Private Property prices......still up or down? Part II

[Wind30]

https://www.edgeprop.sg/property-news/are-property-developers-overly-bearish

Are property developers overly bearish?

Sept 7, 2018

 

 

This article really sound very desperate. I thought you say developer is still aggressive??? now even property agent also say developer bearish. sure gone case. I see the housing loan interest rate went up again.

 

So many enbloc, really got zero takers??? U got to post some successful enbloc leh

[Showster]

This article really sound very desperate. I thought you say developer is still aggressive??? now even property agent also say developer bearish. sure gone case. I see the housing loan interest rate went up again.

 

So many enbloc, really got zero takers??? U got to post some successful enbloc leh

Not really. The article was just really spot on regarding those who had the funds but sat by and missed the boat.

 

Those who were 100% non risk takers and had placed in capital protected instruments and savings are now stuck with having to contemplate higher costs of taxes and interest rates to buy.

 

Those who had undertaken riskier instruments, the bulk had been worse off than before.

 

Those vested in relatively new units and had continue to focus on yields diligently continue to sail safely through the period where prices and yields increase slowly but surely. It really had been the most fruitful instrument for the mass vested.

 

In the meantime, older units and speculators continue to wrestle with developers but that is another story.

Edited September 8, 2018 by Showster

[therock]

The appreciation rate for landed is much slower than condo. That and the fact that condo can sell to non resident

One buys Landed property not merely for rental or capital appreciation.. you enjoy living in it and the space. You can get better yields from condos. The sums involved mean less people can afford landed too.

[Wind30]

Not really. The article was just really spot on regarding those who had the funds but sat by and missed the boat.

 

Those who were 100% non risk takers and had placed in capital protected instruments and savings are now stuck with having to contemplate higher costs of taxes and interest rates to buy.

 

Those who had undertaken riskier instruments, the bulk had been worse off than before.

 

Those vested in relatively new units and had continue to focus on yields diligently continue to sail safely through the period where prices and yields increase slowly but surely. It really had been the most fruitful instrument for the mass vested.

 

In the meantime, older units and speculators continue to wrestle with developers but that is another story.

 

.... the article title.... ARE DEVELOPERS OVERLY BEARISH?

 

I honestly don't know in what ways can you read that. I really cannot argue. You win lor.

 

I am no longer looking anymore. Good luck in keeping this thread alive... I think this thread has quiet down...

Edited September 8, 2018 by Wind30

[Invigorated]

This article really sound very desperate. I thought you say developer is still aggressive??? now even property agent also say developer bearish. sure gone case. I see the housing loan interest rate went up again.

 

So many enbloc, really got zero takers??? U got to post some successful enbloc leh

rates have been relatively stable and those who have bought just few years back are still enjoying the low fixed rates.

 

for now, posb home loan rates at 1.7% p.a., pegged to fhr8. that isn't even the lowest rate.

 

Year 1: Year 2: Year 3:

FHR8 + 1.20% p.a.

FHR8 + 1.20% p.a.

FHR8 + 1.20% p.a.

Thereafter:

FHR8 + 1.20% p.a.

*The current FHR8 is 0.50% p.a. All rates are quoted on a per annum basis.

 

If you are refinancing your loan to POSB, you get to enjoy cash rebate of up to S$3,000.

Total home loan amount per property Cash rebate amount

S$500,000 to S$1 million

S$2,000

Above S$1 million to S$3 million

S$2,500

Above S$3 million

S$3,000

[Invigorated]

.... the article title.... ARE DEVELOPERS OVERLY BEARISH?

 

I honestly don't know in what ways can you read that. I really cannot argue. You win lor.

 

I am no longer looking anymore. Good luck in keeping this thread alive... I think this thread has quiet down...

whether the market is up or down, there will always be someone updating relevant news here.

 

this isn't a 'property will always up' thread. anyone interested in buying n selling is welcome to inject their inputs. buyers need to buy and sell and sellers also need to sell and buy. regardless of the market, there will always be someone buying and selling at the new prices.

 

similarly, regardless of whether you are here, there will also be someone else interested in chatting about property here.

 

this forum has generally quietened down if one has noticed and this is already one of the more lasting threads. good luck to you too in your 'not looking anymore.'

[Showster]

.... the article title.... ARE DEVELOPERS OVERLY BEARISH?

 

I honestly don't know in what ways can you read that. I really cannot argue. You win lor.

