single high-end, or multiple less quality assets? you prefer which?

[ikan bilis]

As investment purpose, and not for own staying,…
do you prefer to throw all your $$ into one single high end condo/landed,... or into multiple lower quality condos?

(for very tiny fish me, $$ no enough, holding few "junk" properties... "junk" used here because those are lowest price in their types... price not much moving but might have better price support in any adverse conditions… also can offload easier in smaller “chunk”)


:rolleyes:

[xenewbie]

investment purposes would that mean by rental yield or potential price appreciation? for me i would like to look at rental yield so it'll be "junks" rather than one single high end property with 3%+ or less yield.

for junk properties i would look at those that can achieve 5% or more. :D

[DC33_2008]

Prefer to invest in several developments rather than to put all $ into one development. Preferred size is 2 bedder of no less than 900sqft.
As investment purpose, and not for own staying,…
do you prefer to throw all your $$ into one single high end condo/landed,... or into multiple lower quality condos?

(for very tiny fish me, $$ no enough, holding few "junk" properties... "junk" used here because those are lowest price in their types... price not much moving but might have better price support in any adverse conditions… also can offload easier in smaller “chunk”)


:rolleyes:

[phantom_opera]

agree with DC but I prefer 1br if psf same as 2br :-) if 2br, prefer 7XXsqft

[Laguna]

prefer few less quality (Not poor quality)

more flexible in selling and buying

But if u buy one, perhaps u can get 80% LTV
a few, means only 60% LTV

[ysyap]

Me prefer several smaller projects. In the event that I need to liquidate cash, just choose one that is of the lowest yield to let go first... like some sort of competition... very fun. But me no so much :2cents: to have such fun! :p

One of the most important strategy in investment is never to put all your eggs in one basket :tsk-tsk: .... :D

[devilplate]

As investment purpose, and not for own staying,…
do you prefer to throw all your $$ into one single high end condo/landed,... or into multiple lower quality condos?

(for very tiny fish me, $$ no enough, holding few "junk" properties... "junk" used here because those are lowest price in their types... price not much moving but might have better price support in any adverse conditions… also can offload easier in smaller “chunk”)


:rolleyes:

diversify is good but dun over do it:2cents: (when u make some $$ and progress liao can consider to trade in few junks for a castle:D

jus give u a simple eg....for myself....let say i got $50k to buy stocks....i will buy 5 stocks 10k each.....but pls dun over do it by buying 10stocks at 5k ea

[sh]

definately multiple properties.

If just one, what happens if it collapses, kanna fire or swept away by tsunami.....:doh:

Diversify!;)

Have to deal with multiple tenants though...:(

[irisng]

Yes, I also prefer to invest in low-end multiple properties (if I have $$$). Just like you cannot put all your money into 1 bank, must spread it out.:2cents:

[rattydrama]

diversify is good but dun over do it:2cents: (when u make some $$ and progress liao can consider to trade in few junks for a castle:D

jus give u a simple eg....for myself....let say i got $50k to buy stocks....i will buy 5 stocks 10k each.....but pls dun over do it by buying 10stocks at 5k ea
Looks like u r doing consolidation n wanna strike big if market turns...no? :cheers4: Been thinking if I can build a small castle this time...

[rattydrama]

Yes, I also prefer to invest in low-end multiple properties (if I have $$$). Just like you cannot put all your money into 1 bank, must spread it out.:2cents:
But now low end ppty price inching up n more...not to attractive going forward. No? Unless yr ppty was bought before the run up price.

I consider OCR as low end.

[ikan bilis]

threw the question here bcos....

i looked back of my past 10yrs, figured out myself too conservative in property investment... too kiasu and kiasi fish... so i remain as a tiny fish after 10yrs...

for e.g. before sars...
- New Hillview regency every week kept advertising 360K+ for 2 bdr
- New Industrial property about 300K+ for larger units
- Old International Plaza apartment around 500K?...

but i threw my deposit onto industrial property, because of positive cash-flow (rent > mortgage+tax+mcst charges). Now hillview regent 2bdr ~800K, industrial property up only 1.8x-2x .

I gone for "diversify" in property types, "diversify" into multiple chunks, "diversify" into different time frame (entering at different times and multiple times). All these are good for stock market but not for real estate.

Sometimes might need to concentrate the fire power, just one accurate shot, that's all…

for e.g.,
if you already holding a 1Kpsf mass market condo and intent to buy a 2nd similar one now (example only hor,… we all agreed only fools buy now…). I think would be better to sell the existing 1Kpsf condo, and buy one single better quality 2Kpsf RCR/CCR condo now. I believe CCR condo will cheong to real crazy px when market gets hotter/bubble in near future.


