HDB flat paid fully with CPF is a big mistake?

Wanomoto

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just buy a term life lar

Ok, so im assuming that Term Life insurance is especially for HDB? What are the term life insurance available/recommended?

Got any ‘hidden costs’ to lookout for?

Cos HDB and CPF already make me so stressed liao
 

theblueark

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Ok, so im assuming that Term Life insurance is especially for HDB? What are the term life insurance available/recommended?

Got any ‘hidden costs’ to lookout for?

Cos HDB and CPF already make me so stressed liao

It’s a form of insurance almost anyone can buy. Typically people buy it so that their loved ones (spouse and kids) have funds to take care of themselves in case one passes away.

Nothing to do with HDB. Except if you want to make sure your loved ones don’t need to worry about the roof over their heads if you pass away, then one option is to get a policy with a payout bigger than any loans you have.

If you want them to be millionaires if you pass, you can buy life insurance with a humongous payout too. But the premiums will be expensive.
 

henrylbh

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Ok, so im assuming that Term Life insurance is especially for HDB? What are the term life insurance available/recommended?

Got any ‘hidden costs’ to lookout for?

Cos HDB and CPF already make me so stressed liao

Stress means you bite more than you could chew.
 

mun_hoe

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not entirely true for the HDB is 'free' where either one of the joint owner pass away.

i have encountered relative HPS only cover 50% cos HPS argument was that the cause of death was due to existing illness and this was "omitted" to declare on the deceased owner part which he later died of that health condition few years later, the surviving owner assumes full sole ownership, but is still liable to fulfill her part of the loan repayment. i have another friend, father passed away and surviving mother can stop paying for their loan repayment as it is fully paid off by the HPS coverage.
 
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Wk7777

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not entirely true for the HDB is 'free' where either one of the joint owner pass away.

i have encountered relative HPS only cover 50% cos HPS argument was that the cause of death was due to existing illness and this was "omitted" to declare on the deceased owner part which he later died of that health condition few years later, the surviving owner assumes full sole ownership, but is still liable to fulfill her part of the loan repayment. i have another friend, father passed away and surviving mother can stop paying for their loan repayment as it is fully paid off by the HPS coverage.

From what i understand, the amount of cover should be established at point of insurance... HPS should have sent a insurance letter to advise on coverage and exemptions....

honestly, most insurance companies will have also Exempted the existing illnesses... so nothing to do with HPS....

So know what you are covered for... and please do not lie on the health declaration.... stupid insurers will dig and dig your medical history during the claiming process....
 

Wk7777

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Ok, so im assuming that Term Life insurance is especially for HDB? What are the term life insurance available/recommended?

Got any ‘hidden costs’ to lookout for?

Cos HDB and CPF already make me so stressed liao

if you are a fellow Sinkie who served NS... then try the AVIVA NS Group insurance... insure 1M to enrich your beneficiaries if you die before age 65....
 

dnsfpl

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r-federer

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Yes correct. Plus even if you sell, the money goes back into your own CPF. Still yours.

And if the sale results in less than the CPF used + accrued interest, there is no need to top up the accrued interest in cash.

but the property agent i spoke to (thinking of selling my hdb) said i need to fork out 80k cash to my cpf for accrued interest and negative sale. i bought at a high with COV and now selling at a loss.
 

ctstalin

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but the property agent i spoke to (thinking of selling my hdb) said i need to fork out 80k cash to my cpf for accrued interest and negative sale. i bought at a high with COV and now selling at a loss.

I thought the rule is you pay for the shortfall in cash if your flat is sold below valuation. Otherwise no need to top up the shortfall and it'll be treated as a cpf loss?
:s11:

Posted from PCWX using ONEPLUS A5000
 

r-federer

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not sure also.. i also not sure how much is my hdb valued and when i just do simple calculation i will need to fork out quite alot of cash to my cpf and affect my downpayment for next place, hence not biting the bullet yet
 

kiatme

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not sure also.. i also not sure how much is my hdb valued and when i just do simple calculation i will need to fork out quite alot of cash to my cpf and affect my downpayment for next place, hence not biting the bullet yet
it gets worse though the longer you hold, won't it ?
 

TheAlphaLion

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but the property agent i spoke to (thinking of selling my hdb) said i need to fork out 80k cash to my cpf for accrued interest and negative sale. i bought at a high with COV and now selling at a loss.

Pls share who is your agent.

Coz he or she is LYING. There is never need to top up cash to CPF when selling even if negative sale
 

slogd3ad

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If i pay my mortage using cpf, definitely i will need to payback the accrued interest as well when i sell the house.

Is it possible to self top up cpf during the period of 25 years paying the loan? To lessen the accrued interest. So when i want to sell the house, the accrued interest will be lowered to zero.
 

Forever84

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Unless you have an investment instrument to beat the interest then u should just fully pay.

I know many people who think they can beat it but do nothing with their money. That is a mistake.

As for insurance, me and my wife just buy term life for 1M each.
 

Hyruga

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If i pay my mortage using cpf, definitely i will need to payback the accrued interest as well when i sell the house.

Is it possible to self top up cpf during the period of 25 years paying the loan? To lessen the accrued interest. So when i want to sell the house, the accrued interest will be lowered to zero.

You don't top up to cpf to pay mortgage loan. This will still incur accrued interest.

You pay cash straight using ibanking. No accrued interest on those lump sum payment.
 
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