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Old 11-04-2019, 11:42 PM   #570
ThinkCarefully
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Join Date: Mar 2019
Posts: 170
A few impt rules before u invest 2nd prop:
1) u must make sure your current house outstanding loan must be taken care of. (Eg, fully paid, or with saving that can last u for at least 2 years, in case touch wood, u are unemployed for a Long period of time).
2) if pt 1 is taken care of, while u set aside a sum for rainy days, u can then set aside a sum that are available for prop investment. If ur sum set aside for prop investment is not enough, u can find like minded siblings/someone close to u to co-invest together. This is how I started off. Bear in mind, u should not exhaust all your saving just for the sake of buying 2nd prop. Very dangerous. U never know when u need cash.

For example, I share with my Cousin to invest in prop, then years later, usually, I will pick the right time to sell off at a decent profit, then keep repeating a few times. Holding power is impt because it allows you to have control and decide the best time to sell. U need to have a clear enter and exit plan.
Also, try to explore ways to avoid or minimise ABSD.

Until when my funds became sufficient, I can now do it alone w/o the need to co-invest with her anymore.

Of course, need to do lotsa lotsa research to identify property that has good potential for capital gain. (Eg try to read widely, study trend, make comparison between different projects, study masterplan, pay attention to Govt policy and future plans etc)

This is easier in the past but getting tougher now (with more CMs). You canít rush things. But when opportunity came, donít procrastinate.
A lot of beginners die die must buy FH prop. FH prop not necessary always good. U buy the wrong FH also will loss money, likewise, not all LH prop are bad. Always Keep an open mind.

My only advantage is both me and my wifeís income are pretty stable and thus, loan approval is usually not an issue. In your case, since u are the sole breadwinner. So gotta be extra careful.

Bro, very sound advice 👍🏻
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