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Leeds
15-01-12, 09:20
As an investor, the strategy is to lock in profit if market is favourable and hold on to rental income if market is not favourable.

There has been mix findings that some investors are prepared to sell their investment properties now while the price is still high even if it means some price discount. On the other hand. some are taking a wait and see attitude and still maintaining their high asking prices knowing that they are not likely to find buyers at their asking prices. Obviously, the latter has strong holding power to ride out any major price correction.

Who is likely to be the real winner over the next two years as interest rate is likely to remain low?

richie$$$
15-01-12, 09:27
Wht price discount?
They bought $400k selling now for $1.4 million
Then reduce $200k to some smart buyers. Smart buyers thought they get good deal. Lmao

Rosy
15-01-12, 10:04
depends on the discount and individual debt ratio

interest rate in my opinion is highly unlikely to rise much over the next 2-3years. sibor rates could possibly range bound between 1-2%

mcmlxxvi
15-01-12, 10:51
If you bought at good price and it is non toxic and giving you good rental yield, no.

Otherwise, yes.

There are lots of other factors to consider as well. Are there any new launches that will come up and block your view and contribute construction noise and dust? Major roadworks affecting the vicinity? Any government urban planning or rejuvenation of the neighbourhood announced? New mrt line or station coming up nearby etc...

amk
15-01-12, 11:37
Wht price discount?
They bought $400k selling now for $1.4 million
Then reduce $200k to some smart buyers. Smart buyers thought they get good deal. Lmao

This argument is so totally flawed it's amusing to see it even mentioned in a mature forum like this :cool:

I know for a fact the bungalow in front me was bought for 900k 20yrs ago. But today if he's willing to sell at 4mil only, I'll be the 1st to grab.

You dun look at numbers like that :doh:

To the TS: you already made up your mind, dun you ? Nothing wrong to move on. Investment is not just on property. You can always invest in something else.

roly8
15-01-12, 12:50
Who is likely to be the real winner over the next two years as interest rate is likely to remain low?

cash rich pple who have fully paid for all their properties.. :p:p:p

Leeds
15-01-12, 14:22
If you bought at good price and it is non toxic and giving you good rental yield, no.

Otherwise, yes.

There are lots of other factors to consider as well. Are there any new launches that will come up and block your view and contribute construction noise and dust? Major roadworks affecting the vicinity? Any government urban planning or rejuvenation of the neighbourhood announced? New mrt line or station coming up nearby etc...

Assuming no major road works or anything else affecting your properties. If you buy at a reasonably good price, isn't it makes more sense to sell now when the price is still high and buy back again when prices correct. Of course one must act with the believe that prices will correct and the chances of price correcting now from here is very very high.

Not selling while the price is still high could well lead to a situation where your investment asset become negative when price correct even though one is still collecting rent. In this case, one is not taking advantage of the market to realize better return by selling when prices still high and buying back when prices correct.

teddybear
15-01-12, 15:03
Why? You desperate calling people to sell cheap cheap because many still didn't want to sell or still maintaining price or even asking for above current market price?

Does it even matter even if the property goes into negative equity? No, it never bother all the seasoned landlords (as far as I know).

Very funny, who is "god" enough to know whether price will surely fall (or conversely rise)?

Property is best for buy and hold! That is my experience. HOLD HOLD HOLD, and soon in next round you can sell at 1/3 higher from current peak (at least). :D


Assuming no major road works or anything else affecting your properties. If you buy at a reasonably good price, isn't it makes more sense to sell now when the price is still high and buy back again when prices correct. Of course one must act with the believe that prices will correct and the chances of price correcting now from here is very very high.

Not selling while the price is still high could well lead to a situation where your investment asset become negative when price correct even though one is still collecting rent. In this case, one is not taking advantage of the market to realize better return by selling when prices still high and buying back when prices correct.

