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Hi there,

From what you have written, this sounds like a negative sale. For a negative sale situation, where homeowners were to sell below the market value, you do have to write in to CPF.

They will then assess if they can waive off the top-up of the CPF refund (principal accrued) shortfall in cash. They will usually request for the following:

1) Appeal request from you and your co-owners (if any) to waive off the top-up of the CPF refund (principal + accrued) shortfall in cash
2) Your buyer's valuation report
3) Option to Purchase
4) Statement from HDB confirming your outstanding loan and arrears (if any)
5) A letter from you and your co-owners (if any) confirming that all of you are NOT related to the buyers.

Hope the above helps, and please do contact me via WhatsApp if you require further assistance.

Thank you!

Best Regards,
Harith Nash | Nash Brothers
Mobile: (65) 9825 5719 
Vevien Ong Division | PropNex Realty Pte Ltd Read More

Hi, if you proceed to sell it below market value, there may be a requirement from CPF for you to top up the amount in cash. The best or ideal scenario will be to sell this at or above valuation if possible.

Hi, hopefully you managed to get your doubt or query answered. If so, then congrats! Hopefully you are doing well now.

If you are currently or planning to find a property agent, I can assist.

If you are interested in prices of houses in your neighbourhood, you may visit this website to find out more or contact me.

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If you are currently planning to go on a property journey selling/buying/renting/investing, I can be of assistance. Do feel free to reach out to me for more queries and assistance.

Landon Chew
97 39 60 40
landonchew@email.com Read More

Hi Fiona,

It is not advisable as CPF will require you to topup the shortfall of the CPF refund, that is not covered by the sale price less outstanding loan. You will have to write in to appeal to waive off this but it is not an easy case as you need to prove that there are good reasons for doing so. May I know the reason you are looking into this?

Hope the above clarifies. I am well-versed with HDB and private property transactions, having helped more than 100 homeowners transit smoothly with their housing plans. Please reach out to me at 97432395  for a more in-depth discussion :)

May I have more info on your requirements so as to make better recommendations? Thanks and looking forward to chat more

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Hi,

I would be most glad to assist you further and pls feel free to let me know if you need any assistance. Have a good day ahead. By the way, could I get more info from you pls and also I’m sure you could sell your flat at valuation price instead of below.

Regards
Aaron Chong
 9730 8455 
aaronchong2774@yahoo.com.sg Read More

Hi Fiona,

May I check why your property is selling below market price? I highly recommend to have your property sold at or above valuation price. Do feel free to reach out to me via WhatsApp at 91890029  . However, if you really do sell at price under valuation, you can try to write an Appeal to CPF on the waiver of the top up of the CPF refund in cash.

Angel Lim 9189 0029  ERA Realtor R070213E Read More

Hi, appreciate your sharing. Best to walk in or write in to check with CPF board before doing so.
Looking forward to assist you at 9696 4398  or email me at stewartlim96964398@gmail.com

Cheers
Stewart-PropNex (Senior Associate Division Director) Read More

Hi Fiona,

For negative sale below valuation, you will be required to top up the shortfall amount, or you can try appealing to CPF to see if they can waive this off. If you are able to sell at or above valuation, then this top up is not applicable.

I have been in the real estate business since 2009, with more than 14 years of experience serving the Singapore real estate market.

I am very active in the residential segment of Singapore real estate market, having transacted hundreds of deals from HDBs to private condominiums and landed properties in Singapore, and have handled many unique cases in sales and purchases as well as rental deals.

Over the years, I have also established a network reaching out to more than 9,400 expatriates, bringing my market presence to both in and outside of Singapore. This has created an additional exposure when I manage my client's portfolios, on top of the conventional on and offline platforms, where other estate agents are relying on. This has allowed me to consistently convert leads into results.

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Hi Fiona,

If the sale proceeds is not sufficient to cover the CPF + Accrual Interests, then it is considered as a negative sale and you will need to sell the flat at Market Valuation AND ABOVE to avoid the need to top up the shortfall in your CPF. It is considered as a negative sale in your cash.

I have personally handled many negative sale before and will be happy to explain to you what to take note of for such a sale. Please feel free to contact me so that I can understand your situation and assist you better.

