It is weeding out the speculator(s) as what many forummers here pointed out.Originally Posted by august
It is weeding out the speculator(s) as what many forummers here pointed out.Originally Posted by august
Please refer to MAS website:Originally Posted by august
http://www.mas.gov.sg/FAQs.aspx
There is a pdf file for FAQ on the new-rules.
There are exceptions for re-financing case.
But generally the pdf stated : "The TDSR rules will apply to loans where the application date is on or after 29 June 2013."
Its clear now...thanksOriginally Posted by akow
My mistake, I mistook the dateOriginally Posted by akow
Ride or Die
wow, bummer ....Originally Posted by akow
The FAQ pdf file states: "The TDSR rules will apply to loans where the application date is on or after 29June 2013."Originally Posted by Autumnwinds
Tomorrow is 29 June, so I think the new rule will apply.
So will there be shoppers standing by tomorrow to see whether there are returned units to pick up?
Hi, just want to share something my agent told me. They got word from their head office. If you have secured your AIP from your bank, you are safe. Not so sure how accurate this is, but at least I can sleep easier.Originally Posted by akow
I think the developer had responded quickly to the new rule.Originally Posted by kane
Since 9PM tonight, I saw a lot of TV advertisement channel 8/channel 5 on J-Gateway, that says application open to public tomorrow.
I think the developer had responded quickly to the new rule.Originally Posted by kane
Since 9PM tonight, I saw a lot of TV advertisement channel 8/channel 5 on J-Gateway, that says application open to public tomorrow.
AIP is not the same as application date...Originally Posted by yiguang2001
I know. At this point of time I can only hope the government give some flexibility.Originally Posted by Mu
Best Case. Not affected.
Worst Case. lose 1.25%.
Hi...what did you buy? 2 bedder or 3 bedder? Price? TIA.Originally Posted by yiguang2001
or u can ask the developer to give some flexibility.Originally Posted by yiguang2001
very very hard......Originally Posted by august
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Interesting why people expect the govt to have flexibility but not the developer? This project has no shortage of buyers anyway from the look of it.Originally Posted by Mu
Seems like many bankers doing last minute approvals at the tentage for buyers.
yiguang2001 what are you waiting for?? Where is your banker?
I take it that you took the 60% loan? I think if the new ruling does apply to you, you probably could just reduce the loan amount and top up more cash.Originally Posted by yiguang2001
Ride or Die
They are already activating plan B...Originally Posted by akow
Faster faster just go there find banker anyone also canOriginally Posted by august
One hour ago at 10.52pm, 28 Jun 2013Originally Posted by princess_morbucks
Singapore introduces new property loan curbs - Yahoo! Singapore Finance
Singapore's central bank announced on Friday new rules that limit the size of* property loans financial institutions can grant to individual buyers.
The Monetary Authority of Singapore said in a statement that, from Saturday, financial institutions should not grant any property loan that exceeds a total debt servicing ratio (TDSR) of 60 per cent.
Loans granted above that threshold will be considered "imprudent", it said.
The TDSR framework will require financial institutions to take into account borrowers' other outstanding debt obligations when granting property loans.
The move is to "encourage financial prudence among borrowers" and strengthen credit underwriting practices, MAS explained.
Under the new rules, financial institutions will be required to compute the TDSR, or the percentage of total monthly debt obligations to gross monthly income, on a consistent basis.
The TDSR will apply to loans for the individual's purchase of all types of property, loans secured on property and the re-financing of all such loans.
The central bank also tightened rules on the application of loan-to-value limits.
Among others, it will require borrowers named on a property loan to be the mortgagors of the residential property for which the loan is taken.
The refinements are designed to ensure the effectiveness of LTV limits put in place to cool investment demand in the housing market, MAS said.
The announcement of the new property loan rules follows seven rounds of government measures to cool Singapore's property market over four years.
In the first quarter of this year, the prices of private residential properties in Singapore rose by 0.6 per cent in the first quarter from the previous quarter, according to the Urban Regulatory Authority.
Yee ha! Did I tickle your funny bone?
I remember during early Jan this year, also same pattern, govt annoucement made at about 7PM. Then developer & banker worked till early the next morning, 3-4am.Originally Posted by Mu
Now is just 2352, still have time.
