Should you rent or buy? With homeownership rates in Singapore at a staggering 90.4%, you might think that this scenario isn’t something that many people would experience.

After all, for many young couples they don’t actually have to face this dilemma – especially when many would just get a BTO (Build-To-Order) HDB. But what about those “fortunate” few couples that earn way more than the income ceiling for a flat ($14,000 a year) or an Executive Condominium ($16,000 a year)? Let’s not forget singles below the age of 25 too. There’s no way you’re getting an HDB property and the trouble is, you’re not exactly rich either. So admittedly while this is still a niche crowd, we have been seeing an increasing number of people reaching out. Hence, it’s time to address the question of rent vs buy – from a financial perspective. Key financial considerations

• How much cash in hand you require, for renting versus buying
• Recurring costs of renting versus buying
• Capital appreciation

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