Jump to content
Sgcarmart Trusted Brand Showcase - Jack Cars at Katong i12 from 22 to 28 Apr 2024 ×

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

RadX

By RadX,
in Property Buzz

 Share

Recommended Posts

Showster

Showster

Twincharged
(edited)

Why 5 years? ... you got crystal ball? [sly]

 

[:p]

 

Oldies but goodies mah ...

 

Dun care new or old, can make $$$ ... [thumbsup]

 

:D

Hehe after 3 years of increasing prices, there will be pressure for new CMs to benchmark to "low" prices in 2016, and maybe with new CMs implemented for 2 years there will be a new group coming out to say they want to buy but wait for price to fall first. Edited by Showster
  • Praise 2
Link to post
Share on other sites
Mercs

Mercs

Hypersonic

Hehe after 3 years of increasing prices, there will be pressure for new CMs to benchmark to "low" prices in 2016, and maybe with new CMs implemented for 2 years there will be a new group coming out to say they want to buy but wait for price to fall first.

Got new CMs? [sweatdrop] I think more likely easing of existing CMs going forward [sly]

 

:D

 

Place of worship there, weird leh

Haha no matter, will still be 'hot'

 

:D

 

http://www.businesstimes.com.sg/real-estate/tampines-plot-tipped-for-a-good-turnout

Tampines plot tipped for a good turnout

Mar 15, 2017

 

(Consultants expect up to 15 bids for the 99-year private housing site despite its mediocre location)

  • Praise 4
Link to post
Share on other sites
Mercs

Mercs

Hypersonic

http://www.businesstimes.com.sg/real-estate/singapore-developers-sold-977-private-homes-in-feb-26-times-more-than-in-jan

Singapore developers sold 977 private homes in Feb, 2.6 times more than in Jan

Mar 15, 2017

 

DEVELOPERS sold a total of 977 private residential units in February - 2.6 times more than in January when there was an absence of new project launches.

 

Another 329 executive condominiums (ECs) were moved in February, also about 1.8 times more than that sold in January.

 

These sales data were collated by the Urban Redevelopment Authority (URA) through a survey of developers.

  • Praise 4
Link to post
Share on other sites
Showster

Showster

Twincharged

Got new CMs? [sweatdrop] I think more likely easing of existing CMs going forward [sly]

 

:D

 

Haha no matter, will still be 'hot'

 

:D

 

http://www.businesstimes.com.sg/real-estate/tampines-plot-tipped-for-a-good-turnout

Tampines plot tipped for a good turnout

Mar 15, 2017

 

(Consultants expect up to 15 bids for the 99-year private housing site despite its mediocre location)

Easing easing easing, price up up up 3 years, then new CMs 3 years later mah. Anyway just rambling.
  • Praise 2
Link to post
Share on other sites
Mercs

Mercs

Hypersonic

http://www.straitstimes.com/business/property/private-home-resale-prices-rise-for-4th-straight-month-up-09-in-february-srx

Private-home resale prices rise for 4th straight month, up 0.9% in February

Mar 14, 2017

 

Private resale prices up ... Private rents up ...

 

Huat ah??? [:p]

 

https://www.srx.com.sg/research/34112/non-landed-private-rents-increase-by-11-hdb-rents-decrease-by-08-in-february-2017

Non-Landed Private Rents increase by 1.1%

15 Mar 2017

 

According to SRX Property Price Index for Non-landed Private Residential Rentals, rents increased by 1.1% in February 2017 compared to January 2017. Non-Landed Private Residential units rents in CCR, RCR and OCR increased by 1.2%, 0.8% and 1.2% respectively.

post-18880-0-24482800-1489580580_thumb.jpg

  • Praise 4
Link to post
Share on other sites
Wind30

Wind30

Turbocharged
(edited)

Private resale prices up ... Private rents up ...

 

Huat ah??? [:p]

 

https://www.srx.com.sg/research/34112/non-landed-private-rents-increase-by-11-hdb-rents-decrease-by-08-in-february-2017

Non-Landed Private Rents increase by 1.1%

15 Mar 2017

 

 

How can TOx be negative when price is going up? Frankly srx is just a bad source for info. And you keep posting the same info like twenty times Edited by Wind30
Link to post
Share on other sites
Mercs

Mercs

Hypersonic

Easing easing easing, price up up up 3 years, then new CMs 3 years later mah. Anyway just rambling.

