Retirement Planning

[pattanispirit]

For me, I invest in property for my retirement. Can leverage in property unlike shares and also safer than shares. Passive income from rental can help me retire in Malaysia where costs of living is much lower. Also benefit from the strong exchange rate and capital appreciation of property is better than shares. Tenants also help to pay off your loan....

Have u fully paid yr property investment ?

If not, it is subjected to many uncertainty.
- increase loan interest
- unable to find tenants
- property tax, income tax,
- maintenance charges ( if applicable)
- agent fee
- fluctuation of rentals
- bank may revalue yr loan amt and ask u to top up if the property value drop drastically.
This happen to my friend whom bank force sale his property and make him a bankrupt.

Unless u got the property at low cost & it is fully paid, otherwise, if consider above, the return is v miserable.

 

[mummy1234]

Have u fully paid yr property investment ?

If not, it is subjected to many uncertainty.
- increase loan interest
- unable to find tenants
- property tax, income tax,
- maintenance charges ( if applicable)
- agent fee
- fluctuation of rentals
- bank may revalue yr loan amt and ask u to top up if the property value drop drastically.
This happen to my friend whom bank force sale his property and make him a bankrupt.

Unless u got the property at low cost & it is fully paid, otherwise, if consider above, the return is v miserable.

So far my experience in property has been positive compared to shares. My EC bought at 500k was sold at 818k and enabled us to buy a terrace for 1.1 million and over 4 years, its value is now 2 million which enabled us to take an equity loan of 400k for a jb semid. Awaiting an MM unit which if rented out can give us at least 1500 positive cashflow a month. All these compare to my stocks bought at 47k and now worth only 40k, giving less than 2k a year in dividend.
My job as a locum GP Dr is very stable and pays is decent so financially should not he a problem even if banks asked us to top up which is very unlikely according to my banker.
In fact, we are looking at retiring in JB in a few years time with S$5000 net positive rental income from Sg properties. With our target of 6.9 million, I believe rental should be stable.Even if not stable, I can semiretire still or sell my terrace to finance my early retirement...