HDB flats are sold on a 99-year leasehold. At lease expiry (typically year 99), the land returns to the State and the property reverts. Owners can apply for Lease Buyback Scheme (LBS) at age 65+ for ages 30-99, sell to the market while value remains, or transfer to children. HDB does not automatically extend leases.
The lease-decay curve
HDB flat values decline as remaining lease shortens. Source: HDB Lease Buyback Scheme.
| Remaining lease | Typical PSF discount vs. full-lease comparable |
|---|---|
| 90+ years | — |
| 75 years | −5% |
| 60 years | −15% |
| 50 years | −25% |
| 40 years | −40% |
| 30 years | −55% |
| 20 years | −70% |
CPF restrictions also apply — using CPF OA for HDB resale requires remaining lease to cover the youngest buyer until age 95.
Lease Buyback Scheme (LBS)
LBS allows HDB owners aged 65+ to sell back the tail end of their lease to HDB, retaining 30 years of occupancy. Cash proceeds fund retirement.
Example: A 70-year-old with a 60-year remaining lease sells the last 30 years to HDB for retirement income, retains use of the flat until age 95 (25 years).
What happens at year 99
The land reverts to the State. No automatic renewal. Three paths for the owner:
- Vacate: Move to another property; receive no compensation from HDB
- Wait for SERS: Selective En Bloc Redevelopment Scheme — HDB redevelops the estate and offers buyers a new flat at subsidised pricing. SERS is not guaranteed.
- VERS: Voluntary Early Redevelopment Scheme — HDB initiates redevelopment with 75%+ owner consent, but with less generous terms than SERS
Worked example: 1971-built flat at year 99 (2070)
A 4-room flat built in 1971 reaches lease expiry in 2070. In 2026, the flat has 45 years remaining.
| Year | Owner age | Recommended action |
|---|---|---|
| 2026 | 55 | Hold; review LBS eligibility at 65 |
| 2036 | 65 | Eligible for LBS; sell tail-end lease |
| 2050 | 79 | Flat occupied via LBS-retained term |
| 2070 | 99 | Lease expires; transition to alternative housing |
For most current HDB owners (built post-1975), lease expiry is 2074 or later — not an immediate concern.
See related: complete Singapore HDB buying guide.
Frequently asked questions
Can I extend my HDB lease beyond 99 years?
No. HDB does not currently offer lease extensions. The land reverts to the State at lease expiry.
Does SERS apply to all old HDB flats?
No. SERS is selective — only ~5% of HDB flats are estimated to qualify based on redevelopment economics.
Can I use CPF for a flat with 40 years remaining?
Only if the lease covers you (and any joint owner) until age 95. A 40-year remaining lease covers a 55-year-old buyer until age 95.