An executive condominium (EC) may be sold by a private developer, but buying a new unit is not financed in the same way as buying an HDB flat. There is no HDB concessionary loan: purchasers use cash, eligible CPF Ordinary Account (OA) savings and a housing loan from a financial institution. The headline “25% down payment” is only the starting point, because stamp duty, legal costs and the timing of progressive payments also affect how much liquidity a household needs.
The figures below describe prevailing rules as at September 2026. They are general information, not personalised financial advice. A bank, conveyancing lawyer and the developer should confirm the amounts and deadlines for the actual unit before an Option to Purchase (OTP) is accepted.
Check new EC eligibility before calculating the budget
New ECs bought directly from a developer carry HDB eligibility conditions. Applicants generally need an eligible family nucleus; at least one applicant must be a Singapore Citizen and at least one other applicant or essential occupier must be a Singapore Citizen or Permanent Resident. Joint singles must all be Singapore Citizens and at least 35 years old. Applicants under the other main schemes are generally at least 21.
The household must not own private residential property in Singapore or overseas and must not have disposed of one within the preceding 30 months. Previous housing subsidies matter too: a household that has already received two housing subsidies cannot buy another new EC, while some second-timers must pay a resale levy.
The income ceiling is now project-specific. Under the HDB implementation announced in August 2026, the ceiling is S$18,000 a month for new units in ECs whose land-sale tender closes on or after 24 August 2026. Balance units in existing ECs and projects linked to earlier tenders remain subject to the S$16,000 ceiling. The tender date—not the viewing, booking or launch date—determines which ceiling applies. Our broader 2026 EC buyer guide explains the related ownership and resale rules.
How the 25% EC down payment works
For a buyer with no outstanding housing loan who obtains the maximum 75% loan-to-value (LTV), the buyer-funded portion is 25% of the lower of the purchase price and the bank’s valuation. It is useful to split this into stages rather than treating it as one payment:
- 5% option fee: paid when the EC is booked. This must be paid in cash.
- 15% balance down payment: generally payable using eligible CPF OA savings, cash or both within nine weeks from the OTP date or when the Sale and Purchase Agreement is signed, according to the prescribed process.
- Remaining 5% of the price: with a 75% loan, the total buyer contribution is still 25%. For an uncompleted EC on the normal progressive-payment schedule, this additional portion must be funded as the contractual payment stages and loan disbursements begin.
A 75% LTV is a ceiling, not an entitlement. The approved amount can be lower because of the valuation, age, loan tenure, existing housing loans, income assessment, credit profile or other debt. Any purchase price above the valuation also falls outside the LTV calculation and must be funded without the mortgage. Buyers should therefore obtain in-principle approval and ask the lawyer for a dated completion account before booking.
MSR, TDSR and loan limits can increase the cash needed
The MAS housing-loan framework sets a 75% LTV limit for a borrower with no outstanding housing loan. The limit is 20 percentage points lower if the loan tenure exceeds 30 years or extends beyond the borrower’s age of 65. Lower limits also apply when a borrower has one or more outstanding housing loans.
Two debt-servicing tests apply to a new EC bought directly from a developer. The Mortgage Servicing Ratio (MSR) caps the monthly instalment at 30% of the borrower’s gross monthly income. The Total Debt Servicing Ratio (TDSR) caps total monthly debt obligations at 55% of monthly income. Car loans, credit facilities and other property loans can therefore reduce the housing loan even when the buyer meets HDB’s EC income ceiling.
Eligibility and borrowing capacity are separate tests. A household can qualify to buy the EC but still receive a loan below 75%, creating a larger CPF-and-cash contribution. Compare that all-in burden with the alternatives in our BTO, resale flat, EC and private-home guide.
What CPF can and cannot cover
CPF OA savings may generally be used for the balance down payment, eligible purchase payments, housing-loan instalments and certain stamp and legal fees. They cannot replace the mandatory 5% cash option fee. Eligible first-timer households buying a new EC from a developer may also receive an EC CPF Housing Grant of up to S$30,000; the amount depends on household income, citizenship mix and first-timer status. Joint singles do not receive the singles grant for an EC.
CPF use is not unlimited. The CPF Board’s housing-usage rules tie the available amount to factors including the property’s remaining lease, valuation and the age of the youngest owner using CPF. For bank-financed property, use up to the valuation limit is generally possible where the lease covers the youngest owner to age 95; further use up to the withdrawal limit requires the applicable Basic Retirement Sum to be set aside. CPF principal used, including the grant, generally has to be refunded with accrued interest when the home is sold, subject to prevailing rules.
Budget for stamp duty and other purchase costs
Buyer’s Stamp Duty (BSD) applies to the higher of the purchase price or market value. The current IRAS residential BSD bands are 1% on the first S$180,000, 2% on the next S$180,000, 3% on the next S$640,000, 4% on the next S$500,000, 5% on the next S$1.5 million and 6% on the remainder.
ABSD should be checked separately. A qualifying purchase of a new EC receives the specific remission for HDB flats and new EC units when HDB approves the acquisition and at least one purchaser is a Singapore Citizen. That remission does not apply to a resale EC. The buyers named in the contract, citizenship and property count can alter the result, so the conveyancing lawyer should confirm the treatment before the option is exercised.
Other amounts include conveyancing fees, mortgage duty, bank valuation or administrative charges, fire insurance, renovation, furnishings and moving expenses. After completion, allow for monthly maintenance contributions, property tax and home insurance. Existing HDB owners should also model the overlap between the current mortgage and progressive EC payments, as well as the deadline for disposing of the existing flat.
A S$1.5 million EC cash-flow example
Assume a S$1.5 million purchase price and valuation, no outstanding housing loan, and an approved 75% bank loan. The 5% cash option fee is S$75,000. The next 15% is S$225,000 and may be paid with eligible CPF OA savings, cash or both. Another S$75,000 is needed to bring the buyer-funded share to 25%, making the total price contribution S$375,000.
BSD on S$1.5 million is S$44,600 under the current marginal bands. Before legal fees, mortgage duty, renovation and reserves, the purchase therefore requires S$419,600 of buyer funds plus the S$1.125 million loan. Only S$75,000 is the stated minimum cash component in this example; the actual cash requirement rises if CPF is insufficient, the loan is smaller, valuation is lower or other costs cannot be paid from CPF.
A sound check is to map every payment by date, label it cash, CPF or loan, and keep emergency funds outside the purchase budget. Confirm the project’s land-tender date, income ceiling, MOP and payment scheme in writing. For EC sites whose tenders close on or after 8 May 2026, the MOP is 10 years from the Temporary Occupation Permit; earlier projects generally retain a five-year MOP. That long commitment makes liquidity and repayment resilience as important as the booking-day down payment.
