There is no specific order of deduction on which property will be paid first. It is important to ensure that you have enough savings in your CPF account to cover the monthly instalment deductions.
Tips for sustainable housing payments:
While your CPF savings can help with housing payments, remember that these savings are primarily for your future retirement needs. For a sustainable approach, consider the following:
- ensure your monthly instalment does not exceed your monthly Ordinary Account (OA) contributions
- use a mix of cash and OA savings for housing payments
- retain an amount in your OA equivalent to six months' worth of monthly instalments for emergencies
This approach allows you to service your housing loan during unexpected situations while ensuring your OA savings continue earning attractive interest rates.
