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2%+ Interest Rate Deposits - 2019

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  1. #51

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    Quote Originally Posted by bdw:
    Sorry you are right I forgot you need to service the repayments . But probably could still put some of the money in a 3 month fixed deposit, some in 6 months, some in 12 months.

    Or do as I did and borrow for 4 years at the same rate. It reduces the payments to something more manageable.
    Get the term long enough, use the money to buy property whereby the rental can cover the repayment. This is good if you can find.

  2. #52

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    Original Post Deleted
    Not really. A mortgage is not ideal, especially in the states. First there is the qualifying aspect and time involved to get the funds. Then the home needs to approve an inspection for the bank and an appraisal value needs to also pass the banks test. Then they tack on 3% in fees to get the mortgage, now you have a secured loan that still requires a down payment, insurance and even mortgage insurance if your LTV is not proper. On top of all this, you are looking at a minimum of 3.5% APR, more likely 4% or more if it's an investment.

    A p loan in HK is very desirable especially with the USD and HKD peg. You can get a rate under 2% with a 5 year repayment and quickly and with no fees to get the loan. It is unsecured as well.

    In the US, property in many markets are increasing at wicked rates. Many areas are projecting 5-10% per year gains. Rental yields are very desirable, easily attaining 15% returns and much higher if you know where to look. There are plenty of opportunities to see 20-30% gains annually in the property price plus 30-35% returns on rental income.

    So in this case it's a good buy. I'm sure bdw could replicate this back in Aussie or something similar.

  3. #53

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    You couldn't get these returns in HK, maybe on property back in the day but definitely not on rental return.


  4. #54

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    Quote Originally Posted by MandM!:
    Not really. A mortgage is not ideal, especially in the states. First there is the qualifying aspect and time involved to get the funds. Then the home needs to approve an inspection for the bank and an appraisal value needs to also pass the banks test. Then they tack on 3% in fees to get the mortgage, now you have a secured loan that still requires a down payment, insurance and even mortgage insurance if your LTV is not proper. On top of all this, you are looking at a minimum of 3.5% APR, more likely 4% or more if it's an investment.

    A p loan in HK is very desirable especially with the USD and HKD peg. You can get a rate under 2% with a 5 year repayment and quickly and with no fees to get the loan. It is unsecured as well.

    In the US, property in many markets are increasing at wicked rates. Many areas are projecting 5-10% per year gains. Rental yields are very desirable, easily attaining 15% returns and much higher if you know where to look. There are plenty of opportunities to see 20-30% gains annually in the property price plus 30-35% returns on rental income.

    So in this case it's a good buy. I'm sure bdw could replicate this back in Aussie or something similar.
    Then you have the hassle of dealing with tenants, maintenance, enforcing payment, etc. What's the US like in that regard?

  5. #55

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    Quote Originally Posted by Paxbritannia:
    Then you have the hassle of dealing with tenants, maintenance, enforcing payment, etc. What's the US like in that regard?
    Depends upon your approach and luck of the draw with tenants.

  6. #56

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    Has anyone taken up the DBS offer?

    I don't currently have an account with them so filled out the form online to request an appointment to open, was told I need minimum $200k balance or $1m balance. Don't mind the 200k balance but once the 6 months elapses I'll be pulling all money out after - will they just close it thereafter?


  7. #57

    Current Time Deposit Rates?

    Which bank offers good deals at the moment, for HKD and USD?

    HSBC for existing funds indicates
    HKD : 3 months - 1.80% p.a, 6 months – 1.90% p.a., 12 months – 1.60%p.a.
    USD : 3 months - 1.60% p.a, 6 months – 1.50% p.a., 12 months – 1.40%p.a.
    Not sure about new funds.


  8. #58

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    @bgnewsletters - merged your post into an existing thread about deposit rates. Many of the promotions mentioned here are available - at slightly varying rates.

    DBS seems to have the best deal in town right now, like it did a couple of months ago.


  9. #59
    Quote Originally Posted by shri:
    @bgnewsletters - merged your post into an existing thread about deposit rates. Many of the promotions mentioned here are available - at slightly varying rates.

    DBS seems to have the best deal in town right now, like it did a couple of months ago.
    Thanks Shri.

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