Very sharp observation. Indeed forex risk is a problem for residents of countries with strong currencies like Singapore.

I mitigated it to a degree by taking 80% loan so am only 20% exposed, but clearly renovation cost and transaction costs are not hedged. Net net I took c. Rm410k loan, so my unhedged exposure was c. Rm185k. At avg entry price of 2.48, I have lost c. RM5 to 6k.

This is c. 4 months rental. Remember the rm500 is positive cashflow not net profit. Net profit is c. Rm1.3 to 1.5k because the part of the mortgage payment also goes towards repayment of principal, and not all to interest.

But big picture, am ok w sgd-myr at 2.48 because this was a 15 yr low for myr. Its hard to see the sgd maintain at current levels, in my view. Businesses are starting to feel the pain of the high sgd, as reflected by the poor export numbers. Believe once the housing market in singapore is brought under control, mas will allow sgd to weaken to boost the economy. Now mas' hands are tied because once they allow sgd to weaken, the housing prices could jump again, and thats becoming a real political problem for the govt.