REJECTED HDB RESALE FLAT APPLICATIONS

REJECTED HDB RESALE FLAT APPLICATIONS

2.

Dr Amy Khor Lean Suan asked the Minister for National Development how many cases of HDB resale flat applications have been rejected since 2004 because the buyer is unable to get HDB subsidised financing as well as bank financing due to his credit history.

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Mr Mah Bow Tan: In processing resale applications, HDB assesses the sellers' and buyers' eligibility to sell and buy the flat, based on the prevailing resale policies and conditions. HDB will reject applications if they are unable to meet the eligibility conditions for the sale and purchase. HDB does not reject applications because the buyer is unable to obtain financing for his purchase.

Flat buyers are advised to ensure that they have the financial means before they commit to a flat purchase. For buyers who are eligible to take up an HDB concessionary loan, HDB will do a credit assessment by looking at the buyer's age and household income to determine the loan quantum that he is eligible for. It does not take into consideration the buyer's credit history in its credit assessment. For buyers who do not qualify for an HDB concessionary loan, they would have to obtain financing from banks or financial institutions. HDB does not have information on loan applications rejected by banks because of the borrowers' credit history.

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