Your Income Will Probably Never Catch Up to Property Price.

Dec 3

Don’t Wait Until You “Earn More”—Because The Wait Is Only Getting Long

You’ve probably told yourself: “I’ll buy a home when I’ve earned more, saved more, when the timing is perfect.” It sounds reasonable. But here’s the hard truth: as you wait, property prices are sprinting ahead — and your income is chasing at a steady jog. According to PropNex, from 2000 to 2024, median monthly household income rose by about 166% (from S$1,586 to S$4,226) in Singapore.

By comparison, many property-prices (both HDB resale and private) have more than tripled in that same timeframe.

That means if you delay your entry into property ownership on the assumption you’ll “catch up” later, you face these three realities:

A larger absolute price to pay when you do buy (even if you “earn more”)
A smaller “head start” time-wise to building equity
Greater chance of feeling stuck or being permanently behind

Why the Gap Keeps Widening

There are some structural reasons why incomes and home-prices don’t move in sync:

Land scarcity + global investment flows - Singapore’s land supply is finite, and global interest in property has elevated price levels. PropNex notes “land scarcity, global investment interest and higher construction costs” all contribute.
Productivity and wage ceilings - While wages grow, they are limited by job market, economic growth, local productivity. They don’t always accelerate to match inflation + asset growth. The article says: “wage growth has been tempered by productivity ceilings and slower economic expansion.”
Nature of asset accumulation - Buying property allows you to leverage (mortgage) and ride on appreciation and time. Income alone doesn’t generate the same multiplier effect.

In short: your salary + savings may grow modestly over time — but the price of getting into property grows faster. At some point, waiting becomes self-defeating.

The Advantage of Starting Earlier

If you start earlier, even with modest means, you give yourself time to build equity, to benefit from appreciation, and to move upwards. The article uses a concrete example:

Couple A buys a flat at 25 for S$400,000 (let’s say).

Couple B waits until they’re 35 — by then, assuming 4% annual price growth, that same flat costs about S$592,000.

Same home, much higher cost because of waiting. Couple A locked in the price, started repaying earlier, built up equity and time. Couple B is starting later, at higher cost and less runway.

The insight: Time is one of your best allies in property. The earlier you start, the better chance you have of using your property as a wealth-building asset, not just as a place to live.

Use Leverage — It’s Not Just for the Rich

You don’t need to be ultra-wealthy to get started in the property market. The key is leverage — taking a mortgage, starting with a down payment, and letting time + value appreciation + loan amortisation do much of the heavy lifting.

Here’s how to think about it:

You buy today at a lower base price.
As you repay your loan and as the property appreciates, your equity (the portion you truly own) increases.
Later on, you can upgrade, refinance, unlock equity, or move into your next asset.
Waiting to accumulate the “perfect” amount of savings might cost you the chance to begin the cycle.

Where to Start Your Property Journey

If you’re thinking of making that move, here’s a simplified “starter roadmap” (in your words) that I often share with clients:

Know your limits: Set your housing cost (mortgage + insurance + other debt) to around 30-35% of your net take-home pay. That’s a comfortable rule-of-thumb.
Check grants: If you’re a first-time homebuyer (HDB for example), you may qualify for grants that reduce your upfront cost.
Get pre-approved: Know how much you can borrow, test scenarios if interest rates rise 1-2%.
Plan your CPF use: Decisions on how much CPF OA (Ordinary Account) to commit, how much you save for later, etc.
Build a safety buffer: 6-12 months of expenses set aside is smart before you commit a major property purchase.
Seek professional advice: A property purchase is one of the biggest financial decisions you’ll make — talking to trusted advisors early is worth it.

My Take (and What I Tell My Clients)

As someone who made a shift from IT into real estate, and as someone who cares about helping people use property as a wealth-builder (not just a home), here are some convictions I operate from:

If you keep telling yourself “I’ll wait until I earn more,” you might actually be paying more — not less — for the same home.
Your first property doesn’t have to be perfect. It needs to be right for now and start you on the path.
I often encourage clients to think of property ownership not just as “a roof over my head” but as “an entry point into long-term asset growth.”
Time is unfair — the earlier you start, the more powerful your compounding effect (of equity growth + price appreciation + loan repayment) becomes.
Don’t let fear of “when is perfect timing” stop you. Because perfect timing might never come. Start with what you can do now, and plan upward from there.

Final Thought

The gap between your income and property prices isn’t slowing down — it’s getting wider. So instead of waiting for when you’ll “earn enough,” put yourself in motion now: understand what you can afford, make a plan, and let the market work for you (instead of against you).

As you build your property story, remember: You don’t need to buy the biggest or most expensive house first. You need to start smart — with something manageable, in a location with good resale potential, with a horizon to grow. Then, let time, equity and strategy take it from there.

Daniel Lin