Rich Dad Poor Dad became best seller only because he aligned himself with MLMs in the US. And most MLMs made it required reading for their members.
I believe Moody is warning about this issue... over borrowing to buy property...:sweat:
Rich Dad Poor Dad became best seller only because he aligned himself with MLMs in the US. And most MLMs made it required reading for their members.
Today ST paper so big wants to sell their mall into REIT (transfer risk to us), I think bank no more $ to borrow them already, so interest rate sure to go up soon.
main stream media just declared that banks are strong ... so people can borrow more
oh that book! when it was out, everyone is talking abt it, as if if u don't read, u r condemned.. and now those friends of mine who read it, they are still on debts for their pigeon holes..
Now you know why g wants COE to be so high. It acts as a "security deposit" for bank in cases u can't service the loan. Who owns the banks here ? Think ...
The Bank is strong ... but is your ability of repayment just as strong ?? :nono:
if borrowers repayment not strong ... then banks also not so strong right?
If you can't pay the loan the bank will just repo your condo or House and sell it for much more profit then the interest it is going to generate. If its a HDB flat then the HDB will do the same to you and offer you a rental flat if you are qualify or lucky.
Except for car, which is a depreciation asset.
Bank will loss money even they take you car away and try to resell it. Holding it is not an option as well.
oh that book! when it was out, everyone is talking abt it, as if if u don't read, u r condemned.. and now those friends of mine who read it, they are still on debts for their pigeon holes..
actually, I thought almost everyone made money from property since it was going up the past few years....
but they still need to take a bank loan to finance their purchases anyway
If you can't pay the loan the bank will just repo your condo or House and sell it for much more profit then the interest it is going to generate. If its a HDB flat then the HDB will do the same to you and offer you a rental flat if you are qualify or lucky.
yeah.. but that doesn't matter as long they're making money as the cat said earlier
they have positive cash flow.. plus the asset inflation, driven by property bubble
now its just a matter of soft landing (cooling measures).. or bubble burst