I am "depressed" after attending our 2 days Property Wealth System (PWS) Masterclass. Yes ?? I am starting my article with such a depressing introduction.

3 weekends ago (19-20 October), I attended PWS. For those reading this and do not know what PWS is about, allow me to give you a brief explanation about it. It is a 2-day workshop designed to help individuals maximise their real estate investment potential. There are three key points about PWS:

• Building wealth through real estate: PWS focuses on using real estate as a vehicle to build long-term wealth. It is not just about purchasing the best property, but making calculated, smart decisions that align with future aspirations, personal financial goals, and market trends.
• Strategic property investments: The system emphasises the importance of property types, locations, and timings, teaching participants how to identify opportunities in the market to grow their property portfolio effectively.
• Holistic guidance: PWS provides a roadmap for both first-time buyers and seasoned investors. It includes financial assessments, risk management strategies, and personalised advice on leveraging different property types, such as HDB flats, private homes, or commercial spaces, for maximum returns.

But before you think that I am here to rant about why I feel that way, you are not at the right place. Instead, what I am about to share with you is to encourage you that feeling "depressed" might be a good thing.

In today's real estate landscape, potential investors face a complex and rapidly changing market. Property prices are on the rise, cooling measures are in place, and navigating the property sector requires a strategic and informed approach. And if you have not fully kept up with recent trends, the recent US interest rate cut has created quite a stir in Singapore's property investment landscape.

Source: The Straits Times

It can be easy to feel overwhelmed or FOMO, especially if you have not fully kept up with recent trends or are new to property investment. This is exactly where many aspiring investors, including myself, find themselves after attending PWS - feeling a mix of excitement and, perhaps unexpectedly, a sense of being "depressed." But DO NOT worry! That feeling is a natural response when you begin to see the bigger picture of the property market and realise the importance of making well-informed decisions. In fact, this "depression" can be a sign that you are ready to take the next step towards financial empowerment.

The feeling of being "depressed" can stem from realising how much there is to learn and how far you might feel from your financial goals. You are suddenly aware of all the things you did not know before, and while that can feel overwhelming, it is the first step to meaningful growth.

Even in a market as stable as Singapore's, building wealth through property is not as simple as just buying and holding - it requires strategic thinking, market insight, and patience. Attending PWS came with an expectation to learn more about real estate investment - and I did - but I was also faced with the reality that my net-worth was significantly lacking and that successful real estate investment required more than just having basic knowledge.

If there is one thing that I took away from PWS that you need to consider is that you do not have to conform to societal pressure of property ownership. However, you have to consider how you want to live when you reach retirement age. While many of you reading this article may think that it is still such a far future, the value of money is decreasing as inflation drives up the cost of everyday goods and services, reducing our purchasing power. As a result, it takes more money to afford the same things we once did.

I have a little knowledge about property investment and ownership, thanks to my mum who is a PropNex agent as well as my current role in PropNex. As such,

Let us be clear: PWS is designed to push you out of your comfort zone. And that is where the magic happens! When you are challenged, you grow. When you face the truths about your current portfolios, strategies, finances, or past investment decisions, you begin to realise where you can improve. The discomfort you feel is actually the start of your journey towards becoming a confident real estate investor.

The good news? Every successful investor has gone through this phase of doubt and uncertainty. They have had their moments of, "Can I really do this?" And just like them, you will soon see that these feelings are temporary. With the right strategies and support, you can transform that initial overwhelm into actionable steps toward your financial dreams.

PWS covers a plethora of topics that centres around building one's net-worth through property assets, such as determining the right entry price, identifying our exit strategies, and how to determine between new launch and resale.

Value appreciation of HDBs, ECs, Condos, and Landed in Singapore

Source: Investment Suite

The price gap over the last 20 years has proven that the direction of Singapore's real estate will only move upwards. The average psf of private condos have increased by 150.29% from $680psf to $1,702psf. Landed private properties have increased by 259.96% from $532psf to $1,915psf. Executive condominiums have increased by 202.09% from $430psf to $1,299psf. HDBs have increased by 146.50% from $243psf to $599psf.

One thing I took away from PWS is that when investing in real estate, the focus should be on the property's value. Making a profit is a bonus!

While HDB have demonstrated notable profitability, the resale value of HDB may not always meet the financial aspirations of some homeowners, especially when compared to private properties. ECs, private condos and landed properties typically offer higher potential for capital appreciation over the long term. This is partly due to their freehold status or longer lease tenures, as well as the exclusivity and amenities they provide. Hence, while HDB is still profitable and will always be an affordable housing option for Singaporeans, the price gap between HDBs and other property types are getting wider. Those looking for greater capital appreciation might want to explore private condos, ECs, or landed properties, depending on their financial readiness and long-term goals.

At the end of the day, the crux of PWS is more than knowing which property type to invest in for better value appreciation. It is also about navigating past the danger of being priced out in the future due to inflation by elevating your assets. Property price movements will always be faster than income growth. As such, real estate investment is the best way to hedge against inflation.

If you, like me, are a regular salary worker, I can assure you that it is perfectly normal to feel priced out as you look at the current property landscape. However, it is vital to stay focused and not let the complexity of the task discourage you. While PWS has taught me that real estate investment is the best way to hedge against inflation, it is vital that we do not jump into it recklessly. If you are ready to enter the world of real estate investment and do not know how or where to start, the key is to start small, taking practical steps to move forward. Here are some ways to get started:

1. Educate yourself gradually

The first step to take after feeling "depressed" is to move forward. The real estate market can seem complex. Hence, do not try to learn everything at once. Start by focusing on one area - such as understanding property types, learning about financing options, or exploring the current market trends. Taking it one step at a time makes it easier to absorb information without feeling overwhelmed.

2. Talk to mentors or experts

No matter what stage you are in your real estate investment journey, one of the best ways to gain confidence is by learning from those who have already succeeded. PWS is one of the best ways for both laypersons and seasoned investors to learn. Keep up-to-date with our page to find out when our next PWS Masterclass will be opened. Other than that, you can also reach out to our experienced real estate agents. With the right tools on hand, they can offer insights into the current market, answer your questions, and help you avoid common pitfalls. DO NOT hesitate to seek valuable advice - it is a vital part of your journey.

3. Start small and build

If you are serious about investing in real estate, start with a property that aligns with your current financial situation. Assess your affordability, such as loan eligibility, savings, and income, before making a purchase. Finding a property within your means ensures sustainable investment, minimises financial strain, and allows you opportunity for future growth. Whether you end up being able to purchase a new development or resale, leasehold or freehold, landed, HDB or condo, it is all about sustainability.

Now, back to my title: I feel "depressed" after attending PWS. Am I going to stay that way? No. The journey to becoming a successful property investor is full of learning curves, but the good news is that the initial discomfort (worry, anxiety, or fear) is simply part of the process. PWS can be your first serious step towards financial empowerment, and that is something to be excited about.

Hence, if you are feeling "depressed" after seeing the current real estate market, take it as a positive sign. It means you are stretching yourself, learning, and preparing for future success. Keep going, stay focused, and before long, you will look back and realise that this initial feeling was the start of something incredible.

And, if you are looking to get started in property investment or just curious to find out what PWS is all about, I got just the thing for you: Early bird registration for next year's PWS Masterclass. I am not trying to hard sell but honestly, how can you put a value on investing in your future? ?? Shh... Don't tell anybody but I heard next year's going to be even better! Click the image below to find out more!

Views expressed in this article belong to the writer(s) and do not reflect PropNex's position.