Property as a cost of living

Many people paid too much for a property thinking that it will appreciate in price and is an investment. This is the wrong way to look at a property. The property should be looked at an expense, representing 4% of the cost of the property.

If you pay $500,000 for a property, you should take your cost of occupying the property to be 4% or $20,000 a year. This is the amount that you have to pay, if you  rent a property.

The large appreciation in property prices in the past will not be repeated, as the property prices are now too high, relatively to the average income of the people. Read these important facts in my FAQ on "property" in my website.

www.tankinlian.com (search for Property).