Leeds
15-01-12, 15:17
Property is best for buy and hold! That is my experience. HOLD HOLD HOLD, and soon in next round you can sell at 1/3 higher from current peak (at least). :D

So you will still sell at some point in time right? Why is it not a good time to sell when prices are still high? Why wait till the next cycle to sell? Why not sell now when the profit is already there? A bird in hands is better than two in the bush, isn't it?

If you think next cycle price is even higher, might as well as continue to hold for the next few cycles since each cycle price peak is higher than the previous. As you said, only God knows.

I am just merely basing on your own answers to ask more questions. Hopefully, I can learn something from season landlords here.

ysyap
15-01-12, 15:33
The following are some reasons for me to sell my property...

1. When I need cash for upgrading for my own stay.
2. When I need cash for other reasons such as sending my kids overseas for education or need cash for surgery, etc.
3. When enbloc
4. When I want to reduce my risk going forward if I sense something untoward.
5. When I no longer can commit to the mortgage loan for various reasons such as loss of job, enter into retirement, etc.
6. When I receive a ridiculously high offer that is tempting enough for me to let go of my unit even when I don't need to sell.
7. When I just want to do something different.
8. When bank interest rates are rising pass 4% and there's no rental demand and it doesn't make economic sense to hold on to that property.
9. When I find that I have enough with property investment or I need to adjust my investment portfolio.
10. When CM6 restricts my property ownership so no choice have to sell.

Having said that, I agree that property investment should be for the long term in today's context. So much at stake for short term flipping in Singapore... :cheers3:

teddybear
15-01-12, 15:56
No I don't sell, I pass on to my next generation, unless I need really need money, otherwise no point selling since next peak is always higher than current peak. Buy and sell and buy again for what? Let all those people earn the taxes, fees, etc and then still end up holding the same number of properties? :p
And then there is the lost opportunity costs, lost rentals etc. :(

There is 1 reason I will sell (and never buy back): When I perceive that the country governance has changed, capital flow is no longer free, try to implement capital controls etc. Singapore is perceived to be going in that directionI believe many rich people are already reviewing their options. I am reviewing as well. In fact, I had already shifted much of my money out of S$, and no longer invest in Singapore listed stocks for reasons I already mentioned. Next review will be capital still invested in properties. Serious capital outflow will be detrimental to the economic health of Singapore. Hope they learn the lesson (or otherwise those super-rich will teach them a lesson, just like what happen in Malaysia, till now still cannot recover in terms of FDI). :banghead:


So you will still sell at some point in time right? Why is it not a good time to sell when prices are still high? Why wait till the next cycle to sell? Why not sell now when the profit is already there? A bird in hands is better than two in the bush, isn't it?

If you think next cycle price is even higher, might as well as continue to hold for the next few cycles since each cycle price peak is higher than the previous. As you said, only God knows.

I am just merely basing on your own answers to ask more questions. Hopefully, I can learn something from season landlords here.

CCR
15-01-12, 16:38
You sell only if you are holding more than 2-3 properties.... If only one please don't make the same mistake as Mr B....

You can sell tom take some risk off the table... But if you are not leverage at all, don't sell... Which relatively safe instrument gives you 3'% -5% yield of your total investment with leverage? With interest rates so low now... And equity market so volatile and bond prices at all time high, what alternative instrument can you make use of if you cash out? Not to mention inflation at 5% and US and Euro printing a lot of hot money.....

CCR
15-01-12, 16:43
No I don't sell, I pass on to my next generation, unless I need really need money, otherwise no point selling since next peak is always higher than current peak. Buy and sell and buy again for what? Let all those people earn the taxes, fees, etc and then still end up holding the same number of properties? :p
And then there is the lost opportunity costs, lost rentals etc. :(

There is 1 reason I will sell (and never buy back): When I perceive that the country governance has changed, capital flow is no longer free, try to implement capital controls etc. Singapore is perceived to be going in that directionI believe many rich people are already reviewing their options. I am reviewing as well. In fact, I had already shifted much of my money out of S$, and no longer invest in Singapore listed stocks for reasons I already mentioned. Next review will be capital still invested in properties. Serious
capital outflow will be detrimental to the economic health of Singapore. Hope they learn the lesson (or otherwise those super-rich will teach them a lesson, just like what happen in Malaysia, till now still cannot recover in terms of FDI). :banghead:

Personally I think the will remove CM5 once they have met the pent up demand for condo...once the number of completed units is enough to satisfy local mass market demand, they will allow all to buy again...

