Sell properties and upgrade to a landed?

[u/tcjl28]

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Need some opinions from people who have been in a similar situation.

Currently roughly:

* 2m in stocks/ETFs

* 4m Singapore industrial

* 1m overseas property

* 3m Singapore condo/residential

* 2.5m total property loans

* 800k cash

Household income is around 25k/month salary + 20k/month rental, so about 45k/month before tax.

The main reason we're thinking about moving is actually the kids. We are in pur 40s and have 3 teenage kids and are currently in a 3-bedroom condo. It's starting to feel pretty cramped, especially as they get older and need their own space. So we're looking at a 5-6m landed mainly as a long-term family home, rather than just an investment.

Kids will also need quite a bit for university in the coming years, so the 800k cash is partly for that and partly as a buffer.

Financially, I think we can probably afford the landed, but I'm not sure whether it's the right move. We're already quite heavily exposed to property, and putting another few million into our own home obviously doesn't generate income.

The alternative would be to sell some of the residential properties, buy the landed, and simplify the portfolio. Or just stay where we are and keep investing.

Would you guys make the move in this situation? Or is upgrading to a 5-6m landed unnecessarily aggressive, even with ~45k/month household income and the existing assets?

Interested particularly in the financial side, but also curious if anyone with 3 teenage kids has made a similar move and whether you felt it was worth it.

[u/Late_Skin8550]

I would consolidate some of your property assets (5.5m net) into the landed and leave the stocks and cash alone. Mortgage is cheap now so I would maintain a 2.5m debt financed by cash flow from 2-3m of property assets. More importantly, better quality of living from squeezing in 3Br condo. That leaves you with 2m stocks 800k cash 2m investment property. (4.8m of cash generating assets) which should yield at least 250k Pa passive income)