My colleague turn 55 next year.

[Arcachon]

Friday during a casual talk, my colleague of the last 8 years told me he is very happy because next year he can collect his CPF.

He ask me whether to take a loan for a 2 bedroom in Botanique @ Bartley or pay cash.

He have 600k from CPF and 50% share of a PC in Hillingston Green inherit from his parent.

He is very Hard working and climb up the ladder over the years.

I told him while he is climbing the ladder I took the elevator after I told him my story.

What a different if he have spend a bit of time talking to me before all the CMs.

[Sandiwara]

Since we are on 55 Years old Subject.
I have question for all
The situation is for PR. By the time He reach 55 years old having below situation

CPF Total ---- OA ---- SA ---- MS
706k ---- 313k ---- 342k ---- 48.5k

Condo Mortgage Balance = 430k

The question is do you use CPF OA to pay the Mortgage to reduce the loan

[Kelonguni]

Since we are on 55 Years old Subject.
I have question for all
The situation is for PR. By the time He reach 55 years old having below situation

CPF Total ---- OA ---- SA ---- MS
706k ---- 313k ---- 342k ---- 48.5k

Condo Mortgage Balance = 430k

The question is do you use CPF OA to pay the Mortgage to reduce the loan

CPF OA interests higher than mortgage interests right?

Pay down also risky cos it leaves him very little reaction time in case of emergencies need to sell.

[Sandiwara]

CPF OA interests higher than mortgage interests right?

Pay down also risky cos it leaves him very little reaction time in case of emergencies need to sell.

Make sense

[Arcachon]

Since we are on 55 Years old Subject.
I have question for all
The situation is for PR. By the time He reach 55 years old having below situation

CPF Total ---- OA ---- SA ---- MS
706k ---- 313k ---- 342k ---- 48.5k

Condo Mortgage Balance = 430k

The question is do you use CPF OA to pay the Mortgage to reduce the loan

Purely just from the above without anything else.

With current CM, CPF Balance cannot be use for another purchase to generate income.

To reduce the loan (full payment), when they start to remove the CM than where got money to play.

At age 55, if easy to get loan than pay down, else save for future property purchase.

Remember you still be working.

[minority]

Purely just from the above without anything else.

With current CM, CPF Balance cannot be use for another purchase to generate income.

To reduce the loan (full payment), when they start to remove the CM than where got money to play.

At age 55, if easy to get loan than pay down, else save for future property purchase.

Remember you still be working.

at 55 he have very little run way to leverage. also at 55 his risk appitite are not much lower. also any loan max is 10yrs. so he have to leverage it very carefully.

[Forest ang]

at 55yo...i would not go for "heavy weight" investment like property. I would like to go slow and enjoy my "semi-retirement"
with easy liquidity on hand

[DMCK]

how about if he wants to stop working?

[Sandiwara]

how about if he wants to stop working?
Interesting question. Any one can give advice (all alternative I guess :))