How to take over HDB shop via assignment ?

[Golfmatic]

I am looking to take over a HDB shop from someone but I am not familiar with the process.

 

Assignment fee - is this declared to HDB in the transfer of tenancy ?

 

The current tenant is asking for 50% of the assignment up front as a deposit - is that reasonable ? What if the transfer fails to go thru ?

 

Any property guru out there to advise ?

[Bieffe]

I believe u have an agent handling all these for you or your seller has an agent acting for him?

 

If not you can DIY on HDB website. Is eService, so enter all the required details and you may stop just before submitting the form to HDB and save it.

 

If you are not changing the use of the shop say now is a salon and you will take over and continue same trade...then u can op for Lodgement scheme. Anything else you will need inspection...that will be $500approx. After 2005 no inspection required.

 

Then you have duty to pay. 300k selling price ur duty will be $2400.

 

You may discuss with owner to pay a smaller deposit and allow you 14days to check with HDB, your lawyer and bank.

 

Everything should be in black and white with each getting a copy. All payment by crossed cheque or bank draft.

 

Once all OK. You pay full amount either by CASH or loan....that ur bank will take over to dispatch monies when u all meet HDB 2nd time.

 

Yes. Sale price must be indicated in the form to HDB. Shophouse is considered commercial property.

 

Anyway I'm not licenced...so maybe wrong...just some experienced I had many years ago and when thru an agent.

 

 

[Golfmatic]

Thanks, Bieffe.

 

The agent seems to be a newbie and not very knowledgeable. I think it may be his first time doing this !