Summary
There are no simple yes/no answers when making property decisions; it is a matter of “what” and “how”.
You will need to craft an action plan stretching 20 to 30 years into the future to make a sound property decision.
Decisions that make sense for others may not be the best for you, depending on your financial background and risk appetite.
Article
Should I sell my HDB and move to private property? Should I sell my private property to buy a new launch? These decisions cannot be made simply. You will need to be 100% accurate with your decision-making since they involve large finances. There are no simple yes/no answers; it is a matter of “what” and “how”.
When customers meet me to discuss such decisions, I will first try to understand their financial background to make accurate calculations and reverse calculations. This will allow me to find out the most effective options for the customer. I will also advise on risks and considerations such as how long they must continue to work and how much they should have in their bank account. I go into the nitty-gritty details because of the risk involved.
These details will differ from people to people because everyone has a different risk appetite and financial background. Moving from HDB to private property, or downgrading to an HDB, may be suitable for some people, but not for others. Most importantly, every customer should have an action plan stretching 20 to 30 years into the future. You will need to meet up with consultants to analyse your financial situation and have a clear idea of what’s next. Thinking several steps ahead is absolutely crucial, especially since many factors may suddenly affect your action plan. An increase or decrease in income, having children and caretaking needs may even necessitate you to sell your unit. The amount of CPF and cash used makes a difference in deciding your next plan as well.