How to Use CPF for HDB Down Payment: Homejourney Guide

You can use your CPF Ordinary Account (OA) savings to pay up to the full 25% HDB down payment required for BTO or resale flats, either fully or in combination with cash, depending on your loan type.[1][2][7]

This cluster article dives deep into using CPF for HDB down payments, a key step in our broader HDB BTO Financing Complete Guide 2026 | Homejourney ">HDB BTO Financing Complete Guide 2026. Homejourney prioritizes your safety and trust by verifying all info from official HDB and CPF sources, helping you make confident decisions without hassle.

HDB Down Payment Basics: What You Need to Know

The HDB down payment is 25% of the purchase price for both BTO and resale flats, with a Loan-to-Value (LTV) limit of 75%.[1][2][3]

For HDB loans, the entire 25% can come from CPF OA savings or cash—no mandatory cash portion.[2] For bank loans, at least 5% must be in cash, with the remaining 20% from CPF OA or cash.[1][2]

CPF OA savings are ideal for first-time buyers, as they reduce out-of-pocket costs. Homejourney's eligibility calculator at https://www.homejourney.sg/bank-rates#calculator lets you check your CPF balance and borrowing power instantly via Singpass.

Staggered Downpayment Scheme: Pay Over Time with CPF

HDB's Staggered Downpayment Scheme allows eligible buyers to split the 25% into two instalments: a smaller first payment at Agreement for Lease (AFL) signing, and the rest at key collection (2-4 years later).[1][2][4]

For HDB loans under the scheme:

First instalment: 5% (or as low as 2.5% for young couples/first-timers before age 30).[1][4]
Second instalment: 20% (or 22.5%).[2]

Both can be paid fully with CPF OA. Eligibility: First-timers, valid HFE letter by younger applicant's 30th birthday, 5-room or smaller BTO flat.[2][3]

Pro tip: Maximize CPF usage early to let it grow with 2.5% interest before key collection—insider knowledge for locals planning BTOs in areas like Punggol or Tengah.

Step-by-Step: How to Use CPF for HDB Down Payment

Follow these actionable steps to deploy your CPF safely:

Check CPF OA Balance: Log into CPF portal or myHDBPage. Ensure sufficient OA after reserves (e.g., for $450,000 BTO, need $112,500 OA).[7]
Get HFE Letter: Apply via HDB Flat Portal for HDB loan eligibility. Confirm who can get HDB loan: Singapore citizens/PRs, income ceilings, no multiple properties.HDB Loan Eligibility 2026: Who Can Apply & How Much to Borrow
Book Flat & Sign AFL: Pay first instalment (2.5-5%) via CPF/giRO at HDB appointment. Authorize CPF transfer online.
At Key Collection: Pay remaining via CPF. Use Enhanced CPF Housing Grant (up to $120,000 for families) to top up if needed.[6]
Post-Payment: Track via CPF portal; monthly loan repayments auto-deduct from CPF/Salary.

Avoid pitfalls: Don't withdraw CPF prematurely—transfers are direct and irrevocable. Use Homejourney's multi-bank tool at https://www.homejourney.sg/bank-rates to compare HDB vs bank options first.

Documentation Checklist for CPF Usage

Prepare these for seamless CPF authorization:

Singpass for CPF/HDB portals.
HFE letter confirming HDB loan requirements and HDB concessionary loan criteria (e.g., income < $14,000/month).HDB Loan Documents Checklist 2026 | Homejourney Guide
CPF statement showing OA balance.
Income docs for grants (if applying EHG).
GiRO form for any cash top-up.

Scan and upload via HDB's e-services. Homejourney verifies your docs securely—apply via Singpass for auto-fill from DBS, OCBC, UOB, HSBC, and more in one go.

HDB Loan Eligibility: Who Qualifies & Key Criteria

Not everyone gets an HDB loan. Who can get HDB loan? Singaporean households, no prior rejected bank loans, meet HDB loan requirements like TDSR (60% debt servicing), income ceiling.[2][3]

HDB concessionary loan criteria: 2.6% fixed rate (as of 2026), up to 25-30 year tenure. First-timers prioritized.HDB Loan vs Bank Loan 2026: Which Saves You More Money?

Example: For a $500,000 resale in Toa Payoh, 25% down ($125,000) fully CPF-funded if OA sufficient post-grants. Calculate precisely on Homejourney.

Pro Tips to Maximize CPF for Down Payment

Top Up OA Early: Contribute cash to OA for 2.5% guaranteed interest + tax relief.
Combine with Grants: EHG offsets down payment directly into CPF.[6]
Stagger Smartly: Use scheme for BTOs; save cash for stamp duty ($4,600+ for $450k flat, reimbursable from CPF).
Avoid Over-Borrowing: TDSR caps at 60%; test on Homejourney calculator.
Refinance Later: Switch to banks if rates drop—compare via Homejourney's partners: DBS, OCBC, UOB, Standard Chartered.

Insider tip: For Yishun BTOs (~$400k), young couples often hit 2.5% initial with full CPF, freeing cash for renovations. Always consult HDB for personalized advice.

Common Mistakes & How Homejourney Helps

Mistakes like insufficient CPF post-reserves delay keys. Homejourney's platform tracks your CPF, simulates payments, and submits to multiple banks instantly—skip queues at branches.

Disclaimer: This is general info from HDB/CPF (2026 rules); rates/eligibility change. Seek professional advice; Homejourney connects you to trusted mortgage brokers.

FAQ: How to Use CPF for HDB Down Payment

Can I use full CPF for HDB down payment?
Yes, for HDB loans, 100% of 25% down payment from CPF OA.[1][7]

What are HDB loan requirements for CPF usage?
Sufficient OA balance, HFE approval, meet income/TDSR criteria.[2]HDB Loan Eligibility 2026: Who Can Apply & How Much to Borrow

Who can get HDB loan with CPF down payment?
First-timers/second-timers per rules, no recent bank rejections.[3]

Does staggered scheme apply to resale HDB?
No, only uncompleted BTO/SBF/OBF flats.[1][2]

How much CPF for $450k BTO down payment?
$112,500 total (25%); stagger 5% AFL, 20% keys, fully CPF possible.[2]

Ready to use CPF for your HDB down payment? Start safely with Homejourney: Compare rates at https://www.homejourney.sg/bank-rates, search properties at https://www.homejourney.sg/search, and link back to our HDB BTO Financing Complete Guide 2026 | Homejourney ">HDB BTO Financing Guide for full details. Trust Homejourney for verified, transparent home buying.