Your budget is the lower of two tests. The cash test: sale proceeds, CPF Ordinary Account money and cash must cover the down payment and fees. The income test: the loan, at a stress rate of at least 4%, must keep all debts within 55% of gross income (MAS). With no housing loan outstanding, MAS allows up to 75% LTV.
Rules as at 29 Oct 2026. Every dollar figure in the worked example is invented.
What are the two tests behind your budget?
People ask for one number, but two separate limits decide it. The cash test asks whether you can pay the down payment, stamp duty and fees. The income test asks whether the bank will lend the rest. The lower result is your ceiling. Our reading: a household with a large flat sale but a modest income usually hits the income test first, and one with a high income but little equity hits the cash test first.
What do you walk away with when you sell the HDB flat?
Start with the sale price and take away three things, in this order.
- The outstanding housing loan, which is repaid first from the proceeds.
- The CPF refund: the CPF you withdrew for the flat, plus the accrued interest, plus any housing grants you received and their interest (CPF Board).
- Selling costs, such as legal fees and agent fees. Our selling guide sets out the items.
What is left is your cash proceeds. If the price after the loan does not cover the refund and the flat was sold at market value, CPF Board says you do not need to top up in cash. Option money you received in cash counts as part of the price and is refunded too.
How much of it is cash and how much is CPF?
This is the step people miss. The CPF refund does not land in your bank account. If you are below 55, it goes back to your Ordinary Account (OA). From there you can use it for the next home, leave it to earn interest, or move it to your Special Account (CPF Board). So your "money after selling" splits into cash proceeds and OA money.
CPF usage limits differ for private property, and the minimum cash portion has to be paid in cash (MAS). How the limits work is in our CPF for property guide. Private property also means a bank loan only, because HDB loans are not available (CPF Board).
What happens if you are 55 or older?
The refund then goes first into your Retirement Account (RA) until it reaches the Full Retirement Sum. Only the balance stays in the OA (CPF Board). Less OA money is then available for the condo. If you pledged a property to meet the retirement sum, the pledged amount is also refunded. You may also make a voluntary housing refund, repaying part of the CPF you used in cash, which can leave more cash proceeds at sale (CPF Board).
What is the minimum cash down payment for a condo?
It depends on how many housing loans you still have when you take the bank loan. MAS sets the loan-to-value (LTV) limit, which is the loan as a percentage of the property value, and the minimum cash for each case. These apply to individuals where the Option to Purchase was granted on or after 6 Jul 2018.
| Outstanding housing loans | LTV limit | Minimum cash down payment | When this may be you (our reading) |
|---|---|---|---|
| None | 75% (55% if the lower-LTV conditions below apply) | 5% for a 75% loan, 10% for a 55% loan | You sold the flat and cleared its loan before taking the condo loan |
| 1 | 45% (25% if the lower-LTV conditions apply) | 25% | You buy first while a loan on the flat is still outstanding; confirm with your bank |
| 2 or more | 35% (15% if the lower-LTV conditions apply) | 25% | Not usual for a single-flat household |
The lower LTV applies if the loan tenure is over 30 years, or the loan runs past your age of 65. The maximum tenure is 35 years for non-HDB property (MAS). Joint borrowers are tested on an income-weighted average age. MAS page published 5 Jul 2018; table as at 29 Oct 2026.
Our reading: the order of events can matter. If no housing loan is outstanding when you take the condo loan, MAS's table puts you in the first row: 75% LTV and as little as 5% cash. If you still have a housing loan outstanding when you take the condo loan, MAS's table puts you in the one-outstanding-loan row: 45% LTV and 25% minimum cash. Confirm with your bank how your existing HDB or bank loan on the flat is treated. Buying first also brings ABSD, which is not repeated here. See sell first or buy first for the rates, refund conditions and the 6-month clock.
What other costs come on top?
- Buyer's stamp duty (BSD) on the condo price. Work out your figure on the stamp duty calculator; the rate table is in our stamp duty guide.
- ABSD: for a Singapore Citizen, only if you buy the condo while you still own the flat. A PR pays 5% ABSD even on a first residential property (IRAS). Rates are in our stamp duty guide.
- Legal fees and other transaction costs. We have no sourced figure, so get quotes. CPF Board notes that second-time buyers may face extra costs such as legal fees from selling.
- Renovation, moving and a buffer, which come from your own plan.
How big a loan will the bank give you?
The bank applies the Total Debt Servicing Ratio (TDSR). All your monthly debt repayments, including the new loan, car, student, renovation and credit card debt, must be at most 55% of gross monthly income (MAS). Gross income is before tax and excludes employer CPF. Variable income such as bonuses, commission and allowances, and rental income, take at least a 30% haircut.
The new loan is tested at a medium-term rate, the higher of 4% or the bank's own thereafter rate, not the rate you will actually pay. If the result goes above 55%, the loan has to be cut. Our TDSR and MSR guide covers the ratios in more detail.
The Mortgage Servicing Ratio (MSR) of 30% applies only to an HDB flat or an EC within its MOP, so it does not apply to a private condo (MAS). A condo buyer faces TDSR alone.