??... :confused: :rolleyes:

[phantom_opera]

You failed to consider what if your single bet is way way off

[xenewbie]

imo CCR seems abit too congested and not much potential for capital appreciation.

while i do agree that there is but isn't it better to park your money in RCR where there is still potential developments,cheaper and more money value for investing?

for me as im still young, i'll probably park my money in RCR in good location and just let time grow my ppty worth for me lol.

[phantom_opera]

imo CCR seems abit too congested and not much potential for capital appreciation.

while i do agree that there is but isn't it better to park your money in RCR where there is still potential developments,cheaper and more money value for investing?

for me as im still young, i'll probably park my money in RCR in goodN location and just let time grow my ppty worth for me lol.
Rcr good potential not cheap also, example ATt @ 900 and bishan@1500 which one more potential to make ?

[xenewbie]

Rcr good potential not cheap also, example ATt @ 900 and bishan@1500 which one more potential to make ?

all boils down to the purchasing price. for eg. i was helping my dad searching for a ppty in rcr decent place, lots of amenities, mrt nearby, and potential developments in the future. other units was selling for 1300-1350psf. few months later i checked caveats other units got sold for nearly 1600. and i believe that will climb even higher.

so potential is actually the price at which you purchased at the right time. so it all depends but my ppty investing philosophy would be RCR is always better than a CCR.

but thats just me as im still a small fish around :p

forgot to add. we got it for around 1200 psf then too. so its already cheaper than market rate it was around 2009.

[ikan bilis]

You failed to consider what if your single bet is way way off

that should be the reason why most people prefer to "diversify"...
that should be some risk you already prepared to take...
:beats-me-man:

is really headache when you get stuck-ed with few junk or less quality assets... (except rent out is usually much much easier...)

[phantom_opera]

If you can see potentials others also can developers even better, but sometimes not so obvious project is the king of return eg kovan residences

[DC33_2008]

The development of mrt stns and decentralisation of self-sustaining towns in Singapore has great impact on $psf variation in Singapore in the URA concept for the last 15 years. The mark capital appreciation will be more in previously less hot area given a lower base. Look at the movement of all the ministries (MOM, URA, ENV, etc) out of prime area to release prime land for more activities in the CBD area.
all boils down to the purchasing price. for eg. i was helping my dad searching for a ppty in rcr decent place, lots of amenities, mrt nearby, and potential developments in the future. other units was selling for 1300-1350psf. few months later i checked caveats other units got sold for nearly 1600. and i believe that will climb even higher.

so potential is actually the price at which you purchased at the right time. so it all depends but my ppty investing philosophy would be RCR is always better than a CCR.

but thats just me as im still a small fish around :p

forgot to add. we got it for around 1200 psf then too. so its already cheaper than market rate it was around 2009.

[phantom_opera]

Those who bought euhabitat may make 30% after SSd over, it is OCR also, centris is another black horse, missed euhabitat preview bang head

[rattydrama]

You failed to consider what if your single bet is way way off

must believed in your foresight on which direction the market will move faster and hv plan to manage the risk before signing on the dotted line. ie.. place 50% on CCR and balance 50% keep in bank...

[rattydrama]

threw the question here bcos....

i looked back of my past 10yrs, figured out myself too conservative in property investment... too kiasu and kiasi fish... so i remain as a tiny fish after 10yrs...

for e.g. before sars...
- New Hillview regency every week kept advertising 360K+ for 2 bdr
- New Industrial property about 300K+ for larger units
- Old International Plaza apartment around 500K?...

but i threw my deposit onto industrial property, because of positive cash-flow (rent > mortgage+tax+mcst charges). Now hillview regent 2bdr ~800K, industrial property up only 1.8x-2x .

I gone for "diversify" in property types, "diversify" into multiple chunks, "diversify" into different time frame (entering at different times and multiple times). All these are good for stock market but not for real estate.

Sometimes might need to concentrate the fire power, just one accurate shot, that's all…

for e.g.,
if you already holding a 1Kpsf mass market condo and intent to buy a 2nd similar one now (example only hor,… we all agreed only fools buy now…). I think would be better to sell the existing 1Kpsf condo, and buy one single better quality 2Kpsf RCR/CCR condo now. I believe CCR condo will cheong to real crazy px when market gets hotter/bubble in near future.