I think right now the are worried that hot money will come in. I think it is already a done deal that ECB will print more money and will nevr let europe default... Tharman is in IMF now... Sure heard some news so better pre-empt that from happening....

That is why IMO I don't think property prices will drop much....

minority
15-01-12, 18:52
papers are saying drop. analyst say drop. all waiting for drop....

amk
15-01-12, 19:23
Personally I think the will remove CM5 once they have met the pent up demand for condo...once the number of completed units is enough to satisfy local mass market demand, they will allow all to buy again...


I'm not so positive.
The shift to the left is inevitable. With growing discontent in the masses, the elites had to make a move to please the masses. Remember almost every revolution is triggered by the disgruntled have-nots. It will take another long period of socialist style society to generate enough social woes to move back the course to the right. SG by far is pro business and pro free market, i.e, has always been on the right. The time has come for the change. What worries me is, can we afford this experiment ? Property is just one area. Look out for the next crowd pleaser: minimum wage.

Douk
15-01-12, 19:26
No one is certain recession will come this year. it is good to keep a balance of cash and investment.

Rysk
15-01-12, 20:02
You sell only if you are holding more than 2-3 properties.... If only one please don't make the same mistake as Mr B....

You can sell tom take some risk off the table... But if you are not leverage at all, don't sell... Which relatively safe instrument gives you 3'% -5% yield of your total investment with leverage? With interest rates so low now... And equity market so volatile and bond prices at all time high, what alternative instrument can you make use of if you cash out? Not to mention inflation at 5% and US and Euro printing a lot of hot money.....

If you make the same mistake as Mr. B.. you will end up lock yourself up in your rental flat.. everyday desperately doing search/copy/paste of bad news all over the world..

One moment telling the whole world price dropped 20% just bring cheque easily can get.. when ppl brought cheque to Luxus Hills & can't find one & asked him for help.. next moment quickly twist & turn telling ppl to wait for 40%.. KNN damn joker leh:doh:

One moment telling the whole world by end of next week, we should see a major Dow correction... let see...
When ppl said.. Please be responsible and repost this by 21 Jan 2012.
Next moment quickly twist & turn "a major one will take months to yrs...." WTH damn joker leh:doh:

KING OF ALL FAILURES:D

CCR
15-01-12, 22:17
Don't play with your one and only house.... Coz the cost of rental, buying, selling, renovation add up to a lot, in my previous post, market must drop at least 15% in two years for you to break even.....

kane
15-01-12, 22:30
Don't play with your one and only house.... Coz the cost of rental, buying, selling, renovation add up to a lot, in my previous post, market must drop at least 15% in two years for you to break even.....

a lot people don't realise what you've spelt out. if they get the timing wrong, the pain could be a lot worse. flipping your own roof when central banks are issuing liquidity like no tomorrow is a dangerous game to play.

ezonme
16-01-12, 02:28
Why? You desperate calling people to sell cheap cheap because many still didn't want to sell or still maintaining price or even asking for above current market price?

Does it even matter even if the property goes into negative equity? No, it never bother all the seasoned landlords (as far as I know).

Very funny, who is "god" enough to know whether price will surely fall (or conversely rise)?

Property is best for buy and hold! That is my experience. HOLD HOLD HOLD, and soon in next round you can sell at 1/3 higher from current peak (at least). :D

it's not consider realised unless u realise it. :) Cheers!

minority
16-01-12, 08:48
well sell now provided can wait to buy back. If not all the SSD, BSD, 4 yrs , ABSD.. etc make buying another place very expensive. unless price really drop 30-40%.. which would be quite unlikly

Leeds
16-01-12, 09:14
it's not consider realised unless u realise it. :) Cheers!

