HDB Lease Buyback Scheme 2026: Who Qualifies, How Much You Get and the Downsides
Sell the tail end of your flat's lease to HDB and keep living in it. Who can, how much lease you keep, where the money goes, what HDB's own example pays, and what you give up for it.
The Lease Buyback Scheme lets HDB owners who are all 65 or older sell the tail end of their flat's lease to HDB and keep living in it, on a lease that lasts the youngest owner to 95. The proceeds top up their CPF Retirement Accounts to join CPF LIFE; a household can then keep up to $100,000 in cash (more only once each owner reaches the Full Retirement Sum), and gets a bonus of up to $30,000, $15,000 or $7,500 by flat type. The household income ceiling is $16,000, and the flat can never be sold on the open market afterwards.
The Lease Buyback Scheme (LBS) is HDB's way to turn your flat into retirement income without moving out. You keep enough lease to last the youngest owner to 95, sell the rest back to HDB, and the proceeds go first into your CPF Retirement Account to buy a monthly CPF LIFE income.
This guide covers who qualifies under the $16,000 ceiling from HDB's August 2026 revision, how much lease you keep, where the money goes and how much HDB's own worked example pays, the bonus, the downsides, how it compares with right-sizing or selling, and what happens when a lease runs out. Rules are HDB's, as at 18 September 2026.
What is the HDB Lease Buyback Scheme?
It lets you sell the tail end of your flat's lease to HDB while you keep living in the flat. You keep a lease that lasts the youngest owner to at least 95; the proceeds top up your CPF Retirement Account to buy a monthly CPF LIFE income, a household can keep up to $100,000 in cash, and HDB adds a bonus of up to $30,000.
Think of your remaining lease as two pieces. You keep the front piece, long enough to live out your life in the flat. HDB buys the back piece, the years you are unlikely to use, and pays you for them now.
- HDB sets the lease you keep by the youngest owner's age, so it lasts to at least 95.
- HDB values the flat and pays you for the years you sell.
- The money tops up your CPF Retirement Account first, to an amount set by your age and the number of owners.
- Whatever is left comes to you in cash, up to $100,000 per household; anything above that goes into your Retirement Account, up to the Full Retirement Sum, before you can take more cash.
- Your Retirement Account buys CPF LIFE, a monthly income for life (owners aged 80 and above cannot join CPF LIFE), and HDB adds the LBS bonus in cash.
HDB's own words: "You can sell part of your flat's lease to HDB" (HDB). Around 16,000 households had done so by the end of 2025, since the scheme began on 1 March 2009 (MND).
You are not selling your home. You are selling the years of lease you are unlikely to use.
Who is eligible for the Lease Buyback Scheme?
Every owner must be 65 or older, at least one must be a Singapore Citizen, household income must be $16,000 a month or less, and you must have lived in the flat for at least 5 years (10 for Plus and Prime). You cannot own private residential property, and the flat must have at least 20 years of lease to sell on top of the lease you keep.
| Condition | HDB's rule (updated 25 August 2026) |
|---|---|
| Age | All owners at the eligibility age, currently 65, or older |
| Citizenship | At least one owner a Singapore Citizen |
| Income | Gross monthly household income of $16,000 or less |
| Flat | Any flat type except short-lease flats, HUDC flats and executive condominiums |
| Other property | No private residential property, and no more than one non-residential private property |
| Time in the flat | All owners have lived in it at least 5 years, or 10 for Plus and Prime flats |
| Lease to sell | At least 20 years |
Source: HDB, Lease Buyback Scheme. The income ceiling rose from $14,000 to $16,000 in HDB's August 2026 revision.
The two lease rules combine into a test you can check today. The flat needs the lease you must keep plus 20 years to sell:
| Youngest owner's age | Minimum lease kept | Other options (years) | Lease the flat needs left |
|---|---|---|---|
| 65 to 69 | 30 years | 35 | 50 years |
| 70 to 74 | 25 years | 30, 35 | 45 years |
| 75 to 79 | 20 years | 25, 30, 35 | 40 years |
| 80 and above | 15 years | 20, 25, 30, 35 | 35 years |
So a couple whose younger partner is 66 needs a flat with at least 50 years of lease left; for a youngest owner aged 80, 35 years.
