Qn on BTO financing

[opmi]

Hi buddies

I would like some help on the financing on BTO:

If a new couple booked a BTO which will TOP in 3 years time, can they get a bank loan approved (with Letter of Offer) now?

Thanks in advance.

[mrEngineer]

Yes I did that because I was not eligible for HDB loan. Jus go to any bank for offers. Some banks may offer you a free revision of interest upon collection of key. The only good/bad thing is that loan is not disbursed until HDB completes so it means you cannot start paying off the bank.

[opmi]

Thanks. More follow up questions.

Does HDB ask for progressive payment for BTO?

Does the bank ask for latest income docs when the BTO TOP?

Someone I know who has a job now, but may go for further studies. Meaning may have no income
when BTO TOP. As HDB loan require income support at TOP, the HDB loan may be withdrawn since there is no income.
And the person will not be able to get bank loan. And will be stuck. Unless he get a job fast or come out with $$$. So I am thinking if it is better to secure a bank loan now.

Thanks.

[egghead]

My understanding:

1. No progressive payment for HDB.
2. Once a bank approves the loan, they don't ask for latest income docs. When the time comes to disburse, you will start to pay the mortgage. That's the normal deal.

Given your scenario, I agree it is better to secure a loan now.

[opmi]

Thank you, egghead and mrEnginner.

[chialc]

can't help much because all my HDB was taken using HDB loan (which was the defecto then).

Love Compassion