How much downpayment do I need to buy a property in Singapore?

The downpayment for a Singapore property depends on the loan type and number of existing loans. For a first property, both HDB and bank loans require a 25% downpayment, but bank loans mandate at least 5% in cash. For second and third properties, the downpayment rises to 55% and 65% respectively, with at least 25% in cash each time.

Singapore Property Downpayment Guide: How Much Do You Need? | Mortgage Guide

The downpayment required for a property purchase in Singapore depends on the type of property, the type of loan you are taking, and whether you have any existing property loans.

For your first property with no existing housing loan, if you take an HDB loan for an HDB flat, you need a minimum downpayment of 25% of the purchase price or valuation (whichever is lower). This entire 25% can be paid using your CPF Ordinary Account savings, with no mandatory cash component. This makes HDB loans particularly accessible for first-time buyers who may not have substantial cash savings.

If you opt for a bank loan, the minimum downpayment is also 25% of the purchase price or valuation. Of this 25%, at least 5% must be paid in cash, while the remaining 20% can be funded using CPF OA savings or additional cash. This cash requirement is a key distinction that makes bank loans more demanding on your liquid savings.

For a second property, which can only be financed via a bank loan, the downpayment increases to 55% of the purchase price or valuation, with at least 25% to be paid in cash. For a third or subsequent property, the downpayment rises to 65%, with at least 25% in cash. These escalating requirements are part of the government's macroprudential measures to discourage speculative property purchases.

In addition to the downpayment, you need to budget for upfront costs such as Buyer's Stamp Duty (BSD), Additional Buyer's Stamp Duty (ABSD) if applicable, legal fees, and valuation fees. Agent commissions are typically paid by the seller, though buyers engaging their own agent should confirm the arrangement upfront.

Planning your downpayment well in advance is crucial. Many buyers begin building their CPF OA balance years before purchasing their first home, while others supplement with cash savings or financial support from family members.

Cashew helps you understand the full cost breakdown of your intended purchase, including all upfront payments and ongoing obligations, so there are no surprises when you are ready to commit.