Question 1

What is the difference between VOID and VOIDABLE in the Singapore RES exam?

Accepted Answer

Void vs Voidable Contract. Legal effect — VOID: No legal effect from the start (ab initio). VOIDABLE: Valid until set aside by innocent party. Who can end it — VOID: Either party or court; treated as non-existent. VOIDABLE: Innocent party only can elect to rescind. Causes — VOID: Incapacity (minor/unsound mind) | Fundamental Mistake | Illegality (e.g. backdated contract). VOIDABLE: Misrepresentation | Duress | Undue Influence. Remedy — VOID: No damages; money/property returnable if possible. VOIDABLE: Rescission (set aside) + possibly damages. Can it be ratified? — VOID: No. VOIDABLE: Yes — innocent party may choose to affirm/continue. Example (property) — VOID: Seller of unsound mind signs OTP; contract backdated. VOIDABLE: Agent misrepresents unit size; buyer was pressured.

Question 2

What is the difference between Condition (Major Term) and Warranty (Minor Term) in the Singapore RES exam?

Accepted Answer

Breach of Condition vs Warranty. Importance — Condition (Major Term): Goes to the root of the contract. Warranty (Minor Term): Secondary/incidental term. Effect of breach — Condition (Major Term): Innocent party may TERMINATE the contract AND claim damages. Warranty (Minor Term): Innocent party can only claim DAMAGES; cannot terminate. Example — Condition (Major Term): Property title is defective (can't transfer clear title). Warranty (Minor Term): Seller fails to include one piece of agreed furniture.

Question 3

What is the difference between Method and Details in the Singapore RES exam?

Accepted Answer

Ways to Discharge a Contract. Performance — Method: Both parties complete all obligations. Details: Contract ends naturally. Agreement — Method: Parties mutually agree to end it. Details: E.g. both agree to cancel sale. Frustration — Method: Impossibility due to unforeseen event outside parties' control. Details: E.g. government compulsorily acquires land; fire destroys property before completion; buyer dies. Non-performance — Method: One party fails to perform. Details: Leads to breach of contract → remedies apply.

Question 4

What is the difference between Joint Tenancy (JT) and Tenancy in Common (TIC) in the Singapore RES exam?

Accepted Answer

Joint Tenancy vs Tenancy in Common. 4 Unities — Joint Tenancy (JT): Required: Title, Time, Interest, Possession. Tenancy in Common (TIC): Only Possession required. Shares — Joint Tenancy (JT): Equal shares only; cannot specify proportions. Tenancy in Common (TIC): Can hold unequal shares (e.g. 60%/40%). Right of survivorship — Joint Tenancy (JT): YES — deceased's share automatically to surviving co-owners. Tenancy in Common (TIC): NO — share passes by will or intestacy. Can will away share? — Joint Tenancy (JT): NO. Tenancy in Common (TIC): YES. Termination of JT — Joint Tenancy (JT): Severance converts to TIC: mutual agreement, sale of share, court order, bankruptcy. Tenancy in Common (TIC): N/A — TIC ends by sale of all shares or partition. HDB default — Joint Tenancy (JT): Couples default to JT; can apply to convert. Tenancy in Common (TIC): Can convert with HDB approval; common for investment.

Question 5

What is the difference between Privity of Contract and Privity of Estate in the Singapore RES exam?

Accepted Answer

Privity of Contract vs Privity of Estate. Meaning — Privity of Contract: Rights & obligations under the original lease agreement. Privity of Estate: Rights & obligations that come with holding the landlord/tenant relationship. Original LL + TT — Privity of Contract: YES — both signed TA. Privity of Estate: YES — both currently in landlord/tenant position. LL assigns to LL2 — Privity of Contract: LL1 still has privity of contract with TT; LL2 does NOT. Privity of Estate: LL2 now has privity of estate with TT; LL1 loses it. TT sublets to TT2 — Privity of Contract: TT1 retains contract with LL; TT2 has contract with TT1. Privity of Estate: TT1 has estate with LL; TT2 has estate with TT1. Novation (TT2 replaces TT1) — Privity of Contract: TT2 has new contract with LL; TT1 released from all liability. Privity of Estate: TT2 has estate with LL; TT1 has no estate.

Question 6

What is the difference between New Launch (Developer) and Resale Private in the Singapore RES exam?

