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Your Ultimate Guide to your first BTO

Planning to buy your first BTO and wondering about the finance and procedure of it? Read on to find out more about how it works.


First, it will be useful to outline the process of getting your BTO flat: 1. Determine your eligibility You can check your eligibility here 2. Balloting When it comes to balloting, the truth is, there is no guarantee you will be getting a slot

3. Applying for HDB or Bank loan to finance your BTO If you are applying for an HDB loan, a HDB Loan Eligibility (HLE) letter is necessary. If you are using a bank loan, you will need the Approval-in-Principle (AIP) from the relevant bank that you are applying from.

4. Check eligibility for grants Now would be a good time to begin determining which grants you are eligible for. We have curated and summarized a list of grants in one of our earlier articles. You can look at the list of grants here

5. Choosing your flat

If you are lucky enough to be notified that your ballot has been successful, you will need to choose your flat.

6. Pay Option-To-Purchase (OTP) fee At this point, you will need to pay your OTP fee. 7. Exercising your OTP This states your intention to exercise your OTP and buy the flat. You will need to sign the lease agreement, pay your downpayment, and any other relevant fees. 8. Bonus point! Scouting for a quality interior designer

Begin looking and enquiring with interior designers so you can start planning on your finances early! Remember, slipshod work is the result of rushed timelines. Our readers will know that we advocate early planning in order to make this momentous life event go as smooth as possible.

9. Collecting your keys You will finally be invited to collect the keys and be the proud owner of a new home! Remember, there are certain criteria you have to fulfill before you collect your keys.


In one of our earlier articles, we explained that mortgages for HDBs can be furnished by either an HDB loan or a bank loan, while the latter is only applicable for that of private properties. Here is a neat summary of the differences as shown in Table 1.