Lee Kuan Yew: Hard Truths To Keep Singapore Going

[SimonTan]

Hard Truth...does it have the iPad version or not.

Auto read version better.....so that I can listen to it while in the toilet craping or while I am in the gym exercising.

 

Nowadays lazy to read thick books.

 

[Summer69]

there is also the LBS(lease buyback scheme)

 

 

any success story of those who cash out, rich & happy?

 

a lot of people, they follow the crowd in the 90's & 20's, to upgrade & upgrade (aka extending bank loans), now ended up selling the house with little money left for retirement.

 

They then no choice but stay with son/ daughter or rent, taking care of the grandchildren.

 

once the grandparents "MR", maybe 80 years old, children find them no more usefulness, a bit of a liabilities, the tide turns.

 

Old people will be eventually be "kick" around by all the children..no house no fortune mah.

 

The sad stage will end up in old folks home.

 

The above are very real in our society. you may have relatives or friend in the same situation.

 

The moral of the story, never sell your HDB to stay with your children. you would rather rent it out.

[Tjkbeluga]

okie.. .. all the while.. i have doubt about our flat valuations.... allow me to pour it out.. correct me if i'm off track...

 

my ex-colleague bought a flat more than 600k, taking 30 yrs loan, with 500k of loan... excluding the interest!!! I believe at the end of the repayment period..... his CPF OA shall be very min. - assuming he stay on his job.. not many promotions... not job-hopping...

 

Is that our dear 'horse' promoting AFFORDABLE housing!!!!

 

My thoughts -> Are we are the slaves to our property... 30 yrs later.. we are left with no $$$..gov earn us via their so-called valuations and compound interest and we had to sell our flat back to them or pass down to our kids...

 

Its as good as i'm the tenant of this plot of land.. raised the price... and u lend $$$ from me.. with interest... then 30 yrs later.. u sell the house back to me.. and i pay u monthly bit by bit till u die!!! In short, the $$$ is always in my pocket...

 

now back to the current situations... the resale of my unit had increase more than 150%.. Hence, simply value the unit with approx 150% profit.. meaning our gov is filthy filthy rich.. and inflation does not increased by 150% more... same goes to our salary... :angry:

 

correct my analogy if i'm wrong...

A lot of people buy HDB with the mindset that so long as got constantly contribute CPF, can alway use CPF to pay HDB loan.... This is wrong. Wait till the total amount used from CPF has reached the valuation limit, then have to pay by cash liao unless the person have more than 120K total cash in CPF. At 500K loan with 30 years loan, even with HDB loan, he will probably hit 100% valuation limit when there's still 50% loan unpaid....

Edited January 24, 2011 by Tjkbeluga

[Summer69]

A lot of people buy HDB with the mindset that so long as got constantly contribute CPF, can alway use CPF to pay HDB loan.... This is wrong. Wait till the total amount used from CPF has reached the valuation limit, then have to pay by cash liao unless the person have more than 120K total cash in CPF. At 500K loan with 30 years loan, even with HDB loan, he will probably hit 100% valuation limit when there's still 50% loan unpaid....

 

 

you're right, this is an "open secret" property agent will not tell you.

 

Those with huge loan, maybe 15 to 20 years down the road, will have to top up with cash, CPF money will be block.

[Darthrevan]

any success story of those who cash out, rich & happy?

only got 1 relative who sold 3 room flat and stay with her son..so far so good..is this considered cash out?

 

 

 

[Piyopico]

Actually I never understand why people are so happy when HDB prices sky rocket.

 

If you sell and move on to a private, you still end up taking a loan that is proportionally bigger cos the private flat would have ran up even more.

 

If you dun sell and just continue to stay in your HDB flat, how does itz higher valuation benefit you? You feel more shiok? Afterall if your flat cost 300K is fully paid, itz fully paid. Pronto. Just because it is valued at 500K now does not make you better off cos in theory you will continue to ride the property market ups and downs.

 

However if you are out to flip/profit etc then of course these cycles are opportunities to make money.

 

For the majority of people, say 65% that never move house. It is better to have a cheap flat(whether HDB or private) that is fully paid and have the extra set aside for early retirement or to upgrade a lifestye etc etc. However knowing how much Singaporeans are into "status", many people do move from HDB to private just to "arrive".

 

Different mindset lah.

[Strudel-]

no lah....he email me the pdf copy

 

Mai tu liao!

 

[Kb27]

Actually I never understand why people are so happy when HDB prices sky rocket.

 

If you sell and move on to a private, you still end up taking a loan that is proportionally bigger cos the private flat would have ran up even more.

