Quote:
Originally Posted by lordlad
that's a very huge loan and your combine income with your spouse is not that much.....I just reached 30s and single and my annual income alone is about half of you have and i wouldn't in my wildest dream will be getting a condo even if i doubled my salary because the squeeze will be too much...
my 2 cents.
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800k loan for a 120 p.a. salary is very reasonable. About 36k of instalments a year, meaning it's just 30% of their annual income.(And they have no loans to service depreciating assets like cars.)
He's maximising leverage and I think it might pay off yet, given that interest rates are so low at the moment. It's also a good hedge against future inflation.
I am assuming he still has some cash at hand for emergencies.