To live a long life for properties
November 10, 2017
Do you know there are at least 3 scenarios that you need to stay healthy and live a reasonably long life for the sake of properties?
Scenario 1: When you need to pay a 35-year mortgage.
Scenario 2: When you buy your property at a historically-high price.
Scenario 3: When you are really into property investment.
Scenario 1: If you have a 35-year mortgage
According to a survey by Department of Statistics in 2016, the median age at first marriage for Singapore guys is 30.3.
Our culture equates tying the knot with applying for a flat. Assuming that you don’t opt for early repayment, by the time you finally pay off your 35-year housing loan, you will most likely be 65-year-old.
However, you may want to upgrade your home at least once in your lifetime. If you need to upgrade from a HDB flat to a condominium unit and then to a landed property, you may have a new mortgage every time after you upgrade.
The conclusion: Unless you are buying your new home all in cash, you need to stay fit to service one mortgage after the other.
How many decades of life you still have after you bought a 99-year property? How many of us can live up to 99 years? So who said 99-year leasehold is not good enough?
Scenario 2: If you buy really “high”
During my property workshops, I often warn participants that if they buy properties at the wrong time, they have to prepare to work really hard, not on their jobs, but on their health.... read more