If you buy first and the HDB loan is still running, its instalment would count in TDSR. MAS allows it to be left out when you have HDB's letter approving the sale of the flat, or have signed an undertaking to HDB to complete the sale within the stipulated period with a written declaration. Ask your bank how it applies this to you.
What does a worked example look like?
Example only; invented figures. Neither the prices nor the incomes are market data. The arithmetic is ours. It assumes you are below 55 and sell first.
| Step | Invented figure | Sum |
|---|---|---|
| Flat sale price | $900,000 | |
| Less outstanding HDB loan | $150,000 | $900,000 - $150,000 = $750,000 |
| Less CPF refund (principal, interest, grant) | $250,000 | $750,000 - $250,000 = $500,000 |
| Less selling costs | $15,000 | $500,000 - $15,000 = $485,000 cash proceeds |
| CPF refund returned to the OA | $250,000 | Assume no other OA balance |
| Cash and OA money, total | $485,000 + $250,000 = $735,000 | |
| Condo price | $1,800,000 | |
| Loan at 75% LTV | 0.75 x $1,800,000 = $1,350,000 | |
| Down payment at 25% | $1,800,000 - $1,350,000 = $450,000 | |
| Of which minimum cash at 5% | 0.05 x $1,800,000 = $90,000 | |
| Left after the down payment | $735,000 - $450,000 = $285,000 for BSD, legal fees, renovation and a buffer |
In this example the cash test passes, if BSD and the other costs fit within the $285,000 and CPF limits allow the OA portion. Now the income test. The loan is $1,350,000 over 30 years, and we assume it ends before the borrowers reach 65 (income-weighted average age for joint borrowers), so the 75% LTV holds. At the 4% floor, the monthly rate is 0.04 / 12 = 0.3333%, and a 360-month loan then costs about $4.774 for each $1,000 borrowed.
- Monthly instalment at the stress rate: 1,350 x $4.774 = about $6,445.
- Gross monthly income needed with no other debt: $6,445 / 0.55 = about $11,720.
- Add a $500 monthly car loan and the debts total $6,945, so the income needed is $6,945 / 0.55 = about $12,630.
Our reading: in this invented case the household needs about $11,720 a month of recognised income before the bank will lend $1,350,000. If it earns less, the loan shrinks and the cash needed goes up, which can break the cash test. The two tests move together. Check the instalment with the mortgage calculator using your own rate.
Now repeat the example in MAS's one-outstanding-loan row, which on our reading may apply if you buy first while a loan on the flat is still outstanding: 45% LTV and 25% minimum cash. On the same $1,800,000 condo the loan tops out at 0.45 x $1,800,000 = $810,000, so the down payment is $990,000 and at least 25%, or $450,000, must be cash. That is before ABSD. The sums differ because the MAS row differs, not because the condo is any different.
How do you get your own numbers?
- Use CPF Board's Home Ownership Dashboard for an estimate of the refund and your net sale proceeds, and the CPF Home Purchase Planner to plan the purchase.
- Run BSD on the stamp duty calculator.
- Ask a bank for the loan it would offer under TDSR at your income.
HDB says a flat bought new from HDB has a minimum occupation period (MOP) of 5 years for Standard flats and 10 years for Plus and Prime flats. You cannot sell on the open market inside it. See our upgrader guide.
Does an EC change the sums?
Yes. An EC has an income ceiling, MSR applies within its MOP, and an HDB upgrader who has taken a housing subsidy, for example by buying the flat from HDB, pays the resale levy on the first subsidised flat sold when buying an EC from a developer (HDB). Read how HDB counts your income for the EC ceiling and the resale levy guide before comparing an EC with a condo.
Frequently asked questions
How much cash do I need to upgrade from an HDB flat to a condo?
The minimum cash is 5% of the condo price if you have no outstanding housing loan when the bank loan is taken, and 25% if you have one (MAS). The rest of the down payment can come from CPF, within CPF limits for private property. BSD, legal fees and renovation come on top.
Can I use the CPF refund from my HDB sale to buy a condo?
Yes, in part. If you are below 55, the refund goes back to your Ordinary Account and can be used for your next home (CPF Board). CPF usage limits differ for private property, so check them in our CPF guide.
Do I need to top up CPF if my sale proceeds are short of the refund?
CPF Board says no cash top-up is needed if the property was sold at market value and the price after repaying the loan does not cover the refund. Cash received as option money counts as part of the price.
Does MSR apply when I buy a condo?
No. MAS applies the 30% MSR only to housing loans for an HDB flat or an EC that is still within its MOP. A private condo loan is tested under TDSR at 55% of gross monthly income.
Does selling the HDB flat first change my loan limit?
It can. With no outstanding housing loan, MAS allows up to 75% LTV with 5% minimum cash. With one outstanding housing loan, MAS sets 45% with 25% minimum cash. Ask your bank how your existing HDB or bank loan on the flat is treated. Buying first also brings ABSD, covered in sell first or buy first.
Can I use an HDB loan for a condo?
No. For private property only bank loans are available (CPF Board). Our home loan guide compares the two loan types.