How to Use CPF for HDB Down Payment: Homejourney Guide

CPF Ordinary Account (OA) savings can cover up to 100% of your HDB down payment requirements for BTO and resale flats, subject to availability and lease terms. This applies whether you take an HDB loan (25% downpayment fully in CPF/cash) or bank loan (minimum 5% cash + 20% CPF/cash).[1][2] Homejourney's eligibility calculator at https://www.homejourney.sg/bank-rates#calculator helps you verify your CPF balance instantly via Singpass for confident decisions.

Why Use CPF for HDB Down Payment?

Using CPF reduces your cash outlay, preserving liquidity for other costs like stamp duty or renovations. For a $450,000 resale HDB flat, HDB loan requires $112,500 (25%) fully payable via CPF OA, while bank loan needs $22,500 cash (5%) + $90,000 CPF (20%).[1] The remaining lease must cover the youngest buyer to age 95 for full CPF usage; otherwise, it's prorated to the valuation limit.[3]

Homejourney prioritizes your safety by verifying CPF rules from official HDB and CPF Board sources, ensuring transparent guidance. First-time buyers often qualify for Enhanced CPF Housing Grant (EHG) up to $120,000, credited directly to CPF OA for downpayment.[1][4]

HDB vs Bank Loan: CPF Downpayment Breakdown

Both loans have 75% Loan-to-Value (LTV) limit as of August 2024.[1][3] Here's how CPF applies:

	HDB Loan	Bank Loan
Downpayment	25% (CPF/cash)	25% (5% cash min + 20% CPF/cash)
Example: $400k Flat	$100k CPF	$20k cash + $80k CPF
CPF OA Retention	Up to $20k[3]	Full usage possible

For resale flats, no staggered scheme; pay full upfront.[1] See Homejourney's HDB Loan vs Bank Loan 2026 Comparison | Homejourney ">HDB Loan vs Bank Loan 2026 Comparison for full analysis.

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

Follow these actionable steps for BTO or resale HDB purchase:

Check CPF OA Balance: Log into CPF portal or use Homejourney's calculator at https://www.homejourney.sg/bank-rates#calculator. Ensure savings cover downpayment + accrued interest (2.5% p.a.).[2]
Get HFE Letter: Apply via HDB Flat Portal for eligibility (income ≤$14k for HDB loan).[2][3]
Exercise Option: Pay option fee (1-4% in cash/CPF); balance at signing.[9]
Submit Resale/Lease Agreement: HDB/CPF approves CPF usage within 7-14 days.
Pay Downpayment: Authorize CPF transfer at completion; cash shortfall via banker's guarantee.
Key Collection: Staggered scheme pays remainder (5-20%).[1][5]

Pro Tip: For BTO under staggered scheme (first-timers ≤30 years old, 5-room or smaller), pay 5% at Agreement for Lease.[1][5]

Documentation Checklist

Singpass-linked CPF statement (auto-fills on Homejourney).
HFE letter from HDB.
Sale & Purchase Agreement.
IRAS stamp duty receipt (cash, reimbursable via CPF).[1]
Proof of grants (EHG/PHG).[3]

Prepare via HDB Loan Documents Checklist 2026 | Homejourney Guide ">HDB Loan Documents Checklist 2026. Homejourney's multi-bank application skips manual uploads—Singpass auto-fills everything.

Staggered Downpayment Scheme Eligibility

Available for first-timer BTO applicants:

Timing	HDB Loan	Bank Loan
Agreement for Lease	5% CPF/cash	5% cash + 5% CPF/cash
Key Collection	20% CPF/cash	15% CPF/cash

Conditions: Valid HFE by 30th birthday, 5-room or smaller flat.[1][5] Cash-strapped buyers prefer HDB loan for 100% CPF flexibility.[1]

Common Pitfalls & Insider Tips

Lease Decay: Short lease (<20 years) blocks CPF; check via HDB portal.[3]
Interest Accrual: CPF deducts 2.5% p.a. on used amount + housing subsidy repayment.
Tip: Retain $20k in OA for interest earnings with HDB loan.[3]
Upgrade Path: Sell private property? Use proceeds to top up CPF for larger downpayment.

Switching later? Explore Switch HDB Loan to Bank Loan: Homejourney's 2026 Guide ">Switch HDB Loan to Bank Loan. Homejourney connects you to DBS, OCBC, UOB, HSBC, and more for best rates.

Using Homejourney for Seamless CPF & Loan Process

Skip bank queues: One Singpass application on https://www.homejourney.sg/bank-rates sends details to DBS, OCBC, UOB, HSBC, Standard Chartered, Maybank, CIMB, and others. Compare offers side-by-side, track status, and calculate CPF impact instantly. Our platform verifies data for trust and safety, prioritizing your feedback for improvements.

Find HDB flats in budget via https://www.homejourney.sg/search. For post-purchase, check Aircon Services ">aircon services.

FAQ: How to Use CPF for HDB Down Payment

1. Can I use CPF for 100% HDB downpayment?
Yes, for HDB loans (25%); bank loans require 5% cash minimum.[1]

2. What's the minimum CPF lease requirement?
Remaining lease must cover youngest buyer to 95 years; else prorated.[3]

3. How much CPF for $500k BTO with HDB loan?
$125,000 (25%), fully from OA if available.[1]

4. Eligible for staggered downpayment?
First-timers, HFE by 30th birthday, 5-room or smaller BTO.[5]

5. Can I refinance after using CPF?
Yes, see HDB Loan vs Bank Loan 2026: Which Saves You More Money? ">HDB vs Bank Loan guide. Use Homejourney for rates.

Disclaimer: This is general advice; consult HDB/CPF for personalized eligibility. Rates as of 2026; seek professional advice. Homejourney builds trust through verified info—start at our bank rates page. For full HDB financing, read our pillar guide on HDB Loan Eligibility 2026: Who Can Apply & How Much to Borrow .