Financing Guide
If You Can't Pay Your HDB Loan: Financial Assistance Measures and Repayment Options
If you are falling behind on an HDB housing loan, HDB has short-term relief and longer-term options, and it asks you to come forward early. The help is assessed case by case, costs nothing to apply for, and has trade-offs such as continued interest and higher instalments later.
Short-term options
These help you through a temporary period of hardship:
- Pay arrears by instalments within a reasonable period.
- Reduce or defer monthly instalments for a continuous 6-month period.
- Homeowner Job Support (HJS) pilot: reduces or defers instalments and temporarily suspends mortgage interest for a continuous 12 months. Eligible owners must be unemployed and willing to work with a career coach from the Skills and Workforce Development Agency or the Employment and Employability Institute on an employment action plan.
Important trade-offs HDB points out:
- During the assistance period, interest keeps accruing on the outstanding loan, except for HJS participants.
- You may pay a higher monthly instalment after the assistance ends.
- If HDB's loan interest rate is revised, your instalment is adjusted. See the loan comparison for how the rate is set.
- Revert to normal instalments as soon as your finances improve.
Long-term options
- Extend the repayment period. HDB may assess whether it can be extended, up to the maximum allowable, to lower the monthly instalment. A longer period means more total interest.
- Rent out spare bedrooms. See rental income tax and HDB's bedroom rules.
- Add working family members as joint owners. See changing flat ownership.
- Sell and right-size to a flat you can afford. See selling an HDB flat, noting that negative equity can complicate this; see negative equity.
Changing the repayment period
You can apply to lengthen or shorten the repayment period of an HDB loan. Extending lowers the monthly instalment, and shortening raises it. All flat owners must attend a branch appointment with identity cards, and if you pay by CPF you submit a CPF withdrawal form for the revised instalment. If you extend and are covered by the CPF Home Protection Scheme, CPF may contact owners to extend that coverage. If you hold private insurance in place of the scheme and pay by CPF, the insurer must apply for the exemption again for the longer period.
How to apply
- Book an appointment at the HDB Branch that manages your flat.
- Bring identity cards of all owners; latest payslips or income letters for all owners and permitted occupiers (a statutory declaration if unemployed, self-employed or without payslips); your latest CPF statement or authorisation for HDB to check your OA balance; copies of outstanding bills; and any other proof of hardship.
There is no administrative fee for applying.
If your loan is from a bank
HDB advises approaching the bank early, refinancing with another bank at a more manageable rate, renting a room, adding working family members as joint owners, or selling and right-sizing. HDB also points to the Association of Banks in Singapore's Home Loans Consumer Guide. See refinancing a housing loan.
FAQ
Does HDB charge to apply for financial assistance?
No administrative fee is payable for applying for the Financial Assistance Measures.
Does interest stop if my instalments are reduced or deferred?
No. Interest continues to accrue on the outstanding balance, except for participants in the Homeowner Job Support pilot, whose mortgage interest is temporarily suspended.
How long can instalments be reduced or deferred?
For a continuous 6-month period under the standard option, and 12 months under the HJS pilot for eligible unemployed owners.
Can I extend my HDB loan to pay less each month?
HDB may assess an extension up to the maximum allowable repayment period. It lowers the instalment but increases the total interest.
Who decides if I qualify?
HDB, based on the merits of each case and the documents you submit.
Related guides
- How TDSR Is Calculated: 4% Floor and Income Haircuts
- TDSR vs MSR Singapore: What's the Difference
- Co-Borrowers and Guarantors on a Singapore Home Loan
Figures current as of October 2026, from HDB's pages. Pilot schemes such as the Homeowner Job Support programme have their own eligibility terms and may change. This guide is general information only and is not financial or legal advice. If you are in difficulty, contact HDB or a licensed adviser promptly.
Trying to work out what you can sustainably afford? Use PropLeh's Loan Shortfall Calculator, or message us on WhatsApp.