Singapore Property Scene Discussion

[13177]

On 4/24/2023 at 1:36 PM, Throttle2 said:

yes, in fact thats why i said the bulk of the million dollar HDBs are bought by older folks who are downgrading becos they have not much money other than the property they own.   So they sell private and buy HDB.  
but imagine a younger couple in their 30s, buying a 40yr old HDB for more than a million bucks and spending another $100-200k to do it up.   Good luck to them if they think they gonna make big money or any money at all.

Maybe that young couple no plan to move anymore? 😅

[Throttle2]

On 4/25/2023 at 2:33 PM, 13177 said:

Maybe that young couple no plan to move anymore? 😅

Sure, that would be a very small percentage of young people

And also  they will regret their decision. 

😂🤣😎

 

[Busker888]

https://stackedhomes.com/editorial/3-surprising-upcoming-changes-that-may-affect-property-prices-and-en-bloc-in-2023/

Those bought or holding on to units w void space will lose out after June 2023 ? In future, will banks value the unit less the void space or next time Enbloc developer will not take the void area into account ? 

[Fitmugen]

On 4/25/2023 at 2:22 PM, Wt_know said:

@Showster protege?

one word … huat … huat and huat !!!

$6K can buy 9 properties

if $12K means smelly smelly 18 properties … song ah!

 

The amount of debt this fella has. I don’t think I can sleep

[Fcw75]

Godspeed Singapore.

https://www.edgeprop.sg/property-news/chinese-investors-drive-conservation-shophouse-prices-above-7000-psf?fbclid=IwAR3P8skxZyjQBi-ElTQnbfC6wa69VaO-bSTo1bwgFDBTDlfxxOm-IKialIg&mibextid=tejx2t

Chinese investors drive conservation shophouse prices above $7,000 psf

A three-storey shophouse on Stanley Street recently changed hands for $29 million, according to a caveat lodged on April 13. The property has a built-up area of 6,485 sq ft and sits on a 1,729 sq ft freehold site. The price of $29 million makes it the highest absolute price achieved for a shophouse to date. On a psf-price basis, it works out to $4,472. The buyer is believed to be Chinese.

 

There's a fresh influx of overseas investors, including those from China," says Loyalle Chin, director at PropNex ShophouseHuat, as well as associate group division director of PropNex Realty. "And they are the ones setting record prices in commercial shophouses in the CBD too."

Meanwhile, a 999-year leasehold, two-storey intermediate conservation shophouse along Amoy Street changed hands in early April for $21.8 million. It sits on a 1,856 sq ft site with a built-up area estimated at 3,115 sq ft. The price translates to $6,998 psf. According to a caveat lodged, it is 3.112 million (16.65%) higher than the $18.688 million the shophouse fetched last November. The psf-price was about $5,999 based on the built-up area then, and Chin brokered the deal.

According to a property title search, NC Properties is the entity that purchased the conservation shophouse on Amoy Street. The underlying owner is believed to be a Chinese national.

[13177]

On 4/25/2023 at 2:35 PM, Throttle2 said:

Sure, that would be a very small percentage of young people

And also  they will regret their decision. 

😂🤣😎

 

But still have people buying those 40 year old plus HDB lo.

[inlinesix]

On 4/25/2023 at 10:16 PM, Fcw75 said:

Godspeed Singapore.

https://www.edgeprop.sg/property-news/chinese-investors-drive-conservation-shophouse-prices-above-7000-psf?fbclid=IwAR3P8skxZyjQBi-ElTQnbfC6wa69VaO-bSTo1bwgFDBTDlfxxOm-IKialIg&mibextid=tejx2t

Chinese investors drive conservation shophouse prices above $7,000 psf

A three-storey shophouse on Stanley Street recently changed hands for $29 million, according to a caveat lodged on April 13. The property has a built-up area of 6,485 sq ft and sits on a 1,729 sq ft freehold site. The price of $29 million makes it the highest absolute price achieved for a shophouse to date. On a psf-price basis, it works out to $4,472. The buyer is believed to be Chinese.

 

There's a fresh influx of overseas investors, including those from China," says Loyalle Chin, director at PropNex ShophouseHuat, as well as associate group division director of PropNex Realty. "And they are the ones setting record prices in commercial shophouses in the CBD too."

Meanwhile, a 999-year leasehold, two-storey intermediate conservation shophouse along Amoy Street changed hands in early April for $21.8 million. It sits on a 1,856 sq ft site with a built-up area estimated at 3,115 sq ft. The price translates to $6,998 psf. According to a caveat lodged, it is 3.112 million (16.65%) higher than the $18.688 million the shophouse fetched last November. The psf-price was about $5,999 based on the built-up area then, and Chin brokered the deal.

According to a property title search, NC Properties is the entity that purchased the conservation shophouse on Amoy Street. The underlying owner is believed to be a Chinese national.

