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Thread: First investment need advice!!

  1. #31
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    I wouldn't advise that.

    Firstly, you have no idea exactly how long you and your spouse would live and need to rent.

    Secondly, if rents go up one day, you might be chased out without a place to stay if the retirement funds set aside are not sufficient. Still good to have 1 paid property to stay.

    Quote Originally Posted by teddybear View Post
    If no children and retirement funds all set, don't even need to buy property, sell the property and use those to earn better return else where and can also spend the money to rent luxury condo (those with full condo facilities, concierge service, air-con lift lobby etc) to live like a King/Queen!
    The three laws of Kelonguni:

    Where there is kelong, there is guni.
    No kelong no guni.
    More kelong = more guni.

  2. #32
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    Quote Originally Posted by Kelonguni View Post
    5rm HDB where got 4 bedroom? 3 in total only.

    And befor MOP cannot rent out.
    Go for the 133 sqm 5 room HDB or Jumbo unit 163 sqm (http://www.stproperty.sg/property-fo...-flat-for-sale), add another room and rent out 4 room before MOP.

    4-room and bigger, Maximum Number of Subtenants Allowed in Each Flat^ 9 Maximum Number of Bedroom(s) Allowed 2 Maximum Number of Occupants* Allowed in Each Flat^ 9. http://www.hdb.gov.sg/cs/infoweb/res...ng-regulations

  3. #33
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    Yah got a cousin doing that. Great strategy if can arrange this way.

    Quote Originally Posted by Arcachon View Post
    Go for the 133 sqm 5 room HDB or Jumbo unit 163 sqm (http://www.stproperty.sg/property-fo...-flat-for-sale), add another room and rent out 4 room before MOP.

    4-room and bigger, Maximum Number of Subtenants Allowed in Each Flat^ 9 Maximum Number of Bedroom(s) Allowed 2 Maximum Number of Occupants* Allowed in Each Flat^ 9. http://www.hdb.gov.sg/cs/infoweb/res...ng-regulations
    The three laws of Kelonguni:

    Where there is kelong, there is guni.
    No kelong no guni.
    More kelong = more guni.

  4. #34
    teddybear's Avatar
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    Think you should be able to do a calculation..... I am sure the couple can live like a king & queen by renting luxury condo apartment rather than being stuck in a LH property for own stay even if fully paid up (which will keep decreasing in value as it ages).........

    E.g. they living in a 3BR LH property all their life (which they fully paid up), the property say now worth >$1.5M, but will keep decreasing in value as it ages, and no rental income (because own stay), so why keep? And they still have to pay for maintenance fees to MCST, pay property tax, pay to maintain and repair the property, etc, and all these are extra costs!

    Instead, sell the property, invest in bonds with return of 4% p.a. (which is reasonable even at current low yield evironment) (consult cbsh if want to earn more), which means they will get a coupon of $60k p.a., and they can use these to pay for max $5k pm for a rental property without even touching their capital of $1.5M (vs their 99LH property depreciating in value if they hold too long)........

    Now, a studio/1BR luxury rental condo apartment fully furnished even in CCR is only about $4k pm! And what's more, they don't even need to pay property tax, maintenance fund, and major repair and maintenance of the rental property (because these are due to wear and tear)! (All these additional costs will probably results in another $12k p.a. in costs! And furthermore they still can save another $12k p.a. as buffer for future rent increase! Hei, they can tolerate $2k pm rental increase (which they unlikely to max out in their life time!))

    See, well worth it rather than keeping the LH property that will keep decreasing in value and still sink in more money for property tax, maintenance fund, repairs and maintenance etc!

    Quote Originally Posted by Kelonguni View Post
    I wouldn't advise that.

    Firstly, you have no idea exactly how long you and your spouse would live and need to rent.

    Secondly, if rents go up one day, you might be chased out without a place to stay if the retirement funds set aside are not sufficient. Still good to have 1 paid property to stay.
    Last edited by teddybear; 26-09-16 at 22:40.