From MAS websiteOriginally Posted by ecimbew
MAS Introduces Debt Servicing Framework for Property Loans
Singapore, 28 June 2013 … The Monetary Authority of Singapore (MAS) will introduce a Total Debt Servicing Ratio (TDSR) framework for all property loans granted by financial institutions (FIs) to individuals1.* This will require FIs to take into consideration borrowers’ other outstanding debt obligations when granting property loans. They will help strengthen credit underwriting practices by FIs and encourage financial prudence among borrowers.
2* *MAS will also refine rules related to the application of the existing Loan-to-Value (LTV) limits on housing loans.* These refinements seek to ensure the effectiveness of the LTV limits that were put in place to cool investment demand in the housing market.* In particular, they aim to prevent circumvention of the tighter LTV limits on second and subsequent housing loans.**
Introduction of TDSR framework
3* *MAS conducted a thematic inspection of banks’ residential property loan portfolios in 2012.* While banks generally had in place sound policies to assess the credit worthiness of borrowers, the inspection and subsequent surveys revealed uneven practices with respect to the application of debt servicing ratios and highlighted areas for improvement in credit underwriting practices.
4* *The TDSR framework will provide FIs a robust basis for assessing the debt servicing ability of borrowers applying for property loans, taking into consideration their other outstanding debt obligations.* FIs will be required to compute the TDSR, or the percentage of total monthly debt obligations to gross monthly income, on a consistent basis.2
5* *The coverage of the TDSR framework will be more comprehensive than FIs’ current practice.* The TDSR will apply to loans for the purchase of all types of property, loans secured on property,3 and the re-financing of all such loans.4
*
6* *The methodology for computing the TDSR will be standardised.* FIs will be required to:
take into account the monthly repayment for the property loan that the borrower is applying for plus the monthly repayments on all other outstanding property and non-property debt obligations of the borrower;
apply a specified medium-term interest rate or the prevailing market interest rate, whichever is higher, to the property loan that the borrower is applying for when calculating the TDSR;5
apply a haircut of at least 30% to all variable income (e.g. bonuses) and rental income; and
apply haircuts to and amortise the value of any eligible financial assets taken into consideration in assessing the borrower’s debt servicing ability, in order to convert them into ‘income streams’ in computing the TDSR.
7* *FIs will be required to verify and obtain relevant documentation on a borrower’s debt obligations and income used in the computation of the TDSR.
8* *MAS expects any property loan extended by the FI to not exceed a TDSR threshold of 60% and will regard any property loan in excess of a 60% TDSR to be imprudent.6 The threshold is set at 60% for a start to allow both the FIs and borrowers to familiarise themselves with the TDSR framework and its computation methodology.* MAS will monitor and review the 60% threshold over time, with a view to further encouraging financial prudence.******
Refinement of rules related to application of LTV limits
9* *MAS will refine certain rules related to the application of the existing LTV limits on housing loans granted by FIs.* In particular, MAS will require:
borrowers named on a property loan to be the mortgagors of the residential property for which the loan is taken;
“guarantors” who are standing guarantee for borrowers otherwise assessed by the FI at the point of application for the housing loan not to meet the TDSR threshold for a property loan to be brought in as co-borrowers; and
in the case of joint borrowers, that FIs use the income-weighted average age of borrowers7 when applying the rules on loan tenure.8
Measures for the long term
10* *The new rules will take effect from 29 June 2013.
11* *The TDSR framework and refinements to the rules relating to the application of LTV limits are structural in nature, and will be in place for the long term. They aim to encourage prudent borrowing by households and strengthen credit underwriting standards by FIs.*
12* *They do not involve changes to the LTV limits on housing loans themselves, which were last tightened in January 2013 as part of the government’s package of measures to promote stable and sustainable conditions in the housing market.9 The current LTV limits are not permanent, and will be reviewed depending on the state of the property market.
13* *Please refer to the FAQs on MAS’ website for further details.
***
1 This includes sole proprietorships and vehicles set up by an individual solely to purchase property.
2 In the case of a joint application for a property loan, the TDSR shall be computed based on the aggregate total monthly debt obligations and aggregate gross monthly incomes of the joint borrowers.
3 Where a loan is secured by a pool of collateral including property, the TDSR rules will apply if the market value of the property is 50% or more of the value of the total pool of collateral.