 

These shoplots are used for office and restaurant.

Most of us here don’t go these places 

[Throttle2]

On 4/26/2023 at 8:44 AM, 13177 said:

But still have people buying those 40 year old plus HDB lo.

Have, still have people kena scammed and conned everyday too.. 
🤣😅🤣🤣😂😎😎

[Windwaver]

https://www.straitstimes.com/business/iras-to-reward-whistleblowers-on-private-property-deals-exploiting-99-to-1-loophole-to-evade-absd

Iras to reward whistleblowers on private property deals exploiting ‘99-to-1’ loophole to evade ABSD

SINGAPORE – The Inland Revenue Authority of Singapore (Iras) is offering a reward of up to $100,000 to whistleblowers who call out private property buyers who use the so-called “99-to-1” or similar arrangements to evade or reduce additional buyer’s stamp duty (ABSD) payments on their property purchase.

A reward based on 15 per cent of the tax recovered – capped at $100,000 – will be given to informants if the information and/or documents provided lead to tax recovery, the tax regulator told The Straits Times on Tuesday.

This is not the first time Iras has offered the reward for information on tax avoidance or evasion.

About 0.5 per cent of private residential properties transacted in the period from 2018 to 2021 involved 99-to-1, or similar, purchase arrangements, where the owners sold a partial interest in the property to another buyer within a short period of time, Senior Minister of State for Finance Chee Hong Tat told Parliament last Friday in response to questions by MPs on such arrangements.

The loophole enables those who already own private property to reduce or avoid paying ABSD while still becoming the additional property’s co-owner and a co-applicant for loans to finance the purchase.

Earlier in April, ST reported that Iras sent letters to some first-time buyers asking them to explain why they sold just 1 per cent of the same property to a relative within a short period of time after exercising the purchase option.

Mr Chee added that such arrangements made up a “very small” but rising proportion of overall residential transactions in recent years.

In response to ST’s queries, Iras on Tuesday said that it is unable to disclose details of these transactions as the audit is still ongoing.

The taxman said it is unable to disclose “the number of 99-to-1 transactions that Iras has identified, including similar arrangements, as well as the number of buyers that have been penalised, or the number of promoters/facilitators that have been referred to the relevant regulatory agencies”.

Iras said its audit will be done in phases and that it will also probe transactions after 2021.

When asked, Iras did not specify if decoupling arrangements will be looked into. Under this practice, a co-owner of a property would transfer their share to another co-owner, leaving them free to buy a second property without having to pay ABSD, as that purchase would be deemed their first.

A total of 95,755 private homes (excluding executive condominiums) were transacted between 2018 and 2021, said Ms Christine Sun, senior vice-president of research and analytics at OrangeTee & Tie.

So 0.5 per cent of that total would amount to 479 units sold under 99-to-1 deals, she said.

Property curbs such as ABSD were introduced in December 2011, with a 3 per cent duty tacked on Singaporeans’ third and subsequent property purchases. Permanent residents buying a second or subsequent residential unit had to pay ABSD of 3 per cent, while foreigners paid 10 per cent ABSD for every property.

Singaporeans now pay 17 per cent ABSD on their second residential property, and 25 per cent on third and subsequent homes. Foreigners now pay 30 per cent ABSD on property purchased.

Those who are aware of those who entered into such tax avoidance or tax evasion arrangements can write to Iras at [email protected]. Reward payments are at the discretion of Iras, which said it will keep confidential the identities of informants and documents/information.

Iras added: “We understand that individuals may enter into various property purchase arrangements for different reasons, both tax- and non-tax related. Whether a case involves tax avoidance depends on the facts and circumstances surrounding the case.”

Taxpayers who wish to come forward voluntarily to disclose and make good any underpayment of taxes may do so, and Iras will, in general, look at such cases more favourably.

In cases of tax avoidance, the Commissioner of Stamp Duties will disregard or vary any tax avoidance arrangement, recover the rightful amount of stamp duty and impose a 50 per cent surcharge on the additional duty payable.

Further penalties of up to four times the outstanding amount may be imposed if the stamp duty and surcharge are not paid by the deadline, the taxman said.

 

[Volvobrick]

On 4/26/2023 at 5:37 PM, Windwaver said:

https://www.straitstimes.com/business/iras-to-reward-whistleblowers-on-private-property-deals-exploiting-99-to-1-loophole-to-evade-absd

Iras to reward whistleblowers on private property deals exploiting ‘99-to-1’ loophole to evade ABSD

SINGAPORE – The Inland Revenue Authority of Singapore (Iras) is offering a reward of up to $100,000 to whistleblowers who call out private property buyers who use the so-called “99-to-1” or similar arrangements to evade or reduce additional buyer’s stamp duty (ABSD) payments on their property purchase.

