How to Use CPF for HDB Down Payment in 2026
You can use your CPF Ordinary Account (OA) savings to pay up to 100% of your HDB down payment, or combine it with cash, depending on your loan type and flat purchase.[1][2][3] In 2026, the standard down payment is 25% of the purchase price for both BTO and resale HDB flats, making CPF a key tool for first-time buyers to minimize cash outlay.[1][3] Homejourney simplifies this process with trusted tools like our eligibility calculator at https://www.homejourney.sg/bank-rates#calculator, ensuring you make confident, safe decisions.[1]
This cluster guide focuses on using CPF for HDB down payments, linking back to our pillar content on HDB Resale Flat Financing Complete Guide for full coverage. Whether buying a BTO in Punggol or a resale in Toa Payoh, understanding CPF usage builds financial security—Homejourney verifies every detail to prioritize your trust.
HDB Down Payment Requirements in 2026
For HDB loans, the 25% down payment can be fully paid via CPF OA or cash, with no mandatory cash component.[1][2][3] Bank loans require at least 5% cash, with the remaining 20% from CPF OA or cash.[1][3][5] This structure applies to both BTO flats (e.g., a $400,000 4-room unit) and resale flats (e.g., $600,000 in mature estates like Bedok).
Young couples qualify for the Staggered Downpayment Scheme: 2.5% initial payment (CPF or cash) at lease signing, then 22.5% at key collection—ideal for building CPF balances over 3-4 years.[1][3][4] Eligibility requires a valid HFE letter before the younger applicant's 30th birthday and a 5-room or smaller BTO.[3][4] Always check https://www.homejourney.sg/bank-rates to compare HDB vs bank options safely.
| Loan Type | Down Payment | CPF Usage | Cash Minimum |
|---|---|---|---|
| HDB Loan (BTO/Resale) | 25% | Up to 100% | None |
| Bank Loan | 25% | Up to 20% | 5% |
| Staggered (Eligible BTO) | 2.5% + 22.5% | Up to 100% | None initial |
Grants like Enhanced CPF Housing Grant (up to $120,000 for families) reduce your effective down payment further.[1][3] Homejourney's platform verifies grant eligibility instantly via Singpass.
Step-by-Step Guide: Using CPF for HDB Down Payment
- Apply for HFE Letter: Get your HDB Flat Eligibility letter online via HDB portal using Singpass—required for CPF calculations.[1] Takes 1-2 weeks; valid for 6 months.
- Check CPF Balance: Log into CPF portal or use Homejourney's calculator at https://www.homejourney.sg/bank-rates#calculator to confirm OA savings cover 25% (e.g., $100,000 for $400,000 flat).[1]
- Submit Resale/HDB Application: For resale, use HDB Resale Portal; for BTO, book via HDB sales launch. Declare CPF usage intent.[1][2]
- Financial Plan Confirmation: HDB reviews and approves CPF withdrawal—typically 4 weeks for resale.[1]
- Pay Instalments: Authorize CPF transfer at signing (5%) and key collection (20%). Seller receives funds directly.[1][3]
- Maintain BHS: Post-payment, keep Basic Healthcare Sum ($9,000 in 2026) in OA; top up if short within 3 months.[1][7]
Pro tip: For resale in high-demand areas like Queenstown MRT (5-min walk to flats), time your HFE before Option to Purchase expiry. Avoid pitfalls like insufficient CPF by using staggered if eligible.[1][3]
Documentation Checklist for CPF Down Payment
- HFE Letter (HDB portal)
- Singpass login for CPF authorisation
- CPF Statement (last 12 months)
- Income documents for grants (payslips, IR8A)
- Option to Purchase (resale)
- Bank statements if mixing cash
Prepare digitally via Singpass for speed—Homejourney's multi-bank application at https://www.homejourney.sg/bank-rates auto-fills these, sending to DBS, OCBC, UOB, HSBC, and more in one go.
HDB Loan vs Bank Loan: Impact on CPF Usage
HDB loans allow full CPF down payments, ideal for cash preservation.[1][3] Bank loans mandate 5% cash but offer potentially lower rates—compare via HDB Loan vs Bank Loan 2026 Comparison.[1] If rates drop, consider switch HDB to bank loan post-purchase, but plan CPF accordingly.
The chart below shows recent interest rate trends in Singapore:
As seen, SORA fluctuations affect bank loans more—use Homejourney to track live rates and refinance HDB loans safely.
Pro Tips from Homejourney Experts
- Maximize grants first: Families save up to $120,000, reducing CPF drawdown.[1]
- Stagger if under 30: Pay just 2.5% initially for Tengah BTOs.[3][4]
- Combine with HDB loan documents checklist for seamless approval.
- Post-keys: Budget for aircon servicing via Homejourney aircon services to maintain value.
- Search budgeted properties on https://www.homejourney.sg/search.
Disclaimer: This is general advice; consult HDB/CPF Board or Homejourney Mortgage Brokers for personalized guidance. Rates as of 2026; verify current rules.
FAQ: Using CPF for HDB Down Payment
Can I use 100% CPF for HDB down payment?
Yes, with HDB loans; bank loans require 5% cash minimum.[1][3]
What's the Staggered Downpayment Scheme?
2.5% initial + 22.5% at keys for eligible young BTO buyers.[1][4]
How much CPF do I need for a $500,000 resale?
Up to $125,000 OA for 25%, subject to balance and BHS.[1]
Can I top up CPF for down payment?
Yes, voluntary contributions count, but check grant impacts.[1]
When to switch HDB loan to bank after down payment?
After 6 months lock-in; compare rates on Homejourney first.[1]
Ready to use CPF for your HDB down payment? Calculate eligibility and apply multi-bank via https://www.homejourney.sg/bank-rates—Homejourney ensures transparency and safety. Explore our pillar guide for more.