One more article just for you ... to buy or not to buy? [sly]

The million dollar question ... just rambling too!

 

[:p]

 

http://www.straitstimes.com/opinion/property-market-perking-up-but-rents-are-down-to-buy-or-not-to-buy

Property market perking up, but rents are down. To buy or not to buy?

Mar 8, 2017

 

SALES DRIVERS

 

On the plus side, the longstanding low interest rate environment has sweetened the deal for home buyers. Judging that the Government isn't about to lift property curbs any time soon, many are trickling back to the market to buy.

 

Ms Li added: " There is so much liquidity in the market, and buyers continue to favour real estate compared to stocks, bonds and commodities due to the hedge against inflation."

 

The moderation in prices has also nudged buyers to pick up units, including housewife Adeline Soong, who bought a two-bedroom Grandeur Park Residences unit for about $840,000 for investment.

 

"A slowing economy and weak rentals are worrying, but I think it's best to purchase now before prices rise," said Ms Soong, 40, who believes prices have bottomed.

 

Overall home prices fell by the slowest rate last year, amid a three-year losing streak - down 3.1 per cent compared with declines of 3.7 per cent in 2015 and 4 per cent in 2014. Home values have declined by about 11 per cent since the third quarter of 2013, following a raft of cooling measures - including the total debt servicing ratio (TDSR) - which had tamed property demand.

 

On this note, investors hoping to sell their properties for a hefty capital gain should know that the TDSR - which limits a borrower's total monthly debt obligations to 60 per cent of the individual's monthly gross income - will peg back their asking prices.

 

TWO-SPEED MODE PROPERTY MARKET

 

Observers say the lag in the leasing market and the pickup in property purchases put the market in somewhat of a "two-speed mode".

 

Dentons Rodyk & Davidson's Mr Lee notes: "This divergence between the pace of buying and leasing is set to widen this year, as the rental market remains weak in the face of newly completed properties coming into the market."

 

Many investors, like civil servant Ms Lakshmi T., are hoping that the rental market will recover by the time their new apartments are built - usually in three to four years.

 

"Weak rentals are a concern but I expect the market to turn in the coming years," said Ms Lakshmi, 56, who bought a one-bedder - also at Grandeur Part Residences - over the weekend for about $618,000.

 

She was attracted to the project's amenities and proximity to the MRT station and Changi Business Park, and is not relying on rent to service the monthly mortgage.

 

TIME TO ENTER THE MARKET?

 

Analysts advise that those looking to invest in property now take a longer-term investment horizon, as there is limited potential for short-term gains, unlike in the past when prices could appreciate by 60 per cent in a few years.

 

"Investors have to consider the cash-flow potential of the property and whether it could cover mortgage and running costs, and need to be prepared for negative cash flow for the periods that they cannot find a tenant," noted Ms Tang Wei Leng, managing director at Colliers International, Singapore.

 

Most importantly, experts say, think about job security and stability of income, which directly affect one's ability to hold on to an investment property during rough times. In any form of investments, there are no sure bets, even for the most astute investor - so the advice is to think hard before ploughing that hard-earned cash into real estate.

  • Praise 5
Link to post
Share on other sites
Mercs

Mercs

Hypersonic

How can TOx be negative when price is going up? Frankly srx is just a bad source for info. And you keep posting the same info like twenty times

SRX bad source of info or not I dunno, I only take as reference guide.

That is the latest of Feb 2017 private rents, where got keep posting same info???

Can you show me where are the other 19 times of the same then?

 

Dun like ro read, no worries, just move on. There may be others who appreciate the info.

  • Praise 8
Link to post
Share on other sites
Invigorated

Invigorated

Supercharged

How can TOx be negative when price is going up? Frankly srx is just a bad source for info. And you keep posting the same info like twenty times

To be fair to mercs, I think the info is new as it is about resale rentals. The previous posting was about private resale prices.
  • Praise 1
Link to post
Share on other sites
Showster

Showster

Twincharged
(edited)

How can TOx be negative when price is going up? Frankly srx is just a bad source for info. And you keep posting the same info like twenty times

Bro @Mercs posted on the Jan price up, then Jan rent up, then Feb price up, then Feb rent up. Every time different info.

