And I totally agree(d) with her.

In the fifth episode of her podcast, Vina Ip, or better known as the Singapore property investment blogger called ‘Property Soul’, shares her thoughts on why HDB flats should be treated as nothing more than a roof over your head.

Yes, there may have been those who benefited from the asset enhancement strategy that the government had in mind during the 90s but those days may be over. Unfortunately, it seems that many Singaporeans still seem to think of an HDB flat as a stepping stone to private property. This may be true for those who bought BTOs but as I’ve mentioned before, I’m not too sure about those who bought ECs or DBSS units. As for those in the resale market, you’re really stretching it.*

My biggest fear in all this is how most Singaporeans (going by those that I’ve talked to) don’t really have any assets other than their primary residence especially if they’ve bought a piece of property priced near the maximum amount of loan they qualified for. In Singapore, many property buyers are typically stretched on 30-year mortgages. If you’ve spent your entire working life paying for your house, then how on earth will you ever be able to stop working?

Anyway, if you’re into buying property in Singapore, I highly recommend you follow Property Soul’s blog and podcast and go read her book. In my opinion, she’s as good as it gets when it comes to property investment in Singapore. Good advice on investing in property is pretty rare in Singapore. Just like the financial advisory business, there are too many snake-oil salespeople with their own interests at heart.

Notes:

*After all, if you’ve managed to sell your flat for a decent profit, then private property in a similar neighbourhood must command an even greater premium. This means taking on more in terms of a mortgage.

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