My Approach Towards 99 Years HDB Lease

The below websites on the HDB lease is as follows:

https://www.straitstimes.com/singapore/housing/understanding-what-happens-at-the-end-of-a-99-year-lease

https://www.straitstimes.com/singapore/housing/lawrence-wong-there-is-still-value-in-older-hdb-flats

https://www.straitstimes.com/singapore/parliament-extending-leases-of-older-hdb-flats-involves-serious-trade-offs-and

have a different approach how to handle the 99 years HDB lease. Take it as a pinch of salt.

I do not buy the HDB flat and rent instead. You may be wondering on why I adopt such approach. I am in dividend investing and derive my fund from the dividend which are generated from my share investment portfolio. I use the dividend to pay for my monthly rent. I am not particular on the location of Singapore and in fact, the room which I rent, is located in so-called less populated area in Woodlands. This caters to the low rent which I am paying every month.

A lot of my friends have been questioning my decision to rent instead of buying at least a HDB property.  To them, they feel that the money which I use to pay rent is wasted. I previously tried to explain the rationale of my decision to rent. One of the reason is that I will be saddled by the monthly instalments from the loan.

I live a minimalist lifestyle and do not see the need to buy a big property. Hence, I am not inclined to buy the HDB flat with the 99 years lease even though the lease exceeds my lifespan. Who will live more than 140 years old. As such, this will not be a concern for me.

My friends do not accept my rationale. Since then, I simply keep my reply short by stating that this is my preference and I am happy with my decision. I am content with my minimalist lifestyle and am glad to lead a life without debt.

To each of their own.

WTK

Author: firewtk

A middle-age Singaporean currently having a minimalist and simple lifestyle. I am not longer in full-time employment with effect from 1 May 2019. I try my very best to write one post per day on this blog. The purpose is to share my prevailing thoughts to interested readers. It is up to the interested readers to decide whether they want to take action in embarking on the FIRE journey. I do not gain anything from this blog and it is solely for sharing hopefully for the benefits of all interested reader. WTK

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