When we use our CPF-OA money to purchase a property, we must be aware of the opportunity cost that comes with the decision.
When we use our CPF-OA money to purchase a property, we are losing out on interest payments made by the government to us.
Despite what some people say, we are not paying interest to the CPF for using our CPF savings in the purchase at all if we should sell the property with a capital gain.
We are, in fact, paying ourselves interest (to our CPF account) for the CPF savings we have utilised in the purchase of the said property.
Now, what if we made a loss from selling the said property?
Would we have to top up our CPF account to make up for the capital loss?
Real or Not?
Don’t listen to hearsay!
Beware the fake news!
Watch this video for the answer: