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Hi, my wife and I have a fully paid up 4 room HDB. We are currently looking to buy a 2nd property preferably a private condo. The question is as my wife have previously used about 50k (principle + accrued interest) of her CPF to pay for the HDB. As her current OA + SA is well below half of the minimum sum, she is unable to use her CPF for the 2nd property. In this case, can we use cash to pay back the 50k to her CPF account so that she is able to use her CPF for the 2nd property?
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7 Answers

Hi Yihuan Tan,

Good day to you!
I’m Rick Kwok from PropNex Realty Pte Ltd.

Would you mind contact me for a non obligation discussion, to explore more option?

Have a great day ahead.

Best Regards.

Rick Kwok
PropNex Realty Pte Ltd

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Hi,

Yes that's workable, but whether its optimal approach depends on how much CPF OA she can use and how to finance the 2nd property. May I have more info and requirements about your plans so to make better recommendations? Thanks and look forward to value-add to your housing plans.

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Ivan Ng ERA ASAP
(ASk Anything Property)
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Dear Sir/Mdm

Good day to you!
I’m Daniel Tan from PropNex Realty.

It will be possible, however I will recommend you to give CPF board a call and find out more on a specific basis based on your situation.

Feel free to contact me and share with me more on you needs and requirement so as to better assist you with your purchase.

Hear from you soon.

Any other queries?
Please always feel free to contact me for a non-obligated discussion on how I can assist you with your real estate needs.

Have a wonderful day ahead.

Best Regards

Daniel Tan
PropNex Realty Pte Ltd

(+65) 9477 5100 
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Hi,

The limitations of using CPF for 2nd property are such if CPF was used in 1st property:
(1) You need to set aside BRS amount before allowing to use remaining for the purchase.
(2) Usable up to valuation limit.

In actual fact, there are 2 options on how you shall approach this:
(a) Use the cash that intend to deposit into CPF to pay for the private property.
(b) Top up the CPF amount used. So that it became the 1st property she is purchasing.

By applying (b), she can use OA for the property, however, do note that rule (2) still applied. Once the amount used reaches valuation limit, she will still need to set aside BRS to continue using OA up to the withdrawal limit.

Withdrawal limit is 120% of Valuation Limit.

Hope the above answer to your main concerns, but if there are more queries, do not hesitate and feel free to contact me at 90110636  , or email: ling.ck7@gmail.com if more information is needed.
I'll be glad to assist.

Best regards
Ling CK
 90110636 
ling.ck7@gmail.com

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Dear sir/madam,

Pardon my ignorance on the arrangement, can I check what is the rationale behind for paying cash back into the CPF account for financing the purchase if you are able to use cash directly for the purchase?

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Robbie Chen Chee Howe
Hi Sir,

I'm not sure of the reasons for you doing this, because the $50k cash could be better used to purchase the second property.

Should you need any further assistance in matters relating to property, please contact me at my mobile 9748 6305  . I will be happy to assess and share with you the possibilities for you and your partner in the current market.

Thank you.

Best regards,
Robbie Chen
 9748 6305 
PropNex Realty Read More
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YT Tan (陈永达)
Good evening Yihuan,

from what i know any contribution into CPF account will be distributed into three accounts and not solely into OA.

You might have to double check with CPF board.

I can tell from your initial intention to use more than $50k in your CPF OA rather than $50k cash so you can afford a private property much easier.

Intend to hold on to two properties, one for investment and the other for own stay.

What if you are still able to do so without cooling measures restrictions?

Perhaps you can share more with me so I will be in a better position to advise you what could you have done in this situation.

May I know when is it a good time to meet up and discuss to explore your options?

"Your Freehold Ally, Leasehold Tactician"

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Propnex Realty Pte Ltd

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