- Negative cash sales
- Widening price gaps
- Risk of individual mortgages (for “sell one, buy two”)
- Property downturns at the wrong time
Picture this: you’re sitting down with a property agent, discussing your long-term financial goals. You mention your desire to build your wealth through property investment, and the agent’s eyes light up. Before you know it, they’re selling you the property asset progression story – how buying and selling properties can lead to huge returns and financial freedom.
It’s a seductive pitch and one that many people fall for. But as someone who’s seen both the highs and the lows of the Singapore property market, I can tell you that the reality is far more complex. Yes, property asset progression can be a lucrative way to build your wealth, but it’s not without its risks.
As always, the devil is in the details. While the concept of property progression is simple; the execution carries more risks than you might think. These are the main stumbling blocks: