|
HDB BTO flats are very cheap. You can get a 4 room BTO flat in Sengkang for only about $223k (including grants). We are very fortunate as BTO flats are highly subsidised. After MOP, the open market flat price is higher than that the purchase price.
My advice is for young people to get married and apply for BTO flat. Then can have children who will take care of you in old age if you raise them well. The value of a 4 room HDB flat is actually about $2.3 mil but you are only paying $223k. How should a 4 room HDB flat be valued? By looking at the value of the total rent you can potentially collect over 99 years, ie $ (2x12x99) = $2.3 mil. This assumes a rent of $2k per month you can collect. Should be even more due to inflation over 99 years. So, don’t complain about your HDB flat going to zero value. You are already getting a surplus of $2 mil over 99 years ($2.3 mil - $223k). You are very lucky. |
There are people who argue that HDB flat value should not go to zero value. These people are greedy. They buy BTO flat so cheap (only $200k plus), subsidised by taxpayers and still want to have their flat go up in value after many years. They then compare with private condos. How to compare? Private condos in similar location is a lot more expensive.
The reason why private condos is more expensive than HDB flat is because they are private properties, not public housing. The private condo owner pay a lot more to get some privileges such as the ability to go enbloc in the future, but there is no guarantee that all private condos can go enbloc as these properties may not be attractive to developers due to their poor location. 99 years leasehold private condos which are not enbloc will technically also go down to zero value after 99 years. Private condos owners pay more for the option to go enbloc in the future. This is fair. The best private condos to buy which has the potential to go enbloc after 40 years are those condos located next to an MRT station. |
Very impressive.
Quote:
|
Married couple in our early 50s. We have a combined income of S$150k pa. Our expenses (a 4 persons household) include food, groceries, utilities, condo fees, clothings, eating out at restaurants, car, insurance, holidays (2X per year), taxes, monthly allowances for aged parents, donations, etc. Our home is a paid up condominium apartment. Upper middle class lifestyle. Our combined net worth is currently at S$1.4 mil.
We are planning to retire at 60 after our children get their own flats. We will retire in our current condo home. By the time we are 60, our cash savings will be about S$400k. This cash will be for our expenses (S$36k pa/S$180k for 5 years) from 60 to 65 years old. From 65 onwards we will get S$4k pm (S$48k pa) from our CPF Life. Our retirement expenses will be a lot lesser than our current expenses as it will be only for 2 persons (excluding our children who will be working, married and staying in their own flats by then) and we will no longer be paying personal income taxes from work. We will only go holidays once a year. We will also not own a car (don’t need anymore) and will eat less often at expensive restaurants. We will have time to cook our own cheap nutritious meals. What do you think of our retirement plan? |
Quote:
|
Quote:
|
Quote:
Will you be keeping in CASA or fixed deposit or SG bonds? |
This is an excellent retirement plan. To be able to retire in a condo means you are wealthy since you don’t have to downgrade to a HDB flat to retire. Many have to sell their condo to get cash for their retirement. Well done. You have achieved the Singapore Dream.
Quote:
|
Quote:
savings, shares and cpf of 1.6m when combined with wife no debts, has a hdb, car, 2 daughters how many more years do u think i need to slog if my cash increases 200k per year? |
Five years should be enough to increase by $1M and retire
Quote:
|
| All times are GMT +8. The time now is 02:26 PM. |
Powered by vBulletin® Version 3.8.5
Copyright ©2000 - 2024, Jelsoft Enterprises Ltd.
Content Relevant URLs by vBSEO 3.3.2