Accepted Answer

OTP — New Launch vs Resale Private vs HDB Resale. OTP issued by — New Launch (Developer): Developer. Resale Private: Seller (through agent). Booking fee — New Launch (Developer): Varies (often 5% or per payment schedule). Resale Private: Typically 1% of purchase price. Exercise period — New Launch (Developer): Typically 3 weeks. Resale Private: 14 days. Exercise fee — New Launch (Developer): Balance to reach 20% (incl. booking fee). Resale Private: 4% more (total 5% deposit). S&P signing — New Launch (Developer): Within 2 weeks of exercising OTP. Resale Private: Simultaneously with exercise or within 14 days. BSD/ABSD — New Launch (Developer): Payable within 14 days of exercising OTP. Resale Private: Payable within 14 days of exercising OTP. Balance payment — New Launch (Developer): Progressive payments during construction. Resale Private: Full balance at legal completion (8–12 weeks). Completion — New Launch (Developer): On TOP/CSC; vacant possession within 3 years. Resale Private: On legal completion date; keys handed over.

Question 7

What is the difference between HDB Resale and Private Resale in the Singapore RES exam?

Accepted Answer

HDB Resale vs Private Resale — Key Differences. OTP form — HDB Resale: HDB prescribed OTP (mandatory). Private Resale: Standard OTP (negotiated terms). CEA forms required — HDB Resale: YES — CEA prescribed estate agency agreements. Private Resale: YES (for residential completed property in SG). Option fee — HDB Resale: Max $1,000 (for flats ≤4-rm); max $2,000 (5-rm+). Private Resale: Typically 1% (negotiable). Deposit at exercise — HDB Resale: Up to max $5,000 total (incl. option fee). Private Resale: Typically 9% more (total 10%). HFE required — HDB Resale: YES — HDB Flat Eligibility letter must be obtained first. Private Resale: Not required. ABSD — HDB Resale: Residential ABSD rates apply. Private Resale: Residential ABSD rates apply. CPF grants — HDB Resale: CPF housing grants available (Family, EHG, PHG). Private Resale: No CPF housing grants. Ethnic Integration — HDB Resale: EIP applies — neighbourhood & block limits. Private Resale: No EIP restrictions.

Question 8

What is the difference between Buyer Profile and ABSD Rate in the Singapore RES exam?

Accepted Answer

ABSD Rates (2023 Revised — Residential). SC — 1st property — Buyer Profile: Singapore Citizen. ABSD Rate: 0%. SC — 2nd property — Buyer Profile: Singapore Citizen. ABSD Rate: 20%. SC — 3rd+ property — Buyer Profile: Singapore Citizen. ABSD Rate: 30%. SPR — 1st property — Buyer Profile: Singapore Permanent Resident. ABSD Rate: 5%. SPR — 2nd property — Buyer Profile: Singapore Permanent Resident. ABSD Rate: 30%. SPR — 3rd+ property — Buyer Profile: Singapore Permanent Resident. ABSD Rate: 35%. Foreigner — all — Buyer Profile: Non-SC, non-SPR. ABSD Rate: 60%. Entity (company) — Buyer Profile: All entities. ABSD Rate: 65%. Developer — upfront — Buyer Profile: Property developer. ABSD Rate: 5% upfront. Developer — additional — Buyer Profile: If > 35% unsold after 5 years. ABSD Rate: Up to 35% additional.

Question 9

What is the difference between Residential SSD and Industrial SSD in the Singapore RES exam?

Accepted Answer

SSD Rates — Residential vs Industrial. Sold in Year 1 — Residential SSD: 12%. Industrial SSD: 15%. Sold in Year 2 — Residential SSD: 8%. Industrial SSD: 10%. Sold in Year 3 — Residential SSD: 4%. Industrial SSD: 5%. After 3 years — Residential SSD: 0%. Industrial SSD: 0%. Commercial SSD — Residential SSD: No SSD for commercial. Industrial SSD: — (see residential/industrial).

Question 10

What is the difference between HDB Concessionary Loan and Bank Loan in the Singapore RES exam?

Accepted Answer

HDB Loan vs Bank Loan. Eligibility — HDB Concessionary Loan: At least 1 SC; income ≤ $14,000/month; ≤ 2 previous HDB loans. Bank Loan: Assessed by bank; no citizenship restriction for private. Max LTV — HDB Concessionary Loan: 80%. Bank Loan: 75% (1st property, no existing loans). Min cash down — HDB Concessionary Loan: None specifically — CPF can cover the difference. Bank Loan: 5% in cash; up to 20% in CPF. Interest rate — HDB Concessionary Loan: 2.6% p.a. (fixed; 0.1% above CPF OA rate). Bank Loan: Variable — SORA-pegged; typically lower initially. Max tenure — HDB Concessionary Loan: 25 years; youngest age + remaining lease ≥ 95. Bank Loan: 30 years or until age 65, whichever earlier (25 yrs for HDB). MSR limit — HDB Concessionary Loan: 30% of gross monthly income. Bank Loan: 30% of gross monthly income. TDSR limit — HDB Concessionary Loan: Not applicable (HDB loan only). Bank Loan: 55% of gross monthly income. CPF deduction — HDB Concessionary Loan: All CPF deducted; may keep $20K in OA. Bank Loan: Max 75% LTV; CPF for down payment and instalments. HPS required? — HDB Concessionary Loan: YES — Home Protection Scheme (life insurance on HDB). Bank Loan: Not required (own life insurance arrangements). Fire insurance — HDB Concessionary Loan: Required (5 years). Bank Loan: Required (arranged by bank).

