The amount that you need to refund when selling your property depends on how much you have voluntarily refunded:
- If you have fully refunded all the CPF savings you have withdrawn for your property with accrued interest, you do not need to make any refunds
- If you have partially refunded the CPF savings you have withdrawn for your property with accrued interest, you will need to refund the balance CPF savings you have used with interest
Sequence of deduction for your sale proceeds
When a property is sold, the selling price will generally be used to pay the following in this order:
1. Outstanding housing loan
2. Required CPF refund
3. Other sale expenses, e.g., legal fees;
If sale proceeds are not enough
If the selling price (including the option monies) after paying the outstanding housing loan is not enough to make the required CPF refund, you do not need to top up the shortfall in cash as long as the property is sold at market value.
However, option monies (such as option fee and option exercise fee) received from your buyer in cash upon the sale of your property are considered part of the selling price and need to be refunded to your co-owner’s and your CPF accounts before the transaction can be completed.
Refund proportions
The refunded amount will be returned to your co-owner's and your CPF accounts in the following proportions:
Amount returned to owner A’s CPF Account:
Amount returned to owner B’s CPF Account: