Your search results

5 Singapore Property Investing Myths Debunked

Posted by Jayson Ang on July 6, 2024

| 0

In the world of property investing, misconceptions can lead to poor decisions and financial losses. In Singapore, there are several myths surrounding property investment that need to be debunked to help investors make informed choices.

Here are 5 common myths about property investing in Singapore:

1. Capital appreciation of property equals profits: While it is true that a well-maintained property can fetch a higher price, it is important to consider other factors such as interest on home loans and maintenance costs when calculating actual capital appreciation. Renovating your property may improve its value and rentability, but it does not guarantee significant gains in the long run.

2. Property prices will always go up: Contrary to popular belief, real estate is subject to market cycles and downturns, just like any other investment. Although historically, property prices in Singapore have followed an upward trend, this is only true for long-term investments. Over shorter periods, it is possible for a real estate investment to yield negative returns.

3. HDB loans are fixed-rate loans: Many people believe that HDB loans offer fixed interest rates, making them a safer option compared to bank loans. However, this is not the case. HDB loans are pegged to the prevailing CPF Ordinary Account interest rate, which can fluctuate over time. It is essential to research and compare different loan options before making a decision.

4. A new launch is better than a resale property: While new launches may offer attractive promotional packages and modern designs, they are not necessarily superior to resale properties. Resale properties can provide better value for money, especially if they are well-maintained and located in prime areas. Additionally, resale properties allow buyers to physically inspect the property before purchase, unlike new launches.

5. Investing locally is the only safe option: Limiting your investments to local properties can be short-sighted. Overseas properties can offer lower prices, down payments, and stamp duties, as well as higher potential returns and rental yields. Diversifying your investments across different locations can help reduce risks and improve the overall risk-return profile of your investment portfolio.

In conclusion, it is crucial for property investors in Singapore to be aware of these common myths and make informed decisions based on accurate information.

By debunking these misconceptions, investors can better navigate the property market and maximize their investment returns.

Should You Buy, Sell or Wait?

If you’re reading this, you must be trying to figure out the best course of action right now: is it the right time to buy or sell?

It’s difficult to give an exact answer since everyone’s situation is unique and what works for one person may not necessarily work for you.

I can bring you a wealth of on-the-ground experience and a data-driven approach to provide clarity and direction. From beginners to experienced investors, our top-down, objective approach will help you on your real estate journey.

I can help you by:

Offering Strategic Real Estate Advice – I can help create a comprehensive plan to guide you through your property journey.
Connecting Your Home with the Perfect Buyers – Through stunning visuals, an effective communication strategy, and an in-depth knowledge of the market, we’ll ensure your home is presented in the best possible way to fulfill your goals.

You May Also Like …

Buying Tips Mandarin Top 5

5 Things to Know About Singapore’s Freehold & Leasehold Properties

Jayson Ang – June 10, 2023 –

5 Things to Know About Singapore's Freehold & Leasehold Properties Here are 5 things you need to know about Singapore's...

All Blog Posts Buying Tips

What to Do Before Exercising Option to Purchase?

Jayson Ang – July 19, 2023 –

TLDR Home buyers are advised to thoroughly research property values using online tools, secure an ideal home loan package early...

All Buying Tips

What Type of Properties Can a Permanent Resident PR Buy in Singapore?

Jayson Ang – August 13, 2023 –

TLDR When it comes to purchasing property in Singapore as a Permanent Resident or Foreign National, there are specific restrictions...

All Buying Tips Opinion

The Significance of Choosing the Right Condo: A Real-Life Tale of Two $1.8 Million Investments with Significantly Different Results.

Jayson Ang – August 13, 2024 –

TLDR When contemplating property investments in Singapore, consider various factors like rental performance, unit count, access to train lines, and...

Mandarin Top 5

Top 5 Dim Sum Restaurants in Singapore

Jayson Ang – May 14, 2024 –

Dim sum, a popular culinary delight that originated from China, has made its way into the hearts and taste buds...

All Blog Posts Opinion Selling Tips

Unveiling 4 Scenarios of CPF Accrued Interest Impact on Property Owners

Jayson Ang – December 11, 2024 –

TLDR When selling your first home, be aware of CPF accrued interest, which is the interest that would have accumulated...

All Blog Posts Buying Tips

Identifying a Good Investment Property: A Guide

Jayson Ang – July 25, 2023 –

TLDR When it comes to navigating the real estate market in Singapore, understanding key factors can make a significant difference...

Mandarin Top 5

5 Dangerous Ideas Singapore Property Investors Have

Jayson Ang – September 2, 2024 –

Singapore's property market has always been a hot topic among investors, both local and international. With its strong economy, stable...

All Blog Posts Opinion Selling Tips

6 Reasons to Think Twice Before Hiring a Friend or Family Member as Your Agent

Jayson Ang – October 31, 2024 –

TLDR In Singapore, hiring a friend or family member as your property agent can be risky. Disclosing sensitive financial details...

Mandarin Top 5

Top 5 Rooftop Pools in Singapore for a Swim

Jayson Ang – March 30, 2024 –

Singapore, a bustling city-state known for its iconic skyline and innovative architecture, is home to some of the most stunning...

All Buying Tips

Here’s How Property Data Can Be Misleading: Navigating Through Common Misunderstandings

Jayson Ang – April 14, 2024 –

TLDR When comparing property prices, discrepancies can arise due to various factors like timing of purchase, scarcity in niche projects,...

All Blog Posts Buying Tips

Downsizing From A Spacious 4-Bedroom Condo To A Cozy 2-Bedder: How I Chose A Condo Over A HDB

Jayson Ang – April 28, 2023 –

TLDR Mdm Sim's decision to trade her four-bedroom house for a two-bedroom condo is explored, highlighting the benefits of right-sizing....

Mandarin Top 5

5 Tips : How To Buy A Property In Singapore As A Foreigner

Jayson Ang – June 16, 2024 –

Singapore's property market is a popular choice for both locals and foreigners looking to invest in real estate. However,...

All Buying Tips

Buying a Mega Development Condo? Here are 5 Overlooked Issues You Should Know

Jayson Ang – April 20, 2024 –

TLDR In the world of mega-developments, living in a large condo with over 700 units can bring challenges like ongoing...

All Blog Posts Buying Tips

A Beginner’s Guide to Homebuying: How to Choose the Perfect Property

Jayson Ang – May 20, 2023 –

TLDR When considering property investments, understanding your motives is crucial. Factors like accessibility to amenities, remaining lease, transaction history, rentability,...