If you are approaching retirement, you may want to think about adjusting your living situation to better meet your future needs. This could be a good time to consider moving to a home that meets your ideal retirement lifestyle.

Here are three reasons why you should.

If you already own a flat, right-sizing could free up cash from your current flat to boost your retirement savings. A smaller or more affordable home means lower monthly expenses, from housing loan repayments to utility bills, leaving you with more savings for unexpected expenses.

If your current flat works for you, you may consider housing monetisation schemes such as the Lease Buyback Scheme.

If you don’t own a flat, buying a flat within your means could offer you long term security, eliminating rental uncertainties and providing financial and emotional security in your retirement years.

Certain 2-room flats for seniors such as Community Care Apartments cater to evolving needs as you age and retire, such as: 

• Accessible living features including wider doorways, ramps or step-free access
• Senior-friendly amenities 
• Proximity to family and healthcare facilities

If you are 55 years old and above, you can buy a short-lease 2-room Flexi flat offered by HDB.

• Offer flexibility in deciding a lease of between 15 and 45 years in 5-year increments, as long as it covers the youngest owner using Ordinary Account savings up to at least age 95
• Typically cost less while still providing a home for life
• Includes grab bars and options for additional senior-friendly fittings

If you are 65 years old and above, you can buy a Community Care Apartment (CCA).

• Come equipped with senior-friendly fittings
• Include communal spaces on every floor for connecting with neighbours and participating in group activities
• Require subscription to the Basic Service Package which offers 24-hour emergency monitoring, health checks, and an on-site community manager for activities and programmes
• Offer optional additional services for day-to-day living, such as social day care, housekeeping, and meal services

You can also buy any flat in the resale market. Look at available flats on the HDB Flat Portal.

As you will not be eligible for loans, the purchase price would have to be paid in full using your Ordinary Account and cash savings. There is no need to sell your current flat first if you have enough Ordinary Account and cash savings for the purchase.

You can take a loan to pay for the purchase. There is no need to sell the current flat first, if your loan, Ordinary Account and cash savings are enough for the purchase.

Otherwise, you may have to sell your current flat first for the sales proceeds and find interim housing arrangements. If you are thinking of using the CPF refunds for the purchase, please note that CPF refunds may take up to 15 working days to be credited to your CPF accounts.

Take note of the default Daily Withdrawal Limit of $2,000 if you intend to withdraw your CPF refunds credited to your Ordinary Account.