HDB Contra Facility 2026: How to Sell Your Flat and Buy a Resale Flat at the Same Time
HDB's Enhanced Contra Facility lets you use the money from selling your flat to buy the next resale flat at the same completion. How it works, the order your CPF and cash are used in, the timeline, who can't use it, and what happens if your sale falls through.
HDB's Enhanced Contra Facility (ECF) lets an owner sell an existing HDB flat and buy another resale HDB flat at the same time, with the sale paying for the purchase. You ask for it in both resale applications, all three parties submit within 7 days, and the sale completes before the purchase, which can be the same day. Your CPF, including the refund from the sale, is used before any cash, and neither the refunded CPF nor the cash proceeds can pay stamp duty or legal fees. HDB decides case by case and can refuse or cancel it.
Most HDB upgraders face the same squeeze: the money for the next flat is locked up in the one you live in. Sell first and you may need somewhere to stay; buy first and you carry two flats. HDB's Enhanced Contra Facility (ECF), usually just called contra, lets you sell your flat and buy another resale flat at the same time, with the sale paying for the purchase.
This guide explains what contra is, how it runs step by step, what the proceeds can and cannot pay for, the timeline, who cannot use it, and how it compares with selling first or buying first. It is based on HDB's ECF page and its terms and conditions, as at 25 September 2026.
What is the HDB contra facility?
It is HDB's Enhanced Contra Facility (ECF): a way to sell your HDB flat and buy another resale HDB flat at the same time, using the CPF refunded and the cash from the sale to pay for the purchase, so you need less cash and a smaller loan. You ask for it in the resale applications.
"Contra" means the sale of your flat is set off against the purchase of the next one. HDB says the ECF lets you "Sell your existing HDB flat and buy another resale HDB flat by using the cash proceeds and refunded CPF savings from the flat sale at the same time", reducing "the out-of-pocket payments" and "the housing loan amount needed and the monthly instalment payments".
| Key fact | The Enhanced Contra Facility (as of 2026, verify on HDB) |
|---|---|
| What it covers | Selling your HDB flat (Flat A) and buying another resale HDB flat (Flat B) |
| How you apply | State it in both resale applications: the seller's portion for Flat A and the buyer's portion for Flat B |
| Who is involved | Three parties: you, your buyer and your seller, who must all submit within 7 days |
| Order of completion | Your sale completes before your purchase, which can be on the same day |
| Order of payment | Your CPF (the existing Ordinary Account balance and the refund from the sale) before any cash proceeds |
| Not covered | Stamp duty and legal fees cannot be paid from the proceeds |
| HDB's discretion | HDB may refuse, vary or cancel it, and HDB's approval does not bind the CPF Board |
Contra solves a timing problem, not a money problem: it lets the money from your sale arrive in time; it does not add to it.
How does the HDB contra facility work, step by step?
Sell and buy in parallel: grant an Option to Purchase to your buyer, take one from your seller, then submit two resale applications (selling Flat A, buying Flat B) that both ask for the contra facility, all within 7 days. HDB processes them together and completes your sale first, on or before the day you complete your purchase.
HDB's own example has Mr C selling Flat A and buying Flat B. As of 2026:
- Check you can sell and buy. Your current flat must be past its minimum occupation period (5 years for most flats, 10 for Plus and Prime), which is also when you can apply for a new HDB Flat Eligibility (HFE) letter for the next purchase.
- Sell Flat A. Register your Intent to Sell (it must have been registered for more than 7 days before you grant an option), agree a price and grant your buyer an Option to Purchase.
- Buy Flat B. With your HFE letter, take an Option to Purchase from your seller, submit the Request for Value by the next working day, and exercise it within the 21-day option period.
- Submit two resale applications, each stating that you are applying for the Enhanced Contra Facility and giving the addresses of both flats: the seller's portion for Flat A and the buyer's portion for Flat B. "All parties must submit their respective resale applications and the necessary supporting documents within 7 days."
- HDB approves the resales and, separately, the contra. Approval of the two resales "does not constitute approval" of the facility.
- Completion. Your sale of Flat A completes first; your purchase of Flat B can complete the same day, with the proceeds applied to it.
Our step-by-step guide to buying a resale HDB flat covers the buying side in full, and how long it takes to sell an HDB flat the selling side.
What can the sale proceeds pay for under contra?
The purchase price of your next flat: your CPF, both the existing Ordinary Account balance and the CPF refunded from the sale, is used before any cash proceeds. Neither the refunded CPF nor the cash proceeds can pay stamp duty or legal fees, so those come from your existing CPF or savings.
HDB's terms (clause 2.1) let you use the cash proceeds from Flat A to pay part or all of Flat B's price "only after he has used: (i) all the existing balance in his CPF Ordinary account and (ii) all CPF monies that will be refunded to his CPF Ordinary account from the sale of Flat A".
What "cash proceeds" means, in HDB's definition: the net amount due to you after deducting the deposit you received, your outstanding HDB loan, any resale or upgrading levy, "all CPF refund plus interest" and other sums payable to HDB.