Every owner 65 or older, a Singapore Citizen among you, $16,000 or less and enough lease, plus the flat, property and five-year rules above: all must hold.
How much money do you get from the Lease Buyback Scheme?
It depends on HDB's valuation and the years you sell. In HDB's own example, a couple aged 65 with a fully paid 4-room flat worth $450,000 and 65 years left sold the last 35 years for $190,000. After their CPF top-ups they kept $10,000 in cash, received a $15,000 bonus and get $1,240 a month from CPF LIFE. About nine in ten households since 2009 received $100,000 to $300,000.
Where the money goes, in order. First, each owner's CPF Retirement Account is topped up to the amount HDB requires for applications from 1 January 2026:
| Owner's age | One owner | Two or more owners, each |
|---|---|---|
| 65 to 69 | $220,400 | $110,200 |
| 70 to 79 | $210,400 | $105,200 |
| 80 and above | $200,400 | $100,200 |
One owner tops up to the age-adjusted Full Retirement Sum; with two or more owners, each tops up to the age-adjusted Basic Retirement Sum (HDB). These amounts move with the CPF retirement sums each January.
Then you can keep up to $100,000 in cash per household; anything more goes to each owner's Retirement Account up to the Full Retirement Sum before you take further cash. Your Retirement Account buys CPF LIFE, provided it holds at least $60,000 after the top-up. Owners aged 80 and above cannot join CPF LIFE, so their Retirement Account pays out under CPF's other rules instead; ask HDB and CPF how that works for you.
HDB's worked example (as at January 2026). Mr and Mrs Lim, both 65, own a fully paid 4-room flat worth $450,000 with 65 years left. They keep 30 years and sell 35 to HDB for $190,000, $95,000 each. Each Retirement Account must reach the Basic Retirement Sum of $110,200; theirs already held $20,000 and $20,400, so they top up $90,200 and $89,800 and keep $4,800 and $5,200 in cash, $10,000 between them. They receive a $15,000 bonus, and their household CPF LIFE payout is $1,240 a month (Standard Plan).
The years you sell are the cheapest years of your lease. In HDB's example, the 35 years sold were 54% of the lease left but fetched 42% of the flat's value. The far end of a lease is worth less than the near end, so selling more than half your remaining years brings in well under half the flat's value.
Across the scheme since 2009, about nine in ten households "received between $100,000 and $300,000 in proceeds" (MND). For your own flat, HDB's e-service Find out your housing monetisation options gives an estimate, and HDB works out the figure with you at a branch appointment.
Most of the money becomes monthly income, not a lump sum.
How is the LBS bonus worked out?
Up to $30,000 for a 3-room or smaller flat, $15,000 for a 4-room and $7,500 for a 5-room or bigger, paid in cash. You get the full bonus once the owners' total CPF top-up is $60,000 or more; below that it is pro-rated. HDB's page says there is no bonus if every owner already has the Full Retirement Sum.
| Flat type | Maximum bonus | Below the full bonus | Top-up that earns the full bonus |
|---|---|---|---|
| 3-room or smaller | $30,000 | $1 for every $2 of top-up | $60,000 |
| 4-room | $15,000 | $1 for every $4 of top-up | $60,000 |
| 5-room or bigger | $7,500 | $1 for every $8 of top-up | $60,000 |
Source: HDB, Understanding the LBS. HDB pays the full bonus at $60,000 of top-up for every flat type; the last column shows that this matches each ratio. If every owner already has the Full Retirement Sum, HDB's terms describe other top-ups that can still earn the bonus, so ask HDB.
- One bonus per household, and it is not clawed back if you return the flat early.
- Either this bonus or the Silver Housing Bonus, never both (HDB).
The bonus rewards the CPF top-up, not the flat.
What are the disadvantages of the Lease Buyback Scheme?