Purely from an investment point of view, I agree that one should realise the profits generate from his investment assets if the values warrant. Sitting on paper profits only make one feel good but cannot make use of the profits to generate other investment returns.

Westerners are more likely to sell their successful businesses or investments to unlock the values of their investments while Asians prefer to hold on to their businesses and build on or pass on to the next generation.

If one is in the position of holding on to his investment assets and still can build on his investments, he or she is in very good position. However, not many people can be in that position. Many people need to take profits to build on.

teddybear
16-01-12, 09:22
Firstly, have to point out that what you said about Westerners are not true.

Secondly, You see, based on what you said, you can never be very rich. Whoever follow what you said is difficult to become rich.

Look at Warren Buffett, he almost never sell his core stocks investments, and that is why he is the top 3 richest men in the world for so many years! :beats-me-man:


Purely from an investment point of view, I agree that one should realise the profits generate from his investment assets if the values warrant. Sitting on paper profits only make one feel good but cannot make use of the profits to generate other investment returns.

Westerners are more likely to sell their successful businesses or investments to unlock the values of their investments while Asians prefer to hold on to their businesses and build on or pass on to the next generation.

If one is in the position of holding on to his investment assets and still can build on his investments, he or she is in very good position. However, not many people can be in that position. Many people need to take profits to build on.

Leeds
16-01-12, 10:08
Firstly, have to point out that what you said about Westerners are not true.

Secondly, You see, based on what you said, you can never be very rich. Whoever follow what you said is difficult to become rich.

Look at Warren Buffett, he almost never sell his core stocks investments, and that is why he is the top 3 richest men in the world for so many years! :beats-me-man:

Both Warren Buffett and Jim Rogers will not hesitate to sell off their investments to unlock profits and reinvest the profits in other instruments. These were what I read about them. I think you did not get your facts right.

Rosy
16-01-12, 10:11
Both Warren Buffett and Jim Rogers will not hesitate to sell off their investments to unlock profits and reinvest the profits in other instruments. These were what I read about them. I think you did not get your facts right.

they did not sell their core assets which is true

Rosy
16-01-12, 10:14
i am very surprised to see so many speculators in this property forum.

i always thought that property is part of wealth accumulation and not for flipping. so many of you bought and sell within 2-3 years for short term gain.

No wonder government have to introduce so many anti speculative measures

Leeds
16-01-12, 10:14
they did not sell their core assets which is true

What is core asset? I believe both guys had already sold off their core assets in the US well before the crisis. They are now probably thinking of buying back their core assets or already done so.

Rosy
16-01-12, 10:16
What is core asset? I believe both guys had already sold off their core assets in the US well before the crisis. They are now probably thinking of buying back their core assets or already done so.

buffet did not sell away his investment firm

Leeds
16-01-12, 10:19
buffet did not sell away his investment firm

Buffett's investment firms had probably sold many of the core assets. Selling your investment assets like properties is not about selling your only property you live in. That is the different.

Rosy
16-01-12, 10:20
Buffett's investment firms had probably sold many of the core assets. Selling your investment assets like properties is not about selling your only property you live in. That is the different.

different definition of what is a core asset

Leeds
16-01-12, 10:25
different definition of what is a core asset

Exactly! The subject in discussion is whether we should sell off our investment properties now while the price is still high to unlock profits. It is not about selling off your only property you live in - your core asset. .

