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Beginners’ Guide To HDB Loan Eligibility Letter (HLE) And How To Apply For It

Not having a valid HLE letter when booking your new flat means you will not be eligible to take an HDB concessionary loan later on.


When applying for a new HDB flat (via the HDB sales launches or Open Booking) or buying one from the resale market, you would inadvertently come across the requirement to have a valid HDB Loan Eligibility (HLE) letter.

Because an HLE letter is a pre-requisite for applying for a flat in many situations, here’s is a concise explanation of what this letter is, what are the eligibility criteria, and when you need to apply for it.

Read Also: Complete Guide To Understanding And Applying Under HDB’s Open Booking Of Flats Option

What Is A HDB Loan Eligibility Letter (HLE)?

An HLE letter is an in-principle indication that you qualify for a concessionary housing loan from HDB, based on the information submitted at the point of application. Your HLE will also indicate the maximum loan amount you can take, monthly instalments, and repayment period.

HLE letters are valid for 6 months from the date of issue, so long as there is no material change in financial situation of the applicants or family situation.  You can apply for a new HLE letter a week before your existing HLE expires, if you need to.

Read Also: HDB Concessionary Loan: Here’s What New Homeowners Need To Take Note Of Before Applying

When Do You Need When Applying For A HDB Loan Eligibility Letter?

You will need a valid HLE letter when you want to book a new flat from HDB (after successfully balloting for a queue number), or obtain an Option to Purchase from a resale flat seller and submit a resale application, or apply for transfer of ownership of an HDB flat.

The requirement for a HLE letter only applies to those who wish to take a HDB concessionary housing loan or wish to have the option to take a HDB concessionary housing loan. It works in a similar way with an in-principle home loan approval from a bank.

Having a HLE letter helps you understand the loan amount you’re able to obtain and projected monthly repayments, so that you will not inadvertently overstretch yourself and buy a flat that you struggle to pay for over the decades to come.

If you just want to get a preliminary estimate for your home financing and budget before actually applying for a HLE letter, you can use this online Enquiry on Loan Estimate tool by HDB.

Read Also: What Is In-Principle Approval For Home Loan – And Why You Should Get It Before Making An Offer To Purchase A Property

Requirements For A HDB Loan Eligibility (HLE) Letter

Since approval and amount of a HDB loan primarily depends on the ability of the applicant(s) to sustainably service their home loans, applicants’ employment status is a key consideration.


Source: HDB

For most people who are employed with CPF contributions, the primary documents you need to submit are:

1) 3 months’ payslips preceding the month of application or recent letter from employer stating job designation, commencement date, and salaries for 3 months preceding the month of application.

2) Latest 15 months’ CPF contribution history. Downloadable from the CPF Website using your SingPass, and clicking My Statement on the dashboard.

Other requirements apply for employees with no CPF contributions, self-employed persons, or commission-based or part-time workers. You can refer to the HDB website for the list of required documents if you fall into these categories.

Read Also: Step-By-Step Guide To Buying A HDB BTO Flat

How To Apply For A HLE Or Get More Information

All applications for HLE letters are to be made online using HDB’s e-service and logging in using your SingPass. Required supporting documents are also to be uploaded using the online service.

Your submission will be processed within 14 days of receiving the full set of documents, and you can check your HLE letter application status by logging into the HDB website and clicking My Flat -> Application Status -> HLE.

If you have any general enquiries about HDB Loan Eligibility applications, you can call the HDB Sales/Resale Customer Service at 1800 866 3066 on weekdays, between 8am to 5pm.

Read Also: Should Home Buyers Use Up Their CPFOA Completely Before Taking A HDB Loan?