Stock market vs. Property investment

605	Alternative Investment Vehicles / Real Estate / Re: Property or Stocks?	on: October 26, 2010, 08:48:21 PM
Stock is a faster place to make money.  Without money, even the banks won't lend us to buy property.  There is a local saying goes like this;  you buy a property after you have earned the money. In general, property is more stable because it is for people who is financially sound. However in mainland or HK, people speculates on real estate property just like the share market.  With 10% of downpayment, the bank would easily lend you remaining balance to purchase a new property that is selling few times more expensive than market price.  After buying, if the 'overall value' of the same property fell, the purchaser have to compensate the bank for the loss, just like having a Margin call to top up the Trust account. Shanghai real estate property already experienced a crash in late 2005 and early 2006.  It is nothing new esp when RMB is forced to trade higher, the national exports deterioriate.  Malaysian Ringgit see herself enjoying in between the RMB and USD based currencies like SGD & HKD margin.