CPF Central Provident Fund Board
Buying a HDB flat or Private Property with CPF
Use of CPF for properties with remaining lease of at least 30 years but less than 60 years
| ||||||||||||||||||||||||||||||||||||||||
Consumers need to be aware that there are additional rules on the use of Central Provident Fund (CPF) for the purchase of private residential properties with remaining lease of less than 60 years.
Such knowledge is essential if the consumer intends to use CPF for property purchase.
From 1 July 2013, such rules also apply to HDB flats with remaining lease of less than 60 years.
To be eligible to use CPF for such properties:
The maximum amount of CPF that all eligible owners may use is a percentage of the lower of the purchase price or the value of the flat at the time of purchase.
The percentage is computed based on the remaining lease when the youngest eligible member using CPF reaches age 55.
This quantum can be computed via the online calculator on the CPF website.
Through CEA's Practice Circular PC 05-13, estate agents and salespersons are reminded to act in accordance with CPF rules when advising consumers and/or performing work related to HDB flats with remaining lease of less than 60 years.
For more details, refer to the Practice Circular and information from CPF Board.
20130627 CPF Circular CPF CALCULATORS Buying A House using CPF Funds
The Retirement Sum Scheme provides CPF members
a monthly income to support a basic standard of living
during retirement for about 20 years.
CPF Life Retirement Account
BEFORE 1st January 2016
You need to have S$40,000 in Retirement Account when you reach 55 years old;
or S$60,000 in Retirement Account when you reach your payout eligibility age.
1st January 2016 or After
You need to have S$60,000 in Retirement Account when you reach your payout eligibility age.
|
