More cash for senior citizens to monetise their HDB flats

There are cur­rently two schemes avail­able for eli­gible Singa­pore Seni­or Cit­izen to unlock cash from thi­er private prop­erty or HDB flat.

  1. Sil­ver Bonus Scheme for eld­erly home own­er (55 years and above) who choose to down­grade from either lar­ger HDB flat or private prop­erty of annu­al value $13,000 or less to a 3‑room flat or smal­ler.
  2. Lease Buy­back Scheme which allows eld­erly flat own­er (63 years old and above) to live in his 3‑room or smal­ler flat for the next 30 years, but sell the remainder tail end of the 99-year lease back to HDB.

From 1 Feb 2013, a major change to Sil­ver Bonus Scheme will see more cash pro­ceeds to be giv­en to the flat own­er. Pre­vi­ously, all the pro­ceeds from the sale of the flat has to be used to top up the CPF Retire­ment Accounts of the flat own­ers. This usu­ally res­ults in leav­ing the eld­erly flat own­ers with the $20,000 cash bonus giv­en by the gov­ern­ment for down­grad­ing thi­er prop­erty. Under the new scheme, only $60,000 is required for top­ping up the Retire­ment Accounts of the flat own­ers in the house­hold at first. The own­ers can keep the next $100,000 of the net pro­ceeds from the sale of the flat. The excess amount bey­ond $160,000 will then be used to top up the Retire­ment Accounts fur­ther.

Under the Enhanced Lease Buy­back Scheme, which also take effect from 1 Feb 2013, the cash bonus from the gov­ern­ment will increase from $10 000 to $20 000, as long as the top up for the Retire­ment Accounts of the flat own­ers total to $60,000 or more. Oth­er­wise, the cash bonus will be tagged to $1 for every $3 top up. The net pro­ceeds from the sale of lease will be used to top up the less­ees’ Retire­ment Accounts to the amount shown in the fol­low­ing table before up to $100,000 cash can be with­drawn.

Less­ee’s Age To Top Up till CPF Retire­ment Account has:
≤70 Pre­vail­ing MS (cur­rently $139,000)
71 – 79 Pre­vail­ing MS — $10,000 (cur­rently $129,000)
≥80 Pre­vail­ing MS — $20,000 (cur­rently $119,000)

Amount in excess of $100,000 will be used to help the less­ees with the low­est Retire­ment Account bal­ance to meet the pre­vail­ing Min­im­um Sum (i.e. $139, 000 cur­rently).

For more details on Sil­ver Bonus Scheme and Enhanced Lease Buy­back Scheme, please vis­it

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