Buying HDB Resale as a Singapore PR: 5 Essential Tips

At a Glance

• Eligibility: SPR households must wait 3 years after obtaining PR status.
• Extra Taxes: A 5% Additional Buyer’s Stamp Duty (ABSD) applies to your first home.
• Preparation: Obtaining the HFE letter is an absolute must before you start house hunting.

Have you finally received your Singapore Permanent Residency (PR) approval letter? Congratulations! You are now one step closer to the dream of owning a home and saying goodbye to rental worries. However, the excitement can quickly turn into confusion when you encounter the complex regulations and unexpected costs involved in buying an HDB flat.

I remember when I first started looking for a home in Singapore; the system was so different from what I was used to that I spent countless nights googling. Permanent Residents (SPR) face different restrictions compared to citizens. Based on the latest 2025-2026 regulations, I’ve summarized the essential information that PR parents often overlook.

1. Can You Buy Immediately? The '3-Year Rule'

The first thing you need to check is the waiting period. For a Singapore PR household (where no owner is a citizen), all applicants must have held their PR status for at least 3 years before they are eligible to buy an HDB resale flat. People often ask, "Can I start looking as soon as I get my PR?" Keep in mind that you are legally only allowed to sign the Option to Purchase (OTP) once that 3-year milestone is reached.

Additionally, PRs are not eligible for BTO (Build-To-Order) flats; you can only purchase from the resale market. If you are a single PR, you cannot buy an HDB flat alone; you must form a 'Family Nucleus' with a spouse, parents, or children to be eligible.

2. Budgeting: ABSD and Loan Limits

Once you have a price range in mind, it’s time to look at taxes and loans. Unlike citizens, PRs face significant additional expenses. You should also pay close attention to the Loan-to-Value (LTV) limits, which were adjusted in recent cooling measures.

For example, if you buy a flat for SGD 800,000, you will need to pay an additional SGD 40,000 (5% ABSD) via cash or CPF. You also need to consider COV (Cash Over Valuation), a common factor in the resale market. If the transaction price is higher than the government's valuation, the difference must be paid strictly in cash. It is wise to have about SGD 20,000 to SGD 50,000 in liquid cash ready for this.

3. The Quota: You Can't Always Buy Your Dream Home

Singapore’s HDB system includes the Ethnic Integration Policy (EIP) and the SPR Quota. These are designed to prevent the over-concentration of specific ethnic groups or PRs in a single block or neighborhood.

• SPR Quota: Non-Malaysian PR households can only occupy up to 8% of a block and 5% of a neighborhood.
• How to Check: You can check the real-time status of these quotas monthly via the 'EIP/SPR Quota Enquiry' service on the official HDB website.
• Strategy: Popular blocks hit their quotas quickly. To save time, always ask the agent if the unit is available for your ethnicity and PR status before scheduling a viewing.

4. The Buying Process and the HFE Letter

The most critical document in today’s HDB market is the HFE (HDB Flat Eligibility) letter. In the past, people viewed houses first and checked loans later. Now, without this letter, you cannot even receive an Option to Purchase (OTP) from a seller. Since processing can take a month or more, apply for it early.

1. Apply for HFE Letter: Log in via Singpass to confirm your eligibility and loan amount. (Valid for 9 months)
2. Search and Receive OTP: Once you find a home, pay an option fee (usually up to SGD 1,000) to get the OTP.
3. Request Valuation: You must request an HDB valuation by the next working day after receiving the OTP. This determines your COV.
4. Exercise Option: Within 21 days, pay the remaining exercise fee (up to SGD 4,000) to confirm the purchase.
5. Approval and Completion: After submitting documents to HDB, it takes about 8 to 12 weeks to finally collect your keys.

5. Owning Property Abroad? Disposal Regulations

This is a point many people miss. Because HDB flats are subsidized public housing, regulations on multi-property ownership are strict. If you own a property (like an apartment or villa) in Korea or elsewhere, you must dispose of it within 6 months of purchasing your HDB flat. Failure to do so can lead to the forfeiture of your HDB flat or heavy fines.

If you wish to keep your overseas property, you should consider a private condo instead of an HDB. However, condos come with much higher ABSD for PRs and higher maintenance fees, so decide carefully based on your family's long-term plans.

Key Takeaways to Remember!

• HFE Letter First: Apply at least a month before you plan to start viewing homes.
• Secure Cash: While CPF covers a lot, you need cash for stamp duties, COV, and legal fees.
• Check Quotas: Don't fall in love with a house only to find out you aren't eligible to buy it due to the quota.
• Overseas Assets: Remember that HDB strictly monitors the disposal of foreign properties.

Owning a home in Singapore provides a sense of stability that goes beyond just financial investment. With thorough preparation, I hope you find the perfect 'sweet home' for your family! Feel free to leave a comment if you have any questions.

References

• HDB (Housing & Development Board) Official Guide
• IRAS (Inland Revenue Authority of Singapore) Stamp Duty Info
• PropertyGuru: SPR HDB Buying Guide
• CPF Board: Using CPF for Housing

Exchange Rate Ref: 1 SGD ≈ 1,150 KRW (As of Feb 6, 2026)