A reward based on 15 per cent of the tax recovered – capped at $100,000 – will be given to informants if the information and/or documents provided lead to tax recovery, the tax regulator told The Straits Times on Tuesday.

This is not the first time Iras has offered the reward for information on tax avoidance or evasion.

About 0.5 per cent of private residential properties transacted in the period from 2018 to 2021 involved 99-to-1, or similar, purchase arrangements, where the owners sold a partial interest in the property to another buyer within a short period of time, Senior Minister of State for Finance Chee Hong Tat told Parliament last Friday in response to questions by MPs on such arrangements.

The loophole enables those who already own private property to reduce or avoid paying ABSD while still becoming the additional property’s co-owner and a co-applicant for loans to finance the purchase.

Earlier in April, ST reported that Iras sent letters to some first-time buyers asking them to explain why they sold just 1 per cent of the same property to a relative within a short period of time after exercising the purchase option.

Mr Chee added that such arrangements made up a “very small” but rising proportion of overall residential transactions in recent years.

In response to ST’s queries, Iras on Tuesday said that it is unable to disclose details of these transactions as the audit is still ongoing.

The taxman said it is unable to disclose “the number of 99-to-1 transactions that Iras has identified, including similar arrangements, as well as the number of buyers that have been penalised, or the number of promoters/facilitators that have been referred to the relevant regulatory agencies”.

Iras said its audit will be done in phases and that it will also probe transactions after 2021.

When asked, Iras did not specify if decoupling arrangements will be looked into. Under this practice, a co-owner of a property would transfer their share to another co-owner, leaving them free to buy a second property without having to pay ABSD, as that purchase would be deemed their first.

A total of 95,755 private homes (excluding executive condominiums) were transacted between 2018 and 2021, said Ms Christine Sun, senior vice-president of research and analytics at OrangeTee & Tie.

So 0.5 per cent of that total would amount to 479 units sold under 99-to-1 deals, she said.

Property curbs such as ABSD were introduced in December 2011, with a 3 per cent duty tacked on Singaporeans’ third and subsequent property purchases. Permanent residents buying a second or subsequent residential unit had to pay ABSD of 3 per cent, while foreigners paid 10 per cent ABSD for every property.

Singaporeans now pay 17 per cent ABSD on their second residential property, and 25 per cent on third and subsequent homes. Foreigners now pay 30 per cent ABSD on property purchased.

Those who are aware of those who entered into such tax avoidance or tax evasion arrangements can write to Iras at [email protected]. Reward payments are at the discretion of Iras, which said it will keep confidential the identities of informants and documents/information.

Iras added: “We understand that individuals may enter into various property purchase arrangements for different reasons, both tax- and non-tax related. Whether a case involves tax avoidance depends on the facts and circumstances surrounding the case.”

Taxpayers who wish to come forward voluntarily to disclose and make good any underpayment of taxes may do so, and Iras will, in general, look at such cases more favourably.

In cases of tax avoidance, the Commissioner of Stamp Duties will disregard or vary any tax avoidance arrangement, recover the rightful amount of stamp duty and impose a 50 per cent surcharge on the additional duty payable.

Further penalties of up to four times the outstanding amount may be imposed if the stamp duty and surcharge are not paid by the deadline, the taxman said.

 

so property agents involved can huat 2 times? 

[Wt_know]

On 4/26/2023 at 6:08 PM, Volvobrick said:

so property agents involved can huat 2 times? 

2 heads snake

jiak both sides

huat x 2

[Windwaver]

On 4/26/2023 at 6:08 PM, Volvobrick said:

so property agents involved can huat 2 times? 

Yeah, property agents huat ah!

[RadX]

Huat ah!  ABSD 60% for foreigners

 

https://www.theedgesingapore.com/news/property/government-introduces-new-round-property-cooling-measures-absd-foreign-buyers-doubles

[Wt_know]

property investing huat ah!

with higher ABSD means those bought previously can SELL HIGHER (re-price) liao ... macam COE ... 

huat huat huat !

where is the UHNWI 3,500 new citizens ... can siam 60% ABSD liao ...

Edited April 26, 2023 by Wt_know

[Beanoyip]

Will the new 60% ABSD actually deter foreigners who just want to park their money?

[therock]

The guy who bought those Nassim bungalows will be very pleased

if  he hasn’t exercised the option, will he get hit?

Edited April 26, 2023 by therock

[Wt_know]

On 4/27/2023 at 7:14 AM, Beanoyip said:

Will the new 60% ABSD actually deter foreigners who just want to park their money?

$600K per every $1M ... 

even for money that cannot see light one ... also very shiong ...  

[RadX]

On 4/27/2023 at 7:17 AM, Wt_know said:

$600K per every $1M ... 

even for money that cannot see light one ... also very shiong ...  

better to still  have some thatn to have it lost.....totally...