One Chuan Grove Payment Scheme

How progressive payment works

Under the standard scheme for new private homes in Singapore, the purchase price is divided into instalments tied to construction milestones. The first payments are made when you take up the option to purchase and when you exercise it and sign the sale and purchase agreement. Subsequent instalments fall due as the developer's architect certifies that each stage of construction has been completed, such as the foundation, structural framework, walls and roofing.

The final instalments are paid when the project receives its Temporary Occupation Permit (TOP) and when legal completion takes place. For One Chuan Grove, completion is estimated for end 2030 according to the ERA project highlights, but the TOP date has not been announced, so the exact timeline is not yet fixed.

Cash, CPF and bank loans

The early payments are typically funded from cash and CPF Ordinary Account savings, since bank loans are usually drawn only after the initial stages. Once your loan starts disbursing, the bank pays later instalments directly to the developer and your monthly repayments begin, increasing as more of the loan is drawn.

This is one of the attractions of buying off-plan: repayments start small and grow alongside construction. It also means you should plan for rising monthly commitments over the build period, especially if you are still paying for your current home.

Points to clarify at preview

• Whether the developer is offering only the standard progressive scheme or any alternative arrangements
• The expected construction timeline and TOP date
• When stamp duties are payable relative to the option and agreement dates
• How long you have between the option date and exercising the option

Stamp duty payable on the purchase depends on your profile and can be estimated with the stamp duty calculator. Rules change from time to time, so confirm the current position with the authorities, your bank and your conveyancing lawyer before committing.

Planning your finances

A sensible approach is to map your expected payments against your cash flow over the next several years. Consider your current housing costs, whether you will sell an existing property and when, and how much buffer you want to keep. The mortgage calculator can help you test different loan amounts and tenures.

Normal Payment Scheme (uncompleted private condo)