A buyer who purchased a flat under the Housing and Development Board's (HDB) Design, Build and Sell Scheme (DBSS) with her fiancé two years ago now has to pay a penalty after calling off their wedding.
The penalty amounts to 20% or over $120,000 - of the purchase price of $610,000.

The Straits Times reported that Ms W L Teoh, 29, signed for the five-room flat in Ang Mo Kio with her fiancé two years ago, but the wedding was called off soon after.

With the wedding cancelled, they were made ineligible for the flat that they had signed up for. HDB's Fiancé/Fiancée scheme states that an engaged couple must produce a wedding certificate three months after taking possession of a flat.

Ms Teoh told The Straits Times: “When we decided not to go ahead with the marriage due to personal reasons, we were hit with an absurd penalty amount.”

She was offered by HDB to purchase the flat under a different scheme, with eligible family members.

However, her parents were ineligible, leaving her with little choice but to pay the penalty, which amounted to more than $140,000 after the inclusion of interest, stamp duty and legal fees they had already paid for.

HDB is appealing to the developer on Ms Teoh's behalf to explore possible options.