Since you have cash flow concern, better sell it off for peace of mind. I also quickly sold my old landed house after move into the new house, as my old house also same like yours got capital gain but low rental yield. Since it is fully renovated and still in good condition, plus my wife and I never wish to deal with tenant, we decided to sell it off and take profit for peace of mind

There are ways to counter that and to strategize.the disposal

Which property is this also has a weighing in factor

I heard he did check for personal loan to finance the short fall. But in the end he decided not to proceed, just continue to rent out with negative cash flow and hope the price can bounce back in future.

To him, the  "pain" lesser with longer tenure.

Usual ways to reduce deficit

Use kwsp acct 2 monthly withdrawal to cover shortfall

Fully furnish the unit to get higher rental and less competition. And place urself to be able to sell higher when wanna sell since fully furnished

Buy another property with good cashflow and use this to offset the older deficit

Refinance with banks offering zero moving cost, or interest only loan etc etc etc

Wah, that sounds aggressive. But I don't think he still got energy to take such aggressive plan. I remember the time he bought still need to throw banker chequefor balloting, and already used up his account two to finance the short fall, as he bought beyond his salary limit.

Sorry I want to hijack this thread for my own personal challenge.

I currently have two mortgages and need some advice on how to proceed.

Property 1: Landed House (Outskirts)
Status: Fully built, currently in year 4 since the Sale and Purchase Agreement (SPA) date.
Monthly Installment: Approximately 3,000.
Current Use: Rented out with a negative cash flow; I cover 30% of the installment myself.
Initial Purpose: Bought to stay with my parents, but they passed away before the house was completed.
Current Issue: I don't want to live in this house due to the long travel distance and my company no longer has work-from-home policies. This has become my most costly mistake.

Property 2: High-Rise (Closer to City)
Status: Under construction, almost 90% of the features meet my needs.
Monthly Installment: Will be similar to the first house.
Current Payment: Small amounts towards progressive interest.

My Situation:
- I initially bought the landed property to live with my parents, but since they passed away, I no longer want to stay there.
- I purchased the second property to have a home closer to the city, which suits my lifestyle and needs better. (own stay)
- Upon reaching year 5 of the SPA date for the landed house (next year), I'll benefit from a Real Property Gains Tax (RPGT) reduction if I sell it.
- I can't afford to hold the landed property into year 6 (0% RPGT) because the installment for my second property will significantly increase by then.
- The negative cash flow from the first property rental might be reduced to 10-20% (foresee the area to boom with shoplots opening soon), but it will still not cover the full installment. Additionally, I need to consider other expenses like taxes and security fees.

My Question:
Should I continue renting out the first property from Year 5 onwards despite the negative cash flow, or should I sell it for a profit next year after the RPGT reduction? What should be considered in my thought process?

Thanks for anyone that managed to answer my question!

For me just continue to rent it out first. I have just one condo la, so just need to topup a bit to cover bank. Rent can cover 90% instalment.

Sell now rugi. But future outlook also doesn’t seem will have a big uptrend or boom coming.

Property doesn’t seem like a good investment in My. Not worth the risk taken and hassle. What else to invest in long term? Any ideas?

Since you have cash flow concern, better sell it off for peace of mind. I also quickly sold my old landed house after move into the new house, as my old house also same like yours got capital gain but low rental yield. Since it is fully renovated and still in good condition, plus my wife and I never wish to deal with tenant, we decided to sell it off and take profit for peace of mind