Rosy
16-01-12, 10:27
Exactly! The subject in discussion is whether we should sell off our investment properties now while the price is still high to unlock profits. It is not about selling off your only property you live in - your core asset. .

i jump in because i believe buffet did not sell away his core asset which in my own definition has to be his investment firm

as for the subject matter: i am just very surprised to see so many speculators.

peterng8
16-01-12, 10:27
Exactly! The subject in discussion is whether we should sell off our investment properties now while the price is still high to unlock profits. It is not about selling off your only property you live in - your core asset. .

is there any indication that the price will go up further ? pls share any info ..thnaks..:o

teddybear
16-01-12, 10:30
How are we going to engage in meaningful and useful debate in a forum like here when you can't get your fact right and instead you are telling others that they did not get their fact right? Please next time before you open your mouth and stay spilling non-sense, please check your fact first! :doh:

I am referring to long-term holdings, and Warren Buffett has been holding Coca Cola for don't know how many decades and he is still holding, not what you mention as quick flipping to unlock profits.
Property is not meant to be for flipping. If want to flip, go flip futures, better, faster, can bet both directions either up or down, and leverage even higher, and transactions costs super low! :rolleyes:


Both Warren Buffett and Jim Rogers will not hesitate to sell off their investments to unlock profits and reinvest the profits in other instruments. These were what I read about them. I think you did not get your facts right.

teddybear
16-01-12, 10:32
You ask the wrong person the wrong question! :p
You should ask him: Price will go down by how much huh? :ashamed1:


is there any indication that the price will go up further ? pls share any info ..thnaks..:o

Jadey
16-01-12, 10:33
Look at Warren Buffett, he almost never sell his core stocks investments, and that is why he is the top 3 richest men in the world for so many years! :beats-me-man:

thats rubbish. If you dont sell where do you find money to buy?

Berkshire Hathaway's core business is in investment, they dont run any company that they invest. So there is no such thing as core stock investment for BH. Anything that BH invest, they will have to make investment sense, there is no emotional attachment to it.

Rosy
16-01-12, 10:35
thats rubbish. If you dont sell where do you find money to buy?

Berkshire Hathaway's core business is in investment, they dont run any company that they invest. So there is no such thing as core stock investment for BH. Anything that BH invest, they will have to make investment sense, there is no emotional attachment to it.

BH is buffet's core asset

teddybear
16-01-12, 10:36
Oh my :doh:! Talking to an idiot don't we who can't even bother to check the facts before speaking? If holding a stock for more than 30 years is not core, then what is it? :tsk-tsk:

We are not even talking about Warren's core investment, Berkshire Heathaway, which is he is also not selling, and he said going to pass over to his son! :spliff2:


thats rubbish. If you dont sell where do you find money to buy?

Berkshire Hathaway's core business is in investment, they dont run any company that they invest. So there is no such thing as core stock investment for BH.
Anything that BH invest, they will have to make investment sense, there is no emotional attachment to it.

Rosy
16-01-12, 10:39
Property is not meant to be for flipping. If want to flip, go flip futures, better, faster, can bet both directions either up or down, and leverage even higher, and transactions costs super low! :rolleyes:

I agree.

It had never come across my mind to flip and speculate properties as the transaction cost is simply too high and most importantly real estate is very illiquid. There are so many other better avenues for shorter term gain.

Leeds
16-01-12, 10:40
is there any indication that the price will go up further ? pls share any info ..thnaks..:o

It is a judgement call.

If you think price is likely to go up further despite all the variables, then hold on and you may sell at a higher price. However, if you are comfortable to just collecting rents and not bother about capital gains, then don't sell. Movement of prices will not bother you.

If you think prices are likely to dip given all the variables, as an investor, you make your call whether to sell now while the price is still high and take the profits to invest in other instruments.

I guess, there are different type of investors here. Some are comfortable to hold on and collect rents. Some investors will choose to unlock the values of their investment assets for capital gain and reinvest the profits.

At least this discussion seems to suggest. An investor is different from speculator in this regard.

Rosy
16-01-12, 10:46
we should not be too particular about property price movement if we treat real estate as a part of your wealth accumulation with very long term holding view. What matters me is the interest rate movement and we have to get prepared for any short period of interest rate spike

I treat property as an asset to hedge against fiat money and I believe the value of any FH property will not diminish to zero with the exception of any unforeseen catastrophe:2cents:

Leeds
16-01-12, 10:49
Oh my :doh:! Talking to an idiot don't we who can't even bother to check the facts before speaking? If holding a stock for more than 30 years is not core, then what is it? :tsk-tsk:

We are not even talking about Warren's core investment, Berkshire Heathaway, which is he is also not selling, and he said going to pass over to his son! :spliff2:



I am utterly disappointed to name calling just because of difference in opinions. A good forum is one where people respect differing opinions and learn from each other. Maybe, we should just close this thread.

latour
16-01-12, 10:52
With more of these news flashing out, prices unlikely to go too much south.

