A few CCR transactions sold at a loss (reported in The Edge)

[star]

I guess Anything that is above $1.6m is out of reach for average Singaporeans. Best selling units are those $800k to $1.3m.

[bargain hunter]

is it confirmed? u went for the auction? must have been very exciting. didn't have time to go and look.

wooow so the 2863 sqft 13th floor unit in draycott 8 went for 5.0 mio in the JLL auction on thursday , that is 1746 psf , a real bargain , the bank/owner take a 2+ million hit from the sale ouch ! Things are getting fery ugly , if you need to sell a large unit you have to really bend over and take it ....

[DC33_2008]

Not easy to find this type. It is likely to be either very small, very old, not so good location or .. etc..

I guess Anything that is above $1.6m is out of reach for average Singaporeans. Best selling units are those $800k to $1.3m.

[bargain hunter]

in ccr, as of now only studios and mickey mouse 2 bedders qualify for this price range?

Not easy to find this type. It is likely to be either very small, very old, not so good location or .. etc..

[Werther]

is it confirmed? u went for the auction? must have been very exciting. didn't have time to go and look.

Yes, I just confirmed with one agent. It is true and agree it is a good price, can almost buy 2 units of draycott 8 = 1 ardmor park.

But this price is not within my reach lah.

[catsick]

is it confirmed? u went for the auction? must have been very exciting. didn't have time to go and look.

I did not go , I read in the paper it went for $5.0m , that was a very good deal , why bother with stuff out in the back of beyond at a similar psf if you can get newish ardmore area at 1750 psf

[bargain hunter]

so can i report in advance?

#13-08 2863 sq ft

Bought 16 Dec 2009 2445psf 7m
Sold 27 Mar 2014 1746psf 5m

losses in excess of $2.25m? 28.6% loss

[teddybear]

This is for Draycott 8 99LH?
The one with many windows and balconies glasses falling down is it?

See, until there is winding-back of some cooling measures, property price crash has began for selected places and units!

Soon, it will be OCR turn, like those sold at >$1500 psf in OCR regions!

so can i report in advance?

#13-08 2863 sq ft

Bought 16 Dec 2009 2445psf 7m
Sold 27 Mar 2014 1746psf 5m

losses in excess of $2.25m? 28.6% loss

[EBD]

Already started Teddy

http://www.stproperty.sg/articles-pr...ruary/a/158889


shoebox have the greatest fall.

http://www.todayonline.com/business/...prices-fall-04

.... and apparently will be the hardest to sell.

[teddybear]

Oh dear, didn't I say shoebox investors better watch out?

Already started Teddy

http://www.stproperty.sg/articles-pr...ruary/a/158889


shoebox have the greatest fall.

http://www.todayonline.com/business/...prices-fall-04

.... and apparently will be the hardest to sell.

[Newbie1]

Already started Teddy

http://www.stproperty.sg/articles-pr...ruary/a/158889


shoebox have the greatest fall.

http://www.todayonline.com/business/...prices-fall-04

.... and apparently will be the hardest to sell.

putting in perspective, shoebox units cannot be compared with big quantum units bec holding cost is low and unlike conventional believe is more easy to dispose of compared to big quantum units bec many more investors can afford.

1% drop for shoeboxes that cost 500k to 1m, that's only 5 to 10k drop
10% drop,thats 50 to 100k drop

1% drop for 5 m units, that's 50k drop
10% drop,thats 500k

including stamp fees and agent fees etc, that's a whole world of difference

[EBD]

putting in perspective, shoebox units cannot be compared with big quantum units bec holding cost is low and unlike conventional believe is more easy to dispose of compared to big quantum units bec many more investors can afford.

1% drop for shoeboxes that cost 500k to 1m, that's only 5 to 10k drop
10% drop,thats 50 to 100k drop

1% drop for 5 m units, that's 50k drop
10% drop,thats 500k

including stamp fees and agent fees etc, that's a whole world of difference

Mr Ku Swee Yong, Chief Executive of property agency Century 21, said: “Shoeboxes may be tough to resell because prospective buyers may not be comfortable with the actual space and layout they see in the unit, as compared to a new sale when they buy purely on what they see in the show flat.”

Not my words. and 1% is 1% no matter what the quantum. You would think those people who bought 5m units would be able to to take the 1% or 10% hit, just like those who bought MM units at 500k could take a 5k or 50K hit.

I think the point he was making was it's tough to sell a unit that's half the size of a 3 room HDB when you can actually see it vs some nice plan in the showroom. Many stories of owners getting keys and the shock of their life when they realise what they actually bought.


Anyhow - prices coming down in general. Tough to engineer in a low interest environment.

[hopeful]

.......
I think the point he was making was it's tough to sell a unit that's half the size of a 3 room HDB when you can actually see it vs some nice plan in the showroom. Many stories of owners getting keys and the shock of their life when they realise what they actually bought.
.....

just like in the showroom, MM owner can also do the following right?
1) put tape to indicate where the wall is.
2) put a thin glass wall to replace a brick wall.
3) cover up the entire balcony.
4) make ceiling height higher.
5) use miniaturised furniture.
and etc

[walkthetiger]

Mr Ku Swee Yong, Chief Executive of property agency Century 21, said: “Shoeboxes may be tough to resell because prospective buyers may not be comfortable with the actual space and layout they see in the unit, as compared to a new sale when they buy purely on what they see in the show flat.”

Not my words. and 1% is 1% no matter what the quantum. You would think those people who bought 5m units would be able to to take the 1% or 10% hit, just like those who bought MM units at 500k could take a 5k or 50K hit.

