5-10% borrowers over-leveraged on property purchases: MAS

[chestnut]

For a blood sucking vampire squid, he talks like an angel

If there were an 'Oscar' award for financial in US, he surely win hands down...

[indomie]

If there were an 'Oscar' award for financial in US, he surely win hands down...

Yes bro chestnut... Don't get trick by these investment banks. Don't invest in something that u cannot see and touch. This is a dangerous moment.

[indomie]

If the maths doesn't add up. They yield that you are getting most likely is not real.

[princess_morbucks]

Omg, honourable Secretariat, what happened?
Why the large red fonts?
Is it the time of the month?

[chestnut]

Yes bro chestnut... Don't get trick by these investment banks. Don't invest in something that u cannot see and touch. This is a dangerous moment.

Bro Indomie, thanks for the advice.... My banker takes orders from me. They ask me for advise. Hahahahaha... They always want to churn... So they quite sian w me... They see my cash and want me to invest.... Hahahaha.... But at the end, remember this, u must control... They are just your administrator... Well done bro....

I already kanna by bankers in early days... So I paid the price. But this price was worth every cent... Why? it made me read and read and read and learn.

I don't claim to know everything... But I claim to be able to swim abit lar...

Take care bro

[princess_morbucks]

weeks ago, there were rumors that US Fed is gonna pull back stimulus measures.

weeks later, detroit files for bankruptcy.


question: how on earth is US going to pull back QE without stabbing its already fragile economy in the heart?

http://moneymorning.com/2013/07/23/e...of-bankruptcy/

According to this website, it says that 8 more US states are on the verge of bankruptcy.
What website is this, gossipy type or factual type?

[狮子王]

Aiyo brothers chestnut and brother Secretariat dun argue la....that made me very sad leh.

Both brothers have their respective valid arguments. Please note that I do not have any hidden agenda of creating fear as some brothers accused me of. I am WARNING you guys how I feel all this crazy buying will end up if it continues uncontrolled.

Let me be very clear about this:

1) I am very rich.

2) I am very handsome.

3) My message is: if you are very SURE you can afford it and afford the risks, by all means go ahead and borrow from the banks now. However, be very aware of possible interest rates spikes.

4) Do not let the 5% speculators pulled down everyone of us who are true property owners/investors.

I say like that you guys happy liao bo?

SIGH YO.

Your handsome uncle,
Leo Cheng

[economist]

5) Eat less salt ah, salt is not very good for health, u know.

[economist]

Jokes aside, as I said in another response to you, lots of buyer/investors are smart enough (if not smarter than you) to do their own calculations on what happens if interest rate rises, to many, it's a HUGE commitment, and therefore they probably have already done their analysis, and they probably have done that many many nights before they gave the cheque.

Not everyone was over-leveraged like you and yowetan, i guess.

[newbie11]

Newbie11, can shed some light as u mortgage expert??? Maybe I wrong to think interest rate will not hit 5% within this 2 years???? What's your take???



When I spoke w my bankers, they say won't leh??? I want to counter check... Of course I won't hold u accountable... Black swan event may happen wat...

I also not expert la.. while spreads are definitely increasing, its the pace and increment that really matters. today avg is abt 1.2-1.3% from the 1% 2-3 years ago. if it can reach 3% in 2 years, something is v gd or wrong.

[狮子王]

Jokes aside, as I said in another response to you, lots of buyer/investors are smart enough (if not smarter than you) to do their own calculations on what happens if interest rate rises, to many, it's a HUGE commitment, and therefore they probably have already done their analysis, and they probably have done that many many nights before they gave the cheque.

Not everyone was over-leveraged like you and yowetan, i guess.

Is it you never take medicine this morning?

HOW CAN YOU SAY ALL THE GOOD THINGS ABOUT PROPERTY WITHOUT WARNING THE GENERAL MASS ABOUT THE RISKS INVOLVED ?