Question 11

What is the difference between Method and Key Characteristics in the Singapore RES exam?

Accepted Answer

Dispute Resolution Methods. Negotiation — Method: Direct between parties. Key Characteristics: Cheapest, fastest; NOT legally binding. Mediation — Method: Neutral mediator facilitates; SMC (Singapore Mediation Centre). Key Characteristics: Some cost; faster than arbitration; NOT legally binding. Arbitration — Method: Arbitrator decides; SIArb (Singapore Institute of Arbitrators). Key Characteristics: Costly; LEGALLY BINDING; private setting. Litigation — Method: Court proceedings. Key Characteristics: Costly; LEGALLY BINDING; public setting.

Question 12

What is the difference between CEA Forms REQUIRED and CEA Forms NOT Required in the Singapore RES exam?

Accepted Answer

When CEA Forms Apply vs NOT. Property type — CEA Forms REQUIRED: Completed residential properties in Singapore. CEA Forms NOT Required: Overseas property.  — CEA Forms REQUIRED: . CEA Forms NOT Required: Non-residential (commercial, industrial, shophouse).  — CEA Forms REQUIRED: . CEA Forms NOT Required: Developer new launch sales (uncompleted).  — CEA Forms REQUIRED: . CEA Forms NOT Required: En-bloc sales.

Aspect	VOID	VOIDABLE
Legal effect	No legal effect from the start (ab initio)	Valid until set aside by innocent party
Who can end it	Either party or court; treated as non-existent	Innocent party only can elect to rescind
Causes	Incapacity (minor/unsound mind) \| Fundamental Mistake \| Illegality (e.g. backdated contract)	Misrepresentation \| Duress \| Undue Influence
Remedy	No damages; money/property returnable if possible	Rescission (set aside) + possibly damages
Can it be ratified?	No	Yes — innocent party may choose to affirm/continue
Example (property)	Seller of unsound mind signs OTP; contract backdated	Agent misrepresents unit size; buyer was pressured

Aspect	Condition (Major Term)	Warranty (Minor Term)
Importance	Goes to the root of the contract	Secondary/incidental term
Effect of breach	Innocent party may TERMINATE the contract AND claim damages	Innocent party can only claim DAMAGES; cannot terminate
Example	Property title is defective (can't transfer clear title)	Seller fails to include one piece of agreed furniture

Aspect	Method	Details
Performance	Both parties complete all obligations	Contract ends naturally
Agreement	Parties mutually agree to end it	E.g. both agree to cancel sale
Frustration	Impossibility due to unforeseen event outside parties' control	E.g. government compulsorily acquires land; fire destroys property before completion; buyer dies
Non-performance	One party fails to perform	Leads to breach of contract → remedies apply

Aspect	Joint Tenancy (JT)	Tenancy in Common (TIC)
4 Unities	Required: Title, Time, Interest, Possession	Only Possession required
Shares	Equal shares only; cannot specify proportions	Can hold unequal shares (e.g. 60%/40%)
Right of survivorship	YES — deceased's share automatically to surviving co-owners	NO — share passes by will or intestacy
Can will away share?	NO	YES
Termination of JT	Severance converts to TIC: mutual agreement, sale of share, court order, bankruptcy	N/A — TIC ends by sale of all shares or partition
HDB default	Couples default to JT; can apply to convert	Can convert with HDB approval; common for investment

Aspect	Privity of Contract	Privity of Estate
Meaning	Rights & obligations under the original lease agreement	Rights & obligations that come with holding the landlord/tenant relationship
Original LL + TT	YES — both signed TA	YES — both currently in landlord/tenant position
LL assigns to LL2	LL1 still has privity of contract with TT; LL2 does NOT	LL2 now has privity of estate with TT; LL1 loses it
TT sublets to TT2	TT1 retains contract with LL; TT2 has contract with TT1	TT1 has estate with LL; TT2 has estate with TT1
Novation (TT2 replaces TT1)	TT2 has new contract with LL; TT1 released from all liability	TT2 has estate with LL; TT1 has no estate

Aspect	New Launch (Developer)	Resale Private
OTP issued by	Developer	Seller (through agent)
Booking fee	Varies (often 5% or per payment schedule)	Typically 1% of purchase price
Exercise period	Typically 3 weeks	14 days
Exercise fee	Balance to reach 20% (incl. booking fee)	4% more (total 5% deposit)
S&P signing	Within 2 weeks of exercising OTP	Simultaneously with exercise or within 14 days
BSD/ABSD	Payable within 14 days of exercising OTP	Payable within 14 days of exercising OTP
Balance payment	Progressive payments during construction	Full balance at legal completion (8–12 weeks)
Completion	On TOP/CSC; vacant possession within 3 years	On legal completion date; keys handed over

Aspect	HDB Resale	Private Resale
OTP form	HDB prescribed OTP (mandatory)	Standard OTP (negotiated terms)
CEA forms required	YES — CEA prescribed estate agency agreements	YES (for residential completed property in SG)
Option fee	Max $1,000 (for flats ≤4-rm); max $2,000 (5-rm+)	Typically 1% (negotiable)
Deposit at exercise	Up to max $5,000 total (incl. option fee)	Typically 9% more (total 10%)
HFE required	YES — HDB Flat Eligibility letter must be obtained first	Not required
ABSD	Residential ABSD rates apply	Residential ABSD rates apply
CPF grants	CPF housing grants available (Family, EHG, PHG)	No CPF housing grants
Ethnic Integration	EIP applies — neighbourhood & block limits	No EIP restrictions

Aspect	Buyer Profile	ABSD Rate
SC — 1st property	Singapore Citizen	0%
SC — 2nd property	Singapore Citizen	20%
SC — 3rd+ property	Singapore Citizen	30%
SPR — 1st property	Singapore Permanent Resident	5%
SPR — 2nd property	Singapore Permanent Resident	30%
SPR — 3rd+ property	Singapore Permanent Resident	35%
Foreigner — all	Non-SC, non-SPR	60%
Entity (company)	All entities	65%
Developer — upfront	Property developer	5% upfront
Developer — additional	If > 35% unsold after 5 years	Up to 35% additional

Aspect	Residential SSD	Industrial SSD
Sold in Year 1	12%	15%
Sold in Year 2	8%	10%
Sold in Year 3	4%	5%
After 3 years	0%	0%
Commercial SSD	No SSD for commercial	— (see residential/industrial)

Aspect	HDB Concessionary Loan	Bank Loan
Eligibility	At least 1 SC; income ≤ $14,000/month; ≤ 2 previous HDB loans	Assessed by bank; no citizenship restriction for private
Max LTV	80%	75% (1st property, no existing loans)
Min cash down	None specifically — CPF can cover the difference	5% in cash; up to 20% in CPF
Interest rate	2.6% p.a. (fixed; 0.1% above CPF OA rate)	Variable — SORA-pegged; typically lower initially
Max tenure	25 years; youngest age + remaining lease ≥ 95	30 years or until age 65, whichever earlier (25 yrs for HDB)
MSR limit	30% of gross monthly income	30% of gross monthly income
TDSR limit	Not applicable (HDB loan only)	55% of gross monthly income
CPF deduction	All CPF deducted; may keep $20K in OA	Max 75% LTV; CPF for down payment and instalments
HPS required?	YES — Home Protection Scheme (life insurance on HDB)	Not required (own life insurance arrangements)
Fire insurance	Required (5 years)	Required (arranged by bank)

Aspect	Method	Key Characteristics
Negotiation	Direct between parties	Cheapest, fastest; NOT legally binding
Mediation	Neutral mediator facilitates; SMC (Singapore Mediation Centre)	Some cost; faster than arbitration; NOT legally binding
Arbitration	Arbitrator decides; SIArb (Singapore Institute of Arbitrators)	Costly; LEGALLY BINDING; private setting
Litigation	Court proceedings	Costly; LEGALLY BINDING; public setting

Aspect	CEA Forms REQUIRED	CEA Forms NOT Required
Property type	Completed residential properties in Singapore	Overseas property
		Non-residential (commercial, industrial, shophouse)
		Developer new launch sales (uncompleted)
		En-bloc sales

Comparison Tables

Void vs Voidable Contract

Breach of Condition vs Warranty

Ways to Discharge a Contract

Joint Tenancy vs Tenancy in Common

Privity of Contract vs Privity of Estate

OTP — New Launch vs Resale Private vs HDB Resale

HDB Resale vs Private Resale — Key Differences

ABSD Rates (2023 Revised — Residential)

SSD Rates — Residential vs Industrial

HDB Loan vs Bank Loan

Dispute Resolution Methods

When CEA Forms Apply vs NOT