Property Investment Thread

[starfish.starfish]

As a shareholder, still prefer to buy and sell shares. When valuation is cheap, buy, when expensive, sell. Very liquid and hassle free. More free time with dividend income compared to rental income. Yield is almost similar, maybe even higher at current valuations.

I wonder how easy is it to get 6 figures earnings from shares and how long it takes to do so...

 

[mummy1234]

I wonder how easy is it to get 6 figures earnings from shares and how long it takes to do so...

Much faster to get 6 figure earnings from property in my experience..

 

[shareholder]

I wonder how easy is it to get 6 figures earnings from shares and how long it takes to do so...

Property seems easier because of leverage using loans. Without loans, is it possible? Similar principle can be applied to shares and earn six figures in much shorter time than property.

 

[final1]

For now. Thanks to lower oil prices, SG50 goodies, budget goodies. But how long more will that go on?

Nobody can say for sure.
I was just stating what i said factually so as to correct an inaccurate statement.
Bank deposits are not being eroded by inflation (currently) because we actually are in deflation.

 

[OngHuatHuat]

People cannot short your property leh.

People who sold are genuine sellers and there is a high transaction cost even if you take up loan.

Furthermore, the satisfaction level is totally different.

Best to have a mix of both.

Property seems easier because of leverage using loans. Without loans, is it possible? Similar principle can be applied to shares and earn six figures in much shorter time than property.

 

[Seannie]

To be accurate, Singapore is actually in deflation now. Not inflation.

Deflation or inflation doesnt matter most important is still enjoy yourself. Sg still the best place for investment, live and work.

 

[shareholder]

People cannot short your property leh.

People who sold are genuine sellers and there is a high transaction cost even if you take up loan.

Furthermore, the satisfaction level is totally different.

Best to have a mix of both.

Shorting can only be done when shares are borrowed. If no shareholders lend out their shares, then there will be no shorting. Similarly, if neighbors of your properties sell theirs cheaply, they cause the property prices to plunge, just like shorting shares. Everything boils down to economics, shares and properties function in a similar manner, but shares are more liquid and money comes and goes faster. For eg, in yr 2009, many shares went up a multiple of times in a few months, but no such thing happened for properties. When properties goes up by just 10% to 20%, the population starts complaining and Govt stepped in with measures. So which is better, shares with almost unlimited upside or properties with Govt cooling measures?

 

[Genosis]

When properties goes up by just 10% to 20%, the population starts complaining and Govt stepped in with measures. So which is better, shares with almost unlimited upside or properties with Govt cooling measures?

This seems like a valid point...

 

[OngHuatHuat]

Shorting can only be done when shares are borrowed. If no shareholders lend out their shares, then there will be no shorting. Similarly, if neighbors of your properties sell theirs cheaply, they cause the property prices to plunge, just like shorting shares. Everything boils down to economics, shares and properties function in a similar manner, but shares are more liquid and money comes and goes faster. For eg, in yr 2009, many shares went up a multiple of times in a few months, but no such thing happened for properties. When properties goes up by just 10% to 20%, the population starts complaining and Govt stepped in with measures. So which is better, shares with almost unlimited upside or properties with Govt cooling measures?

I was trying to say, people shorting your stocks were not genuine owners of the stocks.

You scenario is not what I wanna say, you mixed it up.
Shares with unlimited upside in singapore?

 

[Genosis]

Dark clouds looming.....

http://www.channelnewsasia.com/news/business/singapore/more-dark-clouds-loom-for/2383426.html

 

[Seannie]

Dark clouds looming.....

http://www.channelnewsasia.com/news/business/singapore/more-dark-clouds-loom-for/2383426.html

Ah win is the oldbird master tightrope walker. No problems de lar.

 

[Seannie]

So which is better, shares with almost unlimited upside or properties with Govt cooling measures?

Properties with cooling measures way better. With such controls, bubbles formed wont inflate till v huge and burst. Shares that go too high with no control will burst and suck away retirees' lifetime savings. Blumont is a classic case. It has been reported that an unker lost $200k of his lifetime savings.

 

[OngHuatHuat]

Dark clouds looming.....

http://www.channelnewsasia.com/news/business/singapore/more-dark-clouds-loom-for/2383426.html

I feel more happy when more and more this kind of news coming out.

It will be even better if there are some property agents become beggar or threaten to commit suicide due to poor market sentiment.

 

[shareholder]

I was trying to say, people shorting your stocks were not genuine owners of the stocks.

You scenario is not what I wanna say, you mixed it up.
Shares with unlimited upside in singapore?

Those who short the stocks must know the fundamental value of the stocks, if not, they will get burnt when shareholders buy back the stocks at the cheap price they are selling. Shares have almost unlimited upside in sg, because they are more volatile and create more fear as it plunges. It is like a black box to many laymen who don't read reports. But the same cannot be said about properties, everyone watching greedily to buy their next dream home, so a bit of correction and people rush in without looking at the profitability. At the same time, when the price goes up, Govt steps in to contain the price. So in the end, properties are just going to move in a gentle wave.

 

[OngHuatHuat]

Those who short the stocks must know the fundamental value of the stocks, if not, they will get burnt when shareholders buy back the stocks at the cheap price they are selling. Shares have almost unlimited upside in sg, because they are more volatile and create more fear as it plunges. It is like a black box to many laymen who don't read reports. But the same cannot be said about properties, everyone watching greedily to buy their next dream home, so a bit of correction and people rush in without looking at the profitability. At the same time, when the price goes up, Govt steps in to contain the price. So in the end, properties are just going to move in a gentle wave.

You are trying to twist here.

People who does not own stocks can short stocks, but people who does not own properties cannot short first and buy back later. This is the key difference. They must buy first before they can sell.

Unless there is someone invent some index that allows shorting of properties, if not, I can safely assume all properties are sold by their owners but not by those people who have a negative view about the properties.

 

[Seannie]

You are trying to twist here.

People who does not own stocks can short stocks, but people who does not own properties cannot short first and buy back later. This is the key difference. They must buy first before they can sell.

Unless there is someone invent some index that allows shorting of properties, if not, I can safely assume all properties are sold by their owners but not by those people who have a negative view about the properties.

Investment and speculation got difference one. Shareholder is a speculator not an investor. But you are an investor. Both coming from different objectives ofcos dont see eye to eye. What shareholder says is that he can flip his shares v fast and earn huge returns but not for properties. He is saying he v clever can see which stocks can speculate aka shorting and earn huge profits without getting burnt.

 

[Seannie]

I feel more happy when more and more this kind of news coming out.

It will be even better if there are some property agents become beggar or threaten to commit suicide due to poor market sentiment.

Dont understand. Too deep for a peanut mind like mine. Pls explain why u happy when bad news out.

 

[OngHuatHuat]

Dont understand. Too deep for a peanut mind like mine. Pls explain why u happy when bad news out.

SG media is highly controlled by government,ie sometimes government will let the citizens see what they want them to see.

If everyday bad news, it means something, well, at least to me, it means something.

 

[shareholder]

You are trying to twist here.

People who does not own stocks can short stocks, but people who does not own properties cannot short first and buy back later. This is the key difference. They must buy first before they can sell.

Unless there is someone invent some index that allows shorting of properties, if not, I can safely assume all properties are sold by their owners but not by those people who have a negative view about the properties.

Yes can understand what you mean. Properties are unique, but shares are just pieces of paper, every share of a company is the same.

 

[Seannie]

Buy property stocks best of both worlds lar. U get to own a piece of the property as well as the shares of a property company. Song boh.