Rich Dad, Poor Dad, real estate investing strategy applicable to SG?

Rising Star Posts: 161 Reputation: 2 Join date: 2009-06-28

Nope..
Not applicable..
Property market in Singapore & US is completely different..

Btw if I am not mistaken, investing in an equity unit trust or stock will make an average, around 10% per annum over the long term with the ups & downs in the market..
Unless we are referring to shorting, trading & timing for leverage..

I think maybe its applicable, just not very practical.

Basically since the land is pricier here, the cost, mortgage and down payment of the house is more expensive.

The return on investment (ROI) from rental income here is average 10%. I personally can get the same if not more return from stock market dividends and with much less effort, thus making stocks more practical.

The REITS (companies that invest in real estate) give 10% ROI anyways, and you can buy them from the stock market.
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Rising Star Posts: 161 Reputation: 2 Join date: 2009-06-28

Ya..
Investing in REITs is better than physical property..
No maintenance cost..
No property management issues..
More liquid & transferrable in buying & selling..
Dividends advantage..

But the bad thing is, REITs are paper assets..
Owning(or Owing) real estates are physical assets..
With paper assets, you can't even smell it..
With physical properties, you got to sit on it, sleep with it, & shit in it..

Yeah, but the likelihood of a REIT going bankrupt is very slim.

As they own the physical assets. They can smell it, and have tenants sit and defaecate in them. You can go to the properties they own and have a look-see for yourself as well.

Its like buying property through them.
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Hope you all enjoy the forum! Let's learn, contribute and grow, SG entrepreneurs.