The secret of investing in property for income was first popularized by Robert Kiyosaki’s “Rich Dad, Poor Dad”.
If you’ve read it, chances are you would be thinking how it can be done at all especially given Singapore’s insanely overpriced property market.
Singapore’s house price-to-income ratio (Property Price / Annual Income) is 25.38. That means most Singaporeans have to work more than 25 years to pay off their mortgage loans.
Compare this globally, it may surprise you:
∙U.S.’ average house price-to-income ratio is 2.16
Germany’s ratio is 4.78
∙U.K.’s ratio is 6.73
∙Japan’s ratio is 6.99
With the same amount of capital, Robert Kiyosaki can buy 11 properties in the US and you can only buy 1 in Singapore. He will then rent out 10 of them to collect income while an average Singaporean is still struggling to pay off his debt.
On top of that, average rental yield in Singapore is really low at around 2-3%
To put the figures into perspective. If you intend to use your rental to cover your mortgage payment. a 2% rental yield means that you definitely have a negative cash flow.
Moreover, you need 40 years rental to pay off the loan (assuming 20% down payment) without even accounting the interest payment.
Simply put, you shouldn’t own a Singapore condominium for rental yields.
An average earning Singaporean should consider investing overseas where you have lower upfront investment, much higher rental yield and capital appreciation potential.
Comparatively, you would be able to get up to 7-10% rental yield (sometimes guaranteed).
But such investments are not without risk.
Don’t get carried away without first finding out the rules and strategies of investing oversea properties.
A lot of online resources and information are readily available… But that does not replace quality advice from a professional.
In an upcoming educational seminar, property investment expert Dr. Patrick Liew is going help average investors learn how to invest in overseas properties safely and profitably.
Some of the lessons being covered are:
∙How to determine which countries to invest in and why.
∙How to own top grade overseas properties for as low as $150k
∙How to gain full protection, despite the different rules and regulations in different countries.
∙How to assess developers and hire reliable property management services.
∙How to find undervalued and high-profit potential properties.
∙How to avoid common mistakes (especially for novice investors).
∙What are “megatrends” and “microsegments”?
∙Identify the best types of properties (commercial, residential, industrial) to invest in.
∙How to navigate stamp duties, taxes and other financial related issues.
∙and much more…
Register your free seats now ➡️https://propertysuccess.sg/overseas-seminar/