Transition Seamlessly From Resale HDB to BTO Flat

(A recent visit to Mr Chua's new BTO home)

This is a recent case in which I successfully assisted a HDB flat owner in selling their resale flat and transitioning to their BTO flat. Over the course of my real estate journey, I've handled numerous such cases and gained in-depth knowledge of the process involved in helping HDB owners sell their existing flats and time it appropriately for a seamless transition to their new BTO flats.

One crucial aspect to consider is that there's no one-size-fits-all approach. First and foremost, we need to assess whether the owners require the funds from their current property to finance their BTO flat. If they do, we have to delay the application submission and then execute the extension stay after the completion. Unfortunately, in such cases, it can be challenging to find buyers who meet these conditions.

On the other hand, some homeowners do not need the funds from their existing property to finance their BTO. They either qualify for a temporary loan or have sufficient ready funds to cover their BTO purchase, making this type of transaction less complex.

Here are some common concerns that many homeowners share:

What happens if I sell my flat, but the key collection for my BTO is delayed, leaving me without alternative accommodation?
What if I'm unable to sell my existing flat by the time my new BTO keys are ready for collection?
I need the funds from my existing flat to finance the new one, etc.
In this particular case, I was referred to Mr. Chua by one of my clients, Steven. Mr. Chua needed my assistance in selling his flat as his BTO key collection was approaching.

I met with Mr. Chua at his home in early June 2022. He explained that his BTO flat, originally set to be ready by the end of 2022, had experienced delays due to COVID-19. The estimated key collection had been pushed to the second quarter of 2023. Based on my experience, I advised him that it might be too early to start marketing since there was still about a year until key collection. We decided to begin marketing by the end of 2022, and we planned to reconvene in six months.

In Mr. Chua's case, he had the option to take a temporary loan from the bank or utilize the proceeds from selling his current flat, which would be more than sufficient to cover his BTO purchase. He preferred to avoid the hassle and unnecessary interest associated with a temporary loan.

Mr. Chua's property had a unique layout, featuring an extra balcony in the master room on the top two levels and being situated on a small hill, offering unobstructed views.

I was confident in marketing his property but had to strategically time the sale to address his lodging concerns since the collection of his new BTO keys remained uncertain. During the marketing process, I focused on finding buyers who were flexible with longer timelines.

After a few months of marketing, I successfully found a buyer who was willing to accommodate the extended timeline. Subsequently, Mr. Chua received news about his key collection, and we adjusted the timeline to the satisfaction of both parties. The sellers and buyers were delighted with the smooth transaction process.