I read this article with interest. I began shopping around for a simple double storey terrace house on a 20x70ft plot since 2007. Back then a house like this cost around RM250,000. The financing agents told me it worked out to be about S$700 or so in monthly mortgage payments. I could not remember how many years the loan was projected to be, though I was quite sure it wasn't anything like 30 years.
The reason I wanted to buy one of these was not egoistic. None of the "Here, I live like a millionaire," bullshit. It wasn't about the thrill of owning a landed property - something most Singaporeans will never afford to do in Singapore and definitely not to show off to friends that I owned a landed property somewhere else. As if they give a damn really. The main reason was retirement and I gave it a serious thought when I was in my late 20s back then. There was a restriction for Singaporeans to buy properties below RM500k. This was put in place so that the demand from Singapore buyers would not push up the lower price range of housing so that Malaysians had the choice to select lower cost housing if they wished to. As Jen was a Malaysian, we considered buying that humble terrace house with a maximum budget of RM300k. No big garden, no swimming pool, no automatic gates or balcony big enough to hold 4 mahjong tables.
I reckoned that when I retire or get the boot from the working world which comes first, I would be able to move to the terrace house and live a frugal life as I would definitely not be able to retire in Singapore for sure. More so if I have children along the way. Then about 2-3 years later, HDB introduced a rule to make owners of private properties , foreign or not, ineligible to buy HDB flats unless they sell up.
From there, we had to make a decision. We wanted to get married, so we would probably need to have a place of our own. We could not afford anything other than a HDB flat in Singapore. So I dropped the plan to buy the property in Malaysia because if I had to sell it a few years later when we get married, it defeats the purpose of buying the place for retirement. It was either staying with parents or sleeping on the streets with a property in Malaysia, staying in Malaysia and commuting between both countries everyday for work, or buying a HDB flat with no property in Malaysia. Both our working hours were erratic. It was common for us to work until late at night, with Jen knocking off in the wee hours often. We were left with only 1 rational choice. But that meant, we will face a very real problem of picking cardboards and selling tissue paper on the street in our late years. I've heard people saying this would never happen to them because they are degree holders. What these people do not understand was poverty does not recognise degrees. If you screw up, poverty comes to you, regardless or race, language or religion, degrees, doctorate or not. We have to accept the consequences of our choice.
Some told me it was a crazy idea to consider buying a house in Malaysia. It was a shit place, a snake pit, a sin city, a crime haven they said. I took these claims seriously but I wanted to open my eyes and analyse the situation myself objectively. Over the years since then until I finally left Singapore for Perth, I went to JB regularly and got to know the place better with Penny's help many times. I decided that it was worth taking the risk of buying a house in JB. Our sentiments towards JB and Malaysia was largely past data. It wasn't accurate at all. Not even the present data will be accurate enough to predict the future of Malaysia 2-3 decades away. I saw progress among the chaos, effective work done in the midst of the incapability of Malaysia so very often deemed by Singaporeans. Stereotyping can not mask the truth. Malaysia will not be behind Singapore forever. I had gained much through my observations over the years to be convinced Malaysia will catch up by the time I reached retirement age.
This is controversial. Many would not agree with me and demand for justifications. This is not a research. I have no hard statistics to prove anything though I did have my reasons to believe that buying that property in JB in 2008 was not going to be a risky decision. I would not discuss them in this post because there isn't a point to convince anyone who can't see in clarity. Just take it as a gut feel. The gut feel can be trained to be very precise if done right. There is a difference between subconscious analysis and wild guessing.
All my plans crashed after Australia granted me visa which allowed me to stay and work here. I dropped all the findings over the years and moved on to Perth without knowing where I would be. I still wonder how things will turn out for me. Every single person around me is established in some way or another. They would either have a HDB flat back home, even paid up ones or sold up and came over with a little financial backing. Else, they will have nothing back in Singapore but already have a house of their own here. Nobody is quite in the same situation as me. For me, I have nothing to give me a hint how my future will turn out to be. No HDB flat, no house in Perth and my household income is not high enough to convince the banks to lend me an amount of money enough to buy me the entry level home over here.
In a paradox of choice, I have a surprisingly easy task to do. I have no access to do anything so I am left with 1 thing to do and nothing else. To save money fervently until my first option opens up. Meanwhile, I have not given up the possibility of moving to Malaysia in my later years. I am not sure how serious Angie was. We agreed to look into the idea of running a budget inn in Malaysia as a retirement past-time. I wondered if she still remembers.