Read & digest this before you sign on the dotted line on the property option form

[Confuseous]

He computed that he paid a total of $200K in instalments but the oustanding loan decreased by only $60K. How is this possible? During the Aisan crisis interest rates went up to 6-8% depending on which bank you got your loan. 8% on a 800K loan is a whopping $64K a year roughly $5K a month on interest alone. Not to mention the depreciation of the property during that time.Interest rates today are artificially low. They may be low for many years but if you look at a window of 2 decades chances are you will hit a duration of extremely high rates.

- http://singaporemind.blogspot.com/2011/12/housing-debt-slavery-how-it-can-occur.html

 

[Leongsam]

What about the people who have $800,000 in term deposits. Don't they deserve an 8% return as a reward for saving their hard earned money?

 

[Perspective]

I can "advise" since I am a "property agent" according to some.

This is what happen when you get bank loans. Especially something outside OCBC, DBS, UOB.

 

[Unrepented]

What he mean by "artificially" low

Since when, interest rate was ever natural

...............Interest rates today are artificially low....................

- http://singaporemind.blogspot.com/2011/12/housing-debt-slavery-how-it-can-occur.html