Can You Afford Not to Buy a Property?

I was at a Chinese New Year Party recently when a young man of about 30 years old named Paul asked me about property prices. He wanted to know if they are going down any time soon. I gave him a truthful answer that is I have actually seen property prices lowering due to various reasons. However, in some areas in, the Klang Valley prices of landed property has not been affected by the doom and gloom that we read and hear about.
He lamented that young people like him would never be able to afford to buy a house today. He was a university graduate, working for a few years in a multinational company and got to travel a bit with his work. On week-ends he conducts martial arts classes because that is his passion. Besides, the money is good too!
He is a good Asian son who still lives with his parents and recently took them on a holiday abroad. There was no sign of a girlfriend. My guess is he is happy with his present lifestyle and living arrangements. He is comfortable and does not need to think of much besides his work and hobby. As long as this is the way you think, then you will not own a property.
However, if you consider the following, then you may not be satisfied:
  1. Will I be contend staying with my parents for the rest of my life?
  2. Will I stay with my parents after I get married? Will my spouse agree to that arrangement?
  3. When my parents pass on, what will happen? If the property is sold or shared between my siblings what will I do?
  4. Am I happy to stay in a rented house for the rest of my life?what happens if my landlord increase the rental or chooses to sell the property? Will I be able to find another house to rent in the same location? At what price?
 
The reality is owning a roof over your head is not a luxury regardless of what people may tell you. You need to buy a property (house/apartment) no matter how small because a roof over your head is an absolute necessity. Granted you may not want to live on your own right now but it is still yours to do as you please, when you please. No one can take that away from you, unless you fail to make mortgage payments.
The price of property is dependent on location, size, landed or not. History has proven that the value of property increases over time simply because land is scarce and building costs rise over time.
So bite the bullet, invest some time and money in choosing the best property for you and just do it. Otherwise you might find that your money has been spent and you do not own a property simply because you were waiting for the right time. The right time, young man, is now.
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