The main reason most people want to pay off their flat is psychological: It might give you peace of mind to know that your home – a major debt – is paid up. But what if we told you that peace of mind can easily be shattered, and turned into a prolonged nightmare?
1. You cannot easily convert your flat to cash during emergencies
2. You may not be making sufficient preparations for retirement
3. You could be paying off your debts in the wrong order
Walau! When Uncle8888 read this article in the cyber world. KNS!
Uncle8888 paid off his housing loan in five years after working for more than ten years i.e. at least 15 years worth of CPF OA money to clear his housing loan. His cash saving is unused for his housing loan! Uncle8888 is not a dumb saver or dumb investor …