MoneyDigest - Personal Finance, Lifestyle, Money Saving Tips

Why Renting is the New Home Ownership in Singapore

With skyrocketing property prices and evolving lifestyles, more Singaporeans are finding renting to be a practical and often better choice. Here’s why renting is becoming the new home ownership in the Lion City.

FLEXIBILITY AND MOBILITY

Renting offers the freedom to move easily, whether for job opportunities, lifestyle changes, or personal preferences.

For instance, my friend, a marketing executive, recently secured a job in a different part of the city. As a renter, she could effortlessly relocate closer to her new workplace in Raffles Place, avoiding the hassle and cost of selling a property. This move significantly reduced her commute, giving her more time for herself and the things she cares about.

FINANCIAL CONSIDERATIONS

Owning a home in Singapore requires substantial financial commitments, from hefty down payments to long-term mortgage repayments. According to the PropertyGuru Singapore Consumer Sentiment Study H2 2022, younger Singaporeans (aged 22 to 29) are increasingly turning to renting due to insufficient savings for property purchases. This is not surprising, given that young, unmarried Singaporeans face restrictions in the HDB market. These restrictions include the need to apply as a couple or family unit, or wait until they turn 35.

Property costs can be overwhelming, but renting allows for better cash flow management. Without the need for a large initial payout, individuals can invest in their businesses, save more, or enjoy experiences that enhance their lives.

DEPRECIATION AND MAINTENANCE COSTS AVOIDANCE

Owning property involves more than just the purchase price. Maintenance, repairs, and renovations can accumulate costs over time. Moreover, property values may depreciate.

On the other hand, renters are free from these additional expenses since landlords usually handle property upkeep. This leads to significant savings and less financial stress.

ACCESS TO PRIME LOCATIONS

Renting can provide access to prime locations that might be unaffordable or unavailable to buy. Living close to the city center, with its vibrant lifestyle and convenient amenities, often comes with a high price tag for buyers. Renters, however, can enjoy these benefits without the long-term financial burden of a mortgage.

LIFESTYLE CHOICES

For many young professionals and expatriates, renting suits their lifestyle better. The flexibility to move closer to work, live in trendy neighborhoods, or enjoy various amenities often outweighs the traditional desire for home ownership. Renting supports a lifestyle that values convenience over long-term financial commitments.

For instance, my cousins, who are avid travelers, leave home once or twice a month. They can easily spend a month exploring Europe since they aren’t tied down by home ownership and its maintenance.

MARKET VOLATILITY

The property market in Singapore can be unpredictable, influenced by economic conditions, government policies, and global events. Renting provides a cushion against market volatility, as renters are not directly affected by property value fluctuations. This stability is particularly appealing in uncertain economic times.

IN A NUTSHELL

While home ownership has long been seen as a cornerstone of financial security, the trend in Singapore is shifting. Renting is increasingly recognized as a practical, flexible, and financially sound alternative.

Image Credits: unsplash.com

As the saying goes, home is where the heart is – and for many, that heart is happier and freer in a rented space.

Sources: 1,2, & 3

Latest WFH internships posted from 15 to 18 July 2024

Looking for opportunities under the big umbrella of marketing and business development?

We’ve got all the opportunities for you this week.

Take a look and send in your application fast!

#1: Living Shrimply – Digital And Social Media Marketing Intern/PT

Website: livingshrimply.com

Allowance / Remuneration: $700 – 1,500 monthly

Job Qualifications

Keen to learn media production and marketing
Someone with a good attitude and consistency

Key Responsibilities

Content Creation and Management:

Develop and execute engaging content strategies across all digital platforms, including social media, blogs, and email newsletters, to showcase aquascaping projects and products.
Produce high-quality multimedia content (images, videos, infographics) to highlight the beauty and intricacies of aquascapes.

Social Media Strategy and Execution:

Plan, implement, and manage social media campaigns to increase brand awareness, engagement, and conversions.
Monitor social media trends and leverage insights to enhance brand presence and reach.

How to apply?

