According to The Sunday Times, dated July 18 2010, about 70% of Singapore private property owners do not buy mortgage insurance! Let me share with you why mortgage insurance is important if you own a private property.
In the event of death
To many Singaporeans, their property is easily their family biggest expense item. This is especially true now when $1 million is considered cheap for a condominium. However many houses are heavily leveraged, which means they are on a $800k mortgage loan after a 20% down payment. The surviving spouse got shoulder the entire loan repayment in the event of death of partner.
