This is something I have blogged about many times before but I want to remind readers that I am not telling them what they should do.
It is really up to them.
Take into consideration our circumstances and our beliefs before making a decision.
Your flat.
Your CPF.
Your cash.
There are many questions we must ask but, ultimately, there is one question that would determine if we would have peace of mind and it has to be asked.
Reader says...
I would tink paying for my hdb with oa would free up my cashflow for taking on more risk, ie expanding or going into new biz venture, or picking up financial assets and increasing cashflow.
U share that everyone shld do it within their ability and we do not need to copy their own plans.
My question to is shld i do so?
As i am at the start of paying for my resale hdb.
Ur advise will be greatly appreciated so i can review my position.
AK says...
Ask yourself if you want more stability or are you ready to stomach more volatility and you will have your answer. 😉
Reader says...
Thanks ak. Always happy to have a small conversation as it was short n simple and not overcomplicating.
Watch the video.
"Rule of 72 is a simplified way to determine how long an investment will take to double, given a fixed annual rate of interest.
"By dividing 72 by the annual rate of return, investors can get a rough estimate of how many years it will take for the initial investment to duplicate itself."
Source: Investopedia.
AK is just lazy lah. Shh. :p
Related posts:
1. Pay home loan and hit MS ASAP.
2. Pay home loan and grant fast.
Reader says...
ReplyDeleteHi AK, if I have already set aside Full retirement sum and paid off my Housing loan? Should I do VC to my 3 accounts or refund the monies to OA since I use OA to pay my loan previously ? Thanks
AK says...
Whichever one you choose to do, you will have more for retirement at age 55 and from age 65. Personally, I would choose to do voluntary refund to my OA simply because OA money can be used for investing if the opportunity knocks. :)