OPM: Good debt vs Bad debt

[SBC]

If yours is HDB and you become bankrupt can no need pay back correct? And banks cannot repossess HDB.

My HDB is fully paid 10 years ago.
Is holding another private pty.

 

[DevilPlate]

If yours is HDB and you become bankrupt can no need pay back correct? And banks cannot repossess HDB.

Owe hdb instalment also can appeal

 

[sohguanh]

Owe hdb instalment also can appeal

That means don't buy private buy HDB rent out. Bankrupt already banks cannot touch your HDB and those owed monies no need pay back shiok.

 

[DevilPlate]

That means don't buy private buy HDB rent out. Bankrupt already banks cannot touch your HDB and those owed monies no need pay back shiok.

Can appeal but still goto pay later on one lah whaha
else after awhile, hdb will evict u forcefully.

 

[sohguanh]

Can appeal but still goto pay later on one lah whaha
else after awhile, hdb will evict u forcefully.

If HDB evict you you no place to live sleep roadside will defeat the long time ago miw hdb policies everyone to have roof over your head isn't it? Then how? Call news and let them do report and broadcast world wide Spore a lot of homeless live by roadside like your neighbour countries common sight?

 

[DevilPlate]

If HDB evict you you no place to live sleep roadside will defeat the long time ago miw hdb policies everyone to have roof over your head isn't it? Then how? Call news and let them do report and broadcast world wide Spore a lot of homeless live by roadside like your neighbour countries common sight?

i remember got reported case that hdb provide rental upon eviction
case by case basis lah….if got 4 limbs dont want to work then got no case whahaha

 

[sohguanh]

i remember got reported case that hdb provide rental upon eviction
case by case basis lah….if got 4 limbs dont want to work then got no case whahaha

Got 4 limbs but got illness can be excused so pray kena illness but won't die so fast kind will earn logical?

 

[stanlawj]

Any latest records?

I don't want to encourage residential property investment today. The big gains are already over.

 

[stanlawj]

For the benefit of those who were not born before 2000, to appreciate the home residential property investment thesis.

Continuing my previous post on the macro stats, I found this chart (Mortgage Loan Growth in %) that shows the private residential property price index (Private PPI) rise from 2009 to 2013 was a massive debt-fueled phenomenon, i.e. an OPM effect. I overlaid two published charts to match the years. Source: (pg 35: https://www.seacen.org/publications/RePEc/702003-100372-PDF.pdf )

@DevilPlate , do you have a clearer idea why you were lucky?
You should thank also thank the foreigners.

 

[SBC]

Anyone had every applied 2nd loan or equity loan?

 

[BBCWatcher]

According to news reports the foreign share of home sales in Singapore is nearly zero. Most foreigners are subject to 60% ABSD, and that’s a very effective deterrent. Free Trade Agreement foreigners are the exceptions, but there are very few of them.

 

[tomicaguy]

I don't want to encourage residential property investment today. The big gains are already over.

How big are you talking about? >500K?

 

[DevilPlate]

Continuing my previous post on the macro stats, I found this chart (Mortgage Loan Growth in %) that shows the private residential property price index (Private PPI) rise from 2009 to 2013 was a massive debt-fueled phenomenon, i.e. an OPM effect. I overlaid two published charts to match the years. Source: (pg 35: https://www.seacen.org/publications/RePEc/702003-100372-PDF.pdf )

@DevilPlate , do you have a clearer idea why you were lucky?
You should thank also thank the foreigners.

i held through stagnant period as well from 2013-2019

Flippers mindset like yourself only look for short term 3-4yrs flip.

Did u manage to buy smthing in 2018-2020 and flip?

 

[DevilPlate]

According to news reports the foreign share of home sales in Singapore is nearly zero. Most foreigners are subject to 60% ABSD, and that’s a very effective deterrent. Free Trade Agreement foreigners are the exceptions, but there are very few of them.

thats why currently SG pte property market is kinda distorted
OCR closing the gap driven by local demand

 

[stanlawj]

i held through stagnant period as well from 2013-2019

Flippers mindset like yourself only look for short term 3-4yrs flip.

