I want to chiong while still have the energy and opportunities. I will likely live away from home for another decade due to work. How do I hedge now and save up to buy a home in SG in 10 years time? - Seedly
 

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Asked by Anonymous

Asked on 19 Oct 2018

I want to chiong while still have the energy and opportunities. I will likely live away from home for another decade due to work. How do I hedge now and save up to buy a home in SG in 10 years time?

To hedge against property price increase

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Teo See Hwa
Teo See Hwa, MArketing Associate at Propnex
Level 5. Genius
Answered on 21 Oct 2018

Knowing how to use Other People Money (OPM) will help you hedge against property price increase.

2011, I bought a condo for $899 psf, 2017 developer bought a piece of land nearby for 965 psf ppr. Guess how much you need after 10 years away from Singapore.

Many still think property is going to be cheaper.

https://www.ura.gov.sg/-/media/Corporate/Land-Sales/Tender-Results/2017/Jul/pr17-50a.pdf

https://www.ura.gov.sg/-/media/Corporate/Land-Sales/Tender-Results/2010/may/pr10-61a.pdf

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Png Cheng Xi Damien
Png Cheng Xi Damien, Happy Life Seeker at Home
Level 6. Master
Answered on 19 Oct 2018

There's literally no way to hedge against an asset with an option or forward contract.

The only way is to buy now and service the loan now.

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