Wait till I earn more

Did you know that the longer you wait to upgrade, the harder it becomes for you? And it is highly unlikely you will do so later due to the price increases over time.

Here are the reasons why.

Financial leverage

Formula: Loan tenure = 65yrs - current age

As you grow older, your loan tenure will become shorter and thus the loan amount will lessen. This is because the bank works on the principal of risk. If someone is older, it becomes riskier to offer a loan.

E.g. If you are 35 years old, with an income of $12k per month, do not carry any other debts and outstanding loans, you probably can get a loan $1,380,000 with a loan tenure of 30 years.

Let's say you decided to wait...

Ceteris Paribus, at age 45 years old, with a loan tenue of 20 years only, your maximum loan drops to $1,090,000.

That's almost $290,000 lesser and that means you will need more cash if you upgrade later.

Increasing property prices

Data has shown that across the board, private property prices have increased over time. This is an easy illustration.

As you take a peek at today's new market launches, you will also notice that even a 1 bedroom unit costs more than $1m already.

We are in a situation where prices are high and affordability becomes a problem for upgraders. Why?

Inflation

There is a famous phrase you probably would have heard some older folks say. In Chinese, it goes like this : "早知道。。。。我就会去买乌节路的公寓 :( "

Almost everyone has regrets in life, and a common Singaporean regret is that they didn't buy properties when they could. Some tow kays even told me they should have bought shophouses when it was so cheap.

In my opinion, the definition of ''cheap'' is erroneous. I believe it is the lack of vision and guidance, coupled with unwillingness to listen that caused the regret.

Today, you can't get a cup of good kopi at 60 cents anymore, it actually costs $1.20 per cup. The living costs has risen over time and you are getting older by the day, with lesser chances to earn a good income or making great business.

Education

Even if you had an MBA, you can't get a good job when you are older. The disconnect of your education versus the new economy gets wider. Your skillsets aren't relevant and you have nothing else to offer except some old strategy that previously worked in a booming economy.

There is a classic saying amongst the business community :

"In a sunset industry, even if you hire a brilliant CEO, he won't be able to change your company's fate. Conversely, in a rising trend business, you don't need someone very smart."

I have met PHD holders who are actively looking out for jobs. They are well educated but aren't employable. It's sad but true.

So they venture into a business they aren't even sure about, making losses and becoming worst off.

In my opinion, the ultimate fate of education is to provide work and income for the incumbent when they are young and have great mileage.

Widening Income gaps

If you haven't noticed, for every new launch project, 1 bedroom to 2 bedroom units are usually 100% sold out, while 3 bedrooms would do 50% and 4 bedrooms maybe only 20%.

The issue on affordability weighs in for home buyers because they may not even have enough cash for down payment. Read this article here to understand what I mean: https://www.dhirubhai.net/pulse/ec-prices-2025-jordan-ng-iunoc/?trackingId=T1WHD9sSyPygVYak272ajg%3D%3D

The logical approach for aspiring buyers will be "Wait till I earn more" but that will actually make it harder to upgrade later on when prices increase further.

It also means they will pay more for the same type of product.

And those who are able to upgrade earlier will be able to embark on the property wealth journey gaining more wealth over time. Thus, the disparity sets in.

But it shouldn't be so.

The gold you are sitting on

Your first BTO is the first pot of gold every Singaporean enjoys. You ballot for it, stay in it for 5 years, then sell in the open market, gaining the cash proceeds you need to deposit for the next property. So why aren't all Singaporeans taking advantage of their birth rights?

/ They are afraid of mortgage loans and lack knowledge.

They think: What if they lose their job? Why not quickly pay up their HDB?

Here's my advice: You won't lose your job so long you can add value to your company. Paying up your HDB is old school thinking because a 3 room HDB costs $29,000 in the past, but today it is $410,000.

/ They have limiting beliefs.

They think: Condominiums aren't for me and my family, we just want a simple life and I barely make ends meet.

Here's my advice: It is precisely you aren't in the strongest position, that is why you need to change your mindset. With proper guidance, you can upgrade in a safe manner. It is important to learn how to leverage. Read here: https://www.dhirubhai.net/posts/ksngjordan_jnconsulting-realestateconsulting-partners-activity-7295962460967120896-XNbd?utm_source=share&utm_medium=member_desktop&rcm=ACoAABMo58oBO9M-cy94i5L5244AYC862UYizDI

/ Their Property is just a roof over the head

They think: Property isn't the way to grow wealth. Stocks and crypto is the way to fast money. Working hard is more secure.

Here's my advice: Every rich businessman own multiple properties. It is the safest asset class and illiquid. It has a track record of price increase over time and it is used to hedge inflation.

Time is money

When people say time is money, what do they mean?

Time is a limited resource. It ticks daily and every minute you wait to do something, you are actually taking a risk. Some people do not live till 90 years old.

- If you aren't progressing, you are regressing.

- If you aren't training, your muscles will weaken.

- If you aren't resting, your body will break down.

- if you aren't thinking, your mind will slow down.

- If you aren't earning, your bank balance will deplete.

etc... and the list goes on.

Ecclesiastes 3:1-8

New King James Version

Everything Has Its Time

3?To everything there is a season, A time for every purpose under heaven: 2?A time to be born, And a time to die; A time to plant, And a time to pluck what is planted; 3?A time to kill, And a time to heal; A time to break down, And a time to build up; 4?A time to weep, And a time to laugh; A time to mourn, And a time to dance; 5?A time to cast away stones, And a time to gather stones; A time to embrace, And a time to refrain from embracing; 6?A time to gain, And a time to lose; A time to keep, And a time to throw away; 7?A time to tear, And a time to sew; A time to keep silence, And a time to speak; 8?A time to love, And a time to hate; A time of war, And a time of peace.

Fact: If you invested in property early, by the age of 55years old, it is highly possible you can achieve cash savings of $1m or more.

Is there anymore chance for me?

No matter what life stage you are at, we can do a 1 on 1 consultation to size up the options you may have. I have helped seniors upgrade and resize their property before. Besides your age, success depends on your financial status and goals too.

Fact: As long as you in a high demand market, there are always opportunities for you. Hunt with the right person.

JN consulting is always happy to help you with the right strategic initiatives, innovating ways to grow your portfolio.

Taking action today

If you wait longer, you allow the barriers to entry to limit your chances to grow your wealth. It is the same for everything in life. If you love someone, be brave to marry him/her. If you want a promotion, ask for it. If you want more friends, connect and meet up. If you want more success, observe learn and apply. If you want health, exercise and eat right. Why wait?

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I am Jordan Ng, a real estate Innovator, also the Country Head for a Ai Solutions business. I welcome you to DM me to arrange for a coffee chat. Let me share more tips to you on my free 1 on 1 sessions.

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