If you plan it really well, you should be able to buy a property with straight cash. I am 36 yr old now and my networth with is entirely liquid fixed deposits and mutual funds is equivalent to $600k SGD. If I was a Singaporean, I could buy an EC 3 bedroom for full cash. It is even more cheaper in the UK(outside London) and in Australia. If people cant save at least 50% for a down payment in their 40s, something is really wrong with them. I am not even a big earner. I earn 100k a year and save 50k.PNGMK wrote:BBCW: Do you know if it is possible to pay back the CPF monies used for property without actually selling the property associated with the CPF monies? I can't find an answer to this on the CPF website strangely (the advantage is that an individual could remove any CPF claim to sale of the property in the future by repaying any monies used - it's something I've thought about for some time).
One final comment on the property and age scenario - apart from Japan which allows mortgages to be passed onto descendants I see a real problem developing in Australia (and the UK) where young people simply can't get into the property market in time... saving a 10% or 20% downpayment and then taking on a 35 year mortgage needs to happen quickly if they want to be able to pay it off before retirement. Too many people missing out and now trying to buy post 40.... which leaves less than 20 years available for repayment (in Australia and Singapore banks do not extend mortgages past the age of 65 AFAIK).
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