Do nt gan chiong to buy house save some money first

dasasa

<p>&nbsp;save some money first, buying a house with bank loan , the interest u paid actually can afford another house , the longer term (20 , 30 years ), the more u have to pay , not worth it. </p><p>the&nbsp; bank interest rate seems attrative like 3.75%or 4%p.a.</p><p>however the way they calculate the principal and interest u have to pay is another story.</p><p>eg.asking price 550k,you pay 50k and 500k loan from bank , 20or 30 years loan </p><p>Int : 3.75%*500000*20 years or 3.75%*500000*30years </p><p>&nbsp;&nbsp;&nbsp;&nbsp; <font style="BACKGROUND-COLOR: #d52b6f;">=375000&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;=562500&nbsp;&nbsp; <font color="#f7f709"><strong>Interest only</strong> </font></font></p><p>above is only the interest paid over 20 or 30 years </p><p>plus the principal 500k the monthly installment will be </p><p>(375000+500000)/20/12=3645</p><p>(562500+500000)/30/12=2951</p><p>The longer term loan the "less" installment u pany , but actually u pay more in overall.</p><p>That is how the bank make money from us ........</p><p>Buy a property without borrowing from bank is investing , but buy with bank loan is ......."Fang Nu "</p>

咖喱咖喱

<p>Your calculation is pretty correct.</p><p>but your direction should&nbsp;have been&nbsp;changed...</p><p>Buy house only when u affordable,do not overload! Investment is another story~~~~~~</p>

dasasa

<p>do u have some investment ?</p>

咖喱咖喱

i mean investment in property.....

dasasa

<p>当然买房投资还是股票或别的，都是看财力和能力， 和长短期打算。</p><p>我有一位前辈, he invested in China property market, bought 3 or 4 units in&nbsp;china without borrowing loan from bank and rent out all&nbsp;for higher returns , i asked him why not invest in Singapore, he said Sing 's Propety market is buble and it only can last for max 30 years (cos sing only last prosperous for abt 30 years) and all lease&nbsp;in Sing is not free hold 99, 999 some like "free hold"but govrt will purchase it &nbsp;back&nbsp; if they&nbsp;need it &nbsp;or &nbsp;they have a major project on ur land ...</p><p>He said if&nbsp;buying &nbsp;a reale falt for investment purpose,&nbsp;that is profitable since by the time u sall the house , the lease may only be&nbsp;abt 30 years left, it is not valuable&nbsp;and hard to sell as well.</p><p>anyway&nbsp;its up to people's perference.....&nbsp;</p>