 

I am no longer looking anymore. Good luck in keeping this thread alive... I think this thread has quiet down...

Check up on the meaning of rhetoric. Was it a question or was it a statement?

 

Actually the posts have been vigorous since the CMs. We wil soon be at part III.

 

We were at the same point at the end of part I.

[Theoldjaffa]

I really dislike this KBW.

 

https://www.straitstimes.com/singapore/housing/price-of-50-year-old-hdb-flat-can-appreciate-over-the-next-10-years-khaw-boon-wan

[therock]

Very dangerous words..

These guys keep talking up prices when there is a finite drop. Unless they expect us to pick up the tab for their follies.

[Showster]

Let's think about it this way...

 

Supposing today the HDB is VERS-ed at 70 years old, getting back the owner some residual value of 30%, with the eligibility to buy a new BTO. Now, the owner is likely to be a second generation (offspring of the first owners). The HDB had been fully paid by the parents. This person not only inherits 30% or more of today's resale flat value, he/she also gets a chance to buy a new central BTO, when others queue also cannot get. 

 

For example, if the VERS flat is a 4-rm flat in Marine Parade, the VERS value should be minimum 200K to 300K. Supposing that he/she is a single, it is definitely possible to get a new, small 2rm flat nearby with minimum or no top up, plus a new 99LH property that is worth much more once MOP is met.

 

If one needs a larger family-sized unit (4rm or 5rm), then the current price BTO price should be 500K to 700K for a new 99LH at a comparable location. With the VERS proceeds plus top up 200K to 500K for a brand new large CENTRAL unit, after MOP worth again at a million or more.

 

If he/she is willing to consider outskirts HDB, there might not even be a need for top ups. No need to reduce size even.

 

Also to note is that the second generation owner does not even need to work a single cent towards this. 

 

It really does not and should not get much better than this.

 

 

 

 

Very dangerous words..
These guys keep talking up prices when there is a finite drop. Unless they expect us to pick up the tab for their follies.

 

Edited September 8, 2018 by Showster

[Wt_know]

what is the VERS for the $1.05M resale hdb at year 70?

Edited September 8, 2018 by Wt_know

[Mercs]

https://www.edgeprop.sg/property-news/marina-bay-and-tanjong-pagar-condos-still-draw-interest

Marina Bay and Tanjong Pagar condos still draw interest

Sept 8, 2018

 

Properties in Marina Bay and Tanjong Pagar continuing to attract buyers’ interest more than a month after the latest property cooling measures were implemented.

 

At the 54-storey V on Shenton — a one-bedroom, 506 sq ft unit on the 51st floor was sold for $1.57 million, according to a caveat lodged on Aug 23. The price translates into $3,098 psf, which is the second highest psf price in the project to date. A week before that, on Aug 16, a 452 sq ft studio unit on the same floor set the record psf price, at $1.46 million ($3,225 psf).

 

Post cooling measures on July 6, four units at the 428-unit Marina Bay Residences in Marina Boulevard have changed hands at prices ranging from $1,947 psf to $2,827 psf. The most recent sale was of a 1,130 sq ft, two-bedroom unit on the 12th floor, which fetched $2.2 million ($1,947 psf). It was one of the units sold by the developer.

 

In the nearby Tanjong Pagar area, two units at the 360-unit Skysuites @ Anson changed hands during the week: A 667 sq ft, two-bedroom unit on the 39th floor fetched $1.5 million ($2,248 psf) on Aug 24, while a 366 sq ft, one-bedder on the 16th floor was sold for $900,000 ($2,459 psf) on Aug 21.

[Mercs]

This article really sound very desperate. I thought you say developer is still aggressive??? now even property agent also say developer bearish. sure gone case. I see the housing loan interest rate went up again.

 

So many enbloc, really got zero takers??? U got to post some successful enbloc leh

https://singaporepropertykaki.com/2018/09/06/first-gls-tender-closing-since-new-cooling-measures-in-july-is-the-situation-as-bad-as-what-market-watchers-think/

Sept 6, 2018

 

Condo site at Jalan Jurong Kechil

The highest price of S$1,002 psf ppr from CSC Land and COHL Singapore (seems aggressive). Earlier this year, Kismis View, a nearby 99-year condominium development, was collectively sold to Roxy Pacific and Tong Eng Group for S$941 psf ppr. The bid from CSC Land was (6.5% higher) than the price paid for Kismis View.

