In order to help first-timer couples buy their first home, the Singaporean Government offers a number of housing grants that can be used combined with the household income to pay for the home.
The most common of the subsidies that the Government provides is the Central Provident Fund (CPF) Housing Grant (HG) . This type of housing grant comes in form of CPF Monies, as opposed to cash, which can be used for the initial payment or to lower the mortgage loan for a flat purchase.
Over and above this subsidy are two others: the Additional CPF Housing Grant (AHG ) and the Special CPF Housing Grant (SHG) .
The AHG scheme is designed to assist low-income citizen families in particular to buy their first home. A condition for eligibility for this grant is that the household income be steady. In addition, at least one of the applicants must have worked continuously for twelve months before the application for the flat and still be employed at the time of the application. The amount of the AHG is dependent upon income brackets and varies accordingly, favoring households with lower income. The Additional Central Provident Fund HG can be successfully used to offset the purchase price of a new or resale HDB flat or a DBSS (Design, Build and Sell Scheme) flat. This subsidy is over and above the regular CPF HG that both new and resale flat buyers receive, and it can be up to S $ 40,000. DBSS flat buyers can also apply for this subsidy as an additional one over and above the CPF HG for Family.
Beginning with 27 August 2013, the Special Central Provident Fund Housing Grant benefits both low-income and middle-income housing buying up to four-room flats. The SHG can be up to S $ 20,000 and can be used either as capital payment for the purchase of a new HDB flat or with the aim of reducing the mortgage loan.
Another type of subsidy is available to first-timer married couples that wish to buy a resale HDB flat. If eligible, they can apply for a CPF Housing Grant for Family of up to S $ 30,000 (or S $ 40,000 if they stay near or with their parents), as well as for an AHG of up to S $ 40,000.
Last but not least, the CPF Housing Top-Up Grant Scheme is used to top up the amount of the Singles Grant to the Family Grant in the case of Singles Grant recipients who then marry a first-timer citizen or another Singles Grant recipient.