THIS IS HIGHLY IRRESPONSIBLE INVESTOR BEHAVIOR. THE GENERAL MASS OR COMMONERS WILL GET THE WRONG IDEA THAT MONEY IS EASY TO EARN. IN FEAR, THEY MIGHT OVERSTRETCH TO TRY TO CATCH UP WITH PEOPLE LIKE US.

NOW YOU UNDER-THERE-STAND LIAO BO MY MESSAGE????????


YOU THINK YOU ARE SMARTER THAN ME? GET A LIFE, DUDE.

[狮子王]

Is it you never take medicine this morning?

HOW CAN YOU SAY ALL THE GOOD THINGS ABOUT PROPERTY WITHOUT WARNING THE GENERAL MASS ABOUT THE RISKS INVOLVED ?

THIS IS HIGHLY IRRESPONSIBLE INVESTOR BEHAVIOR. THE GENERAL MASS OR COMMONERS WILL GET THE WRONG IDEA THAT MONEY IS EASY TO EARN. IN FEAR, THEY MIGHT OVERSTRETCH TO TRY TO CATCH UP WITH PEOPLE LIKE US.

NOW YOU UNDER-THERE-STAND LIAO BO MY MESSAGE????????


YOU THINK YOU ARE SMARTER THAN ME? GET A LIFE, DUDE.

IF ever there is a BlackSwan, these people will lost everything they used THEIR LABOR OR HARDWORK TO build up. MONEY DOES NOT COME EASY TO THEM, AT LEAST NOT IN THE WAY THEY SEE US.

THEY THINK YOU JUST BUY PROPERTY AND THEN LATER WHEN IT GOES UP, THEY WILL BE RICH like us LIAO.

YOU ARE SIAO LA.

THERE IS NO FREE LUNCH.

You think the young people now like you are smarter THAN ME , the old uncle, The Lion, The King, The ILLUMINATED?

[狮子王]

IF ever there is a BlackSwan, these people will lost everything they used THEIR LABOR OR HARDWORK TO build up. MONEY DOES NOT COME EASY TO THEM, AT LEAST NOT IN THE WAY THEY SEE US.

THEY THINK YOU JUST BUY PROPERTY AND THEN LATER WHEN IT GOES UP, THEY WILL BE RICH like us LIAO.

YOU ARE SIAO LA.

THERE IS NO FREE LUNCH.

You think the young people now like you are smarter THAN ME , the old uncle, The Lion, The King, The ILLUMINATED?

And handsome like me, of course.

If there ever comes a spike, YOU AND I WILL STILL BE AROUND. BUT what about those property agents with no regular income who overbought in the market ? It will be a double whammy because they cannot get any commission to pay the banks. You think this group like property agents SMARTER THAN ME OR THE ECONOMIST IS IT?

Then what happens?

Then they will be angry, and then what happen?

LOOK AT SPAIN AND GREECE.

[indomie]

IF ever there is a BlackSwan, these people will lost everything they used THEIR LABOR OR HARDWORK TO build up. MONEY DOES NOT COME EASY TO THEM, AT LEAST NOT IN THE WAY THEY SEE US.

THEY THINK YOU JUST BUY PROPERTY AND THEN LATER WHEN IT GOES UP, THEY WILL BE RICH like us LIAO.

YOU ARE SIAO LA.

THERE IS NO FREE LUNCH.

You think the young people now like you are smarter THAN ME , the old uncle, The Lion, The King, The ILLUMINATED?

Bro if u keep doing this.... The renter class will never buy. They will keep renting.

[狮子王]

Bro if u keep doing this.... The renter class will never buy. They will keep renting.

You just have to let the cat out, tiobo .

[economist]

Do NOT anyhow twist the messages.

I knew you would say this, therefore I already said a few times that I'm supportive of prudent financing, and enough cash buffer, and i'm against over-leveraging, for which I'm glad govt has implemented many policies.

