Both applicants are students

glowingsummer

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I have a unique case, whereby both me and my gf are undergrads from local uni, and will be graduating in 7 months time. my projected date for signing of lease will be in 5 months time, hence by right, I'm unable to get any loan or grant ( we both have zero income, and have not worked for 3 or 12months as required to get the loan/grant, in 5 months time).

Anybody in such a situation or similar, care to share how do we go abt appealing or anything?
 

jizzbunny

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I have a unique case, whereby both me and my gf are undergrads from local uni, and will be graduating in 7 months time. my projected date for signing of lease will be in 5 months time, hence by right, I'm unable to get any loan or grant ( we both have zero income, and have not worked for 3 or 12months as required to get the loan/grant, in 5 months time).

Anybody in such a situation or similar, care to share how do we go abt appealing or anything?
I think there's a similar case in NOV 2012 BTO thread.
You may want to read up there.

Personally, my gf has a friend who did the same.
But for their case, at least 1 of the couple was working.
they were eligible for the AHG/SHG, even though they never needed it anyway.
Quite the loophole, but as long as it benefits Singaporeans on the whole, I've got no gripe.
 

charel_ong

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U can apply bank loan, but someone must be guarantor.. Downpayment will be 10% instead of 5%..
 

glowingsummer

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I think there's a similar case in NOV 2012 BTO thread.
You may want to read up there.

Personally, my gf has a friend who did the same.
But for their case, at least 1 of the couple was working.
they were eligible for the AHG/SHG, even though they never needed it anyway.
Quite the loophole, but as long as it benefits Singaporeans on the whole, I've got no gripe.

Wow that thread is long.... Any idea roughly when was it posted?

Yup, I heard of such case, but that is when one of the couple is working. My case is where both are studying with zero income, but we're v confident we can at least get a combined income of >4-5k in 3 yrs time when the flat is rdy (considering the majority of degree holders pay at the beginning, from NTU/NUS/SMU). Called up some HDB officers and apparently they seems to be unable to do anything too... What should I do now? Will any MP letter help?
 

jizzbunny

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Wow that thread is long.... Any idea roughly when was it posted?

Yup, I heard of such case, but that is when one of the couple is working. My case is where both are studying with zero income, but we're v confident we can at least get a combined income of >4-5k in 3 yrs time when the flat is rdy (considering the majority of degree holders pay at the beginning, from NTU/NUS/SMU). Called up some HDB officers and apparently they seems to be unable to do anything too... What should I do now? Will any MP letter help?
MP letter won't help in any case, to be honest.
As Charel mentioned one post up, you'll only have bank loans to rely on and from a practical point of view, banks only care if you have collateral or the means to service the loan (thus the need for a guarantor.)

Hope this helps, and if I'm wrong in any way, please do correct me. I'm a newbie too :)
 

charel_ong

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I think i was the one asking it in the main thread of nov bto.. Lol! No use asking MP to appeal, even if u are confident getting a 3-4k job but income they see is when u apply the bto. If u want the grant then wait till next yr then ballot lor.. If not apply bank loan :)
 

jizzbunny

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I think i was the one asking it in the main thread of nov bto.. Lol! No use asking MP to appeal, even if u are confident getting a 3-4k job but income they see is when u apply the bto. If u want the grant then wait till next yr then ballot lor.. If not apply bank loan :)
ah yes, I do remember it to be you :)
 

glowingsummer

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I think i was the one asking it in the main thread of nov bto.. Lol! No use asking MP to appeal, even if u are confident getting a 3-4k job but income they see is when u apply the bto. If u want the grant then wait till next yr then ballot lor.. If not apply bank loan :)

So you got a bank loan for your case? Is there any ways to appeal for HDB loan? or appeal for a grant? Let's say, I'm still 5 months away from signing the lease. I only need 3 months of income proof in order to apply for HDB loan right? So, if I go IRAS now and declare my income starting now to be an arbitrary amount, will it be actually possible?
 

charel_ong

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So you got a bank loan for your case? Is there any ways to appeal for HDB loan? or appeal for a grant? Let's say, I'm still 5 months away from signing the lease. I only need 3 months of income proof in order to apply for HDB loan right? So, if I go IRAS now and declare my income starting now to be an arbitrary amount, will it be actually possible?