Did u manage to buy smthing in 2018-2020 and flip?

I only bought my home in 2010 which is not the at tail end of the boom and held through till today. I'm not a property investor.
If you buy early you'll be fine. Those who bought condos late in that cycle (2012 onwards) especially prime (CCR) residential properties, may still be sitting on huge losses.
You can't repeat your YOLO property investment trick. I've dug up the macro stats to prove this point.

Today, the private residential property market doesn't have high mortgage loan growth anymore because of the high interest rate, and the foreign participation is halted due to 60% ABSD.

 

[DevilPlate]

I only bought my home in 2010 which is not the at tail end of the boom and held through till today. I'm not a property investor.
If you buy early you'll be fine. Those who bought condos late in that cycle (2012 onwards) especially prime (CCR) residential properties, may still be sitting on huge losses.
You can't repeat your YOLO property investment trick. I've dug up the macro stats to prove this point.

Today, the private residential property market doesn't have high mortgage loan growth anymore because of the high interest rate, and the foreign participation is halted due to 60% ABSD.

Funny sia...dig research to prove....most imptly got make money can liao

I hate to say it but u really sound like those MTB.

My current properties still up another 10-15% for past 1yr....crazy i know....but doesnt matter to me.

Rental income is more impt at my stage and gona pass down to my kids free of absd. (Unless rules change)

 

[stanlawj]

Funny sia...dig research to prove....most imptly got make money can liao

I hate to say it but u really sound like those MTB.

My current properties still up another 10-15% for past 1yr....crazy i know....but doesnt matter to me.

Rental income is more impt at my stage and gona pass down to my kids free of absd. (Unless rules change)

In any discussion, you have to provide evidence to prove your point.

I have chosen to compound my wealth through stocks, not property. There is no envy here.

So far, you can only say, i did it, I am successful, so anyone else can. But it's not repeatable without the right conditions. This is no different from buying GME on leverage and making a killing 10X and then telling others to buy meme stocks on margin without knowing why GME went 10X.

Do you get what I mean?

And you are in danger of passing incomplete (=faulty) knowledge to your kids. Not only that, you're now setting up the right conditions for cultivating strawberry kids (or worse, charsiew). You better rethink your plans. Eg. better to charge them rent, but tell them you collect the rent in a special savings account that will be willed to them upon them meeting certain character and age conditions.

 

[DevilPlate]

In any discussion, you have to provide evidence to prove your point.

I have chosen to compound my wealth through stocks, not property. There is no envy here.

So far, you can only say, i did it, I am successful, so anyone else can. But it's not repeatable without the right conditions. This is no different from buying GME on leverage and making a killing 10X and then telling others to buy meme stocks on margin without knowing why GME went 10X.

Do you get what I mean?

And you are in danger of passing incomplete (=faulty) knowledge to your kids. Not only that, you're now setting up the right conditions for cultivating strawberry kids (or worse, charsiew). You better rethink your plans. Eg. better to charge them rent, but tell them you collect the rent in a special savings account that will be willed to them upon them meeting certain character and age conditions.

They have gotten their bto flat and one waiting for their new EC without my help....simi charsiew? Maybe avocado healthier whahaha

 

[stanlawj]

They have gotten their bto flat and one waiting for their new EC without my help....simi charsiew? Maybe avocado healthier whahaha

Even so, you should never guarantee to will any property for your kids without conditions attached. What if your children's marriage breakup (divorce happens), you want to lose half your hard-earned property to the ex-in-law who cheat on your child?

 

[DevilPlate]

Even then, you should never guarantee to will any property for your kids without conditions attached. What if divorce happens, you want to lose half your property to the ex-in -law?

U gong simi sia?

i plan to…..simi guarantee?
Only death and taxes are guaranteed.

Maybe got enbloc in my lifetime how? Happy problem i guess