Early retirement in JB

[freedom]

Thanks. I have little bit of S$ locked there. So need to follow more closely.

No problem, I like to do inter forum sharing of useful articles..

 

[Frodo]

Hi Frodo, how much is your water and electricity bill and handphones bill and food and groceries bill and car maintainence costs in JB? Trying to calculate if S$4000 will be enough for living expenses for 5 in JB.

We spend about $2000 per month as we have a tight budget. So your $4000 should be pretty comfortable for 5 pax, can go for many rounds of fine dining.

 

[freedom]

We spend about $2000 per month as we have a tight budget. So your $4000 should be pretty comfortable for 5 pax, can go for many rounds of fine dining.

Thanks for sharing, good to know can survive with $2000 per month in JB....

 

[Frodo]

Thanks for sharing, good to know can survive with $2000 per month in JB....

Just a thought experiment. If you like economy rice, for RM35 you can feed a family of 5 pax with about 5 variety of dishes. So for lunch and dinner it is RM70...and maybe RM15 for breakfast and RM15 for supper at Osman Roti Prata. That's RM100 per day, or RM3000 per month. You would still have a cool $3000 to spend.:p

 

[freedom]

Wondering is there anyone here who puts a significant amount of money into Malaysian FD to get passive income from it? Like S$800k? Is it advisable? Or foolhardy? Need to invest that amount to get at least 4% returns to have enough passive income to retire. Or should I put into shares or property?

 

[xebay11]

Wondering is there anyone here who puts a significant amount of money into Malaysian FD to get passive income from it? Like S$800k? Is it advisable? Or foolhardy? Need to invest that amount to get at least 4% returns to have enough passive income to retire. Or should I put into shares or property?

Beware of currency devaluation in the event of the need to bring the funds back offshore. If you can get 4.5 percent returns, that is better than property returns these days.

 

[Tekkun]

Wondering is there anyone here who puts a significant amount of money into Malaysian FD to get passive income from it? Like S$800k? Is it advisable? Or foolhardy? Need to invest that amount to get at least 4% returns to have enough passive income to retire. Or should I put into shares or property?

Most Malaysian banks offer between 3.5 to 4.5% depending on their promotional rates.
My favorite banks are UOB, OCBC, Maybank, Hong Leong, Alliance, HSBC. Among them HSBC has the worst rate about 3.3%.
Special rates like recent Hong Leong 4.5% are based on new incoming funds and not from existing account. Split up your money into multiples of 500k and move them around once the maturity is reached. You do get nice passive income especially when your FD is substantial.

We are the kiasi type and do not like shares so FD suits her fine but it is up to individual. Property wise, it is more for accumulation of wealth over time.

 

[xebay11]

I think AUD FD rates also about 3%.

 

[Tekkun]

Do check out the FD promotion rates at every bank. You won't find it on the published rates.
You ask the banks personally.

 

[eric3417]

Wondering is there anyone here who puts a significant amount of money into Malaysian FD to get passive income from it? Like S$800k? Is it advisable? Or foolhardy? Need to invest that amount to get at least 4% returns to have enough passive income to retire. Or should I put into shares or property?

Do note that mm2h 300k FD is in Lien by Bank. Will not be so easy to swap banks for higher interest yearly.
Do check before u place it. Cheers.

 

[freedom]

Thanks for your replies....we were discussing last night and concern is currency risk as we may need the funds in our old age to move back to stay in Sg (when we are very old)....any thoughts on that?

 

[Tekkun]

Thanks for your replies....we were discussing last night and concern is currency risk as we may need the funds in our old age to move back to stay in Sg (when we are very old)....any thoughts on that?

FD in Singapore - 1.7% max
FD in Malaysia - 4.5% max

I believe in spreading risks.
FD, Bonds, Unit trusts, local and foreign properties and foreign bank accounts are my main strategies. Of course, EPF (CPF) is not forgotten.

 

[freedom]

FD in Singapore - 1.7% max
FD in Malaysia - 4.5% max

I believe in spreading risks.
FD, Bonds, Unit trusts, local and foreign properties and foreign bank accounts are my main strategies. Of course, EPF (CPF) is not forgotten.

