How time flies. It has been more than 8 years since I have applied for my HDB apartment and almost 5 years since I have collected the keys.

While these are personal milestones, perhaps let me take the chance to show you the grass on the other side. Whether or not you think they are green enough, it is up to you.

Shorter Or Longer HDB Loan?

It is rather common to hear cases where couples would rush to pay off their HDB loan in 10 years or less, utilizing every single cent of CPF ordinary account. In an alternate universe where people don’t choose to pay off their HDB as soon as possible, I had opted to stretch my loan to 30-years for reasons of my own.

I seldom reveal exact numbers and figures, but I can still give a rough idea of where I stand now.

  • My HDB loan has a remaining repayment period of about 25 years (during my era, folks can still take up a 30-year loan)
  • My CPF-OA is sufficient to pay for 115 months of HDB loan repayments, or approximately 9.6 years even if I were to stop working now
  • My CPF-OA interest last earned for year 2015 can pay for 2.5 months of HDB loan repayments


If we consider combined CPF balances as a whole (since CPF-MA once hit maximum will flow into CPF-SA, and CPF-OA and and CPF-SA will combine to form CPF-RA at age 55), the total amount of interest last earned in Dec 2015 by the three CPF accounts can pay for 10.6 months of HDB loan repayments.

With any luck, in a year or two, my combined CPF accounts will start paying for my HDB apartment monthly repayments purely based on the annual interest earned. Any additional monthly contributions will mostly go towards hitting the CPF Life Retirement Sum and Basic Healthcare Sum.

CPF-OA is most definitely part and parcel of my emergency fund and it was intentional for it to be as such. A blogger that I respect a lot, My15HourWorkWeek, wrote on his take on emergency fund which included CPF-OA as well.

Being debt-free at an early stage is an awesome state to be in. Having the safety and flexibility of a cushy CPF-OA is just as fantastic, in my humble opinion.

Read about my average-Joe HDB story here and why I chose to max-out my HDB loan duration.