Asked 5d ago
Assuming I will have enough cash to pay off my HDB when it’s ready, should I do the same or use CPF for the HDB loan instead? Paying off in cash will wipe out my savings.
Top Contributor (Nov)
Monies in your CPF ordinary account is meant for your retirement. Accordingly, the use of such monies for your house will result in accrued interest over time.
If you intend to sell the house, then you should consider using cash to pay off your HDB. This prevents the need to pay back the principal and accrued interest.
This is a decision of trade-off that you will need to evaluate. For this purpose, it will be valued to analyse your cashflow in detail and to make the best decision from there.
Personally, I will be paying cash for my HDB.
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