How to Use CPF for HDB Down Payment: Homejourney 2026 Guide
You can use your CPF Ordinary Account (OA) savings to pay up to 100% of the HDB down payment (25% of purchase price) with an HDB loan, or up to 20% with a bank loan (minimum 5% cash required), for both BTO and resale flats.[1][2][3]
Homejourney prioritizes your safety and trust by verifying eligibility details, so you can confidently use CPF for HDB down payment without surprises. This cluster focuses on CPF usage tactics, linking back to our comprehensive HDB Resale Flat Financing Guide for full coverage.[1]
HDB Down Payment Requirements in 2026
In 2026, HDB requires a 25% down payment on the purchase price or valuation (whichever lower) for resale flats and BTO flats.[1][2] With an HDB resale loan, pay the full 25% using CPF OA, cash, or a mix—no minimum cash needed.[1][3]
Bank loans (resale flat loan or HDB resale mortgage) mandate at least 5% cash, with the rest from CPF OA.[1][2] This reduces upfront cash needs, especially for first-time buyers eyeing resale HDB in areas like Toa Payoh or Bedok.
Grants like Proximity Housing Grant (up to $20,000) or Family Grant (up to $120,000) can lower your effective down payment.[1] Use Homejourney's eligibility calculator at https://www.homejourney.sg/bank-rates#calculator to check your budget instantly.
Down Payment Breakdown by Loan Type
| Loan Type | Total Down Payment | CPF Usage | Cash Minimum |
|---|---|---|---|
| HDB Loan | 25% | 100% possible | 0% |
| Bank Loan | 25% | Up to 20% | 5% |
Example: For a $500,000 resale flat in Jurong West (near Boon Lay MRT, 5-min walk), down payment is $125,000. With HDB loan and $125,000+ in CPF OA, pay fully via CPF.[1][2]
Staggered Downpayment Scheme for BTO Flats
BTO buyers can use the Staggered Downpayment Scheme: pay 5% at Agreement for Lease (around 6 months post-ballot) and 20% at key collection (3-4 years later), all via CPF OA or cash.[1][3]
Eligible young couples (one spouse under 30, first-timers) pay just 2.5% initially, then 22.5% later.[1][3] This eases cash flow—top up CPF OA via voluntary contributions beforehand for full coverage.
Insider tip: For resale HDB financing, no staggering, but HDB approves CPF withdrawals via Resale Portal in tranches.[1]
Step-by-Step: How to Use CPF for HDB Down Payment
- Obtain HFE Letter: Apply via HDB portal using Singpass (free, instant). Confirms loan eligibility and unlocks CPF calculators.[1][3]
- Check CPF OA Balance: Log into CPF.gov.sg. Ensure balance covers 25% + Basic Healthcare Sum ($9,000 in 2026). Top up if short (within 3 months post-payment).[1][6]
- Calculate Exact Amount: Use HDB Resale Portal (with HFE) or Homejourney tools. Factor grants, fees (e.g., $2,000 admin).[1]
- Choose Payment: Full CPF for HDB resale loan; 5% cash + CPF for bank buy resale HDB loan.[1][2]
- Submit via Portal: For resale, HDB approves CPF release. Pay at milestones.[1][3]
- Confirm Release: CPF Board transfers funds directly to HDB/seller.[1]
Pro tip: Compare HDB vs bank options first on Homejourney's bank-rates page—see rates from DBS, OCBC, UOB, HSBC instantly.[1] Avoid pitfalls like insufficient OA by checking 3 months early.
Documentation Checklist for CPF Usage
- HFE Letter (HDB portal, Singpass)
- CPF Statement (last 12 months, CPF portal)
- Option to Purchase (OTP) & Sales Agreement (from seller)
- Income docs (for grants, e.g., payslips)
- Singpass (auto-fills on Homejourney)
Prepare scans digitally. Homejourney's multi-bank application auto-fills CPF/income via Singpass, sending to DBS, OCBC, UOB, HSBC, Standard Chartered, Maybank—skip bank queues.[1] Full checklist in our HDB Loan Documents Checklist 2026 | Homejourney Guide ">HDB Loan Documents Checklist.
Pro Tips to Maximize CPF for Down Payment
- Top Up Early: Voluntary CPF contributions earn 2.5-4% interest; ideal for young buyers in Yishun (affordable resales ~$450k).[1]
- Grants First: Apply EHG/Proximity via HDB—reduces CPF drawdown.[1]
- Bank Loan Edge: If CPF low, use 5% cash + bank loan; compare via https://www.homejourney.sg/bank-rates for lowest rates.
- Timeline Hack: Get HFE 1 week before OTP expiry; resale process takes 8-12 weeks total.[1]
- Safety First: Homejourney verifies data for trusted transactions—search properties at https://www.homejourney.sg/search.
Common mistake: Forgetting BHS—results in rejection. Always maintain $9,000 post-payment.[1][6]
What to Expect After CPF Payment
HDB confirms CPF release within 1-2 weeks post-portal submission.[1] Bank loans process in 2-4 weeks; track via Homejourney dashboard.
Post-approval: Loan disburses, keys collected. For maintenance, check Aircon Services ">aircon services. Disclaimer: This is general advice—consult HDB/CPF for personalized eligibility. Rates/TDSR apply (60% debt cap).[1][2]
Frequently Asked Questions (FAQ)
Can I use 100% CPF for HDB down payment?
Yes, with HDB loans (full 25%). Bank loans need 5% cash minimum.[1][2][3]
What is the initial Staggered Scheme payment?
5% for standard BTO; 2.5% for eligible young couples, balance at keys.[1][3]
Do bank loans allow full CPF for resale flat payment?
No, minimum 5% cash required for HDB resale mortgage.[1][2]
How does Basic Healthcare Sum affect my CPF OA?
Maintain $9,000 (2026) after payment; top up if below.[1][6]
Where to compare HDB resale financing options?
Use Homejourney's bank-rates for DBS, OCBC, UOB rates and multi-bank apps.[1]
Ready for safe HDB down payment with CPF? Start with Homejourney's calculator at https://www.homejourney.sg/bank-rates#calculator, then search resale flats at https://www.homejourney.sg/search. For full resale guidance, read our HDB Resale Flat Financing: Complete 2026 Homejourney Guide ">HDB Resale Flat Financing Guide.