"One-North Residences hits $1,399 psf ..."
http://lushhomemedia.com/2012/01/16/one-north-residences-hits-1399-psf/

Jadey
16-01-12, 11:06
Oh my :doh:! Talking to an idiot don't we who can't even bother to check the facts before speaking? If holding a stock for more than 30 years is not core, then what is it? :tsk-tsk:

We are not even talking about Warren's core investment, Berkshire Heathaway, which is he is also not selling, and he said going to pass over to his son! :spliff2:




The reason why an investment company continues to hold on to a particular stock is purely it is still making money.This is similar to investing in property. If you have a property that is giving your very decent rental return and you have a good long term tenant. Why would you sell?

However like what you say about if you sell to buy, you will never get rich is all bullshit, because you can only get rich if you continue to buy low SELL high.

Leeds
16-01-12, 11:18
The reason why an investment company continues to hold on to a particular stock is purely it is still making money.This is similar to investing in property. If you have a property that is giving your very decent rental return and you have a good long term tenant. Why would you sell?

However like what you say about if you sell to buy, you will never get rich is all bullshit, because you can only get rich if you continue to buy low SELL high.
Glad to hear some thinking that makes investment sense though I now realise that there are different interest groups who may advocate different thinking.

A healthy forum is one where there is free flow of opinions and information and where no one try to convert anyone. I learn that only a fool learns.

blackjack21trader
16-01-12, 11:21
very recent data suggests the prices are starting to drop leh. that is why i not sell also not buy la.

blackjack21trader
16-01-12, 11:23
This current measure is by far the most effective one. In the past, we see prices reacted like 3 months after the measures had been implemented. The current one has prices reacted within weeks !!!

Lovelle
16-01-12, 11:24
The following are some reasons for me to sell my property...

1. When I need cash for upgrading for my own stay.
2. When I need cash for other reasons such as sending my kids overseas for education or need cash for surgery, etc.
3. When enbloc
4. When I want to reduce my risk going forward if I sense something untoward.
5. When I no longer can commit to the mortgage loan for various reasons such as loss of job, enter into retirement, etc.
6. When I receive a ridiculously high offer that is tempting enough for me to let go of my unit even when I don't need to sell.
7. When I just want to do something different.
8. When bank interest rates are rising pass 4% and there's no rental demand and it doesn't make economic sense to hold on to that property.
9. When I find that I have enough with property investment or I need to adjust my investment portfolio.
10. When CM6 restricts my property ownership so no choice have to sell.

Having said that, I agree that property investment should be for the long term in today's context. So much at stake for short term flipping in Singapore... :cheers3:


the red reasons should not be reasons to sell.

bullman
16-01-12, 11:25
Some panicky owners reacted within 1-2 days of the CM. Although most would have realised by now that they have over-reacted.

teddybear
16-01-12, 11:41
Is this just a matter of difference of opinions?
Because you didn't check your facts, and instead say that I did not check my facts and there is obvious implication that you are saying that I am a liar.
As such, I am just returning tic-for-tac.
So who is a liar now? :rolleyes::tongue3:


I am utterly disappointed to name calling just because of difference in opinions. A good forum is one where people respect differing opinions and learn from each other. Maybe, we should just close this thread.



