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-   -   How much savings do you have? (https://forums.salary.sg/investments-net-worth/1199-how-much-savings-do-you-have.html)

Unregistered 25-10-2012 10:34 AM

Quote:

Originally Posted by Unregistered (Post 29476)
Obviously you are delusional. Don't compare Singapore with the US. In the US there were a lot of scams, people with no income got loans, MBS were packaged into AAA securities even though they contain toxic assets, etc. Singapore's system is more prudent. No nonsense and the government has taken many cooling measures which have worked in ensuring prices did not rise too much, too fast.

You can continue to build your castle in the air.

And the 199x Singapore home crash did not happen either. At that time the Government was even more prudent because it did not allow the use of CPF to buy homes.

For anyone thinking whether housing prices are too high/too low, please do your own research. One of the most important factors is the housing price/income ratio. EVERY SINGLE CRASH has been precipitated because eventually someone can not even pay the interest on the loan. If income seems to be keeping pace with prices, then yes home prices would not be overvalued. A corollary to this is whether income can take the hit when interest rates eventually rise when there is a crisis, and yes it will rise next time because banks will scramble to replace their capital ASAP.

Unregistered 25-10-2012 02:34 PM

Quote:

Originally Posted by Unregistered (Post 29485)
And the 199x Singapore home crash did not happen either. At that time the Government was even more prudent because it did not allow the use of CPF to buy homes.

For anyone thinking whether housing prices are too high/too low, please do your own research. One of the most important factors is the housing price/income ratio. EVERY SINGLE CRASH has been precipitated because eventually someone can not even pay the interest on the loan. If income seems to be keeping pace with prices, then yes home prices would not be overvalued. A corollary to this is whether income can take the hit when interest rates eventually rise when there is a crisis, and yes it will rise next time because banks will scramble to replace their capital ASAP.

So do you think the current price/income ratio is high?

Unregistered 25-10-2012 05:15 PM

Quote:

Originally Posted by Unregistered (Post 29485)
And the 199x Singapore home crash did not happen either. At that time the Government was even more prudent because it did not allow the use of CPF to buy homes.

For anyone thinking whether housing prices are too high/too low, please do your own research. One of the most important factors is the housing price/income ratio. EVERY SINGLE CRASH has been precipitated because eventually someone can not even pay the interest on the loan. If income seems to be keeping pace with prices, then yes home prices would not be overvalued. A corollary to this is whether income can take the hit when interest rates eventually rise when there is a crisis, and yes it will rise next time because banks will scramble to replace their capital ASAP.

I think you dont understand Singapore's economy well enough. If a condo or landed property is high, that doesnt mean it is overvalued. In Singapore there are the low income, middle income, upper midle and very high income groups.

So if you cant afford, it is you not the price.

Most Singaporeans can afford a home as more than 90% of households are home owners. The BTO is made affordable to first time buyers. If a condo or landed is too high for a middle income family, then so be it. There are many rich families who can afford.

Work harder and smarter and you can one day achieve your dream condo or landed. Or just stay happy living in your HDB flat for the commons.

Unregistered 25-10-2012 09:49 PM

ninrsit James
 
Latest update from propertyguru - the 5 terraces houses in Westwood selling at $1.5m now left only 2. I think these will be gone in a week's time and then prices will move up to $1.65m to $1.8m soon.

Unregistered 26-10-2012 04:24 PM

The best savings in Singapore is to buy property. You buy a property and every month when you pay your mortgage, treat the monthly payment as your savings. And best thing, your property will triple in value at least over 30 years. Say you buy a $500k property and you pay mortgage of $1500 every month over 30 years, you would have paid $540k in total. At the end of the 30 years, you will own the property which then will be valued at $1.5million. If you had just saved cash, you get $540k in cash after 30 years whereas if you buy the property, your $540k cash payment would give you a property which is worth 3 times your cash payment.

I'm now saving for downpayment for a landed property, somewhere in the Jurong Lake District.

Unregistered 27-10-2012 04:26 PM

I'm 40, living in a fully paid 5 room HDB flat worth $600k.

My savings is now $200k. Planning to sell my HDB flat to buy a $1m condo.

Must upgrade cos all my friends from Uni are living in condos or landed.

Unregistered 27-10-2012 09:20 PM

Quote:

Originally Posted by Unregistered (Post 29526)
I'm 40, living in a fully paid 5 room HDB flat worth $600k.

My savings is now $200k. Planning to sell my HDB flat to buy a $1m condo.

Must upgrade cos all my friends from Uni are living in condos or landed.

It is about time. With HDB prices now rising, it is a good chance for people to upgrade to a private property. I got my flat direct from HDB at a very low price and managed to gain a substantial profit after selling to a PR couple. I used the profits to upgrade to a condo and enjoying a much happier and luxurious lifestyle. Thank you HDB for making my dream come true.

Unregistered 28-10-2012 05:07 PM

Quote:

Originally Posted by Unregistered (Post 29529)
It is about time. With HDB prices now rising, it is a good chance for people to upgrade to a private property. I got my flat direct from HDB at a very low price and managed to gain a substantial profit after selling to a PR couple. I used the profits to upgrade to a condo and enjoying a much happier and luxurious lifestyle. Thank you HDB for making my dream come true.

Posts like the above are very misleading.

Reality is that if you sell your hdb and buy a private condo at the same time, you are inevitably paying through your nose because your hdb would not have appreciated as much as the private housing did.

Reality is probably "... and luxurious lifestyle although my house area is now halved... or although I had to move from bishan hdb to sengkang or jurong west condo .. etc"

Unregistered 28-10-2012 05:44 PM

Quote:

Originally Posted by Unregistered (Post 29552)
Posts like the above are very misleading.

Reality is that if you sell your hdb and buy a private condo at the same time, you are inevitably paying through your nose because your hdb would not have appreciated as much as the private housing did.

Reality is probably "... and luxurious lifestyle although my house area is now halved... or although I had to move from bishan hdb to sengkang or jurong west condo .. etc"

I sold my 5 room in Queenstown and bought a condo in Jurong. My loan is only $300k which I will pay over 10 years. Whats wrong with that? A condo is still a much higher status than living in hdb flats. I have no regrets at all. I enjoy using the condo facilities and my condo has in fact appreciated in value a lot.

Unregistered 28-10-2012 06:40 PM

Quote:

Originally Posted by Unregistered (Post 29485)
And the 199x Singapore home crash did not happen either. At that time the Government was even more prudent because it did not allow the use of CPF to buy homes.

For anyone thinking whether housing prices are too high/too low, please do your own research. One of the most important factors is the housing price/income ratio. EVERY SINGLE CRASH has been precipitated because eventually someone can not even pay the interest on the loan. If income seems to be keeping pace with prices, then yes home prices would not be overvalued. A corollary to this is whether income can take the hit when interest rates eventually rise when there is a crisis, and yes it will rise next time because banks will scramble to replace their capital ASAP.

i have no idea what you write because it is of such high standard english. i know this because you actually use the word corollary. however, i support your analysises!


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