MORTGAGE PAYMENTS FROM CENTRAL PROVIDENT FUND

Column No : 3247

MORTGAGE PAYMENTS FROM CENTRAL PROVIDENT FUND

3.

Mr Low Thia Khiang asked the Minister for National Development if he will give the profile of the 35,000 households unable to meet their mortgage payments from their Central Provident Fund (CPF) Ordinary and Special Accounts after the reduction in CPF contributions, giving their (i) income, (ii) type of HDB flat, (iii) mortgage amount, (iv) duration and (v) amount of monthly instalments and the shortfall in absolute amount in each month.

Mr Mah Bow Tan: The profile of the 35,400 HDB households who may not have enough CPF Ordinary Account (OA) and Special Account (SA) contributions and balances to service their HDB housing loans beyond one year is as follows:

(a) 89% have monthly household income of $2,000 or less;

(b) 23%, 44% and 24% stay in 3-room, 4-room and 5-room flats respectively;

(c) 66% have an outstanding mortgage loan of $150,000 or less;

(d) 58% have a loan repayment period of 20 years or less; and

(e) the average monthly instalment is $660, while the average monthly cash top-up required is $500.