I think the point he was making was it's tough to sell a unit that's half the size of a 3 room HDB when you can actually see it vs some nice plan in the showroom. Many stories of owners getting keys and the shock of their life when they realise what they actually bought.


Anyhow - prices coming down in general. Tough to engineer in a low interest environment.

I never believe in the shoebox.
Developers have been increasing the number of shoeboxes...just because it affordable... will there be enough tenants to fill up these shoeboxes, should be a concern to those buyers.

[EBD]

I never believe in the shoebox.
Developers have been increasing the number of shoeboxes...just because it affordable... will there be enough tenants to fill up these shoeboxes, should be a concern to those buyers.

Convienient though. No need for remote controls any more.

Can change channels with your toes, get beer from the refrigerator, answer the door all without leaving the comfort of your chair.

The problem is the story being told to prospective buyers on how much rent they can get for them..... who knows maybe it's true. Maybe just because I don't want to live like an animal in a cage doesn't mean others don't.

[Werther]

[QUOTE=EBD;470497]Convienient though. No need for remote controls any more.

'Can change channels with your toes, get beer from the refrigerator, answer the door all without leaving the comfort of your chair.'


Hi EBD

This is so funny....i like.

[smellyfish]

it's for lonely midlevel migrant workers, which there are probably a lot out there.

which is why i believe Jurong, Tanah Merah, and those places near to the business parks and science parks are perfect locations for MMs.

what i cannot understand is MMs in prime districts. why pay a premium to stay in prime district, and then put up with 400 sf.

But maybe asians from crowded cities, like HK, Tokyo, Seoul find it normal.

[bargain hunter]

bro proud owner also said before, can dance cha cha, 2 steps to living, 2 steps kitchen, 2 steps bedroom, 2 steps drop down from balcony.

[QUOTE=Werther;470510]

Convienient though. No need for remote controls any more.

'Can change channels with your toes, get beer from the refrigerator, answer the door all without leaving the comfort of your chair.'


Hi EBD

This is so funny....i like.

[Newbie1]

also never believed in shoeboxes. used to laugh at their size, but people get used to them

looking at the rental yields of shoeboxes in past 4-5 years, have to admit they are very good and relative low cost and low risk ppty investments, esp those in excellent locations. in retrospect, those who dared really had the vision.

Perhaps we should highlight CCR studios that are sold at a loss in this thread and lets see if there are any

[bargain hunter]

the reasons u have given are very valid and also reasons why there should not be any CCR studios that are sold at a loss at this point.

i readily admit that i did not have the foresight and that MM King is right on when it comes to investing in MMs.

also never believed in shoeboxes. used to laugh at their size, but people get used to them

looking at the rental yields of shoeboxes in past 4-5 years, have to admit they are very good and relative low cost and low risk ppty investments, esp those in excellent locations. in retrospect, those who dared really had the vision.

Perhaps we should highlight CCR studios that are sold at a loss in this thread and lets see if there are any

[sherlock]

[QUOTE=bargain hunter;470612]bro proud owner also said before, can dance cha cha, 2 steps to living, 2 steps kitchen, 2 steps bedroom, 2 steps drop down from balcony.



One more... open the door, One Eye See All

[walkthetiger]

also never believed in shoeboxes. used to laugh at their size, but people get used to them

looking at the rental yields of shoeboxes in past 4-5 years, have to admit they are very good and relative low cost and low risk ppty investments, esp those in excellent locations. in retrospect, those who dared really had the vision.

Perhaps we should highlight CCR studios that are sold at a loss in this thread and lets see if there are any

Next few years will be interesting, rental should appear continue to drop, then the bigger units rental will be very affordable to tenants, and tenants will realize there is not need to live a box, as the saving for living a box may not be worth...

[Ayeya]

When i first came to singapore 2 years ago, all i could afford was a MM in D4. Now with the same rent i pay for the MM, i can easily get a decent sized 1 bedder in D9 or a 2 bedder for not much higher rent.

Indeed why live in a MM if better places are renting for cheaper

[Rosy]

When i first came to singapore 2 years ago, all i could afford was a MM in D4. Now with the same rent i pay for the MM, i can easily get a decent sized 1 bedder in D9 or a 2 bedder for not much higher rent.

Indeed why live in a MM if better places are renting for cheaper

When rental drops, people will upgrade to better location and/or bigger space. A possibility is that a single/couple sharing a condo can afford to rent a MM by themselves if rental drops.

For those renting a master room in condo can also upgrade to a MM etc.

[walkthetiger]

For those renting a master room in condo can also upgrade to a MM etc.

...u may have dropped some hints on future MM's rental... "a budget of master room can rental a MM""...haha

[teddybear]

$1000 per month?

...u may have dropped some hints on future MM's rental... "a budget of master room can rental a MM""...haha

[walkthetiger]

$1000 per month?

... Let says if $1500 p/m for OCR MM is going to happen...will be no good news for any landlord..

[teddybear]

Even if the MM landlord willing to rent out at $1000 p/m also useless to most people because how to squeeze a family in these <500 sqft unit?

... Let says if $1500 p/m for OCR MM is going to happen...will not good news for any landlord...

[walkthetiger]

Even if the MM landlord willing to rent out at $1000 p/m also useless to most people because how to squeeze a family in these <500 sqft unit?

Agree....there are just too many MM and yet still growing, but there will be too few takers in coming years........my view.

[Ayeya]

Agree....there are just too many MM and yet still growing, but there will be too few takers in coming years........my view.

I wonder what % of MMs are for investment and what % are for own stay. maybe 90%/10%?