Instead of buying 1 private property only and putting in all their resources into that one single property, Don and Pei Ling can look into buying 2.
As Don is the one with the higher income, he is eligible to loan up to $982,000 and can buy a 3 bedder condo at $1.31m. This will be the home they will be living in as they need the bigger space for their growing family.
Pei Ling is eligible to loan up to $868,510 and she can buy a property priced up to $1,158,014. However in order to minimise the commitment, she is looking to buy at about $850,000 or so. The rental that she gets from this investment property can be used to offset the monthly instalment for the 3 bedder apartment in which the family is staying. They will still have cash reserves of $62,640 without touching a cent of their savings at all.
I have deliberately kept the numbers to a minimum here so that you can get a general idea of how you can benefit from leveraging on properties to increase your wealth in a effortless and low-risk way.