Is Staying in a Fully Paid HDB for 30 Years Really Worth It?

Mr and Mrs Ahmad did everything right — or so they thought.

They bought their HDB flat in 1990 for just $190,000. Like many hardworking Singaporean couples, they worked tirelessly to pay off the loan as soon as possible. With a deep sense of pride, they cleared the mortgage within 15 years — using only CPF.

They lived simply, content with their modest home in the heartlands. Every cent was saved, every meal cooked at home. They scrimped and sacrificed to provide the best for their four children — tuition, good schools, university education. Because that’s what Singaporean parents do — give their children the life they never had.

They had one dream for themselves.
One dream to look forward to after the children grew up and left the nest.

To sell their flat when they retired.
To downsize to a smaller unit.
To use the proceeds to travel the world, hand-in-hand, just the two of them.
To finally live a little, after giving so much.

But That Dream Never Came.

When they finally reached retirement age, they put up their flat for sale with hope in their hearts. But when the numbers came back — they were devastated.

Yes, the flat had appreciated.
But the amount they had to refund to their CPF accounts, including the accrued interest, had ballooned to over $700,000.

It was more than what they had paid for the flat.
Much more.

By the time the refund was done, they were left with almost nothing in cash.

No funds for a simple renovation in their new 3-room flat.
No extra savings to visit the places they had dreamed about for decades.
No buffer for medical expenses in their golden years.

They Wished Someone Had Told Them.

They wished they had known what accrued CPF interest really meant.
They wished they had used more cash and kept their CPF growing.
They wished someone had sat them down 30 years ago and helped them plan properly.

Now, their retirement is comfortable, but far from the joyful one they had imagined.
The bitterness is not in the loss — but in the missed opportunity.

The Truth Most Don’t Talk About

In Singapore, most people think using CPF to pay off their HDB loan early is the smartest move.

But few understand the long-term implications.
Few know how much the CPF refund — with interest — can eat into your sales proceeds.
And even fewer realise how it can crush the dreams you spent a lifetime building.

Don’t let this be your story.
Don’t wait till it’s too late.

Plan early.
Ask questions.
Understand the system.
Make decisions that protect your future and your dreams.

Because you deserve more than just a fully paid home — you deserve the life you’ve worked so hard for.

Need clarity on your property and retirement plans? Let us journey with you.
– David & Audrie, The Real Estate Couple for Couples