Demonstrate ability to give advice on financing of property purchases in the following areas:

• Identify the sources of financing the purchase of
  • Private residential property
  • HDB flats
  • Non-residential properties
• Advise on HDB’s requirements and the process involved in applying for HDB housing loan.
• Ascertain the buyer’s eligibility for the first and second HDB housing loan.
• Guide HDB resale flat buyers who need a loan to obtain either a HDB Loan Eligibility (HLE) Letter from HDB or a Letter of Offer from the bank, and a valuation report.
• Apply Monetary Authority of Singapore (MAS)’s restrictions, if applicable, on bank loans for residential (both private/HDB) properties.
  • Maximum tenure
  • Loan-to-value (LTV) limits
  • Mortgage Servicing Ratio
  • Total Debt Servicing Ratio
• Determine the maximum LTV limit for
  • First and second HDB loan
  • Bank loan: buyers with and without outstanding mortgage loan taking into account loan tenure, age of borrower and any policy changes in the future.
• Determine the minimum cash downpayment under different circumstances.
• Ascertain if HDB resale levy is payable and the quantum.
• Ascertain a HDB resale flat buyer’s eligibility for various CPF Housing Grant.
• Understand what CPF Ordinary Account (OA) can be used for and who are allowed to combine their CPF OA in connection with a property purchase.
• Explain the meaning and significance of Valuation Limit (VL), Minimum Sum and CPF Housing Withdrawal Limits (WL) for different types of housing and loans.
• Compute the percentage CPF Housing WL and the minimum lease term for properties between 30 and 60 years of remaining lease.
• Explain the requirement of CPF Board’s Home Protection Scheme.
• Compute the minimum cash, allowable CPF and maximum loan quantum applicable to different categories of loan, property and buyer.
• Compute the sale proceeds taking into account the requirement to refund the CPF withdrawn and other costs e.g. HDB upgrading cost, resale levy.
• Explain the working of enhanced contra facility for HDB flat.
• Keep abreast of policy changes relating to property loan, CPF usage and cash quantum.