View the job post in full here and email [email protected] to apply.

#2: Autonetics Pte Ltd – Business Development Intern (B2B)

Website: autonetics.com.sg

Allowance / Remuneration: $800 – 1,500 monthly

Job Qualifications

Currently enrolled in or recent graduate of a program in Business Administration, Marketing, or a related field.
Strong interest in business development, sales, and B2B marketing.
Excellent communication and interpersonal skills, with the ability to build rapport with clients and stakeholders.
Proactive and results-oriented with a strong desire to learn and grow in a fast-paced environment.
Ability to work independently and as part of a team, demonstrating strong organizational skills and attention to detail.
Familiarity with CRM software (e.g., Salesforce, HubSpot) is a plus.

Key Responsibilities

Conduct market research to identify potential clients and industries for business expansion.
Assist in developing and implementing strategies to generate leads and drive sales growth.
Support the business development team in preparing proposals, presentations, and pitches for client meetings.
Engage with prospective clients through cold calling, email outreach, and networking activities.
Collaborate with marketing to create compelling content and campaigns that resonate with the target B2B audience.
Track and analyze sales performance metrics, preparing regular reports for management review.
Contribute to maintaining strong relationships with existing clients and partners.

How to apply?

View the job post in full here and submit your resume to [email protected].

#3: Maven Potter – Social Media Management Intern

Website: mavenpotter.com

Allowance / Remuneration: $1,000 – 1,500 monthly

Job Qualifications

Good English writing skill
Suitable for undergrads/fresh graduates who are pursuing or have completed a Diploma or Degree in Communication / Marketing / Public Relations / Journalism-related studies
Adept at using Microsoft Word and PowerPoint
The ability to use Canva will be an advantage
Meticulous multi-tasker and a dynamic team-player

Key Responsibilities

Assist with the management of social media campaigns and content publishing
Research and curate content for social media posts
Write copy for social media engagement posts
Produce content for social media posts, which may include short social videos, feature stories, and photo stories

How to apply?

View the job post in full here and email your resume and portfolio to [email protected].

#4: Belle Femme – Business Development Intern

Website: bellefemmesg.com

Allowance / Remuneration: $500 – 1,250 monthly

Job Qualifications

Not specified.

Key Responsibilities

Marketing Executive with Creative Design Skills

Part-time or Permanent contract. Best with experience. Able to commit to 50% working in the office and 50% remotely basis.

IT Executive

Part-time or Ad-hoc basis. 100% remote. Equipped with SEO, Meta, and Shopify management skills. If you feel you are able to contribute and support Belle Femme in venturing into overseas markets, do state your preferred terms and salary for fast consideration.

How to apply?

View the job post in full here and write to Renee Katy Yong via this link.

#5: Intellect – Marketing And Copywriting Intern

Website: intellect.co

Allowance / Remuneration: $700 monthly

Job Qualifications

Currently pursuing a Bachelor’s degree or higher
Have excellent written & verbal communication skills in English
Are data-driven, results-focused, and always looking to improve things
Highly organized, and able to work independently and in teams
Preference for candidates who are able to commit full-time (3-6 months)
Preference for experience in prior jobs, internships, and/or certifications in Digital Marketing

Key Responsibilities

Work with Brand Marketing to ideate new marketing campaigns and initiatives
Assist the team in ideating and executing a content calendar across Facebook, Instagram, LinkedIn, and other new media platforms
Tracking and analyzing content and paid marketing efforts on social media
Create content and copy for integrated media strategies such as PR, email, video, and paid marketing
Manage and nurture working relationships with ambassadors and Key Opinion Leaders (KOLs)
Liaise with key brand partners and co-building promotional campaigns
Support the Marketing team in organizing and planning for Intellect’s annual Mental Health Festival
Partner with the B2B Marketing team to organize Intellect’s sponsored booth and entitlements at key HR conferences
Assist with event marketing for thought leadership events that are self-organised or run with partners
Test and learn new digital assets on various owned, earned, and paid platforms

How to apply?