  5. #35
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    The summary in todayonline link shows little difference bet FH and LH condo, the big diff is bet FH and LH landed terrace

    In a 5-10 year time frame, investment in either FH or LH condo may well make little difference

    If newer LH gives better yield than older FH, wont buying LH more sensible esp if cheaper?


    Quote Originally Posted by Arcachon View Post
    Isnt future pricing also factored in for resale FH also? Nope, if you buy those not factored in.

    For old resale FH, would upside also be limited since the runup of prices the last few years also pushed their prices high high

    It take time and effort to look for the gem.

    http://www.todayonline.com/sites/def...?itok=OQ_HAU_H

  6. #36
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    Are you doing that?

    I would not choose being a tenant if I had a choice. Would you?

    In other words, if you can settle a loan and own a home after 25-30 years paying 4K a month and thereafter paying say 1K per month for all expenses included, would you opt to pay 4 a month for perpetuity increasing to max 6K, maybe 50 to 60 years, depending on your lifespan?

    Quote Originally Posted by teddybear View Post
    Think you should be able to do a calculation..... I am sure the couple can live like a king & queen by renting luxury condo apartment rather than being stuck in a LH property for own stay even if fully paid up (which will keep decreasing in value as it ages).........

    E.g. they living in a 3BR LH property all their life (which they fully paid up), the property say now worth >$1.5M, but will keep decreasing in value as it ages, and no rental income (because own stay), so why keep? And they still have to pay for maintenance fees to MCST, pay property tax, pay to maintain and repair the property, etc, and all these are extra costs!

    Instead, sell the property, invest in bonds with return of 4% p.a. (which is reasonable even at current low yield evironment) (consult cbsh if want to earn more), which means they will get a coupon of $60k p.a., and they can use these to pay for max $5k pm for a rental property without even touching their capital of $1.5M (vs their 99LH property depreciating in value if they hold too long)........

    Now, a studio/1BR luxury rental condo apartment fully furnished even in CCR is only about $4k pm! And what's more, they don't even need to pay property tax, maintenance fund, and major repair and maintenance of the rental property (because these are due to wear and tear)! (All these additional costs will probably results in another $12k p.a. in costs! And furthermore they still can save another $12k p.a. as buffer for future rent increase! Hei, they can tolerate $2k pm rental increase (which they unlikely to max out in their life time!))

    See, well worth it rather than keeping the LH property that will keep decreasing in value and still sink in more money for property tax, maintenance fund, repairs and maintenance etc!
    Last edited by Kelonguni; 26-09-16 at 23:31.
    The three laws of Kelonguni:

    Where there is kelong, there is guni.
    No kelong no guni.
    More kelong = more guni.

  7. #37
    teddybear's Avatar
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    I have no issue being a tenant, if the choice affords me to live in a luxury apartment like a king/queen and still have a lot more spare cash to spend on more luxuries on top of preserving my capital PERPETUALLY (say $1.5M) and allowing them to earn more money (and I have option to spend part of them too assuming I have no one to pass down to),

    rather than the alternative of owning and living in a LH mass-market property that is dropping in value (as lease runs down), it can't give us luxurious living like a king/queen (since it is a mass-market property) when we have retired and should be enjoying our remaining retirement like a king/queen, and you can't get any spare cash out of it for spending and enjoy life more luxuriously and meaningfully and enjoyingly without worry of running out of cash and become asset rich and cash poor (rather, you actually need to spend more cash on property taxes, maintenance fund to MCST, maintenance and repairs to your aging properties etc!)............

    Hei, isn't the asset buy-back scheme Government is encouraging old people to take up is similar to what I am advocating?! However, the main difference is that the asset buy-back scheme is half-baked (half selling), I advocate full selling! Why would anybody want to lose ownership of his/her property just for getting a smaller % of usually lower valuation price in the case of asset buy-back scheme (instead of selling for full market price?!)

    Quote Originally Posted by Kelonguni View Post
    Are you doing that?

    I would not choose being a tenant if I had a choice. Would you?