How are we going to engage in meaningful and useful debate in a forum like here when you can't get your fact right and instead you are telling others that they did not get their fact right? Please next time before you open your mouth and stay spilling non-sense, please check your fact first! :doh:

I am referring to long-term holdings, and Warren Buffett has been holding Coca Cola for don't know how many decades and he is still holding, not what you mention as quick flipping to unlock profits.
Property is not meant to be for flipping. If want to flip, go flip futures, better, faster, can bet both directions either up or down, and leverage even higher, and transactions costs super low! :rolleyes:



Both Warren Buffett and Jim Rogers will not hesitate to sell off their investments to unlock profits and reinvest the profits in other instruments. These were what I read about them. I think you did not get your facts right.

Leeds
16-01-12, 11:47
Some panicky owners reacted within 1-2 days of the CM. Although most would have realised by now that they have over-reacted.

The market will only sees the effect of the CM in the next few quarters. This CM comes at a time when supplies are plentiful and when the global economy is uncertain. It is too early to conclude. For all you know, the people who acted on the first few days may have the last laugh. Just my thoughts!

DC33_2008
16-01-12, 11:53
IMO, property investment favours those cash rich with strong long-term holding power. This particularly so in the Singapore context that has rather strong and stable environment in politics, location, etc.

Leeds
16-01-12, 12:03
IMO, property investment favours those cash rich with strong long-term holding power. This particularly so in the Singapore context that has rather strong and stable environment in politics, location, etc.

That seems to be true. Any price correction is not likely to affect this group of people. However, there is a bigger group, the no so rich who are late comers and made late investments (buy at rather high price) may well be in trouble.

Jadey
16-01-12, 12:10
That seems to be true. Any price correction is not likely to affect this group of people. However, there is a bigger group, the no so rich who are late comers and made late investments (buy at rather high price) may well be in trouble.

rich or poor, anyone who is over leveraged will get hit.

revhappy
16-01-12, 12:36
The market will only sees the effect of the CM in the next few quarters. This CM comes at a time when supplies are plentiful and when the global economy is uncertain. It is too early to conclude. For all you know, the people who acted on the first few days may have the last laugh. Just my thoughts!

Fully agree with you. I just looked in property guru. Goodness gracious, how many new launches. Almost 1 launch a day, just wait for all these to come on stream and no one to rent them and then the music starts :cheers6:

DC33_2008
16-01-12, 12:52
That is true. This group of people will usually tell you no risk, no gain.
rich or poor, anyone who is over leveraged will get hit.

ysyap
16-01-12, 13:07
Fully agree with you. I just looked in property guru. Goodness gracious, how many new launches. Almost 1 launch a day, just wait for all these to come on stream and no one to rent them and then the music starts :cheers6:Some of these sales are for home stay lah... not investment... investors might be taking a back seat for these couple of months to monitor the market before committing again... :cool:

CCR
16-01-12, 13:40
I think we should only sell if you have other places with better prospect to park your money...

For example sell one over priced property and buy in one underpriced area...

Maybe sell in Sengkang and Punggol now and buy Jurong lake district? Westmere and Ivory heights? In 3 years time when all the dust have settled in Jurong East, then prices will cheong another 20%...

This is how you make money from properties if you dont have enough cash and want to keep making higher returns than the market averages

ysyap
16-01-12, 13:43
I think we should only sell if you have other places with better prospect to park your money...

For example sell one over priced property and buy in one underpriced area...

Maybe sell in Sengkang and Punggol now and buy Jurong lake district? Westmere and Ivory heights? In 3 years time when all the dust have settled in Jurong East, then prices will cheong another 20%...

This is how you make money from properties if you dont have enough cash and want to keep making higher returns than the market averagesAgree with your concept but west is now getting pricey... the less disturbed area is probably way up north le... try woodlands or Sembawang area. :D

CCR
16-01-12, 13:52
With more of these news flashing out, prices unlikely to go too much south.

"One-North Residences hits $1,399 psf ..."
http://lushhomemedia.com/2012/01/16/one-north-residences-hits-1399-psf/

Dover Parkview and Heritage view is under priced man...

stl67
16-01-12, 14:06
Don't play with your one and only house.... Coz the cost of rental, buying, selling, renovation add up to a lot, in my previous post, market must drop at least 15% in two years for you to break even.....