You can never sell the flat on the open market or rent it out whole again, the deal cannot be undone once the legal documents are signed, most of the money is locked into CPF LIFE rather than paid as cash, and your heirs inherit no flat to sell. If you want to move later, HDB only refunds the unused lease on a straight-line basis.
- No open-market sale, ever. The flat can only go back to HDB. If you leave early, you "Receive a refund for the remaining lease, pro-rated on a straight-line basis", and your CPF LIFE carries on (HDB).
- No whole-flat rental. You can still let spare bedrooms, except in a 1- or 2-room flat.
- It is final. HDB's terms make the sale irrevocable once the legal documents are signed.
- Cash is limited. After the top-up you keep up to $100,000; anything more goes into each owner's Retirement Account up to the Full Retirement Sum, and only the rest comes back as cash.
- Your heirs get the lease, not the flat's market value. When the owners pass away, a spouse or child living in the flat may stay for the rest of the lease, subject to eligibility, or return it; if the lease ends early, HDB reimburses its remaining value to your beneficiaries on a straight-line basis, and any unused CPF LIFE premium goes back to your CPF accounts for your nominees (HDB).
- Other doors close for a while. You wait 5 years after the transaction before you can apply for another subsidised flat, and your Retirement Account savings cannot be used for housing.
- If you outlive the lease, HDB says you "will not be left homeless" and will work out a housing arrangement.
The scheme swaps flexibility for income. It suits owners who mean to stay.
Lease Buyback, Silver Housing Bonus or selling: which fits you?
Stay put and turn your lease into a CPF LIFE income: the Lease Buyback Scheme, from 65. Move to a 3-room or smaller flat for a bonus of up to $30,000, or $40,000 for a 2-room or smaller flat: the Silver Housing Bonus, from 55. Sell on the open market for the market price and full control of the money, but you need somewhere else to live.
| Lease Buyback Scheme | Silver Housing Bonus | Selling on the open market | |
|---|---|---|---|
| You move out | No | Yes, to a 3-room or smaller flat | Yes |
| Age | All owners 65 or older | A citizen owner 55 or older | Any, once the MOP is met |
| Income ceiling | $16,000 | $16,000 | None |
| What you get | Payment for the tail-end lease; cash after the CPF top-up; CPF LIFE income | Net sale proceeds, the bonus and a CPF LIFE income | The market price |
| Bonus | Up to $30,000 (3-room or smaller) | Up to $30,000 (3-room); $40,000 (2-room or smaller) | None |
| CPF commitment | Top-up to the retirement sum first | A net CPF top-up of up to $60,000 | The CPF you used, plus accrued interest, goes back to your CPF |
| Later sale of the home | Only back to HDB | Normal rules for the new flat; CCAs and short-lease flats go back to HDB | n/a |
Sources: HDB Lease Buyback Scheme and Silver Housing Bonus pages. You can receive only one of the two bonuses.
The Lease Buyback Scheme suits you if you want to grow old in the flat, your CPF is short of the retirement sums, and leaving the flat's value to your family matters less than income now.
Look elsewhere if you may need to move for care or family, or you want to leave the flat to your children.
Is it worth it? It is worth it when staying put matters more to you than the flat's resale value.
What happens when an HDB flat's 99-year lease runs out?
The flat goes back to the state, so there is nothing left to sell. Then-Prime Minister Lee Hsien Loong said so in 2018, and that few owners will outlive their leases: HDB estimated fewer than 2% of households. Values fall well before then: in the same towns, 3-room flats aged 55 to 59 sell for 17.8% less per square foot than flats aged 40 to 44.
At the 2018 National Day Rally, then-Prime Minister Lee Hsien Loong said that "when the leases expire, the flats will have to return to the state", and that very few owners will outlive their leases: "HDB estimates that it will happen to less than 2 per cent of households" (PMO).
Prices keep falling as the lease shortens, and the fall does not stop at 40. Comparing 3-room flats in the same four towns, resales since January 2025, flats aged 55 to 59 sold for 17.8% less per square foot than flats aged 40 to 44, about 1.4% for each year of flat age.
