Question on HDB loan

With rising costs and increased learning needs, financing our children's education is no longer a simple walk in the park. Discuss with other parents about how they are managing their finances to cope with their expenses.

Question on HDB loan

Postby garam » Fri May 20, 2011 3:10 pm

Hi,

My husband is working as free-lance...therefore his CPF is not enough to pay the housing loan..Right now the HDB LOAN is fully deduct by my CPF.

I just want to know..if anything happen...(eg:- if we file for divorce..) Will he be able to get 50% of the house if we decided to sell it away????

garam
KiasuNewbie
KiasuNewbie
 
Posts: 9
Joined: Thu Feb 24, 2011 5:56 pm
Total Likes: 0


Re: Question on HDB loan

Postby hquek » Fri May 20, 2011 3:22 pm

When you sell your hdb, first, the payout will go toward reimbursing your cpf account plus accrued interest. Thereafter, you will have to decide what to do with the rest - 50% each or whatever portion (depending on how decent he is).

hquek
Councillor
Councillor
 
Posts: 6535
Joined: Fri Jul 18, 2008 10:07 am
Total Likes: 70


Re: Question on HDB loan

Postby Harleston » Sat Jun 04, 2011 4:59 pm

definitely, in case of divorce you have share the burden by 50% with you husband and you have to pay the interest as well in addition to loan amount and the house on which the loan has taken will have to sell on auction.
Last edited by Harleston on Sat Jun 04, 2011 5:23 pm, edited 1 time in total.

Harleston
KiasuNewbie
KiasuNewbie
 
Posts: 5
Joined: Fri Jun 03, 2011 5:53 pm
Total Likes: 0


Re: Question on HDB loan

Postby bigsnoopy » Sat Jun 04, 2011 9:44 pm

I thought the judge will decide at what percentage will each party get?

bigsnoopy
KiasuGrandMaster
KiasuGrandMaster
 
Posts: 7160
Joined: Tue Dec 28, 2010 11:56 pm
Total Likes: 0


Re: Question on HDB loan

Postby Kissgurami » Sat Jun 04, 2011 10:53 pm

Your lawyer will calculate each person's contribution to the flat and state the %. Both parties will need to be agreeable before it is presented to the judge. The judge will then ask the parties to confirm and a court order will be issued. HDB will follow the 50% unless presented with a court order.

Kissgurami
KiasuGrandMaster
KiasuGrandMaster
 
Posts: 6273
Joined: Mon Sep 27, 2010 1:31 pm
Total Likes: 4



Re: Question on HDB loan

Postby bigsnoopy » Sun Jun 05, 2011 8:37 am

And if the wife can prove she is contributing to the family, she can also get half even though she did not contribute half of the amount.

bigsnoopy
KiasuGrandMaster
KiasuGrandMaster
 
Posts: 7160
Joined: Tue Dec 28, 2010 11:56 pm
Total Likes: 0


Re: Question on HDB loan

Postby hquek » Mon Jun 06, 2011 9:13 am

Amounts paid out of cpf will be recorded faithfully by cpf board - you will only have to worry about those that are paid by cash/cheque. CPF will have online statements as to how much was contributed.

Note that CPF monies must be refunded first in event of sale. This is a no contest issue. It's the remainder money (ie those paid by cash, and the profits from sale) that will form the bone of contention.

I would think if one can show that one is the major contributor to the family, the judge will be pre-disposed to award more.

hquek
Councillor
Councillor
 
Posts: 6535
Joined: Fri Jul 18, 2008 10:07 am
Total Likes: 70


Re: Question on HDB loan

Postby jedamum » Mon Jun 06, 2011 2:53 pm

hquek wrote:Amounts paid out of cpf will be recorded faithfully by cpf board - you will only have to worry about those that are paid by cash/cheque. CPF will have online statements as to how much was contributed.

Note that CPF monies must be refunded first in event of sale. This is a no contest issue. It's the remainder money (ie those paid by cash, and the profits from sale) that will form the bone of contention.

I would think if one can show that one is the major contributor to the family, the judge will be pre-disposed to award more.

like that SAHM lose out ah? they don't contribute CPF to housing does not mean that they do not contribute to the upkeep of the house. in the case of divorce, SAHM get little out of the sales of the flat!

jedamum
Councillor
Councillor
 
Posts: 8517
Joined: Thu Jan 10, 2008 3:58 pm
Total Likes: 20


Re: Question on HDB loan

Postby hquek » Mon Jun 06, 2011 3:00 pm

jedamum wrote:
hquek wrote:Amounts paid out of cpf will be recorded faithfully by cpf board - you will only have to worry about those that are paid by cash/cheque. CPF will have online statements as to how much was contributed.

Note that CPF monies must be refunded first in event of sale. This is a no contest issue. It's the remainder money (ie those paid by cash, and the profits from sale) that will form the bone of contention.

I would think if one can show that one is the major contributor to the family, the judge will be pre-disposed to award more.

like that SAHM lose out ah? they don't contribute CPF to housing does not mean that they do not contribute to the upkeep of the house. in the case of divorce, SAHM get little out of the sales of the flat!


I do know that CPF guards their depositor monies jealously...anything taken out MUST be refunded first (plus accrued interest).

Honestly, I don't know - the courts may judge differently. Certainly when distributing the estate, the judge will consider the monetary and non-monetary efforts put in.

hquek
Councillor
Councillor
 
Posts: 6535
Joined: Fri Jul 18, 2008 10:07 am
Total Likes: 70


Re: Question on HDB loan

Postby hquek » Mon Jun 06, 2011 3:03 pm

ok, I was a bit salah...pls find the following information copied from cpf board. In short, courts may direct that the SAHP (P = parent) get a share of the proceeds without having to repay the contributing party's cpf first.

"From 1 October 2007, you may transfer your share in the property to your ex-spouse with partial or no refunds to be made to your CPF account, if the Court had directed so. This ruling applies to Court Orders extracted on or after 1 October 2007 and cannot be applied retrospectively.

However, when your ex-spouse subsequently sells or transfers the property, he/she will be required to refund to his/her own CPF account the following:

a) the total of:
i. the amount of required CPF refund that was not refunded to your CPF account including interest that would have accrued on this portion and
ii. the principal amount that he/she had withdrawn and the accrued interest for the property if he/she is below the age of 55

or

b) the Minimum Sum Deficiency or the principal amount withdrawn for the flat and the accrued interest, whichever is lower if he/she is aged 55 and above.

There will be no refund to your CPF account when your ex-spouse subsequently sells or transfers the property."

http://mycpf.cpf.gov.sg/CPF/my-cpf/buy-house/BH11.htm

hquek
Councillor
Councillor
 
Posts: 6535
Joined: Fri Jul 18, 2008 10:07 am
Total Likes: 70


Next

Return to Money Matters