View the job post in full here and apply via this link.

Editor’s note: These positions are selected based on the “remote” tag, but some are hybrid ones and you may need to report physically to the office. For more deets, do contact the employer directly.

Why Is It So Difficult To Save Money?

As I looked at my balance, I was overwhelmed by how fast my salary had disappeared. I’m not the only one! Many of us handle daily expenses and unexpected costs one day at a time, especially those living paycheck to paycheck. With the high cost of living, unnecessary purchases, and unforeseen expenses, why is it so challenging to save money? Here are some key reasons:

#1: NOT PRIORITIZING DEBT

Debt can be a major obstacle to saving money. The desire to pay off debt rather than save is strong, especially with revolving debt like credit cards. Interest rates on these accounts can fluctuate, often increasing the amount owed.

For example, the average interest rate on credit cards in Singapore is around 25% per annum. Consolidating debt with a low- or no-interest card or taking out a lower-interest personal loan can help ease this burden.

#2: IMPRESSING OTHERS WITH SPENDING

Social pressures can lead to overspending. Maybe friends invite you to an expensive restaurant, and you go along, only to split a hefty bill. Or perhaps you use a bonus to buy a status watch to fit in with big-spender pals. I recall a colleague who stole money from the company just to maintain face in their religious community.

If you find yourself overspending with friends, consider more affordable activities like museum-hopping, hiking, or local events. These are simple ways to save money while still enjoying time with friends.

#3: HAVING INSUFFICIENT INCOME

Your earnings need to cover your expenses, but sometimes unexpected costs outpace your paycheck. Keeping a budget helps track spending and identify areas for adjustment. For example, if your rent increases by 12%, you’ll need to find the extra money. In such cases, a side hustle might be beneficial.

#4: SHOPPING EXCESSIVELY

Shopping excessively doesn’t necessarily mean always filling your online cart. It could mean not being strategic about your spending. I’m guilty of this, especially since I prefer designer makeup and skincare for my sensitive skin. For instance, daily trips to a grocery store are more expensive than bi-weekly bulk shopping trips.

Making lists, tracking prices, and using coupons and cashback offers can help save money and even make the process enjoyable.

#5: LACKING MOTIVATION TO SAVE

Saving money is challenging if you don’t have a compelling reason. You might be overly focused on the present or unsure about future goals. Creating a savings plan starts with asking yourself where you want to be financially in the next 5 to 10 years and what you need to do to have “enough” money.

#6: INCREASING EVERYDAY EXPENSES

Many people debate whether the rising cost of living is as bad as it seems, but most Singaporeans have felt the pinch in recent years. Inflation affects housing, utilities, and groceries, and wages haven’t kept up.

#7: LACKING THE INSTINCT TO SAVE

Saving for the future isn’t a natural human instinct. Our brains struggle to think about the future in concrete terms. However, we can either trick our minds into better future planning or make saving money automatic. Behavioral economist and Nobel Prize winner Richard Thaler suggests, “If you want to help people accomplish some goal, make it easy.”

Image Credits: unsplash.com

By understanding the reasons why you need to save and making mindful adjustments, saving money can become more achievable.

Sources: 1,2, & 3

4 accommodations under $46/night in Bangkok, Thailand if you can free yourself for a weekend trip in October 2024

Itching for a weekend getaway this October to Bangkok?

Then allow us to intro to you some budget-friendly accommodations, all under $46/night, that will allow you to rest your heads.

These affordable options ensure you will have more to spend on Pad Thai and more.

Neat studio rental flat close to Airport Link Station

Price: $30/night (for 2 persons)

Travel dates: 11 to 13 October 2024

First up, we have this really cheap rental to start us off.

Touchdown at this Airbnb studio just a quick 7-minute stroll from the Airport Link Station.

Kick back on the wide balcony with city views from the 8th floor, then head downstairs for a caffeine boost at the building’s cafe or to pick up essentials at the convenience store.

With easy access to the city center, this studio is in a prime location.

Complimentary laundry service is provided so you can pack light.

