Investing Updates: Could Renting Out An HDB Flat To “Retire” Overseas Be The Singapore Dream For Some?

Source:

https://dollarsandsense.sg/could-renting-out-an-hdb-flat-to-retire-overseas-be-the-singapore-dream-for-some/

ChatGPT:

Some Singaporeans seeking early financial freedom are exploring an unconventional FIRE strategy: renting out their HDB flat and “retiring” overseas through geoarbitrage. Instead of aggressively investing or maximising income, this approach turns their existing flat into a passive-income asset that funds a lower-cost lifestyle abroad. This is particularly appealing to couples without children.

The article models a typical scenario: a 35-year-old couple that bought a four-room HDB five years earlier and has just met the MOP. Their outstanding mortgage is about $200,000, costing $1,070 per month on a HDB loan. A Punggol four-room flat can rent for around $3,200 monthly. After deducting agent fees, maintenance and vacancy, net rental income is roughly $32,000 a year, or $2,666 per month. Combined with $100,000 invested in blue-chip stocks and REITs yielding 4% annually, the couple earns about $3,000 per month in passive income.

While this is insufficient for Singapore, it allows a comfortable lifestyle in lower-cost Southeast Asian cities. In Thailand (Chiang Mai, Hua Hin), a couple can live on $1,500–$2,000 monthly. Malaysia (Penang, Ipoh) offers good quality of life for $2,000–$2,500. Vietnam’s Da Nang or Ho Chi Minh City ranges $2,000–$2,500, while parts of Indonesia can be below $2,000.

However, the strategy comes with trade-offs. Renting out the flat leaves the couple without a home base in Singapore, making return trips expensive unless they can stay with family. Healthcare abroad may lack subsidies, and private insurance varies in coverage. Families with children face schooling challenges, and this geoarbitrage model only works in lower-cost countries. Higher-cost regions like Europe, Japan or Australia would require much greater assets.

Overall, renting out an HDB flat to “retire” overseas is possible for some, but it requires sacrifices, realistic budgeting, and acceptance of lifestyle constraints.

Investing Updates: Are Singaporeans Moving Away From Property As A Retirement Strategy?

Source:

https://stackedhomes.com/are-singaporeans-moving-away-from-property-as-a-retirement-strategy/#sh.y9lnms

ChatGPT:

Polls claiming that Singaporeans are abandoning property as a retirement strategy are misleading because they often reflect the agenda of the organisations funding them rather than true public sentiment. A Manulife survey suggests only 35% now view property as a key retirement tool—down from 65% previously—while ERA and PropNex polls show strong continued preference for real estate, with many still seeing property as a retirement nest egg. These contradictions arise largely from how survey questions are framed, how samples are selected, and where respondents are sourced.

Younger Singaporeans responding to online surveys—often priced out of the market or unable to buy—naturally show less enthusiasm for property investing. Older respondents in offline polls, who benefited from past appreciation or already own homes, tend to be more positive. Question phrasing also heavily influences responses: highlighting costs pushes people away from property, while emphasising tangibility steers them toward it.

Insurers have incentives to downplay property’s importance in retirement planning because money committed to real estate is money not invested in policies like annuities or ILPs. Conversely, property agencies have reasons to promote real estate despite rising prices, cooling measures, and higher capital requirements.

Ultimately, these surveys reveal more about the motivations of insurers and property agencies than about Singaporeans’ genuine retirement preferences. Many “polls” function as disguised marketing, and the author argues they may as well be straightforward ads. Ads can be repeated, while publications rarely run the same poll editorial twice, making these survey-based promotions less efficient and no more persuasive.

The article then continues with broader property news, such as sales rankings, price trends, and notable gainers and losers in the market.

Investing Updates : New Launch Condo Prices

 

LifeStyle Updates : Property Agent Career

AI Summarisation

### Earnings of Property Agents in Singapore

#### Income Overview

The income of property agents in Singapore can vary widely based on several factors, including experience, the number of transactions, the value of properties dealt with, and market conditions.

- **Average Earnings**: The average income of property agents in Singapore ranges from SGD 50,000 to SGD 100,000 per year. Top-performing agents can earn significantly more, often exceeding SGD 200,000 annually.

- **Commission-Based**: Property agents primarily earn through commissions. The standard commission rate is typically 1-2% of the property’s sale price. For rental transactions, the commission is usually half a month to one month's rent.

#### Factors Influencing Earnings

1. **Experience and Reputation**: Experienced agents with a strong network and reputation tend to close more deals and handle higher-value properties.

2. **Market Conditions**: The real estate market’s health significantly impacts agents’ earnings. In a booming market, transaction volumes and property prices are higher.

3. **Specialization**: Agents specializing in luxury or commercial properties often earn more due to higher transaction values.

4. **Full-time vs. Part-time**: Full-time agents generally have higher earnings potential compared to part-time agents due to their greater time investment and client dedication.

### Full-time vs. Part-time Career

#### Full-Time Career

- **Pros**:

  - **Higher Earnings Potential**: Full-time agents can dedicate more time to networking, client meetings, and property viewings, leading to more transactions and higher earnings.

  - **Professional Growth**: Full-time commitment often leads to better market knowledge, stronger client relationships, and a higher reputation in the industry.

  - **Stability**: A full-time career in real estate can offer more stability and consistent income over time.

- **Cons**:

  - **Time-Consuming**: The job can be highly demanding, requiring evenings and weekends to meet clients and show properties.

  - **Initial Struggle**: Building a client base and reputation takes time, during which earnings may be lower.

#### Part-Time Career

- **Pros**:

  - **Flexibility**: Part-time agents have the flexibility to balance other commitments, such as another job or family responsibilities.

  - **Lower Risk**: Starting as a part-time agent allows individuals to test the waters without fully committing to the uncertainties of the real estate market.

- **Cons**:

  - **Lower Earnings**: Part-time agents typically handle fewer transactions, leading to lower overall earnings.

  - **Less Focus**: Balancing another job or commitments can limit the time and energy available for real estate activities, potentially affecting performance and client satisfaction.

### Conclusion

Becoming a property agent in Singapore can be a lucrative career, especially for those who commit to it full-time. The flexibility of part-time work can be attractive, but it generally offers lower earnings potential. As with any career, success in real estate requires dedication, strong networking skills, and an in-depth understanding of the market.

My Thoughts 

• Throughout the years, there were countless times where I've heard about property agents. To the ones I've met in army, the ones I met at work doing part-time, and the ones chit-chatting about it at lunch.
• One common impression was that they earn a lot. It's technically true. But it's also only for the top hardworking earners.
• In any job role, some form of time ( Mental or Physical ) is sacrificed for the pursuit of growth or money. Property agents are not really a pure office based role too. Health issues may creep in.

https://dollarsandsense.sg/much-property-agent-friend-really-earn-achieve-property-awards/

Investing Updates : HDB Resale Prices

• Agree with mostly what Mr Loo said.
• Imo, people are aware about the 99 year lease issue. 
• But they still choose to buy now because they think they can time the sell to profit before the lease issue kicks in.