FD in Singapore can get about 2.0% now

I guess the main push to sell my terrace house in Sg now is if I believe prices will go down in the long term but hubby seems very confident it will go up so he is reluctant to sell....

Just read about Paya Lebar Central , a development with Grade A offices, shopping and residential will be ready by 2018, near the MRT...it is near our home and investment condo so we are cautiously optimistic that will help our investment and property values...

What are you guys views on residential property prices in Sg going forward? Up or down...if down , I might as well sell now if not will be working for nothing as networth will go down, might as well cash out now...

 

[eric3417]

I doubt anyone can predict the outcome next few years either in SG or Msia. For myself I'm cautiously optimistic about msia / iskandar in the medium to long run.

Spore on the other hand i'm bullish in the medium to long run. I would keep my assets in SG. If it's freehold landed. I would never sell it till retirement age or when big funds are needed. To me, freehold landed in SG is solid 999 Gold.

 

[kopikong99]

It is still safer to park most of your assets and money in Singapore.

Freehold property in Singapore historically have performed well and unless you need money, then no choice but to cash out for the need.

But for 99 leasehold properties, especially for condo and except for HDB, it cannot be said that holding on is good.

Some old condo do gets enbloc windfall due to near MRT while some old condo values keep dropping due to old age and no enbloc potential and I know of one in the east side. So for those with no enbloc potential and if I can get good CA , I will get out and take the profit. Also the ROI for private condo is not good currently and tenants are harder to come by.

Having said all these and if you do not need the money, then you may just leave it as is as in Singapore property scene, every low in the up-down cycle is still higher than the last high. What it means is that after exiting, it would cost you more to re-enter the property market again to catch the new high in the next cycle.

And for Iskandar property, as with the current over-supply, it is a golden opportunity for those who have not entered and who need another home to stay while they monetise and rent out their HDB, they are spoilt for good choices at knock down prices. Now is a good time for potential retirees to look around and choose whatever you like, take your time to shop carefully and paying reasonable prices. Start planning to enjoy retirement without worrying about high cost of living and nothing to do, especially in affluent and small country.

I was able to purchased a private condo in Sg when the market was so down and cold, that people are fearful, that developer have to slash prices to move units, that I would not have been able to purchased if I have not make that move then and the window of opportunity would have closed soon after.

Time and tide waits for no men. Once window of opportunity is closed, it is gone if you do not work on it and grab it.

 

[freedom]

I doubt anyone can predict the outcome next few years either in SG or Msia. For myself I'm cautiously optimistic about msia / iskandar in the medium to long run.

Spore on the other hand i'm bullish in the medium to long run. I would keep my assets in SG. If it's freehold landed. I would never sell it till retirement age or when big funds are needed. To me, freehold landed in SG is solid 999 Gold.

My elder boy also says rental is a better idea...and as there are hints that ABSD may be removed soon, perhaps we should not sell...

Have stopped my only hectic locum slot on Monday mornings so hopefully, I will enjoy working more...will take more breaks too...

Kids education still the main impediment is either we come back with them Everyday via the Tebrau shuttle which will be tiring for them or they study in International schools...

As it is a major decision, will have to discuss with my family this CNY...if hubby continues not to have a job, his savings for his share of mortgages will run out in 5 years...that is why we r planning now...

 

[xebay11]

Freehold landed in Singapore is freehold gold, it is exclusive and comes with it's own postal code.

 

[freedom]

Freehold landed in Singapore is freehold gold, it is exclusive and comes with it's own postal code.

You own freehold landed in Sg too right? Intend to hold for how Long?

 

[xebay11]

You own freehold landed in Sg too right? Intend to hold for how Long?

Forever ha ha even if sell, it would be to upgrade to another freehold landed, see what the next generation is capable of, of course.

 

[nusajaya2020]

I see more and more landed property owners in Singapore cashing out, particularly in certain spots which get more crowded with apartments mushrooming up from owner land sales. Thus freehold landed will only get more rare, particular near good schools.

Good to see you kopikong, long time no see u in Nusajaya.