'I’m not doing it because I’m not even sure if I have a job 3 months down the line': Why some young Singaporeans are opting out of homeownership

SINGAPORE: Homeownership has long been part of the Singaporean dream. In fact, in ERA Singapore’s My Dream Home Survey last year, three in four Singaporeans said they still prefer owning a home over renting.

However, for some young Singaporeans, homeownership just seems less appealing—or simply less realistic.

Singapore Management University (SMU) assistant professor of sociology George Wong told EdgeProp Singapore that this diverse minority has a range of motivations and circumstances behind their decision not to own.

Some rent long-term in private residential properties, choosing the flexibility that comes with renting over putting a large amount of money into a home.

Others opt for co-living spaces for their furnished units and shared facilities, which offer a more convenient way of living, and perhaps opportunities to interact with others.

A number stay in serviced apartments or hotels for longer periods, prioritising the comfort, amenities and convenience that come with fully serviced accommodation.

Some are digital nomads or professionals who spend much of their time travelling and do not see the need to own a property in Singapore.

There are also those who remain in their family home.

Changing homeownership patterns also reflect shifting family dynamics in the city-state, as more young Singaporeans are staying single longer, marrying later or not at all, and choosing not to have children.

According to Mr Wong, more young Singaporeans today also have parents who already own larger homes or multiple properties.

He said these young Singaporeans may only start considering homeownership when certain life milestones, such as entering a committed relationship, getting married or starting a family, fall into place.

For others, financial goals or career ambitions may simply take priority over owning a home, Mr Wong added.

But for some Singaporeans online, it comes down to whether their jobs remain secure enough to take on a mortgage that could last decades.

One Singaporean on r/singapore said: “I’m not doing it [homeownership] because I’m not even sure if I have a job 3 months down the line. Let alone 30 years.”

Another added, “Same here. My finances are pretty decent. Not HENRY level but pretty good for my industry/skillset. But my field is quite niche, and if I lose my job I'm not sure I can find another one and the same field with comparable compensation. So I cannot bring myself to take on a decades-long mortgage. Besides the very real risk of job redundancy, it also means I cannot quit. I prefer to have the option to f*ck off if/when things get unbearable at work.” /TISG