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A flat at 35 and an assurance to my partner
By Derek  •  July 25, 2015
SGYI wrote a good post on how singles can buy a HDB flat on their own. However beyond all the dollars and cents in buying a flat, I am sure some singles will eventually find their soul mate. That is when many questions arises:
  • If the couple are both above 35 and have their own flats, would a marriage mean having to sell one of their HDB flat?
  • Do I still qualify for any government subsidies when I get married?
  • Is it mandatory that I must include my partner after marriage? If not, is he/she entitled to my flat when I pass on?
  • What if my partner is a non-Singaporean?
There will be many more questions and I shall not attempt to list all of them. Everyone situation is unique and it will change at different stages in life. I will be eligible to purchase a HDB as a single in a few months time but I have already started to look around for a private apartment since last year. You can read about it here. A HDB did not cross my mind then because I was still a bachelor and was looking for a property as an investment. Now that I am in a stable relationship, we will like a place where we can call home. The normal Singaporean way is to apply for a HDB as a couple but since I am reaching 35 soon, my plan is to purchase a HDB resale flat on my own and my partner can buy a private property of her own as an investment. The benefit of this is that she does not have to pay Additional Stamp Buyer Duty and we can generate a passive income from one of the property. Of course that will only happen if:
  1. I have the financial means to purchase the resale flat of our choice. (I will be the only one paying for it including the instalments).
  2. She is comfortable to purchase a private property in her name (I will help to pay for it of course).
Point 1 is something that I will do now - submit to HDB to calculate my loan, planning my financials and going for viewings. Point 2 will only happen after we have happily settle down and build up our 'reserves'. It may be a few years or many years later but that is the least of my concerns. My main worry is that the HDB flat will be under my name.
  • How can her the assurance that this is also her home?
  • How can I make sure that if something happen to me, the flat will be pass down to her?
I scan through HDB website hopping to find an answer: Occupier
After you have purchased a flat, you can submit an application to HDB to include your family members or immediate relatives as occupiers of the flat. However, the proposed occupiers must meet HDB's prevailing eligibility conditions.
She definitely meets the criteria as a occupier and she can purchased a private property after I have fulfilled the minimum occupation period. Authorised Occupier Out of curiosity, I checked my status in my parent's flat and I found that I am listed under "Authorised Occupier".  I searched HDB website and there is no definition of what is a "Authorised Occupier". The closest match I came across is this:
For a rental flat let under the Family Scheme, the tenant may apply to include an immediate family member such as
  • Child,
  • Spouse, or
  • Parent/s
as authorised occupiers in the rental flat.
Now this is weird, I definitely do not live in a rental flat. Authorised Occupier Digging up further, I found a new term. *faints*
An essential occupier is a family member who is required to be listed in the Application Form in order to form a family nucleus and qualify under an eligibility scheme to purchase a flat...
At least there is a proper definition. It took me a while to figure out that the authorised occupier is the same as the occupier (still not 100% sure though). Tsk Tsk, To HDB, please be clear in your naming conventions. To find out how I can pass down the flat to my partner, I looked at Flat Ownership.
Demise of Sole Owner/Tenant-in-Common The remaining family or single occupier is allowed to retain the existing flat after the owner has passed away, provided:
  • he / she is a Singapore Citizen or Singapore Permanent Resident (SPR)
  • he / she is at least 21 years old
AND
  • he / she satisfies HDB's prevailing eligibility rules and conditions to own a flat.
The golden answer that I have been waiting for, and to be even more certain I will draft a will. Prevailing eligibility rules is subjective. I contacted HDB last year if I own a private property and upon my parents demise, can I take over their HDB? Their answer is that it is on a case by case basis but generally the answer is yes, but I have to stay in the HDB and fulfil the MOP. However, the rules may change in future. I hope that with this I can give her the assurance that she is the official one and only Mrs of our house. However, if she wants to be the owner, why should I stop her? I will be more than happy. :) I will be glad to hear your thoughts especially from the ladies. Feel free to share your own HDB concerns and I am sure there will be some readers who will be able to relate and share their own experiences.
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By Derek
Derek is an investor who follows Peter Lynch style of investing. He prefers to use simple and straight forward information for stock analysis. He started TheFinance.sg with the intention to bring together all bloggers and professionals who are interested or already in the area of Finance and Investing, and to create a community where everyone is free to write and to share their articles, experience and opinions.
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7 Comments

7 responses to “A flat at 35 and an assurance to my partner”

  1. My 15HWW says:

    Hi Derek,

    Good luck with your search for the resale flat!

    I guess if she has to wait for the MOP to be over before she can buy a private apartment, a “fair way” for now would be to make sure you are the only one paying for the flat?

    Anyway, like what you mentioned, rules could change anytime. Who knows, maybe ABSD would be removed within the next few years and she can be the “owner”.

    • Derek Lim says:

      Hi 15HWW,

      Thanks! Sounds like you have plans for a second property? ;)

      The GE is coming and I wonder if our PM will be announcing some ‘goodies’ during the upcoming National Day rally. It’s going to be exciting.

  2. Ju says:

    I think a home is where 2 people take responsibilty to own the place and share in the payments to keep it going. On top of a greater sense of security and responsibilty, if the mrs is willing to be part of it, i think its a good idea.

  3. Jes says:

    Hi Derek,

    First of all, congrats on being attached! I know I am a bit late to congratulate you but I only read this now…. Really. Anyway, I think if you can assure her that you are hers emotionally and with a marriage cert, I don’t think she has anything to fear. The decision will be up to you two to get the most dollars out of this.

    Good luck and this is a good problem to have!

    • Derek Lim says:

      Hi Jes,

      Thanks! It is never too late. A good problem indeed and we have already worked things out. Next phrase is to start finding our nest egg. ;)

  4. Jimmy says:

    Nice post

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