How much are you earning per annum?

Originally Posted by Unregistered

Your mortgage will be about $2k pm and your car loan and expenses will be about $2k pm. In total, you pay $48k pa. You have plenty left for food, holidays, etc. Some more you pay will rise to $300k pa by the time you reach 40.

Thanks for the advice. That is on a conservative side. Still got other ad-hoc expenditure to carter for, and planning to reduce the loan amount should Sibor increases.

A lot of people had told us not to purchase EC as our first home but I guessed we bite the bullet and hopefully should enjoy the returns in future and of course the lifestyle benefits. And of course we both must stay employed I guess.

Originally Posted by Unregistered

Thanks for the advice. That is on a conservative side. Still got other ad-hoc expenditure to carter for, and planning to reduce the loan amount should Sibor increases.

A lot of people had told us not to purchase EC as our first home but I guessed we bite the bullet and hopefully should enjoy the returns in future and of course the lifestyle benefits. And of course we both must stay employed I guess.

And sorry to side-track a little. I thinking of using some savings to purchase some high dividend blue chip stocks in SGX. I understand SPH is 1 of the top dividend stock and FY2013 dividend was almost 10%. Should I go for this> Thanks.

Last year SPH paid out $400 per lot of share due to the spinning off of SPH REIT. This included a special one off dividend of 16cts per share or $160 per lot. Yes, at the current price $4 per share, last year's dividend is almost 10%!

This year it will go back to giving normal dividends see this SPH dividend history:Investor Relations: Dividends History

At $240 per $4k lot, it is about 6% return.

Originally Posted by Unregistered

And sorry to side-track a little. I thinking of using some savings to purchase some high dividend blue chip stocks in SGX. I understand SPH is 1 of the top dividend stock and FY2013 dividend was almost 10%. Should I go for this> Thanks.

Originally Posted by Unregistered

Last year SPH paid out $400 per lot of share due to the spinning off of SPH REIT. This included a special one off dividend of 16cts per share or $160 per lot. Yes, at the current price $4 per share, last year's dividend is almost 10%!

This year it will go back to giving normal dividends see this SPH dividend history:Investor Relations: Dividends History

At $240 per $4k lot, it is about 6% return.

Thanks for the information. But even at 6%, it is still 1 of the top dividend paying stock?!

I supposed both of you are graduates? Buying an EC is one of the cheapest way of getting to live in a condo. EC will become full condo in 10 yrs meaning the price can only go up.

As graduates and working in the CS, your career is stable and pay will grow steadily.

As long as you both stay employed, by 55 your net worth could surpass $5m. Many graduate couples working in CS have retired multi millionaires.

Originally Posted by Unregistered

Hi

My spouse and I are 30 years old, with combined income of about 120k pa (exclude bonuses). We both worked for the civil service.

Bought an EC at Punggol in early 2012, for about $800k, expected TOP in 2015, with bank loan of about $600k. Planning to get a 2nd hand car when house is ready, yearly holidays and probably kids in a few years time.

Not sure if we are able to live comfortably with our finances? For your advise and comments please.

Thank you.

Originally Posted by Unregistered

Thanks for the information. But even at 6%, it is still 1 of the top dividend paying stock?!

It may pay high dividend but the share price has been going down. I bought at 4.6+ and 4.3+ and now it has dropped to almost 4.00.

When you retire at 65, your EC would be worth at least $3m. Both your salary will increase and you can both save at least $200k per year. So in 35 years time, your wealth will be $10m. Why worry?

Originally Posted by Unregistered

Hi

My spouse and I are 30 years old, with combined income of about 120k pa (exclude bonuses). We both worked for the civil service.

Bought an EC at Punggol in early 2012, for about $800k, expected TOP in 2015, with bank loan of about $600k. Planning to get a 2nd hand car when house is ready, yearly holidays and probably kids in a few years time.

Not sure if we are able to live comfortably with our finances? For your advise and comments please.

Thank you.

Do not be too troubled by this kind of price movement. I have bought shares and held on to them since my very first paycheck 30 years ago.

I have seen my share holding values peaking then collapsing many times already. They do come back up as long as the company and business fundamentals are strong. All this while I quietly collect dividends and re-invest in more shares.

Nowadays whenever down cycle comes along I treat it as buying opportunities.

Just last year, when the share prices went south due to fear of US tapering off the QE, I "lost" almost $100k in value, but I went in to pick up more stocks with my $50k dividend. Now the shares have recovered somewhat. By the way, I have 30 lots of SPH.

Originally Posted by Unregistered

It may pay high dividend but the share price has been going down. I bought at 4.6+ and 4.3+ and now it has dropped to almost 4.00.

Very possible. By your late 40s, if both of you still working, saving $200k - $250k pa is realizable. By your mid 50s, you could be saving upwards of $300k pa combined.

You could by then be buying additional properties.

You may have been wondering why Pte property prices were going up and up, before the gahmen finally stepped in with all the cooling measures. It is because people can easily afford them. With such high saving rates, they can pay for a $1m property in 4 yrs!

Originally Posted by Unregistered

When you retire at 65, your EC would be worth at least $3m. Both your salary will increase and you can both save at least $200k per year. So in 35 years time, your wealth will be $10m. Why worry?

Originally Posted by Unregistered

Very possible. By your late 40s, if both of you still working, saving $200k - $250k pa is realizable. By your mid 50s, you could be saving upwards of $300k pa combined.

You could by then be buying additional properties.

You may have been wondering why Pte property prices were going up and up, before the gahmen finally stepped in with all the cooling measures. It is because people can easily afford them. With such high saving rates, they can pay for a $1m property in 4 yrs!

Thanks everyone for your advice and assurance. Yup both of us are graduates working in the CS, but when we looked around, majority of our peers bought BTO/Resale/DBSS and so we were a bit concerned when we made a huge commitment to purchase the EC (told myself is a forced savings plan). Understand with the recent cooling measures, property prices have started to stabilize. Will I still be able to make some profit if I were to sell 5 or 10 years later?

The assumption is of course both of us must continue to work in the CS and continue to grow our income.