That i not sure leh, i did ask the hdb but we cant get bank loan cus we no income.. I hope when selection comes we apply hdb loan too but i dun think possible
 

vinz

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Not trying to pour cold water, but frankly speaking, potential incomeof 3-4k, or any other amount is just whatever you think you are able to achieve.

For any Banks , financial institution or the HDB loan department, potential or future income, does not mean it will really happen. They will only want to see the REAL INCOME at the point of you signing the agreement to purchase any property.

All suggestion seems to point to BANK Loan being your only option if you still decide to take the BTO flat.

What I can suggest is to delay the signing of lease till you get a job.
Whatever reason you want to give for the postphonement till a few months later, make sure it sound realistic and good.

vinz
 

458italia

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yup agree real income....unless yr parents got money....then help u put in bank about 200 to 300k....then the bank might just loan
 

458italia

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That i not sure leh, i did ask the hdb but we cant get bank loan cus we no income.. I hope when selection comes we apply hdb loan too but i dun think possible

get both yr parents to put in a sum combined about 200 to 300k.....should not be an issue.....and get a list of bankers.....
i dun think u are eligible for HLE....but bank loan is possible....
and not forgetting if u want to grant must be legally married...with the marriage cert....not so straight forward want BTO then get BTO or other types of Goverment housing.....:s13:
if u get private residential will be easier....but then again outlay will be more....
 

charel_ong

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get both yr parents to put in a sum combined about 200 to 300k.....should not be an issue.....and get a list of bankers.....
i dun think u are eligible for HLE....but bank loan is possible....
and not forgetting if u want to grant must be legally married...with the marriage cert....not so straight forward want BTO then get BTO or other types of Goverment housing.....:s13:
if u get private residential will be easier....but then again outlay will be more....

Hi! Yup, if we get bank loan we will need to produce marriage cert 3 months after the possession of flat..

We are planning to get my bf's dad to be our guarantor.. My parents dun have that kind of money.. But my bf's dad has quite a sum of savings.. So i guess if he is our guarantor, bank will be more willing to lend us.. But im also looking for a bank which offer flexibility to take away his dad's name once we start work and able to pay ourselves so as not to burden his dad.. We are both above 21 years old :)
 

glowingsummer

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Let's say signing of lease is on May 2013. HLE's validity is for 3 months. Is it possible, for now, Dec 2012, I start declaring my own income to be an arbitrary amount i.e. 3k or smth, and pump money into my own CPF. During April, I would have 3 months already, apply HLE, then sign lease in May. Does this sound workable? Or, whats the loophole?
 

charel_ong

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Let's say signing of lease is on May 2013. HLE's validity is for 3 months. Is it possible, for now, Dec 2012, I start declaring my own income to be an arbitrary amount i.e. 3k or smth, and pump money into my own CPF. During April, I would have 3 months already, apply HLE, then sign lease in May. Does this sound workable? Or, whats the loophole?

Hi, it sounds like a gd plan but i m not sure if u are able to declare something that is not real yet.. Not sure if its illegal in a way.. Cus falsing information is not allowed.. If not everybody will do so .. Maybe u can go to another thread that discuss all about mortgage loan and ask.. I have seen this guy named vinz would be able to answer your doubts.. :) cheers
 

jizzbunny

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Let's say signing of lease is on May 2013. HLE's validity is for 3 months. Is it possible, for now, Dec 2012, I start declaring my own income to be an arbitrary amount i.e. 3k or smth, and pump money into my own CPF. During April, I would have 3 months already, apply HLE, then sign lease in May. Does this sound workable? Or, whats the loophole?