 

There are a few reasons why TOX negative when prices are going up.

 

1. Methodology of index computation - especially for stratified hedonistic methodology with lesser transactions. Maybe their index was based on absolute prices that went up but based on TOX obtained through index projection, the transactions were below X value?

 

For example, we expect new property to have higher X value but the transactions can occur below X value but still have a trending up absolute value.

 

Another possibility is that TOX is based on previous transactions of the same attribute (location, size etc). Given that transactions are very few across each development, the TOX value could be based on units sold a few years ago. After a few years later, there will be a depreciation of the value of the property, but the TOX is still based on the transaction a few years ago. However, the hedonistic index takes the depreciation of the property into consideration. Therefore the transactions took place below TOX but the index is moving up, i.e. people are paying relatively higher prices for lower quality properties taking into consideration depreciation, but lower absolute prices.

 

URA index will be the most convincing one, usually both indices will point in the same direction after a while, but at the months of inflexion they may point in opposite directions.

 

2. Much more numerous transactions in the districts with positive TOX and lesser transactions in those with negative TOX.

Edited by Showster
  • Praise 1
Link to post
Share on other sites
Staff69

Staff69

Hypersonic
(edited)

Rentals very very competitive in D15.

 

This Marine Blue they have been selling for a long time, marketing strategy

 

But price not cheap at all

they could be the reason

post-131345-0-07534300-1489598508.jpg

Edited by Staff69
  • Praise 7
Link to post
Share on other sites
Wind30

Wind30

Turbocharged
(edited)

Ok are you guys going to trust ura or nus or errr srx....

 

Nus

http://www.ires.nus.edu.sg/webapp/srpi/SRPI_Main.aspx

 

I mean post once can lah... but u keep posting from srx which says a completely different picture from nus and ura... it is doing a disservice to people here.

 

If u want to post, I mean post from sources like ura or nus who are objective in their methods. They don't have vested interests. U can read how nus crafted their index which is pretty good.

 

Here is srx methodology.... seriously go and look at the three indexes and the srx looks totally different. They admit they use private information to calculate their index.... duh.... common....

 

sorry for the rant here but people keep posting this srx index....

 

From srx website methodology white paper

SPI differs from other Singapore indices in four distinct ways:

(i) SPI is the first index to calculate price changes that take into account unique Singaporean factors such as the property's distance to a top primary school or an MRT station. The index, of course, controls for standard index factors like location,

age of property, size, floor levels and land tenure;

(ii) SPI uses a Hedonic Regression methodology modeled on proven real estate

economics and consumer price indices worldwide;

(iii) SPI employs unique data available only to SRX. As a result, for private sale

transactions, the indices include both public caveated transactions and non- caveated transactions, resulting in a comprehensive view of the property market at any point in time;

(iv) Due to its industry-wide integration with the market's major estate agencies StreetSine, on behalf of SRX, collects, processes, integrates and crunches data in real-time. Hence, StreetSine can calculate and release monthly SPI updates before other Singaporean indices.

Edited by Wind30
Link to post
Share on other sites
Wind30

Wind30

Turbocharged

SRX bad source of info or not I dunno, I only take as reference guide.

That is the latest of Feb 2017 private rents, where got keep posting same info???

Can you show me where are the other 19 times of the same then?

 

Dun like ro read, no worries, just move on. There may be others who appreciate the info.

Ok this is a little of topic...

 

The internet has a lot of misinformation ... it is easy to say just ignore it and move on... but at the end of the day objective indexes like nus property index get drowned by noise like srx index. On Google, if I search Singapore property index, the first hit I get is srx. I don't even see nus index on the first page... nus which don't get paid for their index does not promote it but I am sure srx promotes their index a lot.

 

Which is really sad I think. Are we just going to move on with this? Common, although we argue or discuss politely property prices here, I think it is good if we present reliable and accurate information and data for all to judge. Not just keep flooding info from srx

↡ Advertisement
Link to post
Share on other sites
Guest
This topic is now closed to further replies.
 Share
Go to topic listing
×
×
  • Create New...