Serious Pledging your pigeon hole for extra cash when reach 55

[chootchiew]

Cpf website provide little info on this subject. Does most sinkie pledge their hdb flat upon 55 years old to cash out more ?
Of course only those who has meet at least 50% of the min sum then can do this.
Everybody seems to be doing secret transaction with Cpf board . Or Cpf doesn't want to disclose the statistic to discourage sinkie to get more cash ?
What is the implication when we decide to sell the flat later ?

 

[chootchiew]

Cpf website provide little info on this subject. Does most sinkie pledge their hdb flat upon 55 years old to cash out more ?
Of course only those who has meet at least 50% of the min sum then can do this.
Everybody seems to be doing secret transaction with Cpf board . Or Cpf doesn't want to disclose the statistic to discourage sinkie to get more cash ?
What is the implication when we decide to sell the flat later ?

I will provide some different scenario here based on current ms of 181k.

1. Members who has eg 50k balance in cpf
You can only cash out 5k to go for a holiday in Japan.

2. Members who has 90k balance.
You also only can cash out 5k to call chicken

3. Members who has 130k balance.
You can pledge your hdb flat with 90.5k (50% of 181k)
and cash out 130k-90.5k= 40k
Or else u also cash out 5k to buy 1 branded handbag

4. Members who has 300k which far exceed the ms.
You can pledge your hdb and cash out 200k instead of just 100k.

So what is your selection ?

 

[frenchbriefs]

the question is do u have a choice or are u forced to pledge ur hdb if u do not meet MS.

 

[chootchiew]

the question is do u have a choice or are u forced to pledge ur hdb if u do not meet MS.

If cannot meet 50% of ms want to pledge also cannot .

 

[chootchiew]

the question is do u have a choice or are u forced to pledge ur hdb if u do not meet MS.

If you do not meet the full retirement sum of 181k ,but has at least 50% of it, you have an option to pledge or don't pledge. If pledge then you will be on the basic retirement plan, every mth draw a few hundreds.

 

[Bigfuck]

MS could be pegged to Lee-Jinx's risk exposure rate. So you never see any money. The motherfucker model is to make you buy more expensive HDB lease, put you in debt, pay you peanuts and force you to downgrade to smaller lease. Even then, still you have peanuts.

 

[chootchiew]

MS could be pegged to Lee-Jinx's risk exposure rate. So you never see any money. The motherfucker model is to make you buy more expensive HDB lease, put you in debt, pay you peanuts and force you to downgrade to smaller lease. Even then, still you have peanuts.

I think only upto 2020 at 181k.
After that is upto Lee jinx to say liao.

 

[chootchiew]

Now I am unsure is sinkie already give up and never bother or they all cannot meet so they give up or they already have a lot of money so they also ignore

 

[frenchbriefs]

First they make HDB price sky-high to suck ur CPF dry.then they raise CPF Ms sky-high to suck ur HDB dry.The circle of life is complete.

 

[chootchiew]

First they make HDB price sky-high to suck ur CPF dry.then they raise CPF Ms sky-high to suck ur HDB dry.The circle of life is complete.

This is true for those born 80s onwards.
For the current batch of sinkie reaching 55 this year might have escaped the Lee jinx master plan. That's why I wish to find out the statistic whether they do pledging.

 

[cunnilaubu]

I will provide some different scenario here based on current ms of 181k.

BRS is 166K this year.

 

[chootchiew]

BRS is 166K this year.

Yes it's 166k this year . Initially I thought is 181k which is projected for 2020.
But 166k is frs not brs
Full retirement sum not basic.

 

[JohnTan]

If poor sinkies want to monetize their hdb flats, what's stopping them from renting out? There's lots of FTs, cheap coolies and vice workers who need a place to rest or ply their trade.

 

[chootchiew]

If poor sinkies want to monetize their hdb flats, what's stopping them from renting out? There's lots of FTs, cheap coolies and vice workers who need a place to rest or ply their trade.

Hi sir ,
I know quite a handful of poor sinkie who refuse to rent their room and continue to pick cupboards or do cleaner jobs .
After pledging , the flat is still available to rent.

 

[JohnTan]

Hi sir ,
I know quite a handful of poor sinkie who refuse to rent their room and continue to pick cupboards or do cleaner jobs .
After pledging , the flat is still available to rent.

HDB flats are sold to sinkies too cheaply. Most sinkies I know are sitting on paper profits that run into hundreds of thousands of dollars. If they downsize, they will earn about $150k - $250k easily even after settling their cpf obligations and renovation costs for their new homes.

 

[chootchiew]

HDB flats are sold to sinkies too cheaply. Most sinkies I know are sitting on paper profits that run into hundreds of thousands of dollars. If they downsize, they will earn about $150k - $250k easily even after settling their cpf obligations and renovation costs for their new homes.

Sir, yes that's true.
With your clear minded personality, can u advise if it is recommended to pledge hdb to cash out more money at 55 ?

 

[JohnTan]

Sir, yes that's true.
With your clear minded personality, can u advise if it is recommended to pledge hdb to cash out more money at 55 ?

I don't recommend it. Pledging your hdb means reducing the lease, which has a disproportionate impact on the resale value of your flat. Simply cheaper to just rent it out or downgrade and pocket the difference.

 

[chootchiew]

I don't recommend it. Pledging your hdb means reducing the lease, which has a disproportionate impact on the resale value of your flat. Simply cheaper to just rent it out or downgrade and pocket the difference.

Sir, pledging is different from selling the lease.
Yr master have another scheme for 65 above to sell lease.
The pledging one is to take out money from the locked up RA at 55 but during the draw down age the retirement amount per mth will be lesser than the full retirement sum .

 

[garlic]

Rent the whole unit then go and rent a one-bedder, nett the difference..