CPF housing withdrawal - clarification

[gho_sam]

Hello Folks,

I bought my flat with CPF money together with my wife. It’s been 5.5 years but my marital relationship is not going well. In the event I get a divorce I have to sell off my flat. But seems like I will incur a loss of 95K if I sell now.

What happens if I can’t pay the CPF withdrawal ??

Example:

Sale price 500000
Owner 1 cpf must return 165000
Owner 2 cpf must return 140000
Remaining housing loan 275000

So now $80000 must pay cash to cpf or bank. If I don’t have that money what happens ??

Would appreciate any one who has experience in this aspect can advise me?

 

[Dominum]

Usually they will not ask you to top up cash. Just split the sale proceeds 50/50

Edit: after you repay the loan the balance will be distributed 50:50

 

[Dream catcher]

From my understanding, it will be $500k - $275k , remaining $225k will be returned to both cpf with accrued interest. If the amount is not sufficient , you & spouse make a loss in cpf . There will also be no cash sales proceeds .

Hello Folks,

I bought my flat with CPF money together with my wife. It’s been 5.5 years but my marital relationship is not going well. In the event I get a divorce I have to sell off my flat. But seems like I will incur a loss of 95K if I sell now.

What happens if I can’t pay the CPF withdrawal ??

Example:

Sale price 500000
Owner 1 cpf must return 165000
Owner 2 cpf must return 140000
Remaining housing loan 275000

So now $80000 must pay cash to cpf or bank. If I don’t have that money what happens ??

Would appreciate any one who has experience in this aspect can advise me?

 

[yoongf]

You must avoid selling below valuation.
Selling below valuation will require cash topup of your CPF losses.


https://www.google.com/amp/s/www.99.co/blog/singapore/negative-sale-hdb-condo-debt/amp/

 

[gho_sam]

Hello folks!

Thanks for the input, I found out that CPF withdrawal must payback and in the event there is not enough money then you have to write to CPF and they will consider it on case by case basis.

Mostly if you have a stable job then you have to still pay CPF back in installments, in the event your financial is bad and your income not sufficient to manage your financial then CPF will consider it as loss.

This is not a good news for me but seems like I still have to go through this....

Cheers,
Gho_sam

 

[sgpropertyblog]

Hello Folks,

I bought my flat with CPF money together with my wife. It’s been 5.5 years but my marital relationship is not going well. In the event I get a divorce I have to sell off my flat. But seems like I will incur a loss of 95K if I sell now.

What happens if I can’t pay the CPF withdrawal ??

Example:

Sale price 500000
Owner 1 cpf must return 165000
Owner 2 cpf must return 140000
Remaining housing loan 275000

So now $80000 must pay cash to cpf or bank. If I don’t have that money what happens ??

Would appreciate any one who has experience in this aspect can advise me?

hi,
sorry to hear about your situation.. firstly, the discharge of loan will over-ride your cpf refunds with accrued interest.. for ie

$500k - o/s loan $275k - $165k - $140k = $ -80k..

you can write in to appeal to CPF to waive off the -$80k, but there are conditions to it..

actually, if you bought the property just 5.5yrs ago, it shouldn't have incurred so much of cpf accrued interest.. probably you wana PM me your figures again, I recalculate for you ..