Can I use my CPF to pay for my home loan?
Yes, you can use your CPF Ordinary Account (OA) savings to pay for your home loan in Singapore, covering expenses such as the downpayment, monthly mortgage instalments, stamp duties, and legal fees. Usage limits depend on the property type, loan type, and remaining lease, with bank loan purchases capped at the Valuation Limit and extendable to 120% if the Basic Retirement Sum is met. When you sell the property, you must refund all CPF used plus accrued interest at 2.5% per annum back into your OA.
Last updated: 22 Apr 2026
CPF Ordinary Account (OA) savings are one of the primary funding sources for property purchases in Singapore. The CPF Board allows members to use their OA savings for residential property purchases, subject to specific rules and limits.
You can use CPF OA funds for several property-related expenses, including the downpayment, monthly mortgage instalments, Buyer's Stamp Duty (BSD), Additional Buyer's Stamp Duty (ABSD), and legal fees associated with the purchase. The amount you can use depends on the type of property, the loan type, and the property's remaining lease.
For HDB flats financed with an HDB concessionary loan, CPF usage is relatively unrestricted and not subject to a Withdrawal Limit. For bank loans on HDB flats and all private property purchases, CPF usage is capped at the Valuation Limit (the lower of the purchase price or market valuation at the time of purchase). Beyond the Valuation Limit, you may continue using CPF up to 120% of the Valuation Limit, provided you have set aside the Basic Retirement Sum (BRS) in your CPF accounts. Once the 120% cap is reached, further payments must be made in cash.
An important caveat applies to properties with shorter remaining leases: if the lease cannot cover the youngest buyer until age 95, your CPF usage will be pro-rated downward. This is particularly relevant when purchasing older resale HDB flats or properties approaching the end of their lease.
When you sell the property, you are required to refund the full CPF amount used, together with accrued interest at 2.5% per annum (the rate those savings would have earned had they remained in your OA). This refund goes back into your CPF OA before any cash proceeds are received.
If you are 55 or older, additional Retirement Sum requirements may affect how much CPF you can use. Given the complexity of CPF usage rules, we recommend using the CPF Board's housing usage calculator or speaking with a mortgage advisor to understand your specific position.
Cashew's advisors routinely help buyers plan their CPF utilisation strategy, balancing the desire to minimise cash outlay against the long-term impact of accrued interest refunds and retirement savings adequacy.