??... :confused: :rolleyes:

same here....kiasu and kiasi...10+ yr ..end up nvr buy anything here only JB ppty n still keeping.

do see opportunity now but also very scare to read basic's prediction turns out to be 100% right. If down 30% at today's price I wud consider very bad liao for SG. :scared-3:

[hopeful]

same here....kiasu and kiasi...10+ yr ..end up nvr buy anything here only JB ppty n still keeping.

do see opportunity now but also very scare to read basic's prediction turns out to be 100% right. If down 30% at today's price I wud consider very bad liao for SG. :scared-3:

what opportunity is that?
isnt down 30% good for you? you save 30%. so why the :scared-3:?
:beats-me-man::beats-me-man:

[devilplate]

what opportunity is that?
isnt down 30% good for you? you save 30%. so why the :scared-3:?
:beats-me-man::beats-me-man:
mabe saw some gd deals now of 5-10% below value but scare buy liao later drop further

[ysyap]

No harm waiting for 3 months to watch and see how the economy unfolds before deciding. Already waited so many months, what is another 3 months. Things should be clearer in next couple of months! Just my humble opinion! :o

[rattydrama]

what opportunity is that?
isnt down 30% good for you? you save 30%. so why the :scared-3:?
:beats-me-man::beats-me-man:

if 30% down, our economy damn jialat leh which i dont wish to see...and it will take many years to be back on track again. Many might start selling and market will be very stagnant. if drop 15% and bounce back within a year, it will be good for everyone. :scared-5:

If there is a 50% drop those who buy high in 2007 before lehman and 2010-11 will be very jialat also.

with 2 casinos and singapore being small, i hope everyone huat x3.

[rattydrama]

mabe saw some gd deals now of 5-10% below value but scare buy liao later drop further

ya lor...if drop 15% my hands will start to get itchy.....

[sh]

what opportunity is that?
isnt down 30% good for you? you save 30%. so why the :scared-3:?
:beats-me-man::beats-me-man:

If drop 30%.... still afraid that Basic is right "drop >50%".... still too scared....:scared-1:

So how? go in at what level? 10%, 20% 30% 40% or >50%:o

[amk]

To the original question: when u really have 5m or more on hand you will think differently. You will do one high end plus one or two mid markets. To get a good yield from a few hundred k, there are plenty of other assets or products. You will be more concerned with capital preservation/appreciation than yield for pties. Dun forget u can get a few mil business loan from one single pty, not so easy from a basket of low end pties. At this stage yield is not the primary purpose of property investment.

[devilplate]

To the original question: when u really have 5m or more on hand you will think differently. You will do one high end plus one or two mid markets. To get a good yield from a few hundred k, there are plenty of other assets or products. You will be more concerned with capital preservation/appreciation than yield for pties. Dun forget u can get a few mil business loan from one single pty, not so easy from a basket of low end pties. At this stage yield is not the primary purpose of property investment.
how many got one lump 5mil cash on hand?
Congrats tat u oredi make it lor

[phantom_opera]

To the original question: when u really have 5m or more on hand you will think differently. You will do one high end plus one or two mid markets. To get a good yield from a few hundred k, there are plenty of other assets or products. You will be more concerned with capital preservation/appreciation than yield for pties. Dun forget u can get a few mil business loan from one single pty, not so easy from a basket of low end pties. At this stage yield is not the primary purpose of property investment.

5m of today's value is my retirement target :beats-me-man:

amk must be in investment banking :cheers5:

[phantom_opera]

amk damn familiar with CDS, I have never met anybody that is familiar with CDS b4 :scared-5:

[DaytonaSS]

same here....kiasu and kiasi...10+ yr ..end up nvr buy anything here only JB ppty n still keeping.

do see opportunity now but also very scare to read basic's prediction turns out to be 100% right. If down 30% at today's price I wud consider very bad liao for SG. :scared-3:

it will not be 100% right. The govts of today understands clearly what a decision to let "lemon" collapse will have on the world markets. U think EU more scare of total collapsed or us,from a far far distance.

Those in the middle of the storm will mitigate the dagm. US is doing it, EU will do it, n China will step in and continue to step in to avoid a world wide financial storm.

Those are my observation and feeling over the last 3 years. Correction, yes. 50% collapsed? maybe....

Govt do nothing n let the market collapsed? 100% wont happen.

[focus]

how many got one lump 5mil cash on hand?
Congrats tat u oredi make it lor

You mean you guys dont have 5mil but can buy so many properties?
Can share how you guys do it?

Maybe amk can share how those with 5mil or more dabbles in properties for us to learn :)

[devilplate]

You mean you guys dont have 5mil but can buy so many properties?
Can share how you guys do it?

Maybe amk can share how those with 5mil or more dabbles in properties for us to learn :)
I dun have 5mil hot cash at any one time

[ysyap]

Its quite pointless to hold 5mil hot cash. Usually the rich will make the cash work for them unless they have so so much that they consider 5mil a small sum to keep for daily expenses! ;) Or they are waiting to re-enter the market! :o