CPFB | Using your CPF to buy a home

Home ownership

Using your CPF to buy a property under the Housing Scheme

Buy a home that you can afford and adopt the right mortgage repayment strategy so that you can preserve savings in your Ordinary Account (OA) for your retirement.

Updates on 20 Apr 2021

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Keep in mind
Eligibility
Ways to manage
Features
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Resources
FAQs
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HDB, condo block and bungalow grouped together on a street with trees and a playground

Keep in mind

4 things to think about

Planning for your dream home? Here are some important points to consider.

Learn more

Notepad, mobile phone, calculator, cup of coffee, coins and file

Work out your finances

Take a look at some of the things that have financial implications as you build a happy home.

Borrow prudently

Find out what you need to consider when deciding between a HDB loan and a bank loan.

Maintain an emergency fund and use your OA wisely

Set aside some OA savings that can be used as an emergency fund and better prepare for your retirement. For instance, you can also retain $20,000 at the point of home purchase to pay for your monthly housing instalment in times of need. You can also use cash rather than OA savings to service your housing loan. OA savings not utilised will form part of your retirement fund.

Know your housing limits

There are limits to the amount of OA savings you can use for your property. Use the housing usage calculator to estimate the amount.

Eligibility

What can you use your OA savings for when buying a home?

Your OA savings can be used to buy a HDB flat, or buy or build private and residential properties in Singapore. OA savings can also be used for downpayment and housing loan taken for the property purchase, stamp and legal fees, loan taken for the construction of your house and the purchase of vacant land (for private properties only), as well as Home Protection Scheme premiums (for HDB flats only).

HDB flats

Buying a new flat? Check if you meet the eligibility criteria with the HDB website.

Visit HDB

Private residential properties

View your eligibility requirements on the Urban Redevelopment Authority (URA) website.

Visit URA

Balance your use of OA savings with cash

While your OA savings can help you with your housing payments, remember that your CPF savings are for your future retirement needs!

Use a mix of cash and your OA savings for your housing payments, so that you can keep some monies in your OA to earn attractive interest rates. Your OA savings can also act as a safety net for your housing payments.

Therefore, it is important to find a balance between using your cash and OA savings for your housing payments!

Ways to manage

Make changes to your OA usage

You can start, adjust, and stop your OA savings for your housing needs such as monthly instalment, and use OA savings to make partial or full capital repayment. If you’ve bought a HDB with HDB loan, please approach HDB to start and adjust your OA usage.

Manage now

Features

Amount to refund when selling your property

CPF is meant for your retirement needs. When you used your CPF savings for your property, your retirement savings is reduced. Hence, when you sell your property, you will need to refund the amount that you have used plus the interest accrued on this amount. This is to restore your retirement savings.

If you have pledged the property to make up your retirement sum, you will also need to refund the pledged amount.

Learn more

Options

Why should you make a voluntary refund when you are not selling your property?

The earlier you make a voluntary refund, the more interest you will earn to boost your CPF savings for retirement. In addition, you may receive more cash proceeds when you sell your property as you will need to refund lesser to your CPF account.

Learn more