rajagainstthemachine wrote: ↑
Fri, 26 Aug 2022 5:39 am
Heres another consideration, Assume job holder makes it through all the hoops mom throw at them and they land a job of 10k
4500 is just the rental for a 2 bed condo
Another 4000 grand in living expense assuming a family of 2 or 3 considering inflation, eating out,etc
The balance savings is 1500, hardly worth the effort to move here. I could be wrong but idk just throwing out povs for discussion
The 10k of today is the 6k of 10 years ago. Nobody said you are entitled to a 2 bed condo and a great lifestyle and then great savings too for the salary of 10k. So if you need to save, suck it up and put yourself up in a HDB. Thats what I have been doing. My salary is 10k and then bonus and exployer pension another 2k. So 12k monthly. I spend 2.3k on a 3 bedder HDB, 1k for daughter's school and yet my monthly expense is less than 6k and I save 6k.
I am sure rents will go up next renewal but so will our salaries. I was saving 3k out of 6k 10 years ago and now I am saving 6k out of 12k.
This is just normal inflation jump conditions it works in SG. Rents remain stable for a long time and then suddenly jump. People who have been here very long, like SMS and Malcontent, will know this. In around 2005-06 condos
used to rent for 1.5k whole condos! HDBs were not even available for foreigners to rent. Then they suddenly shot up and I know when I came here in 2009, the old timers were complaining how everything is more expensive. But hey, thats how it works. The lower people in the expat value chain get pushed out and higher people move in.
If you see Hong Kong, it is already much more expensive than Singapore and there is no reason why Singapore should lag behind.
Also it is not like rentals are going up only here. They are going up everywhere. We have just had a pandemic and insane amount of money printing and now crazy inflation in most countries, in the US and Europe close to double digits. Europe is not going to have gas for their winter heating! The whole world is in a major crisis.
So hold on there, this will eventually get solved, like it always does. Salaries will go up along with inflation and we will find an equilibrium and then rents will again be stable for a long time.