This involved a case of the purchase of a HDB flat. The couple had applied to purchase a HDB flat in 2017 at $ $467,130 before divorce proceedings commenced in 2019. They were allocated the flat. However, they had not taken possession of the flat or made full payment for it while pending the divorce proceedings’ outcome. The only payment was the share of the deposit, stamp fee and conveyancing fee from the husband’s CPF account. As such, the transaction for the purchase of the flat was not completed.

In the division of matrimonial assets, the wife is appealing for the husband to transfer his interest of the HDB flat to her, without offering payment to the husband. It was initially rejected mainly because the husband would not receive a refund of his deposit to his Central Provident Fund (“CPF”) savings while the wife would gain a windfall should the price of the flat increase. Therefore, the court has ordered the HDB flat to be returned to HDB.

The wife then re-appealed against the order. She argued that the flat was not a matrimonial asset because the purchase had not been completed and no loan had been drawn.

Loan Application


The court disagreed with her argument. In this case, when they acquired a right to purchase the flat during the marriage, it would be considered a matrimonial asset even if the purchase had yet to be completed. In addition, the wife would not have sought relief in respect of the flat in the divorce proceedings if it is not a matrimonial asset.

Although it could be said that the wife was deriving a windfall as the flat might increase in value after MOP, the windfall was not at the husband’s expense. As such, the court has agreed for the HDB flat to be transferred to the wife with the following conditions.

• The wife is to bear the costs of the application for the appeal in view that the wife argued that the flat is not part of the matrimonial assets.

• The wife is to reimburse the husband’s CPF account for his contribution to the flat and accrued interest.

• The husband is to sign all necessary documents and transfer his interest of the flat to the wife.

Learning Points

In this case, the wife argued that the HDB flat is not a matrimonial asset as the purchase is not completed. At the same time, she has an interest in the HDB flat. It should be noted that there should not be a conflict in your interest in the asset vs. the argument that the asset is not a matrimonial asset.

Last but not least, your property may form part of your matrimonial assets, even if the purchase is yet to be completed.

To read more about the case, visit

You are encouraged to seek legal or professional advice for any matters relating to divorce.


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