CPF housing grants, in a nutshell

The grants vary in size – depending on whether it’s your first subsidised house, the type of flat you’re applying for, yours and your spouse’s citizenship status.

The two main CPF housing grants for first-time homebuyers – Additional CPF Housing Grant (AHG) and Special CPF Housing Grant (SHG) – were replaced with the Enhanced CPF Housing Grant (EHG) this September, which streamlined the benefits from the previous two and offered more relaxed eligibility.

TABLE: CHRISTALLE TAY/ SOURCE: HOUSING DEVELOPMENT BOARD

Singaporean couples buying resale flats as their first homes are eligible for further grants than with BTO, which give applicants only EHG. On top of EHG, buyers of resale flats may be eligible for the Proximity Housing Grant (PHG) and the Family Grant. PHG was introduced to encourage multi-generational homes and the Family Grant provides additional assistance to first-time applicants who are married or engaged. All three grants can combine to offset your spending by as much as $160,000.

TABLE: CHRISTALLE TAY/ SOURCE: HOUSING DEVELOPMENT BOARD

TABLE: CHRISTALLE TAY/ DATA: HOUSING DEVELOPMENT BOARD

The newly introduced EHG and additional grants for resale homes mean significant savings for first-time homebuyers. For example, before September 2019, a married couple buying a resale flat with combined income of $4,000 would only be eligible for AHG. According to HDB’s prescribed table for grant amount by income level, they would receive only $15,000 under AHG.

Under the streamlined EHG, the couple would receive $55,000 at their combined income of $4,000. Say the couple applies for a 4-room resale flat, their income would qualify them for the Family Grant of $50,000. The couple could receive an additional $30,000 if they lived with their parent or child, who is either married, or aged 35 or older. This brings the total grant to a staggering $135,000, which is $40,000 more than they would have gotten prior to EHG.