How to Use CPF for Housing in Singapore: Complete 2026 Guide
Last reviewed: June 2026
Quick Answer
You can use your CPF Ordinary Account to fund an HDB or private home purchase in Singapore. With an HDB loan, the full 20% down payment can come from CPF; bank loans need at least 5% cash. When you sell, you must refund the amount used plus 2.5% accrued interest to CPF.
Rates as of 2026. Verify with official sources before filing.
You use CPF for housing by tapping your Ordinary Account balance for the down payment, monthly mortgage instalments, and some related legal and stamp duty costs, all subject to CPF withdrawal limits. Most Singaporeans who buy an HDB flat use their CPF Ordinary Account savings to do it. The CPF housing scheme allows you to use your accumulated OA balance for the down payment, monthly mortgage instalments, and some associated costs. But there are limits, and there is a long-term implication called Accrued Interest that affects how much cash you receive when you eventually sell.
This guide explains how CPF housing withdrawals work in 2026. Use the CPF calculator to see your current OA balance growth and the home loan calculator to model different repayment scenarios.
What Can Your CPF OA Pay For?
Your Ordinary Account balance can be used for the following housing-related expenses:
- Down payment: The portion of the purchase price not covered by your loan. For an HDB loan this is a minimum 20%, all of which can come from OA. For a bank loan it is a minimum 25%, with at least 5% required in cash.
- Monthly mortgage instalments: Both HDB and bank loan repayments can be fully funded from OA as long as your balance is sufficient.
- Legal fees: Conveyancing and registration fees related to the purchase can be partially paid from OA.
- Stamp duty: Buyer's Stamp Duty can be paid from OA in certain circumstances, subject to the withdrawal limits.
You cannot use CPF to pay for renovation, furniture, or maintenance fees. Those must come from cash.
What Are the CPF Withdrawal Limits for Housing?
CPF withdrawals for housing are subject to limits that protect your retirement savings:
Valuation Limit (VL): The maximum amount you can withdraw from CPF is the property's value at the time of purchase (or the purchase price, whichever is lower). Once you've withdrawn an amount equal to the VL, all further mortgage payments must be made in cash.
Withdrawal Limit (WL): For older properties with shorter remaining leases (below a certain threshold), an additional Withdrawal Limit of 120% of the VL may apply. This cap exists because properties with short remaining leases have lower resale value and a greater risk of insufficient proceeds to cover the CPF refund on sale.
If the remaining lease at the time of purchase cannot cover the youngest buyer to age 95, CPF use may be further restricted or disallowed.
What Is CPF Accrued Interest?
This is the most misunderstood aspect of using CPF for housing. When you withdraw money from your CPF OA for housing, that money is no longer in your account earning the 2.5% annual interest it would otherwise earn. CPF tracks this "lost" interest as Accrued Interest.
When you sell the property, you must return to CPF all the money you originally withdrew, plus the accumulated accrued interest at 2.5% per year compound. This refund is made to your OA, not to your bank account. Your net cash from the sale is the sale price minus the outstanding loan minus the CPF refund (principal + accrued interest).
Worked Example
- Purchase price: SGD 450,000
- CPF used for down payment: SGD 90,000
- CPF used for monthly instalments over 20 years: SGD 150,000
- Total CPF withdrawn: SGD 240,000
- Accrued interest at 2.5% p.a. compounded over an average drawdown period: approximately SGD 80,000
- Total CPF refund on sale: approximately SGD 320,000
If the flat sells for SGD 600,000 and the remaining loan balance is SGD 100,000:
- Gross proceeds: SGD 600,000
- Less outstanding loan: SGD 100,000
- Less CPF refund (principal + accrued interest): SGD 320,000
- Net cash received: SGD 180,000
The CPF refund goes back into your OA, not permanently lost. It builds your retirement balance for CPF LIFE.
CPF Housing Grants
Eligible first-time buyers can receive grants that are credited to their CPF OA, effectively increasing the CPF available for the purchase without drawing down their existing balance.
Enhanced CPF Housing Grant (EHG)
Up to SGD 80,000 for eligible households based on average monthly income. Applies to both HDB BTO and resale flats.
Family Grant
Up to SGD 50,000 for eligible Singapore Citizen families buying a resale flat. Requires at least one Singapore Citizen applicant.
Singles Grant
Up to SGD 25,000 for eligible single Singapore Citizens buying certain HDB flat types.
Proximity Housing Grant (PHG)
Up to SGD 30,000 for buying a resale flat near or with parents or children. Encourages multigenerational proximity.
Last reviewed: June 2026
Grants are credited to your CPF OA and are subject to the same accrued interest rules when you eventually sell. Check your eligibility through the HDB portal or use the CPF calculator to factor grant amounts into your housing affordability estimate.
Basic Retirement Sum Protection
For buyers above a certain age, CPF requires that a minimum amount remain in your combined OA and SA (or be set aside in your Retirement Account) even after housing withdrawals. This is called the Basic Retirement Sum (BRS) protection rule.
If you are approaching or above 55, check whether your planned housing withdrawals would breach the BRS requirement. If so, your CPF withdrawal for housing will be capped. The CPF calculator includes retirement sum projections to help you plan around this.
Plan your housing budget. Use the CPF calculator to see how much OA you'll have available at your planned purchase date, and the home loan calculator to compare scenarios with different loan amounts and down payments.