Real estate agents, fellow investors, bankers and those who do not have properties to their names all have separate kinds of advice for you. Whose would you like to hear?
Originally Posted by
Juniper
Need some advise from property investors here.
Currently me and my wife have 3 properties in Singapore and 2 properties are currently rent out to expat tenant on corporate lease which will run till 2016. rental yield based on purchased price from 5 and 2 years ago is around 6% and 4.8% respectively and our outstanding mortgage for both properties is around 50% based on current valuation price. For our 3rd properties, that's for own stay and we do not intend to sell.
So the question on our mind now is
a) Should we sell our investment properties, cash out and reinvest in future?
b) Should we keep both property to enjoy regular rental income stream?
Concern for (a) is the cost of replacement will be very high due to cooling measures and we might not be able to find a replacement properties which we like as much as the one we have right now. So we might end up having millions "rotting" in the bank away
Concern for (b) is that we will not get to enjoy the feeling of being cash rich in our life time or we might missed to catch the property cycle.
So the question now is, should we sell or do nothing, or is there other options?
The three laws of Kelonguni:
Where there is kelong, there is guni.
No kelong no guni.
More kelong = more guni.