1. Are you willing to pay income tax in that case?
2. Okay if you're willing to top up your CPF account
3. How are you going to prove your employment/self employment for the 3/12 months prior to selection?
 
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xusykl

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declare self employed tutor.
but need student parents contact no. and letter stating tuition fees and duration of tution.

if you can fabricate this info should be ok liao.
:o
 
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Not trying to pour cold water, but frankly speaking, potential incomeof 3-4k, or any other amount is just whatever you think you are able to achieve.

For any Banks , financial institution or the HDB loan department, potential or future income, does not mean it will really happen. They will only want to see the REAL INCOME at the point of you signing the agreement to purchase any property.

All suggestion seems to point to BANK Loan being your only option if you still decide to take the BTO flat.

What I can suggest is to delay the signing of lease till you get a job.
Whatever reason you want to give for the postphonement till a few months later, make sure it sound realistic and good.

vinz

I have to agree on this. No offence but am actually quite appalled by applicants who are not financially stable but yet went ahead to apply for houses even though BTOs do take some time to build. And apparently, BTOs are just like lego building blocks and they take around 2 1/2 to 3 years to complete. You will have to create some grace period or 'back up plans' sufficient to cater to the earlier completion/possession date.

IMHO, the AHG grant is one of the pulling factors to 'force' young couples to commit at such a young age. No doubt you will be eligible for higher grant but if you are not financially stable yet, especially when your CPF is very low and have difficulty to cover the first 10% or even 5% of the downpayment (staggered scheme), I suggest not to apply for any houses for the time being.

Well, unless if you are talking about having rich parents or you or your partner come from well-off families and who have no problems footing the bills, then by all means.

But don't jump into it just because of impulsiveness.

Emotions aside, practicality first. ;)

Even for myself, both bf and I have been working for 1 yr plus, we are still kinda worried about the $$$ but we do have sufficient for the 5% downpayment, but our AHG grant is prolly only gonna be around 5k - not alot actually.

Plus, do note of the legal fees and stamp fees which CANNOT be paid by the AHG grant. We chose the highest level, so you can imagine how much the stamp fees are, which are actually a percentage of the purchase price. So logically, the higher the level, the higher the purchase price and higher the stamp fees.

Yes also if you are gonna opt for the OCS package. Bf and I did opt for both packages which would add on to the purchase price as well.

And yes, your projected salary is only a rough estimation and is not 100% accurate. Not to scare you but there fresh graduates from local unis who have a difficult time finding jobs or they are always being offered jobs with low pay, sales-commission based such as insurance, job recruiters other other hard sales like credit cards etc. Commission based jobs do not offer a stable income and fluctuates periodically. Furthermore, the basic salary will be quite low and some do not even offer basic salary! For starters especially, don't expect to draw high salaries. You need to start somewhere, expanding connections etc.

Don't worry day and night over having not to meet at least the bare min financially in getting a house, it's not worth it and might sometimes ruin relationships too.

If you are really financially unstable for the time being, consider rejecting the flat (you will have to forfeit your option fees and 1 yr debarment - which I don't think will affect you much since it would be less probable for u to apply within this 1 yr period). Unless you have other alternatives such as paying the downpayment in cash, or have sufficient cpf savings (which I doubt so? Unless u have the cash the top it up as u mentioned) or taking a bank loan (someone has to be a guarantor if you are not credible enough for a loan since there is no income for both parties), if not, I would say to forgo it.

P.S. : Don't forget about other monetary issues such as ROM, customary weddings and furniture...

Just my 2 cents and sorry for nagging... :o
 
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porkcutlet

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I thought there is a requirement for at least one of the applicants to have worked for one year?

/edit: Found out that it's for AHG. Just wondering, how come hdb allows both applicants who are not working to apply for a flat since u all mentioned that they don't treat "future money" as valid? Just curious.
 
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