Will the property mkt crashed?

[RadX]

Oh....... I see.........

 

you dont earn those amounts ?

You sure fooled me.

 

since you so convincingly replied me, that surely can afford without even defining the other variables surrounding the situation, I thought you already bot a few and maybe i can learn from you.

 

OK, sorree. . my bad.

 

 

 

 

 

 

 

boomz and it falls like a pack of cards. <===this is my new signature dedicated to this thread, can or not?

 

 

gotta pay royaltie to tht bimbo...or put BOOMZ(Ris, 2009)

[Throttle2]

No lah, i think i got small man symtom cause i only gear 1. think ppl will bully haha... anyway sorry if post sound too harsh.

 

 

Not harsh at all.

 

becos usually I'm harsher.

 

 

 

[Throttle2]

gotta pay royaltie to tht bimbo...or put BOOMZ(Ris, 2009)

 

 

wait , i ask my yandao friend to ask her out and personally get permission to use it, lah.

 

 

 

[RadX]

wait , i ask my yandao friend to ask her out and personally get permission to use it, lah.

 

 

orrgh..then can

[2bfree]

1mil house/condo if dun hav 400k cash+cpf for initial payment & expenses like reno etc. Beta dun. If oni earn 100k a year thn beta step back n look at the overall future expenses.....

 

30 year mortage maximum loan amount is abt 640k for 100k pa based on 35% on monthly income to be spent on loan with already existing 1k debt obligation. Monthly mortage pytment 2.33K

 

Based on tis 100k divide by 12mths= 8.33k

minus mortage pytment, minus existing debt obligation= 8.33k - 2.33k - 1k

= 5k.....still haven minus personal expenses, family expenses, misc. for upkeep of property, child's education, savings etc

 

I dun knw abt the other expenses cos I m single bt gather frm those wif a family......seriously, 100k pa & wants to stay in a 1mil property......seems like walkin on thin ice to me.

Bt anyway its jus my humble cents, maybe I cant manage my money as well as the rest of the bradders here.

[Joseph22]

Not harsh at all.

 

becos usually I'm harsher.

 

 

hehe, yeah you are harsher. anyway you mention 100Kpa, my impression was that if he is 100Kpa, he should have tonnes of saving from the past lah. cause i like to save. think this does not apply to all lah...

[Kxbc]

Can, can.

I didnt say cannot.

I'm just deciphering who / what drives the market .

 

so you bought already or not?

 

 

 

 

 

Boomz! and it all falls like a pack of cards.

Also depends if 100k pa is from single income or double income.

 

double income (assuming equal contribution from each spouse) a little shaky though manageable. but if one is retrenched suddenly, the other spouse must really dong.

 

if single income, then lagi more shaky in case kanna retrenched because no other income source to fall back on.

[Wind30]

it all depends on how much assets u have at the moment.

 

There isn't a hard and fast rule say 100k pa cannot buy 1mil house. I would say 100k pa cannot take 800k loan. Imagine that guy has a 5room hdb in a mature estate worth 500k bought like 10 years back and fully paid, 500k loan is probably manageable but a little bit tight.

 

 

 

[Throttle2]

hehe, yeah you are harsher. anyway you mention 100Kpa, my impression was that if he is 100Kpa, he should have tonnes of saving from the past lah. cause i like to save. think this does not apply to all lah...

 

Dude, you assume this person can borrow 30 yrs right?

so he must be not too old. Lets say 35yrs old. Fair?

 

OK.

This means that he should have been working for about 10yrs (considering singaporean finish Uni)

Fair right?

 

OK

this means he didnt earn $100k pa for the last 10 yrs.

say 1st 2 years earn $40k

3-4th yr earn $50k

5-6th yr earn $70k

7-8th yr earn $85k

9 and 10th yr earn $100kpa

 

Considering standard expenses + car + keeping up with the Joneses etc etc

He probably saves only 10% a year spread out over the 10 yrs.

So total savings is less than $100k, throw in usable CPF say another $100k

Total $200k

 

He downpays $200k to buy a $1mil property so the loan is $800k with no cash left except the asset.

if market cracks, his life can become naught.

Walking on thin ice , dont you think?

 

By the way, we are discussing probable scenarios which in this instance makes most sense.

Which ever part you feel the scenario is not fair painted, plse feel free to discuss.

 

Buy a $1mil condo only to live like a pauper, very few people like you (and me) around lah.

 

 

[Darkblue]

I propose...

 

I feel should be lowered to $6,000, I do agree there are idiotic SG-rians esp who born in the 1980s - 1990s those young people watched too many Hong Kong and American drama hopes to drive nice car + live big house. Earning more than $8,000 still demanding Govt to change the policy... wtf ?

 

Grant + subsidy increase, so that those genuinely wish to purchase their flat can get it for those earning below $6,000...

 

Those holding additional properties should be taxed straight away as additional income.

[Throttle2]

Maybe can a poll to see.

 

Who with household income at $100k pa here bought a $1mil condo.

When was it bought?

How old were you when it was bought?

How was the purchase settled?

 

 

 

[Kxbc]

Need to add on these as it will tilt the equation as well:

 

$100k take home or gross?

How much of the $1m settled in cash and/or offset against existing property?

How many years loan for this $1m property? At x% pa?

[Throttle2]

Need to add on these as it will tilt the equation as well:

 

$100k take home or gross?

How much of the $1m settled in cash and/or offset against existing property?

How many years loan for this $1m property? At x% pa?

 

take it as $100k take home loh.

 

the other questions doesnt matter at this stage becos we are only trying to find out who actually bought $1mil condo with $100k salary

 

The other questions can ask later.....heh heh

Edited September 16, 2009 by Throttle2

[Tonyhawk]

saving rate of 10% is rather low, i think most can do better and save 20-40%, that would then make the down payment alot higher.

 

but then again, perhaps im the only moron who drives paid up beat up cars and bothers to save up.

[Kxbc]

take it as $100k take home loh.

 

the other questions doesnt matter at this stage becos we are only trying to find out who actually bought $1mil condo with $100k salary

 

The other questions can ask later.....heh heh

Important. Take for example X is living in a Queenstown 5-room flat which is valued at $600k for many years and 80% paid up. If X sells, he nets cash of $480k and with some personal savings say $100k, he can easily settle $580k of the $1m new property.

 

And if his pay is $100k pa, can easily afford a $420k loan over 20 to 30 years. but of course all his cash wiped out lah.

[Kxbc]

double post. pai seh.

Edited September 16, 2009 by Kxbc

[Throttle2]

agreed, so now the mission is to find who did just that.

since its so easy, sure got a lot of bros in mcf doing it.

mai paiseh, who did that, plse reveal.

 

I reveal first. I didnt.

 

 

[Throttle2]

saving rate of 10% is rather low, i think most can do better and save 20-40%, that would then make the down payment alot higher.

 

but then again, perhaps im the only moron who drives paid up beat up cars and bothers

 

you are not the only moron. Me too.

But not nany morons like us.

 

 

 

 

to save up.