For this I agree..
My friend's condo got enbloc during the Lehman crisis time. So he decided to rent and pay 5k a month, hoping for the price correction. Till now he is still renting..
2 years back he nearly wanted to buy 2 units but wife asked him to wait longer for price correction. Of course price never correct lah... So moral of the story, don listen too much to your partner...:)

focus
16-01-12, 15:35
I think getting rich is more about getting the timing right and overweighting assets accordingly. If you get wrong.. you make less money loh.

Here's Jim Roger's Investment nuggets and this is what he has to say...

On getting Rich

“Historically, you buy stocks when they're yielding 6% and selling at eight times earnings. You sell them when they're at 22 times earnings and yielding 2%”
"Take your money; put it in Treasury bills or a money-market fund. Just sit back, go to the beach, go to the movies, play checkers, do whatever you want to. Then something will come along where you know its right. Take all your money out of the money-market fund, put it in whatever it happens to be and stay with it for three or four or five or 10 years, whatever it is.
You'll know when to sell again, because you'll know more about it than anybody else. Take your money out, put it back in the money-market fund, and wait for the next thing to come along. When it does, you'll make a whole lot of money." This is what Buffett did to this Personal Account (not Berkshire) as reflected in his 2008 New York Times op-ed article "Buy America, I am" :


“A simple rule dictates my buying: Be fearful when others are greedy, and be greedy when others are fearful. And most certainly, fear is now widespread, gripping even seasoned investors."

Mr. Buffett indicated that his personal account, which had been invested entirely in government bonds, would soon be 100 percent in United States equities if prices continued to become more attractive. He clearly stated that there was no way to predict where stocks would be in a month or a year but that prices would recover substantially well before widespread positive sentiment returned. As it turns out, it is a good thing his goal was not to predict the short term direction of the market because he was several months too early in terms of identifying the market bottom which finally arrived in March 2009. A popular Hong Kong Investor , 曹 仁超, made his millions (est. worth of USD$40mil if I'm not wrong) thru' cycling between assets. I don't know much of the exact details but he moved from HK stocks to real estate(in UK) to HK stocks to real estate(in HK) to Gold to HK stocks to probably China stocks now. You can read about his story here : 从穷困潦倒到亿万富翁 曹仁超演绎股市传奇 (http://finance.ifeng.com/money/wealth/mystique/20090509/641258.shtml). To me, he is a trend investor and his timing seems impeccable.


How about some local fare like Mr Isaac Chin's gutsy moves? Read the NextInsight article here (http://www.nextinsight.com.sg/index.php/story-archive-mainmenu-60/912-2011/3451-isaac-chin-). I will summarize what I see (but probably you might not agree with what i see.. ).


"I think the most important thing about investment is timing. I could sense the financial storm coming in 2008/9 and I had employed the ‘withdrawal’ technique (instead of the price-averaging down) to fight the crashing market. When STI hit 1457 in March 2009, I used all my available ammunition to bet on the 4 Reits and the rest was history. "
A one-hit wonder? How about considering he first jackpot (and thus started his career as private investor) was selling off his condo(real estate) at $1.2mil in 2000. He subsequently put his money into Bonds, Real estates(Big jackpot here I believe) and bonds and finally the 2009 Jackpot of $2mil gain in Reits. He is now waiting for his thesis of STI powering another 15% before re-allocating his cash into Bonds again.


Most of them seemed to have move the bulk of their resource($$$) into overweighting an asset class deemed undervalued and moving out subsequently to other asset classes like real estate, bonds and the ultimate safe haven of the "Cash and Alternatives" Asset class subsequently. Thus, asset allocation is very important in a person's investing journey. You don't have to move 100% into one asset class at one time, but you do need to maintain the weight-age of the asset class depending on your judgment call. For know nothing investor like me, I like to have "Cash & Alternatives" on hand and overweight where I see the most value. But if you are a know-something investor, probably concentration could better for you. No right or wrong.