It is funny how you think others wouldn't know how to analyse before they bought their properties, as I said, not everyone was like you and yowetan who was over-leveraged.

The vast majority were smart, very prudent and analyzed for many many nights before committing to a property purchase. You really think those who purchased properties just anyhow purchased? Do NOT underestimate others.

[indomie]

You just have to let the cat out, tiobo .

Oops sorry... I keep quiet now

[狮子王]

Do NOT anyhow twist the messages.

I knew you would say this, therefore I already said a few times that I'm supportive of prudent financing, and enough cash buffer, and i'm against over-leveraging, for which I'm glad govt has implemented many policies.

It is funny how you think others wouldn't know how to analyse before they bought their properties, as I said, not everyone was like you and yowetan who was over-leveraged.

The vast majority were smart, very prudent and analyzed for many many nights before committing to a property purchase. You really think those who purchased properties just anyhow purchased? Do NOT underestimate others.

If they are really smart like me, they would not think like you.

From the way you substantiate your position, I know you are just a young boy born 1970-1980 have not experienced the worse of 1980s (maybe you not born yet ), 1990s, 2008 ( excluded because of QE).

In the property market, the smarter are only like 30%. The rest are mere followers.

The followers see the 30% gets rich very quick, they try to catch up, they cannot then they get jealous and if the bad happens, they will start to create problems like doing crazy things like gambling.

Do not again, ASS-U-ME, the masses will be that intelligent. If they were, there will not be the rich and poor divide.

People like us TOOK HUGE RISKS but sits in an office and make money. The rest of the 70% USED THEIR LABOR to make money. THAT IS THE DIFFERENCE. And that is where the jealousy will begin.

[狮子王]

Oops sorry... I keep quiet now

aiya, just teasing you la, good brother indomie

[economist]

a young boy born 1970-1980

Easy, easy, on a lighter note, I'm sure those born 1970-1980 will be glad to hear they are young boys.

[狮子王]

If they are really smart like me, they would not think like you.

From the way you substantiate your position, I know you are just a young boy born 1970-1980 have not experienced the worse of 1980s (maybe you not born yet ), 1990s, 2008 ( excluded because of QE).

In the property market, the smarter are only like 30%. The rest are mere followers.

The followers see the 30% gets rich very quick, they try to catch up, they cannot then they get jealous and if the bad happens, they will start to create problems like doing crazy things like gambling.

Do not again, ASS-U-ME, the masses will be that intelligent. If they were, there will not be the rich and poor divide.

People like us TOOK HUGE RISKS but sits in an office and make money. The rest of the 70% USED THEIR LABOR to make money. THAT IS THE DIFFERENCE. And that is where the jealousy will begin.

You know what AN EDUCATED young nephew like you told me recently?

He said "wahhhh uncle handsome arh, shake leg a few times in property got a few hundred thousands liao hor ?"

I was thinking , "WTF, you know how much risks I took ?"

If the market is buying property for investment or ownstay, I would certainly be happy. But look at the recent launches, who are BUYING and BUYING UP WHAT ? This group ass-u-me that the rental will pay for their bank loans and at the end of the day, they will get a free property.

Now YOU BELIEVE I GOT THIRD EYE LIAO BO? I can see what's on these people's minds, even your mind if I want to.

[狮子王]

Easy, easy, on a lighter note, I'm sure those born 1970-1980 will be glad to hear they are young boys.

brother economist arh.. I know you are young and I also agree with many things you said. But be careful of the really dumb readers in this forum.

you see, I was born into a rich family, at a very young age like 19 years old I was already a Director of my Ah Gong's business.

you know, one day I have an enlightenment of the human nature when I overhead my managers talking in the toilet while I pangsai in the common toilet for the workers. ( because very urgent bo pian must lao sai at that moment)

One of them said I am a TIAN GONG SON (天公仔）meaning born with a silver spoon and that my degree will be used to be toilet paper since no use in company.

Then, after pangsai, I realise how these blue collars think of rich people like us.

