Personal Finance
Annuities
By Living Healthy, Staying Wealthy  •  December 4, 2009
[caption id="attachment_3024" align="alignright" width="150" caption="Photo by mysza831"]Photo by mysza831[/caption] With the increasing discussion of CPF Life, it led me to consider if there is an alternative. And it struck me that property investment could be viable. Why? By paying a huge lump sum to CPF/insurer, in return receiving a monthly payout. It is similar to purchasing a property and collecting rental every month. The key is for the property to generate positive cash flow. Of course, I hear the naysayers with all the potential problems. 1. Insufficient down payment, resulting in mortgage payment higher than rental. 2. Mortgage for older age will have shorter duration. 3. Loss of income during rental gaps/change over. 4. Depreciation of property value. 5. Property management as landlord. 6. Various fees like taxes, legal, maintenance, renovation, repairs, insurance, agents, etc. 7. Interest rate fluctuations. And the list goes on... Read more...
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By Living Healthy, Staying Wealthy
Aaron Lau is a Independent Financial Adviser licensed by the Monetary Authority of Singapore to provide financial advice to individuals in Singapore. The main reason he is in the Financial Advisory industry is to share what he has learned after studying and comparing the various insurance and investment instruments in the market. He strongly feels that proper, quality financial planning is important to all individuals and sincerely would like to reach out to help as many as possible.
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