PropKaki analysis of HDB resale records: only towns with at least 30 resales at both ages. Blocks of different ages still differ in layout and position. See our analysis of three-room prices by flat age.
The ageing stock is large: 459,996 flats, 39.3% of HDB's homes, were in blocks 40 years or older in 2026 (PropKaki analysis of HDB's block records).
The Lease Buyback Scheme sells HDB the years at the end of the lease, which are worth least and which most owners never reach.
How do you apply for the Lease Buyback Scheme?
Book an appointment at your HDB branch through Singpass, with every co-owner attending. HDB appoints a valuer and gives you a financial counselling session; if you go ahead, you sign the legal documents in about 2 months and your monthly income starts 1 to 2 months after completion. Fees are $100 plus legal fees of about $300 to $500.
- Check your options first on HDB's e-service Find out your housing monetisation options.
- Book an appointment at an HDB branch through Singpass; all co-owners attend.
- Valuation and counselling. HDB appoints a valuer from its panel and takes you through the numbers before you confirm. A donee under a Lasting Power of Attorney or a court-appointed deputy can act for an owner who cannot.
- Sign. HDB invites you to sign the legal documents in about 2 months, and pays out any cash above the required top-up by cheque when you sign.
- Income starts about 1 to 2 months after completion; the bonus goes into your bank account.
| Fee | Amount |
|---|---|
| HDB administrative charge | $100, including GST |
| Legal fees | About $300 to $500, by flat type and value |
Both are deducted from the proceeds (HDB).
Bring every owner, and decide which lease length to keep before you sign.
What is the biggest mistake people make with the Lease Buyback Scheme?
Expecting a lump sum. Most of the money goes into your CPF Retirement Account to pay a monthly CPF LIFE income, and you keep up to $100,000 in cash after the top-up, more only once each owner reaches the Full Retirement Sum. And once the legal documents are signed, the deal cannot be undone and the flat can never be sold on the open market.
Two misreadings to avoid:
- "I'll get cash for my flat." The top-up comes first: each owner's Retirement Account is filled to $110,200 for a couple aged 65 to 69 ($220,400 for a single owner), counting what it already holds. After that you keep up to $100,000 per household; anything more goes to your Retirement Accounts up to the Full Retirement Sum first.
- "I can always sell later." You cannot. If you need to move for care or to be near family, the flat goes back to HDB at a refund for the unused lease, not at a market price.
If you might move in the next few years, compare the Silver Housing Bonus or a sale first.
Treat the Lease Buyback Scheme as a decision to stay, paid as a lifelong annuity.
Official sources
Check HDB and CPF directly before you decide.
Methodology and sources
Where every figure comes from, and what we deliberately did not claim.
Official figures and rules. Eligibility, the lease you keep, the CPF top-ups, the cash cap, the bonus, fees, process and the worked example are from HDB's Lease Buyback Scheme pages (updated 25 August 2026, 24 July 2026 and, for the application process, 13 February 2026), its Lease Buyback leaflet (as at January 2026), its terms and conditions (December 2025) and its monetisation hub, read on 18 September 2026. The age-95 wording is from HDB's monetisation brochure and MND's written answer of 24 February 2026, which is also the source for take-up and the $100,000 to $300,000 range. The lease-expiry quotes are from the Prime Minister's National Day Rally speech of 2018.
Proprietary figures. The "lease the flat needs" column and the 54% and 42% shares in HDB's example are our arithmetic on HDB's figures. The flat-age comparison is PropKaki's analysis of HDB resale records for 3-room flats since January 2025, comparing towns with themselves; the ageing-stock count is from HDB's block records, by the year each block was completed. How we work: PropKaki methodology.
What we have not claimed: what your own flat would fetch, which depends on HDB's valuation; your CPF LIFE payout; or any change to the eligibility age, which is 65 today. This is a practical explainer, not legal or financial advice. Check hdb.gov.sg and cpf.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.