repaying home loans

[hazel]

i'm selling my hdb flat and getting another new flat. now that my CPF only has about 50K left which HDB will deduct for the new flat. when i sold my old flat, which can i use the proceeds from the old flat to offset my new loan?

[happylalapo]

yes, of course you can.

After the sale your cpf money will be return with interest to your cpf account within a week - maybe 4 working days and than you can use that to pay off your loan for your current flat.

[anit]

do you think it's wise than to take a shorter loan period if taking loan from HDB so can save in interest?

[happylalapo]

I do not think so as interest is pretty low - if you are investment savy than it make sense to take a longer loan and invest your cash somewhere else to make better returns than to pay off your loan.

[anit]

that was what i was advised too. thanks for your double confirmation, happylalapo.