COV (Cash Over Valuation)

Housing

Cash Over Valuation is the amount a resale HDB buyer pays in cash above the flat's official valuation. It happens when the agreed selling price is higher than the valuation, and CPF and loans can only cover up to the valuation, so the gap must be paid in cash. Under the current resale process, buyers negotiate a price first and obtain the valuation only after an option is granted, which affects how COV is discovered. COV rises and falls with market demand. The exact process and how valuation is obtained are subject to the latest rules.

Related terms

BTO (Build-To-Order)Resale HDBABSD (Additional Buyer's Stamp Duty)HDB GrantsMOP (Minimum Occupation Period)EC vs Condo