 

If you dun sell and just continue to stay in your HDB flat, how does itz higher valuation benefit you? You feel more shiok? Afterall if your flat cost 300K is fully paid, itz fully paid. Pronto. Just because it is valued at 500K now does not make you better off cos in theory you will continue to ride the property market ups and downs.

 

However if you are out to flip/profit etc then of course these cycles are opportunities to make money.

 

For the majority of people, say 65% that never move house. It is better to have a cheap flat(whether HDB or private) that is fully paid and have the extra set aside for early retirement or to upgrade a lifestye etc etc. However knowing how much Singaporeans are into "status", many people do move from HDB to private just to "arrive".

 

Different mindset lah.

We already dug ourself into a well so deep, we couldn't get out.

 

If you have taken a lifetime loan, you can only hope hdb price don't go down.

Interest alone will easily double your principal by the time you're done.

 

For most ordinary folks, the only way to cash out is to give up your citizenship and take out everything lock, stock and barrel.

 

Unless you are elite or the rich, you can play around with properties, where others can't.

[Piyopico]

We already dug ourself into a well so deep, we couldn't get out.

 

If you have taken a lifetime loan, you can only hope hdb price don't go down.

Interest alone will easily double your principal by the time you're done.

 

For most ordinary folks, the only way to cash out is to give up your citizenship and take out everything lock, stock and barrel.

 

Unless you are elite or the rich, you can play around with properties, where others can't.

 

 

Precisely. The majority are not even close to being an elite so they do not benefit. Whoever told the lie that high HDB prices is good for you is dumb. Those who never pause to think about it is even dumber.

 

Then again, if you choose to sell and migrat then I git nothing to say. In this scenario, high HDB or property prices in general is good for you.

[inlinesix]

We already dug ourself into a well so deep, we couldn't get out.

 

If you have taken a lifetime loan, you can only hope hdb price don't go down.

Interest alone will easily double your principal by the time you're done.

 

For most ordinary folks, the only way to cash out is to give up your citizenship and take out everything lock, stock and barrel.

 

Unless you are elite or the rich, you can play around with properties, where others can't.

The key point is to buy low & quickly finish up with mortgage using CPF. In 2004, i took a 20 yrs mortgage from HDB. In 2014, I might be debt free. My unit is 5 room juz outside CBD.

[Darthrevan]

Actually I never understand why people are so happy when HDB prices sky rocket.

 

I also don't understand..paper value goes up only..if one is not going to cash out..seriously no point..like u said most pple only got 1 hdb.. *shrugs*

 

 

[I-LOVE-CARS]

how about "no horse run" ?

 

 

so is it the "TRUTH" that we must be careful when dealing with:

 

1) short people

 

2) people with hook nose

 

3) botak people.

 

Oi don't like that can? I also a little bit botak leh..... :angry: but i am 100% trustworthy so don't anyhow assume

[I-LOVE-CARS]

Aiya easiest way is to when you have saving....cash out cpf..migrate

[Itsec]

A lot of people buy HDB with the mindset that so long as got constantly contribute CPF, can alway use CPF to pay HDB loan.... This is wrong. Wait till the total amount used from CPF has reached the valuation limit, then have to pay by cash liao unless the person have more than 120K total cash in CPF. At 500K loan with 30 years loan, even with HDB loan, he will probably hit 100% valuation limit when there's still 50% loan unpaid....

 

 

i dont understand this part.. care to elaborate more... -> "he will probably hit 100% valuation limit when there's still 50% loan unpaid"

 

anyway, i will be debt free in 4 yrs time...whether its car/flat..

[Summer69]

i dont understand this part.. care to elaborate more... -> "he will probably hit 100% valuation limit when there's still 50% loan unpaid"

 

anyway, i will be debt free in 4 yrs time...whether its car/flat..

 

 

http://mycpf.cpf.gov.sg/NR/rdonlyres/38EE9...f_hom_limit.pdf

[Summer69]

Oi don't like that can? I also a little bit botak leh..... :angry: but i am 100% trustworthy so don't anyhow assume

 

botak and shining type.

 

 

[Itsec]

http://mycpf.cpf.gov.sg/NR/rdonlyres/38EE9...f_hom_limit.pdf

 

 

thanks... Anyway, this is another time bomb...

[KARTer]

Wah lau, then those must be the good days where politicians actually cares for the citizens. Can ask MM to replace Mr Horse?

 

The horse was hand picked by MM when he became the first horse in any parliment.... (the horse lost to Chiam See Tong way back in potong pasir, can someone please confirm this)..... you want MM to slap his own face by replace the Horse?? ......