    In other words, if you can settle a loan and own a home after 25-30 years paying 4K a month and thereafter paying say 1K per month for all expenses included, would you opt to pay 4 a month for perpetuity increasing to max 6K, maybe 50 to 60 years, depending on your lifespan?

  8. #38
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    Happy renting bro. Great choice.

    Quote Originally Posted by teddybear View Post
    I have no issue being a tenant, if the choice affords me to live in a luxury apartment like a king/queen and still have a lot more spare cash to spend on more luxuries on top of preserving my capital PERPETUALLY (say $1.5M) and allowing them to earn more money (and I have option to spend part of them too assuming I have no one to pass down to),

    rather than the alternative of owning and living in a LH mass-market property that is dropping in value (as lease runs down), it can't give us luxurious living like a king/queen (since it is a mass-market property) when we have retired and should be enjoying our remaining retirement like a king/queen, and you can't get any spare cash out of it for spending and enjoy life more luxuriously and meaningfully and enjoyingly without worry of running out of cash and become asset rich and cash poor (rather, you actually need to spend more cash on property taxes, maintenance fund to MCST, maintenance and repairs to your aging properties etc!)............

    Hei, isn't the asset buy-back scheme Government is encouraging old people to take up is similar to what I am advocating?! However, the main difference is that the asset buy-back scheme is half-baked (half selling), I advocate full selling! Why would anybody want to lose ownership of his/her property just for getting a smaller % of usually lower valuation price in the case of asset buy-back scheme (instead of selling for full market price?!)
    The three laws of Kelonguni:

    Where there is kelong, there is guni.
    No kelong no guni.
    More kelong = more guni.

  9. #39
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    Quote Originally Posted by Newbie1 View Post
    The summary in todayonline link shows little difference bet FH and LH condo, the big diff is bet FH and LH landed terrace

    In a 5-10 year time frame, investment in either FH or LH condo may well make little difference

    If newer LH gives better yield than older FH, wont buying LH more sensible esp if cheaper?
    Some people only look capital Gain. Nothing else. So They will not understand this idea.

  10. #40
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    If over a 10 year horizon, probably little difference between new LH and older FH or even newer FH condos
    especially if both are in good location


    Quote Originally Posted by Sandiwara View Post
    Some people only look capital Gain. Nothing else. So They will not understand this idea.

  11. #41
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    Quote Originally Posted by Arcachon View Post
    Depend on Market, location and timing you will than decide which is the best option. Current market better go for FH because it going to be a long time before another bull run. Being through two bull run don't know can see another before I leave this world. One in 1996 another 2006
    5 July 2018.

    CDL Reputable Developer
    :mins NEX Mega Shopping Mall
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    Near International Schools
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    LAST 16 UNITS TO GO :bangbang:

    3 bdrm (Last unit)
    #03-38 926sf $1,528k $1650psf

    3 bdrm Premium (Last 3 units)
    #02-45 1044sf $1,702k $1630psf
    #03-45 1023sf $1,676k $1638psf
    #04-45 1023sf $1,683k $1645psf

    4 bdrm (Last 13 units)
    #02-03 1249sf $1,979k $1584psf
    #04-03 1249sf $1,992k $1595psf

    #03-06 1281sf $2,024k $1580psf

    #02-33 1389sf $1,989k $1432psf
    #04-33 1249sf $1,881k $1506psf
    #06-33 1249sf $1,895k $1517psf
    #07-33 1249sf $1,901k $1522psf

    #02-34 1249sf $1,965k $1573psf
    #03-34 1249sf $1,971k $1578psf
    #04-34 1249sf $1,977k $1583psf

    #02-41 1238sf $1,977k $1597psf
    #03-41 1238sf $1,984k $1603psf

    Note :
    Prices are subject to changes without prior notice and units availability!

    Viewing strictly by Appointment !

    https://goo.gl/gmnZn9 Hi, I would like more info about Forestwood
    Last edited by Arcachon; 07-10-18 at 20:54.

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