If you are applying for a flat as a first-timer household, you may be eligible for two types of CPF Housing Grants – the Additional CPF Housing Grant (AHG) and the Special CPF Housing Grant (SHG). You will be considered a first-timer applicant and eligible for CPF Housing Grants if you have not received any housing subsidy from HDB.
Applicants of CPF Housing Grants must not own any of the following properties whether locally or overseas, or have disposed of any such properties in the 30 months before your new flat application:
- Private residential property (including privatised HUDC flats and ECs)
This means that you must not:
- Be the owner of a flat bought from HDB
- Have sold a flat bought from HDB
- Have bought an Executive Condominium (EC), Design, Build and Sell Scheme (DBSS) flat or an HDB resale flat with CPF
- ousing Grant, or taken over ownership of such a flat or EC
- Have transferred the ownership of a flat bought from HDB, or an HDB resale flat bought with a CPF Housing Grant
- Have ever taken other forms of housing subsidy, such as Selective En bloc Redevelopment Scheme benefits or HUDC estate privatisation
Applicants of CPF Housing Grants also have to ensure that the remaining lease of their flats has at least 30 years or more. Applicants of AHG are subjected to an income ceiling of $5,000, and for SHG, the income ceiling is as follows:
- Applications received from November 2015 sales launch – Not more than $8,500
- Applications received from July 2013 sales launch to May 2015 – Not more than $6,500
- Applications received from Feb 2011 sales launch to May 2013 sales launch – Not more than $2,250
The applicants must also ensure that they and all other co-applicants and essential occupiers are all first-timers.
CPF Housing Grants received depends on the average gross monthly household income for the 12 months prior to you submitting your flat application.
Families with lower household incomes will receive a larger CPF Housing Grants.
|Average Monthly Household Income* Over 12 Months||AHG||SHG||Total|
|July 2013 to May 2015 Sales Launch||
From November 2015 Sales Launch
July 2013 to May 2015 Sales Launch
From November 2015 Sales Launch
|Up to $1,500||$40,000||$20,000||$40,000||$60,000||$80,000|
|$1,501 to 2,000||$35,000||$20,000||$40,000||$55,000||$75,000|
|$2,001 to 2,500||$30,000||$20,000||$40,000||$50,000||$70,000|
|$2,501 to 3,000||$25,000||$20,000||$40,000||$45,000||$65,000|
|$3,001 to 3,500||$20,000||$20,000||$40,000||$40,000||$60,000|
|$3,501 to 4,000||$15,000||$20,000||$40,000||$35,000||$55,000|
|$4,001 to 4,500||$10,000||$20,000||$40,000||$30,000||$50,000|
|$4,501 to 5,000||$5,000||$20,000||$40,000||$25,000||$45,000|
|$5,001 to 5,500||Nil||$15,000||$35,000||$15,000||$35,000|
|$5,501 to 6,000||Nil||$10,000||$30,000||$10,000||$30,000|
|$6,001 to 6,500||Nil||$5,000||$25,000||$5,000||$25,000|
|$6,501 to 7,000||Nil||Nil||$20,000||Nil||$20,000|
|$7,001 to 7,500||Nil||Nil||$15,000||Nil||$15,000|
|$7,501 to 8,000||Nil||Nil||$10,000||Nil||$10,000|
|$8,001 to 8,500||Nil||Nil||$5,000||Nil||$5,000|
The Average Monthly Household Income over 12 months will include all working persons (i.e. applicants and occupiers), and all their income are included. From May 2018 sales exercise onwards, young couples may apply for a flat first, and defer the income assessment for the CPF Housing Grants, and HDB housing loan. Couples who fulfil the eligibility conditions may have their income assessed nearer to their key collection appointment.
Applicants who book an uncompleted flat may also make use of the Staggered Downpayment Scheme and pay the required downpayment in two instalments. Half of the downpayment is payable when they sign the Agreement for Lease, which is around 4 months after the flat booking. The remaining amount, as well as the balance purchase price, is payable at key collection when the booked flat is completed.
The CPF Housing Grants will be fully credited into the CPF Ordinary Accounts of eligible Singapore Citizen (SC) applicants. If you are a sole Singapore Citizen applicant, you will receive the full grant. For husband and wife who are Joint Applicants, they will receive half of the full grant each. And for multi-nuclei Singapore Citizen applicants (e.g. married siblings with their respective spuses, or parents and married child), The CPF Housing Grants are given only to a maximum of 2 applicants who are husband and wife. No cash is disbursed.
CPF Housing Grants can be used to offset the purchase price of the flat and to reduce the mortgage loan for the flat purchase. The grant cannot be used for the minimum cash downpayment (if any) and monthly mortgage instalment payments.
If you are buying the flat with a bank loan, the CPF Housing Grants will also be included in the computation of the CPF withdrawal limit.
By: Phoenix Lee/Contributor iCompareLoan
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