4 Existing borrowers who are seeking to refinance their housing loans will be exempted, provided they meet the specific conditions set out in MAS’ Guidelines on the Application of TDSR for Property Loans under MAS Notices 645, 1115, 831 and 128.
5 3.5% for housing loans and 4.5% for non-residential property loans.
6 Property loans in excess of the TDSR threshold of 60% should be granted only on an exceptional basis.* The board of directors of the FI (or senior management in the case of an FI incorporated outside of Singapore) will have to approve policies and procedures relating to such exceptions.* In addition, cases exceeding the threshold will need to be approved by the FI’s credit committee.
7 The income-weighted average age will be based on the borrowers’ gross monthly income.
8 Lower LTV limits apply to a loan granted for the purchase of a residential property, where the loan period extends beyond the retirement age of 65 years or the tenure exceeds 30 years.
9 In January 2013, MAS lowered the LTV limits for housing loans to individuals with one outstanding housing loan from 60% to 50%, and to individuals with two or more outstanding housing loans from 60% to 40%.* Loans with longer tenure faced even tighter LTV limits.* The LTV limit for housing loans to non-individuals was also reduced to 20%.
http://www.mas.gov.sg/News-and-Publi...rty-Loans.aspx
Yee ha! Did I tickle your funny bone?
Point
10* *The new rules will take effect from 29 June 2013.
Originally Posted by ecimbew
Yee ha! Did I tickle your funny bone?
Already told you the West dragon was already dead, and in its place is devil that will attract bad luck if you try to awake it, just like now awakened MAS to introduce new housing loan tightening measure!
Quote:Originally Posted by Ringo33
Originally Posted by Ringo33
the west dragon is awaken.
Quote:
Originally Posted by Ringo33
From the perspective of fengshui, Jurong, located in the western part of Singapore, falls into the category of the western dragon. According to WayOnNet Group's Top Notch Fengshui Master Tan, Western dragon is the most beautiful dragon of the five dragons. It starts from Tuas and ends at Pearl's Hill. This piece of land is also the "Land of the Flower Basket" which is also where the Golden Boy and Jade Girl fell in love. The "Land of Flower Basket" lies within the lake- Chinese and Japanese Garden and Tang Dynasty. From the perspective of fengshui, Singapore's western dragon belongs to the metal element and is therefore advantageous to the technical profession. Thus, Jurong Industrial Park is seen as well suited for light industrial activities.
The purity and simplicity of the Jurong district linger despite the introduction of the industrial sector. Traffic jams are minimal in the morning and is smoother towards the evening. Several well-known learning institutions such as National University of Singapore, Nanyang Technological University, Singapore Polytechnic and Ngee Ann Polytechnic gather in the West as well. The scenery is magnificent but unfortunately, many people fail to notice its aura. Furthermore, the Jurong district is currently experiencing a poor luck cycle in today's fortune 8 and thus has failed to develop to its best. Given its unfavourable fengshui, an allowance of at least ten to fifteen years is required for better luck to come by. Coincidentally, in ten to fifteen years, the new Jurong district will be evolved.
Till date, luxurious shopping districts, hotels, cafes and entertainment are still lacking in the West. As Jurong has been emphasizing too much on industrialization, it has overlooked those areas, which promise bright prospects. Jurong possesses the necessary conditions to be developed into a business and entertainment district. It would also be ideal if cars will be allowed to enter Lakeside, where all the entertainment lies, to ease transportation and create convenience among the people. Now is a good time to seize the opportunity to start investing in Jurong as its properties are still relatively cheap. Once the development is completed and luck starts picking up, property prices will also soar.
It's 29 June 2013 now.
Yee ha! Did I tickle your funny bone?
2 bedders < 850 sqft are MM also!
Originally Posted by Ringo33
Originally Posted by sunboy77
Thank you for the "Super Like"![]()
So the stats seem to confirm that mrt & mall are attraction to modern days buyer regardless of size (mm or 1bedder or 2 bedder) and 99 LH. As long as quantum below 1.3 mil will still sell very well as demonstrated by J Gateway. Also, many relatively rich people around with cash waiting to enter the OCR condos market that have mall/mrt in vicinity and future developments like JLD. Believe in near future! Punggol Waterfront, Yishun Hub, Seletar Hub, Woodlands Hub will catch up too in terms of pricing and attractions.....Originally Posted by teddybear