 

 

Condo site at Dairy Farm Road

The highest tender price of S$830 psf ppr from United Engineers is 22.2% lower than the S$1,067 psf ppr that Hong Leong Group recently paid for a nearby GLS site at Hillview Rise but the large price differential is likely to be a reflection of the differences in selling prices in the 2 area.

 

The Dairy Farm Road site is located further away from the Hillview MRT Station and some of the nearby condominiums in the area include Tree House, Foresque Residences and Eco Sanctuary. A 2-bedroom 797 sq ft high floor unit at Tree House was recently transacted at S$855,000 or S$1,073 psf.

 

The Hillview Rise site is located nearer to the Hillview MRT Station, with supporting retail amenities nearby – HillV2 mall. Some of the nearby condominiums in the area include The Hillier and Kingsford Hillview Peak. At Kingsford Hillview Peak, a 2-bedroom 829 sq ft high floor unit was recently transacted at S$1.2 mil or S$1,448 psf.

 

The difference in pricing implies that residential properties on the Hillview side could potentially sell at a premium of 30% to 40% above the prices of properties on the Dairy Farm Road/Petir Road side. This is a likely reason for the wide difference in the tender prices between the GLS sites at Dairy Farm Road and Hillview Rise.

 

 

Executive Condominium site at Canberra Link

The highest tender price of S$558 psf ppr from Hoi Hup & Sunway is 4.3% lower than the record price of S$583 psf ppr paid by CDL and TID for the Sumang Walk EC site. Nonetheless, the tender price for the Canberra Link EC site is still (very aggressive) if we take into consideration the differences in executive condominium pricing in the 2 areas. Sumang Walk EC site is located in the North-east region and Canberra Link EC site is located in the North region.

 

In the North-east region, Rivercove Residences, an Executive Condominium development launched in April 2018 (another development by Hoi Hup & Sunway), achieved an average selling price of S$975 psf. In the North Region, Parc Life, an Executive Condominium developed by Frasers, was selling at an average selling price of S$850 psf this year.

 

At the tender price of S$558 psf ppr, the estimated breakeven selling price of the development will be around S$900 to S$950 psf and the expected launch price should be around S$1,000 psf to S$1,050 psf. This is a (10.5% to 17.6% increase) in the selling price of executive condominium in the area.

[Victor68]

.... the article title.... ARE DEVELOPERS OVERLY BEARISH?

 

I honestly don't know in what ways can you read that. I really cannot argue. You win lor.

 

I am no longer looking anymore. Good luck in keeping this thread alive... I think this thread has quiet down...

This is just a chit chat forum lah, there are agents and some are just kepo like me.so dont just take everything said as true lah. Otherwise I no need to buy Toto liao.

 

However, if you got money, you invest in property or blue chips shares, on the longer term sure win mah

[Showster]

what is the VERS for the $1.05M resale hdb at year 70?

It will not be more than half a million. But one likely gets another opportunity at BTO first choice at a central location, perhaps at a discount. That subsidy is worth a few hundred thousand by itself.

 

Perhaps the VERS compensation can be influenced a little by the resale price? Nonetheless, Govt has set a clear position way in advance that financially it will be a poor one to make.

 

1.05million already can purchase an older private at a decent location. Some have excess parking for a few cars at no extra charge. Why buy an old HDB at unbelievable premium? Then after heavy renovations cost have to take the HIP, HIP2 noise and dust from neighbours, then be relocated? Surely there are better choices if one can afford 1.05million?

Edited September 9, 2018 by Showster

[Ash2017]

I really dislike this KBW.

 

https://www.straitstimes.com/singapore/housing/price-of-50-year-old-hdb-flat-can-appreciate-over-the-next-10-years-khaw-boon-wan

 

 

Why?

 

Nobody ask you to marry him right?

[Sdf4786k]

One buys Landed property not merely for rental or capital appreciation.. you enjoy living in it and the space. You can get better yields from condos. The sums involved mean less people can afford landed too.

I think what u actually saying is less people as in less singaporean n limited pool of people can afford it.

 

I saw the nim collections. Very well designed HM with the new building code , the front poach with a small overhang balcony seems to add more usable space for the owner yet pravicy ..

[Theoldjaffa]

Why?

 

Nobody ask you to marry him right?

None of your business