Four points for your budget:
- Your CPF goes first. That lets you borrow less and pay lower instalments, but leaves a thinner CPF buffer.
- Fees need their own money. "Refunded CPF savings and cash proceeds from the flat sale cannot be used for the payment of stamp duty and legal fees." Your existing CPF Ordinary Account savings or cash can pay them. Buyer's stamp duty on a flat at the national median 5-room price of $740,000 is $16,800 (1% of the first $180,000, 2% of the next $180,000 and 3% of the rest).
- Taking an HDB loan again? HDB grants a second HDB loan only after you have paid for the flat with the full CPF refund and part of the cash proceeds; generally you can keep the higher of $25,000 or 50% of the cash proceeds.
- HDB sets the amount. HDB reserves the right to "determine the amount that can be used under the Enhanced Contra Facility".
Contra moves money in a fixed order; plan your cash for what comes out of order.
How much more does the next flat cost than the one you sell?
At national median resale prices in 2026 H1, a 5-room flat cost $110,000 more than a 4-room, a 4-room $187,000 more than a 3-room, and an Executive flat $170,000 more than a 5-room. Contra does not cover that gap: your sale pays in what it releases after its loan is repaid, and the gap comes from a new loan, your CPF and savings.
Contra pays the new flat with what the old one releases, so the price difference is what you still have to fund. At national median resale prices:
| Move | Median price, current type | Median price, next type | Gap | Resales (n) |
|---|---|---|---|---|
| 3 Room to 4 Room | $443,000 | $630,000 | $187,000 | 2,925 / 5,379 |
| 4 Room to 5 Room | $630,000 | $740,000 | $110,000 | 5,379 / 2,793 |
| 5 Room to Executive | $740,000 | $910,000 | $170,000 | 2,793 / 741 |
| 3 Room to 5 Room | $443,000 | $740,000 | $297,000 | 2,925 / 2,793 |
PropKaki analysis of HDB resale records, all towns, 2026 H1. Your gap depends on the two flats you actually sell and buy, their towns and ages; stamp duty and fees are extra.
How to read it:
- The gap is yours to fund. Contra only makes the sale's proceeds arrive in time; the difference in price comes from a new loan, your CPF and savings.
- What your sale releases is less than its price. Your outstanding housing loan is repaid first, along with any other sums owed; the CPF refund and the cash that remain then go into the next flat.
Run your own sale and purchase through the Property Financial Planner before you grant or take an option.
What is the timeline for an HDB contra sale?
Once both options are exercised, all three parties submit within 7 days, HDB accepts the applications within 28 working days, and completion is about 8 weeks after acceptance, with your sale completing first and your purchase the same day or later.
Contra runs on HDB's normal resale timetable, applied to two transactions at once:
| Stage | Timing |
|---|---|
| Option on the flat you buy | Exercise within 21 calendar days, after the Request for Value (about 10 working days) |
| Resale applications | All three parties submit within 7 days |
| HDB's acceptance | Within 28 working days of complete applications |
| Completion | About 8 weeks after acceptance, the earliest possible date; your sale completes first, your purchase can follow the same day |
HDB resale process pages and ECF terms, as of 2026.
The two deals are only as fast as the slower one: if your buyer's side is late, your purchase waits. HDB can also reschedule the completion dates of both flats if the contra is cancelled. Map your moves in the property timeline planner.
Who cannot use the HDB contra facility?
You cannot use it if your own buyer or your seller is also using it (no chains), for a sale under the Conversion Scheme or of a part-share, or if you are bankrupt. HDB may also refuse it where either flat has a bank or CPF mortgage or private solicitors act.
From HDB's terms and conditions for the ECF:
- No chains. You may apply "provided that his buyer (Flat A) and his seller (Flat B) have not applied for such facility for their respective flats".
- Loans and lawyers. "Where there is a mortgage in favour of a financial institution and/or CPF Mortgage/charge on Flat A and/or Flat B or where private solicitors have to be engaged, HDB reserves the right not to approve".
- Some sales are excluded: the Conversion Scheme, "the sale of part-share of an existing flat", and other schemes HDB decides.
- Bankruptcy: the seller of Flat A must not be an undischarged bankrupt or have bankruptcy proceedings against them.
- HDB's discretion: HDB may "withhold consent to, vary or cancel the Enhanced Contra Facility at any time without giving any reason whatsoever", and its acceptance "does not imply that the CPF Board will approve".
If either flat is financed by a bank, ask HDB early whether contra will be allowed.
What happens if the sale of your flat falls through during contra?
HDB can cancel the contra facility. If your purchase's completion date is not yet fixed, you must pay the money that was to come from the contra within 10 days and the balance at completion; if it is fixed, you get 10 days' notice to pay everything needed to complete.
HDB's terms (clauses 3 and 4) allow it to revoke or cancel the facility if, among other things, "the resale of Flat A is delayed, aborted or not completed", or the contra party becomes bankrupt or dies before both resales complete. Then:
- Completion date of Flat B not yet fixed: pay "all monies to be utilised under the Enhanced Contra Facility towards part/full payment of the purchase price for Flat B within ten (10) days" of HDB's notice, and the balance on the day of completion.
