- Valuation Limit (VL)
- This ceiling is hit when CPF savings used for mortgage payment = purchase price / valuation of the property, whichever lower.
When that happens --> need to have half prevailing minimum sum in Ordinary Account and / or Special Account before can use any excess CPF savings. - Available Housing Withdrawal Limit (AHWL)
- Beyond the VL, excess CPF savings available to repay loans
- A moving limit as it goes up when have new CPF contribution and down when minimum sum increases. - Withdrawal Limit (WL)
- The AHWL, in turn is subject to WL.
- The maximum amount of CPF funds that can be used for a property. No further CPF funds can be used when limit is reached. If housing loan outstanding when limit reached, home owners have to use cash for future instalments.
Limits to your CPF Funds
3 Types of caps to watch for in repaying housing loan:
