SINGAPORE (The Straits Times/ANN): Singaporean couple Sean Lee, 37, and his wife Rachell Tan, 36, brought their retirement plans forward by nearly two decades when they relocated to Kuala Lumpur in 2025.
The couple, who married in 2020 and who run an e-commerce business together, live in the gated township Desa ParkCity in KL, in a 135 sq m three-bedroom condominium apartment which they bought for around RM1.7 million (S$539,000).
After leaving their four-room Housing Board flat in Yishun vacant for almost a year, they recently sold it for $520,000, nearly double the price they paid on the resale market in 2019.
Since relocating, they estimate that their average monthly expenditure has decreased by at least 30 per cent, from $4,000 to roughly $2,740.
Enabled by remote work and digital businesses, Lee and Tan are among a growing number of Singaporeans exploring the idea of relocation while they are in the prime of their careers, drawn by lower living costs and the promise of a slower pace of life.
Those who spoke to The Straits Times say housing affordability, cheaper daily expenses and proximity to Singapore are some of the draws of moving across the Causeway.
Motivation behind the move
Lee and Tan, who do not have children, initially wanted to achieve financial independence in their 40s before moving to the Malaysian capital in their 50s for a slower, more affordable lifestyle.
But those plans were upended in 2024 when Lee’s mother unexpectedly lost her job in the food and beverage industry.
Until then, the couple’s road map to early retirement had centred on property. In 2024, they spent around $36,000 to renovate the four-room HDB flat of Lee’s single mother, making it more modern and elderly-friendly – with plans to move in with her after selling their own four-room resale flat at a profit.
The idea was to live with Lee’s mother while looking for a newer property to purchase. Instead, the family’s circumstances forced a rethink.
“With the renovation almost finished, we decided not to move in, so my mother could immediately rent out her spare rooms. That way, she didn’t have to worry about finding another job because she could receive passive income,” says Lee.
The decision also came against a backdrop of tighter finances.
Lee had spent five years building up his food and beverage business, Boufe Boutique Cafe, before it closed down in 2020 when the Covid-19 pandemic devastated the F&B industry. Later that year, he joined Tan in running her e-commerce business, which sells wellness and beauty products.
“I think many Singaporeans have toyed with the idea of living elsewhere when they retire,” says Tan. “With the sudden change in plans and the need to lower expenses, we started thinking more seriously about bringing our relocation plans forward.”
They sought financial independence by lowering their cost of living. As they explored their options, one solution stood out: geoarbitrage.
This refers to a financial strategy involving earning an income in a strong currency or in a high-wage economy while living in a country with a significantly lower cost of living. By widening the gap between income and expenses, practitioners aim to stretch their dollar further, build wealth more quickly and enjoy a higher quality of life.
Financial planners note that geoarbitrage works best for people whose income is not tied to where they live, such as remote workers, business owners and retirees. Other risks include currency fluctuations, local inflation and institutional reliability.
For Lee and Tan, the idea evolved from an interesting financial concept into one of the biggest motivations behind their move.
The cost of relocation
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