Safe investment tip for married couples.

Reader says...
I started following your blog about 6 months ago. 

I will like to seek your advice on my financial aspiration.

I did purchased some stock during my early work year and most of them are below IPO price. 

My paper lost is around 16k and my investment sum is around 35k. 

Due to this experience, we are very scare to do any stock purchase. 





However, we try our very best to save up as much as we could since we have not much idea on investment. 

We have around 200k in a FD account and two 60k BOC smartsaver account.

As we are both employee, we wish to be obtain financial independence by having a backup income. 

But we were divided on how to start the cycle.





My wife prefer purchasing another property for rent while i prefer your way which is to invest in REIT as i believe with our current cash reserve we are unable to get any good property.

In your opinion, which is a better way?
(This is not the full email.)







AK says...

Alamak. I don't give advice. 

I anyhow talk to myself in my blog lah.

You eavesdrop at your own risk. ;p

You have to decide for yourself what works for you and what gives you peace of mind. ;)








Reader says...

Thank for your reply.

Let say if you are in my position, what will you do? 

I will be eavesdropping.

Thank you.









AK says...

I would do what gives me peace of mind.

What gives me peace of mind would be different from what gives you peace of mind.

I don't have a wife but my friends who do tell me "happy wife, happy life". ;)







Sometimes, it is too dangerous to be a kaypoh and AK knows it. 

"Honey, who told you something like this?

"Tell me. I kill him!"

You better believe it.





Related post:
Buy that second residential property!

Worried about upgrading your home?

Reader:
I remembered you mentioned that our home is consumable. Not a asset.


AK:
Our home, if fully paid, is an asset. It is just not an income generating asset. ;)






Reader:
I'm contemplating job change after many years in same company so upgrading also a bit worried.


AK:
It would be very nice to do something you love.


Reader:
Just like you now.. be farmer at home and watch Anime😄


AK:
Alamak!

How a 30-something couple got rich and retired by not joining home ownership 'cult'. (See related post at the end of this blog.)






If we upgrade our home, we should not downgrade our mental health. 

If we have good reason to worry about upgrading our home, don't upgrade.

Most of us are not super rich but even for the super rich, peace of mind is priceless.

Is there any guarantee that we will make a capital gain when we sell our home in future? 

Can we treat money paid for our home as money in a Fixed Deposit which is, in case you don't know, almost risk free?

There are usually many perspectives on any one issue. 





Who is right? 

Who is wrong? 

I don't know. 

Maybe, you know.

Salesmen would want to sell. 

They have to. 

It is their job. 





Our job as consumers is to separate facts from opinions and then decide if we should buy.

Related posts:
1. Wife wants to sell HDB flat to buy condo.
"Our home is a consumption item. It would not be wise to overstretch our finances to stay in a more expensive home and I know a few people who overstretched."

2. Financial independence over home ownership.
"...would you rather have $1 million in income producing assets (e.g. income stocks) or a $1 million home (which doesn't generate income but instead would incur expenses)?"