Asset Progression is no longer optional

How much does it really take to retire comfortably in Singapore? Like serious, have we ever sit down and do the math?

Quick Math: What Does “Comfortable” Retirement Really Cost?

Assume:

• Retirement age: 65

• Life expectancy: 85

• Duration of retirement: 20 years

• Comfortable allowance: $3,000/month per person

  
  

Total retirement fund needed per person:

20 years × 12 months × $3,000 = $720,000

For a couple:$720,000 × 2 = $1.44 million

How Much Must We Save Monthly?

If we start planning seriously at age 30, we have 35 years to accumulate this amount.

$720,000 ÷ 35 years ÷ 12 months ≈ $1,750/month per person

For a couple, that’s about $3,500/month that needs to be set aside consistently.

Sounds like something a financial advisor would say? Probably

But I do know that most everyday Singaporeans will struggle to commit such an amount every month but if you already do — kudos!

Back to topic, how does owning a property help with your accumulation of wealth ? To sum it all up, Leverage on your asset growth.

Let’s deep dive 🙂

Say you are the majority of everyone you are probably going to start your property journey with a HDB first.

Majority starts with a 4 room HDB you leverage on grants and subsidies and that is okay!

But I implore you to consider these 2 scenarios

Scenerio 1

One you stay till the end of life

Scenerio 2

Two, you choose to upgrade your home PRUDENTLY. Upgrading with little to no additional cash. YES it can still be done in today’s context but planning on how you enter, exit and leverage your grants is a must (Willl cover it in time to come in my articles )

Asset progression is not just about shifting to a bigger house, but planning and integrating multiple strategies together.

Your entry price, exit price, how you hold the property, how you finance strategically and how much CPF you use may make or break your plan.

case studies

No 1

A couple bought a 5-room HDB for ~$400K, stayed 20 years, and sold for ~$800K.

Looks like a $400K profit, right?

But after CPF refunds, the actual cash proceeds they received were only ~$100K.

They right-sized into a 4-room at $600K (fully paid). After all transactions, they had about $200K left.

Is $200K enough for retirement?

We already know the number: $720K per person.

This couple is far short of what they need

No 2

Another couple, similar age and income level, bought their 4-room HDB for ~$400K in their early 30s.

But they made one key move:

They upgraded in their mid-40s while their incomes were peaking.

They sold the HDB for ~$600K and walked away with arounf $150K cash proceeds.

They then upgraded prudently into a $1M private condominium with a manageable loan.

Fast forward 10–15 years — their condo appreciated to ~$1.4M.

Now in their 50s, they have options:

• Sell and unlock several hundred thousand dollars

• Right-size back to a fully paid HDB/condo

• Rent it out for passive income while semi-retired

  
  

By leveraging earlier, they turned a single home asset into a wealth-building pipeline.

Compare both couples:

Which one is better positioned for retirement?

Understand Your Options?

I hope this article has shed some light on why homeowners today need to plan ahead for their asset progression. At this stage, it’s no longer just a want — for many, it has become a need to secure a respectful and sustainable retirement.

If you're unsure whether upgrading, right-sizing, or holding your current property is the right move for your stage of life, feel free to reach out to me or speak with your trusted property advisor.

Your retirement journey starts long before you turn 65 — and it begins with the decisions you make today.