Some friends are intending to get married, buy a house. Looking at prices now. I’m quite worried.
I’ve been following current affairs quite closely so been blogging stuff about them rather regularly.
One of the topics i’ve been following is stuff about the housing market.
The Economist published an article about Houses prices.
Singapore has gone from being one of the most depressed housing markets in the third quarter of 2009 to being the second-frothiest in the three months to March (2010).
via Economist via Temasek Review
The prices of resale flats grew by 8.2 percent last year with median Cash-Over-Valuation doubling from $12,000 to $24,000 in the last quarter (Q1 2010) alone.
via Temasek Review
Imagine this, u buy a house at the current (overvalued)price, years wiping out ur CPF, borrow the rest at interest current (low) rates, n pay for 20 (or 30). Next, the market corrects, property value drops, interest rates increase.
You’ll be saddled with debt to repay for the rest of ur life. As most likey u have to pay in addition to your CPF contribution, no $$ left for retirement, no $$ left for children’s education .
Cheers to low sex rate, low birthrate, high death rate…