Regards,
Nick Tan
(M) +65 96 44 48 54
B.Eng(Chemical)(Hons)(NUS) / Cert-in-REA
(E) nick96444854@gmail.com

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Susana (Buyer) Read More

In Singapore, selling your HDB flat below market value to cover your outstanding loan is possible, but there are some important considerations, especially regarding the Central Provident Fund (CPF) refund. Here are the steps and considerations you need to take into account:

### 1. **Understanding CPF Refund Requirements**

When you sell your HDB flat, you must refund the CPF principal amount you have withdrawn for the flat's purchase, plus the accrued interest, back into your CPF Ordinary Account (OA). This is a key requirement regardless of the sale price of your flat.

### 2. **Proceeds from the Sale**

**Calculating the Proceeds:**
- **Outstanding Loan:** The sale proceeds must first be used to pay off any outstanding loan on the flat.
- **CPF Refund:** After paying off the loan, the remaining proceeds must be used to refund the CPF principal and accrued interest.

**Shortfall Situation:**
- If the sale proceeds are insufficient to cover the full CPF refund (principal plus accrued interest), CPF Board may allow you to refund only up to the amount of the sale proceeds after paying off the housing loan. This situation is termed a "shortfall."

### 3. **Proceeding with the Sale Below Market Value**

**Conditions and Process:**
- **HDB’s Approval:** You need to obtain HDB's approval to sell your flat. HDB will review the sale to ensure it complies with policies and regulations, even if it is below market value.
- **CPF Shortfall Declaration:** Inform CPF Board about the potential shortfall in refunding the CPF used. They will assess the situation and guide you on the next steps.

### 4. **Steps to Proceed**

1. **Contact HDB:**
- Reach out to HDB to discuss your intention to sell the flat below market value. Explain your financial situation and the need to cover the outstanding loan.
- Submit the necessary documents for HDB's approval of the sale.

2. **Notify CPF Board:**
- Contact CPF Board to inform them about the sale and potential shortfall in the CPF refund.
- Provide details about the sale price, outstanding loan amount, and the CPF amount used with accrued interest.

3. **Engage a Real Estate Agent:**
- Consider engaging a real estate agent experienced in HDB transactions to help you navigate the process and ensure compliance with all regulations.

### 5. **Financial Considerations**

**Impact on Retirement Savings:**
- Understand that selling your flat below market value and not fully refunding your CPF principal and interest can impact your retirement savings. Ensure you consider your long-term financial planning.

**Alternatives:**
- Explore other alternatives such as renting out your flat to cover the loan payments, refinancing your loan, or seeking financial assistance if needed.

### Summary

You can proceed to sell your HDB flat below market value to cover your outstanding loan, but you must follow the proper procedures and obtain approval from HDB. Additionally, you need to address the shortfall in refunding your CPF principal and accrued interest by notifying CPF Board. Ensure you are fully aware of the financial implications and consider seeking advice from a real estate agent or financial advisor to navigate this process effectively.
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Hi Fiona
I would be glad to assist you.
Feel free to contact me at wa.me/6597100155 .
Hope to hear from you soon.
Pei
Mobile: (65) 9 7 1 0 0 1 5 5.
Email: peicheng.tan@propnex.com
Associate Group Director
Propnex Realty Pte Ltd

https://linktr.ee/peiproperty
https://r011838b.propnex.net Read More

Hello,

Selling your HDB below market value can indeed help cover your outstanding loan, but there are a few important factors to consider regarding your CPF principal sum:

- **Outstanding Loan Coverage**: Ensure that the sale proceeds will cover the outstanding loan fully. This is a primary requirement for the sale to proceed.

- **CPF Principal Sum**: If the sale proceeds are insufficient to cover the CPF principal sum used (including accrued interest), you will need to refund the shortfall to your CPF account. However, CPF Board does allow for flexibility in certain situations.

- **CPF Refund**: You can still sell your HDB below market value, but the CPF Board requires you to refund the principal amount withdrawn plus accrued interest from your sale proceeds. If the sale proceeds are insufficient, you might need to apply for a waiver from CPF Board, especially if there are genuine financial difficulties.

- **Financial Counseling**: It might be beneficial to consult with a financial advisor or your CPF Board to understand your options and any implications of selling below market value.

- **Seek Legal Advice**: It’s advisable to consult with a legal professional to understand your obligations and rights, ensuring that all necessary steps are taken to comply with HDB and CPF regulations.

Selling a property below market value involves careful planning and understanding of financial implications. If you need personalized advice or assistance with this process, feel free to reach out. I'm here to help you navigate this complex situation effectively.

Thank you.

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- Mani Subramanian Veeramani
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PS: Here is the list of Below Market Value Properties
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HDB flat prices are moving up. You should be able to sell at market value and you don't need to top up Read More