OWNERS of Housing Board flats, already hit by a softening market, may now have to stump up cash if they are selling their properties below valuation.
This is the result of a longstanding rule by the Central Provident Fund Board which property agents say was enforced loosely until recently.
Under this rule, a property owner who had used his CPF funds to pay for his property is required to refund the principal withdrawn and interest accrued into his CPF account after settling any outstanding debt. If there is a shortfall, he needs to make good on that amount if he is 'unable to provide good reasons for selling his flat at a price below the fair market value'.
Read the full report in Thursday's edition of The Straits Times.
