Trait of an incredibly stupid Finance Minister

If a home buyer can afford to provide a 20% down payment, he or she would not find difficulty getting a standard mortgage from any financial institution.

Ong Eusoon

Property crowdfunding scheme is  designed to provide short term loan to existing home owners who need a loan to refurbish and sell a property, take advantage of a business opportunity or to re-arrange their finances.

It can be designed as a financial scheme for those who want to purchase and rent ‘buy-to-let’ properties with existing tenancy.

It is not suitable to use crowdfunding for down payment if you don’t have spare money or savings at all. Crowdfunding your down payment is best for those who have some financial flexibility.

It was never designed as proposed in the FundMyHome scheme. The first issue that the FundMyHome scheme will face is the unrealistic expectation that requires first time home buyers to come out with a 20% down payment.

If a home buyer can afford to provide a 20% down payment, he or she would not find difficulty getting a standard mortgage from any financial institution.

No financial institution will contribute the 80% of purchase price and expect to receive only 5% return on 20% of purchase price in the first 5 years. It will be a tough sell for our genius finance minister to make a strong case for why people should hand over their money to the FundMyHome scheme.

Who will be so dumb and stupid to invest in such a property crowdfunding platform?

Probably only Lim Guan Eng, the best finance minister in the world and his half plus six sidekick, Tony Pua, will invest generously in the FundMyHome scheme. Well, two also can be considered a crowd. Why not if they have the money as much as their stupidity?

This half plus six crowdfunding scheme only benefits the developers. A telltale sign that Lim Guan Eng still maintains strong connections with rookie housing developers.