By MoneyBees
Work out the bridging loan you need to pay the down payment on your next home before your current one is sold, the interest for the months in between, and whether the cash from your sale repays it after your housing loan and CPF refund.
Cash and CPF. 25% of the price on a first housing loan.
From your bank. DBS publishes up to 20%.
Your current home
On your CPF dashboard under property withdrawals.
Bridging loan
$175,000
of $300,000 the bank allows
Interest
$2,625
$656 a month for 4 months
Sale cash left after repaying
$122,375
from $300,000 cash proceeds
Your sale of $700,000 first repays the $150,000 loan and refunds $250,000 to your CPF. The $300,000 cash left repays the bridging loan and interest.
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| Rule | Bridging loan |
|---|---|
| Repaid within | 6 months |
| Total Debt Servicing Ratio (55%) | Does not apply |
| Mortgage Servicing Ratio (30%) | Does not apply |
| Loan-to-value limits | Do not apply |
Source: MAS Notices 645 and 632. For other loans, a bridging loan counts towards TDSR only if its tenure is over six months.
You buy a S$1,500,000 condo and owe S$375,000 down. You have S$200,000 in cash and CPF, so you need S$175,000. That is within the bank's 20% limit of S$300,000.
At 4.5% for 4 months, the interest is S$2,625. Your flat sells for S$700,000. After the S$150,000 loan and S$250,000 CPF refund, S$300,000 is left. Repaying S$177,625 leaves you S$122,375.
Figures checked 3 Oct 2026.
A short loan to buy your next home while waiting for money from selling your current one. MAS defines it as a loan that must be repaid within six months from the sale proceeds.
It depends on your bank. DBS publishes up to 20% of the purchase price of the new home. The loan is usually what you need for the down payment, less the cash and CPF you already have.
No. MAS exempts bridging loans from the 55% TDSR and the 30% MSR. They are also outside the loan-to-value limits.
Up to six months under MAS's definition. If your sale takes longer to complete, speak to your bank before you commit to the purchase.
On the amount you borrow, at the bank's rate, for the months until your sale completes. S$175,000 at 4.5% a year for 4 months is S$2,625.
From your sale. The proceeds first repay your outstanding housing loan and refund the CPF you used with accrued interest. The cash left repays the bridging loan.
The CPF refund goes back to your Ordinary Account and can go towards the new home. Plan to repay the bridging loan from the cash part of the sale.
HDB does not offer a general bridging loan. Banks offer them, mainly to people buying private property while selling their current home.
These calculators provide general estimates for educational purposes only and are not personalised financial advice. Results may rely on rates and rules that change over time, so verify against official sources (IRAS, CPF Board, HDB, MAS) or consult a licensed financial adviser before making decisions.
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