Me & My Money Series (Sunday Times)

[opmi]

such a humble diplomatic wordings used..well suited for a ceo
my own feel is - if one can even use own stay home for a bet/speculation in the property market, then he/she is either very smart or a very sophisticated investor/ speculator .. take my hat off and salute 3 times

smart people dont speculate with their 'roofs over their heads'. coz the property market can stay irrational longer than you think.

Once in a while I feel compelled to reply. opmi, I don't understand the logic behind what you are saying.
So it is rational to own property even if you think property prices are irrational? Where is the boundary - why stop at the roof over your head then?

I disagree, Investment property is different from residential property. They serve different purpose and needs. Property as an asset class is highly illiquid regardless of it's rationality..Unless you are top Real estate manager who is able to generate alpha (like the one whom was mention in today's article), it would be best advice to have a roof permanently over your head.
This is also the reason why advice to many young couple is to apply for HDB first and grow your second or third property from there. You never sell your HDB because it is the foundation to everything.

nice earthly comment. the only catch in possessing hdb now even if u did not take up any grant or loan is that 5 yo mop blackout period that prevents one from getting a private condo. opportunity waits for no one.
btw did a face reading for her..indeed got that fortune look.

godjira1, my view is that speculating with 'roof over head' is not wise. My main concern will be constant psychological/emotional pressures from self, wife and family. Worse if prices keep escalating irrationally. likely will 'throw in towel' at the wrong time.

Being 'short' housing means potential upside (ie 'losses' ) unlimited vs limited downside ('cheaper house'). Risk/reward not great. Have to pay rental to keep the 'short' in play. (Assume typical desire for home ownership in Singapore)

My view is same as DP28. 'Roof over head' first to meet a basic Maslow need. Have a secure base that wont be chase out or price out. You need 2 properties to play the physical property cycle. Unless you downgrade.