NOW YOU UNDER-THERE-STAND liao bo?

[狮子王]

This is my manager talking to me last time:

http://www.youtube.com/watch?v=ltzDV-QQm58

I am of course the handsome one.

Note the blue shirt of the manager representing blue collar and I wore white representing the rich.

[狮子王]

This is my manager talking to me last time:

http://www.youtube.com/watch?v=ltzDV-QQm58

I am of course the handsome one.

Note the blue shirt of the manager representing blue collar and I wore white representing the rich.

Here are my research links:

http://www.youtube.com/watch?v=dXy399yGyC0

http://www.youtube.com/watch?v=E2zG8vCdhpA

[chestnut]

I also not expert la.. while spreads are definitely increasing, its the pace and increment that really matters. today avg is abt 1.2-1.3% from the 1% 2-3 years ago. if it can reach 3% in 2 years, something is v gd or wrong.

Brudder newbie, thanks for the info... My suspect for the increase in spread is because total loan amount reduced with 50% down payment vs 20% in the past. This will result in total profit drop. So to make up for profit drop, spread increase... Just thinking... This one I not sure.

[newbie11]

Brudder newbie, thanks for the info... My suspect for the increase in spread is because total loan amount reduced with 50% down payment vs 20% in the past. This will result in total profit drop. So to make up for profit drop, spread increase... Just thinking... This one I not sure.

I think so too.. recently fixed rates went up. I heard it's due to cost of funds. But the timing is after mas tdsr announcement. So I think it's knee jerk

[chestnut]

I think so too.. recently fixed rates went up. I heard it's due to cost of funds. But the timing is after mas tdsr announcement. So I think it's knee jerk

Brudder newbie, honestly, fixed rate is the way to go now... It's like paying a slight premium to protect oneself... But I really don't see interest rate to hit 3 % within 1 year.

Ever since Lehman time to now which is about 5 years or so. Compare lowest to now, the inch up is not terribly frightening...

Thanks for your input....

[chestnut]

You have been engaging Vic for over a year but DONT KNOW what he is doing?

The Waterview you bought is not LEVERAGED and LONG-DATED?

Lion king, Vic answered at the bind thread leh....

Take a look at his reply

[princess_morbucks]

Lion king, Vic answered at the bind thread leh....

Take a look at his reply

Lol...Lion king and Secretariat both use big red fonts, now chestnut is confused.

[chestnut]

Lion, lion, lion.... U really need to remove your mane leh.... Your 3rd eye kanna affected very badly leh.... Now even your pair of eyes kanna affected....

Where we got argue?????

I never argue with people leh??? I swee, people want to win, I always let them win one... Why argue???? Everyone has a right to their own opinion what!!!!!

Why argue about property, it's other people money wat....

Give u example, if someone is over leverage, he die die want to buy a Ferrari or Bugatti.. Let him buy lor...

When crisis happen, this person damn siong.... Die die want face and don't want to sell his ferrari or Bugatti, up to him/her wat....

Correct or not lion???? HAHAHAHAHAHAHAHA

To each his/her own wat.... Why we need to argue or convince over such point right??? That's why I say, u so smart.... U won't be like the above example right??? You won't over leverage one wat...

Aiyo brothers chestnut and brother Secretariat dun argue la....that made me very sad leh.

Both brothers have their respective valid arguments. Please note that I do not have any hidden agenda of creating fear as some brothers accused me of. I am WARNING you guys how I feel all this crazy buying will end up if it continues uncontrolled.

Let me be very clear about this:

1) I am very rich.

2) I am very handsome.

3) My message is: if you are very SURE you can afford it and afford the risks, by all means go ahead and borrow from the banks now. However, be very aware of possible interest rates spikes.

4) Do not let the 5% speculators pulled down everyone of us who are true property owners/investors.

I say like that you guys happy liao bo?

SIGH YO.

Your handsome uncle,
Leo Cheng