- Completion date already fixed: the buyer of Flat B "will be given notice to pay within ten (10) days all monies required to complete the purchase".
- Dates can move: HDB "reserves the right to reschedule the completion date of Flat A and Flat B."
- If you cannot pay: HDB cancels a resale application when the buyer does not have "sufficient funds to complete", and your HFE letter is cancelled with it.
Contra ties your purchase to your sale; have a plan for the money if the sale fails.
Can you use the contra facility to buy a BTO flat or an EC?
No. HDB's Enhanced Contra Facility covers selling an HDB flat and buying another resale HDB flat. A new flat from HDB or an EC from a developer is paid on its own schedule, so your sale has to fund it separately.
HDB's terms define the facility as an owner "selling his existing HDB flat ('Flat A') and buying another HDB resale flat ('Flat B')". Neither a new flat bought from HDB in a sales exercise nor an Executive Condominium bought from a developer is an HDB resale flat, and nor is a private home. If you are selling to buy one of those, plan the timing separately: our guide to selling property before buying a new EC sets out the rules for ECs.
Do you pay resale levy when you upgrade with the contra facility?
No. Resale levy applies when you buy a second subsidised flat from HDB or a new EC, not when you buy a resale flat, with or without contra. HDB says that if you are buying a resale flat, you need not pay it.
HDB: "If you do not intend to buy a second subsidised flat from HDB, i.e., you are buying a resale flat or private residential property, you need not pay the resale levy." A contra upgrade is a resale purchase, so no levy arises on it.
Several things come out of your sale before any cash reaches you: the outstanding housing loan, the CPF you used plus accrued interest (which goes back to your CPF account and then, under contra, into the next flat), any resale or upgrading levy, and other sums owed, for example to HDB or the town council. Our guide to buying a resale HDB flat covers the grants a second purchase can and cannot get.
Contra, sell first or buy first: which suits you?
Contra suits owners who want one move and whose sale and purchase can be lined up. Selling first means finding somewhere to live in between; buying first means paying for the new flat without the sale money and selling the old one within 6 months.
| Contra (Enhanced Contra Facility) | Sell first | Buy first | |
|---|---|---|---|
| Moves | One: sale and purchase complete together | Two, with somewhere to stay in between | One, then sell |
| Cash on the day | The sale proceeds are applied directly | You already hold the proceeds | The new flat without the sale money |
| Main risk | Your purchase depends on your sale going through | A gap between homes | Carrying two flats; you must sell the old one within 6 months of completing the purchase |
| Staying on in the old flat | Up to 3 months after completion, if your buyer agrees | Up to 3 months only if you have already committed to buy a completed home | Not needed |
| With an HDB loan | The CPF refund and part of the cash go into the purchase first | The same rule on the next purchase | Commercial interest on the new loan until the old flat is sold and the proceeds pay it down |
| Fees | Stamp duty and legal fees paid from existing CPF or savings | Normal | Normal |
HDB resale, ECF, extension-of-stay and housing-loan rules, as of 2026.
Choose contra when you can line the two deals up; choose a sequence when you can't. Our pillar on timing a property sale covers the wider decision.
What is the biggest mistake people make with the HDB contra facility?
Assuming the sale money arrives as cash. Under contra your CPF, including the refund from the sale, is used before any cash proceeds, and neither the refund nor the cash can pay stamp duty or legal fees, so owners who planned to pay those from the sale find themselves short.
It is easy to assume the sale works like this: sell, keep the cash, buy with it. Contra works differently: HDB uses your CPF, the existing balance and the refund, before it touches the cash, and stamp duty and legal fees sit outside the facility altogether. The cash you counted on may be smaller than you thought, and it cannot pay the bills that are due first.
Budget the fees from savings or your existing CPF, separate from the sale, before you sign either option.
Official sources
Check HDB directly for the current rules and terms.
Methodology and sources
Where every figure comes from, and what we deliberately did not claim.
Official rules and figures. How the facility works, its conditions, the order of payment and what happens on cancellation are from HDB's Request for Enhanced Contra Facility page (updated 8 March 2026) and its terms and conditions (PDF); the resale timetable and fees from HDB's resale process pages; the extended stay from HDB's seller pages; the second-loan and buy-first rules from HDB's housing loan page; the MOP, disposal and resale-levy rules from HDB's Conditions After Buying a Resale Flat page; the HFE timing from HDB's HFE FAQ. All read between 18 and 25 September 2026.
Proprietary figures. The upgrade gaps are PropKaki's analysis of HDB resale records (national medians, 2026 H1); the stamp duty example is our arithmetic on IRAS's bands, as HDB lists them. How we work: PropKaki methodology.
What we have not claimed: how much cash your own sale will release, which depends on your loan and CPF usage; whether HDB will approve contra where a bank loan is involved, which it decides case by case; or which route suits you. This is a practical explainer, not legal or financial advice. Check hdb.gov.sg before you rely on it.
Got a question this raised? Ask PropKaki.
Take any point from this analysis and apply it to your own project, budget or decision.
PropKakiFor most buyers this year, staying well within budget beats trying to time the market.