Upon selling your property, you will need to refund to your CPF savings:
- the principal amount (P) you’ve withdrawn to pay for the property;
- the accrued interest (I); and
- if you had pledged the property to make up your Full Retirement Sum (FRS), this amount will need to be refunded together with the P+I.
CPF savings are primarily meant for your retirement needs and any CPF funds utilised for purchasing a property will reduce the amount available for your retirement. Therefore, all or part of the refunded amount will be used to top up your Retirement Account (RA) to your FRS*. Any balance will be paid to you in cash. You can also inform us if you wish to retain the balance housing refund in your CPF Account(s) instead.
You can then reuse the Ordinary Account savings to purchase your next property, subject to the applicable housing rules and limits.
*You may withdraw your RA monies above your BRS (excluding interest earned, government grants and any top-ups made under the Retirement Sum Topping-Up Scheme) for your personal needs if you own a property. Note that doing so will reduce your retirement income.
