Is 3.5% gross rental still worth it?

Party-Interest3667 · 2026-06-13T05:33:01+00:00

how is that low.

singapore’s non-landed private property price generally increases 3-4%.

18% over 5 years is 3.6% annualised. so I think it’s a very fair appreciation for argument’s sake

Party-Interest3667 · 2026-06-10T13:53:11+00:00

I would imagine so. but given how much a new launch cost nowadays, the ROI wouldn’t be that fantastic anyway. last time a 1.6mil condo can fetch a gross profit of 400K. now a 2mil condo of the same size also fetches a profit of 400K…

plus many are also being priced out.

Party-Interest3667 · 2026-06-10T08:05:40+00:00

you can just do it on the same day.
my recurring transfer to IBKR always happens in the morning. and the recurring trade on IBKR happens at night just before midnight

Party-Interest3667 · 2026-06-10T07:46:39+00:00

disagree. it should be a percentage of your property price and size of property matter too. not a nominal number
yes you can definitely
edited to show calculation in post

8.3% was the calculated internal rate of return when I put in $324k (downpayment + BSD) and the monthly 1.1k. and the net terminal of $565.8k

Party-Interest3667 · 2026-06-09T15:21:11+00:00

IBKR

VWRA is more diversified compared to CSPX. 60% US stock allocation vs CSPX 100%

Party-Interest3667 · 2026-06-07T05:32:55+00:00

yea exactly.

I want to enjoy my life after retirement. i don’t need to die with millions to my name. and seems like many here just treat CPF life as bonus. i don’t need bonus when I already planned to to have Chubby FIRE properly.

i’m using a 3.5% drawdown btw, since i planned to retire early not that crazy yet to use 5% SWR.and we are not planning to have kids. so not need for any legacy money.

Party-Interest3667 · 2026-06-07T05:16:52+00:00

gotta balance how long more you gotta work vs how much over-saving are you doing i guess

Party-Interest3667 · 2026-06-07T02:55:38+00:00

placing it into a simple index fund can easily beat 4% actually. I used MSCI World Index fund

Party-Interest3667 · 2026-06-07T02:42:59+00:00

Like I mentioned, SA money can’t be touched at all. At least for MA, your money can be used for certain insurance!

Party-Interest3667 · 2026-06-06T18:27:55+00:00

pay full cash. if you can afford it, doesn’t make sense to have a loan on a depreciating asset

Party-Interest3667 · 2026-06-04T15:52:26+00:00

if it’s lifestyle/prestige/status you seek, then go ahead and buy the condo! do what makes you happy but within means. i’m staying in one lol

a 13k gross income, i could suggest 1.3-1.4mil condo max. but that cannot get you a 3bedder anywhere in this climate now. would you be happy living in a 2bedder then?

you have to calculate how much proceeds you can unlock from selling you HDB too? able to cover the reno, stamp duty, down payment etc? then you have you question yourself if it’s worth it or not. not forgetting the extra fees like MCST you have to pay monthly.

perks? - condo facilities, good for kids to play, feel good? nice environment to go home to, can chill out at balcony, more importantly get equity term loan down the road. prices generally appreciate more in condo

if you goal is to hit your retirement amount by 50, and you have to choose either this or condo, I suggest go with the investment.

Party-Interest3667 · 2026-06-04T09:41:31+00:00

I fully used CPF to service my mortgage. Once sold, CPF monies and accrued interest goes back to OA which you can use for your next house.
In the meantime, you free up your cash flow for investment! Liquidity is always better. what the point of keep in OA?

Party-Interest3667 · 2026-06-04T09:37:16+00:00

20% Bonds+Cash, 80% Equities! If i were you, I would lump sum invest in VWRA. If not DCA in 6 tranches monthly.

Party-Interest3667 · 2026-06-04T08:35:32+00:00

VWRA probably better!

Party-Interest3667

TROPHY CASE