[Levin]

https://www.channelnewsasia.com/singapor...ld-3272656

[Bigiron]

https://www.theonlinecitizen.com/2023/02...at-owners/

[Levin]

https://www.theonlinecitizen.com/2023/02...at-owners/

I think the writer's assumption that HDB will always appreciate at a 4.6% compounded rate is wrong (the writer even mentioned a 6.9% compounded rate later in the article). If one looks at the HDB index chart from 1990, one will know that is not true. The greatest period of appreciation (in terms of duration and percentage gain) is between 2008 to 2013 when USA prints loads of money. But other than that, there are only 2 periods where prices keep going up at a relatively high rate, 1993-1996 and 2020-now (mainly due to construction delay).

I don't think the appreciation will be like that over the entire lease of the flat as I don't think USA will keep printing money or pandemics keep appearing (I hope so). The other reason that I do not think the appreciation will be like this over the entire lease of the flat is that the older the flats get, the slower the appreciation. In fact, once it gets old enough, there might not be any appreciation as the remaining lease gets smaller. This happens to my friend's landed property where the remaining lease has very few years.

The writer also assumes that the money that goes to CPF will not be paid out to the CPF holder through monthly payments. The writer just states that the 120,000 will become reinvested and that's it. As if it will always stay there.