over-Valuation (COV) and must be paid in cash, not CPF or loan funds.

Step 3 — Exercise the Option to Purchase (OTP)

The seller grants you an OTP (usually for a $1,000 option fee) giving you the exclusive right to buy within an agreed period, typically 21 days. Exercising it (paying the option exercise fee, up to $5,000 total including the option fee) legally binds both parties to the sale.

Step 4 — Submit the resale application

Both buyer and seller submit the resale application to HDB via the online portal, along with required documents. HDB reviews eligibility, any resale levy owed by the seller, and CPF usage.

Step 5 — Acceptance and Endorsement

The buyer and seller review, agree to, and electronically confirm the HDB resale application details for processing.

Step 6 — Completion and key collection

At the completion appointment, the balance purchase price is paid (via CPF/loan/cash), and keys are handed over. Total time from OTP exercise to completion is typically 8–12 weeks.

Tip

Line up your bank loan approval-in-principle before exercising the OTP, not after — financing surprises after you're legally committed are expensive to unwind.