Clean & bright vacation home near Huai Khwang Station

Price: $32/night (for 2 persons)

Travel dates: 4 to 6 October 2024

Or consider this bright vacation home near Huai Khwang Station, a part of a bustling neighborhood that comes alive late into the night.

Floor-to-ceiling windows flood the space with natural light, while a double bed and high-quality latex pillows ensure you catch up on your ZZZs.

Stay connected with free high-speed Wi-Fi, and take advantage of the coin-operated laundry on the second floor if you need it.

There’s room for a third guest (at an additional fee), just ask the host for more info.

One-bedroom unit with gym & pool access

Price: $38/night (for 2 persons)

Travel dates: 18 to 20 October 2024

Looking for a home base near Bangkok’s Huamak Station?

This one-bedroom unit offers homely vibes—a queen bed, a living area with a sofa, and a kitchenette stocked with all the basics.

You also get access to the building’s amenities, including a pool to cool off after a day out and a gym to stay active.

Stay a while or stop over—this prime location near Huamak station lets you dip into the city’s bests.

Double room in a vintage-looking villa

Price: $45/night (for 2 persons)

Travel dates: 4 to 6 October 2024

Last but not least, escape the tourist trail and experience local life like a true Thai native with this double room in a vintage-looking villa.

This place offers a real taste of residential living.

You will be nestled right among the locals, with a convenience store and hawker center just around the corner.

Inside, the room features a king-size bed, a private balcony for catching the breeze, and a wide couch to slouch on after a day of exploring.

There’s also a proper work desk if you need to get things done.

And that’s about it from us. These abovementioned options under $46/night won’t stay unbooked for long for a weekend escape this October. So, reserve fast, pack your bags, and get ready to hop on your flight to Bangkok. Have a safe trip!

Expensive Expat Living: Singapore Takes 2nd Spot in Asia’s Costliest Cities

Living in Asia as an expat offers dynamic urban landscapes and a rich cultural blend, making it an enticing prospect. Yet, this allure comes at a price. According to recent studies, several Asian cities rank among the world’s most expensive places for expatriates.

In a 2023 study by ECA International, cities like Hong Kong, Singapore, Seoul, Tokyo, and Shanghai made it to the top 10 global rankings for expat living costs. The rising cost of living, driven by high rental prices, inflation, and strong currencies, propels these cities up the ranks.

Image Credits: unsplash.com

SINGAPORE’S RISE IN GLOBAL RANKINGS

Singapore, renowned for its efficient infrastructure, safety, and quality of life, has seen a significant increase in expatriate living costs. The Lion City now ranks as the second most expensive city globally for expats. According to ECA International, soaring rental costs play a crucial role in this rise, making it increasingly challenging for expats to find affordable housing.

MOST EXPENSIVE CITIES IN ASIA

While Singapore’s ascent is remarkable, it’s not alone in experiencing a surge in living costs. According to the Mercer Cost of Living Survey for 2024, here are the most expensive cities for expats in Asia:

1. Hong Kong – This city frequently tops the list due to overwhelming housing prices and a competitive job market, yet it continues to attract international businesses and expats alike.

2. Singapore – Rapidly rising rental costs place Singapore as the second most expensive city globally for expats.

3. Shanghai – As a global financial hub, Shanghai has seen significant increases in housing expenses, cementing its status as one of Asia’s costliest cities.

4. Seoul – Known for its tech-savvy lifestyle and vibrant culture, Seoul demands a high price, particularly in housing and education.

5. Tokyo – With its blend of tradition and modernity, Tokyo’s high living costs are driven by pricey real estate and high standards of living.

Image Credits: unsplash.com

BALANCING LUXURY AND COST

As Asia evolves into a hub for international business and lifestyle, understanding the financial landscape is crucial for prospective expatriates. High living costs in cities like Singapore offer world-class amenities and cultural experiences. Yet, balancing luxury and expenses is tricky. It will take time to navigate these financial pressures while enjoying the unique city living.

Sources: 1, 2, & 3