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How it Works

If your household is eligible for the Lease Buyback Scheme (LBS), you will be able to:

  • Sell the tail-end lease of your 3-room or smaller flat, or 4-room flat to HDB, and receive up to $20,000 or $10,000 of LBS bonus, respectively
  • Use the net proceeds to top-up your CPF Retirement Account (RA) to the specified requirements as shown:

For households with 1 owner, he or she will have to use the proceeds to top-up the RA to the current age-adjusted Full Retirement Sum (FRS).

For households with 2 or more owners, each owner will have to use their share of the proceeds to top-up their RA to the current age-adjusted Basic Retirement Sum (BRS).

Flat Owner’s Age
Top-up Requirement for 1 Owner
Top-up Requirement for 2 or more Owners
Eligibility Age (currently 65) - 69
70 - 79
80 and above

Determining the LBS bonus

Your household will receive the full bonus as long as the total top-up to the flat owners’ RA is $60,000 or more. If you are unable to do so, you will receive a pro-rated bonus of: 

  • $1 for every $3 CPF top-up for 3-room or smaller flats; or
  • $1 for every $6 CPF top-up for 4-room flats

Amounts in excess

After you have topped-up the RA to the requirements stated above, any excess proceeds can be withdrawn in cash, up to a maximum of $100,000. If your household has more than $100,000 of proceeds after the top-ups, owners will have to use their share of the proceeds to further top-up their respective RAs to the current FRS after your household has retained $100,000 in cash.


Your full RA savings will be used to buy a CPF LIFE plan if you have at least $60,000 in your RA after the top-up. You will not be eligible to join CPF LIFE if you are aged 80 and above.

Options for lease period

Your household will have the flexibility to choose the length of lease to be retained, based on the age of the youngest owner. The duration of the lease retained determines the amount of net proceeds unlocked.

Age of Youngest Owner
Lease Retained
Other Options
Eligibility Age (currently 65) - 69
70 - 74
30, 35
75 - 79
25, 30, 35
80 and above
20, 25, 30, 35

Illustrating an example

Joint Singapore Citizen (SC) Owners aged 65 years old


  • 4-room flat held under joint tenancy
  • No outstanding loan
  • Balance lease: 65 years
  • Market value: $450,000
  • Choose to keep a 30-year lease
  • Sell the tail-end 35-year lease to HDB for $190,000;waba7970da23ac277a
Initial Retirement  Account (RA) Balance
Current Age-Adjusted Basic Retirement Sum (BRS)

HDB Image

Watch this video for a quick explanation on the LBS.
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