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View Full Version : Drastic fall in foreigners purchasing local properties.


FilthyRich
20-04-12, 10:21
Due to the 10 per cent additional buyer's stamp duty, foreigners have been successfully mitigated from the purchase of local properties.
Shown in an article, there has been a 78% fall in sales of local properties by foreigners.

SOURCE (http://www.stproperty.sg/articles-property/singapore-property-news/home-sales-to-foreigners-dive-78-per-cent/a/62501)

However would this just be a short term measure, in time to come will they still find investment potential in Singapore and continue to invest in local properties?
ysyap
20-04-12, 10:38
Its all about getting use to it. Once the 10% is accepted and factored into the whole package of property investment, foreigners will likely return. Also, if overseas proposition does not entice them any more than our shores, then they will still return. ;)
roly8
20-04-12, 10:39
they are welcome to invest.. ;)


All our properties double in value at least during this few years..
nothing to lose for the govt or existing property owners..
hopeful
20-04-12, 11:11
Its all about getting use to it. Once the 10% is accepted and factored into the whole package of property investment, foreigners will likely return. Also, if overseas proposition does not entice them any more than our shores, then they will still return. ;)

wah, so high hopes. I guess being tortured is also an acquired taste.
if tortured long enough, the victim will asked for more is it?
amk
20-04-12, 12:00
Its all about getting use to it. Once the 10% is accepted and factored into the whole package of property investment, foreigners will likely return.
I dun think so. foreign investors are not fools.

This 10% ABSD for foreigners completely smacks of trade protectionism. that's why SG dare not apply it to countries where we have FTA.
blackjack21trader
20-04-12, 13:43
I dun think so. foreign investors are not fools.

This 10% ABSD for foreigners completely smacks of trade protectionism. that's why SG dare not apply it to countries where we have FTA.

I agree with brother amk. I can see the total silence in D9,D10,D11 recent weeks.
august
20-04-12, 15:45
wah, so high hopes. I guess being tortured is also an acquired taste.
if tortured long enough, the victim will asked for more is it?

just like how voters keep voting for the pap :D
roly8
20-04-12, 17:17
wah, so high hopes. I guess being tortured is also an acquired taste.
if tortured long enough, the victim will asked for more is it?

lol:scared-3::scared-3::scared-3:
carbuncle
20-04-12, 17:44
Its all about getting use to it. Once the 10% is accepted and factored into the whole package of property investment, foreigners will likely return. Also, if overseas proposition does not entice them any more than our shores, then they will still return. ;)
Its a matter of principle. A lot of them see this as the sg govt not welcoming them....
maisonjai
20-04-12, 18:20
wah, so high hopes. I guess being tortured is also an acquired taste.
if tortured long enough, the victim will asked for more is it?
After CM5, s'poreans keep buying so we asking for more CMs? ..wahaha
sh
20-04-12, 18:41
10% does not constitute a drastic fall in purchasing power. It's more like they are bey song for being discriminated and hence a drastic fall in volume.:2cents:
radha08
20-04-12, 19:09
ya but there is a DRASTIC increase in sporeans buying so it evens out...:D
FilthyRich
23-04-12, 10:27
Hey guys, recently i read about the Additional Buyer Stamp Duty(ABSD)
Apparently, the ABSD was only applicable to the Residential sector of property purchase, and not the Commercial properties.

However a situation appeared, when "twin Limb" shop houses came into consideration, as they consist of 2 floors in which many choose to live on top, while engaging in small business with the shop house below. This regards the property under both residential and commercial, which makes it difficult to decide on the amount of stamp duty to impose.

The main reason for implementation of the ABSD was a cooling measure for prices of local properties, with the main intent to lower foreign investments on properties. However in this situation Since shop houses are often purchased and owned by locals, i feel that the ABSD could be more lenient on such aspects.

Your views?
House
23-04-12, 11:13
However a situation appeared, when "twin Limb" shop houses came into consideration, as they consist of 2 floors in which many choose to live on top, while engaging in small business with the shop house below. This regards the property under both residential and commercial, which makes it difficult to decide on the amount of stamp duty to impose.


Shophouses are commercial from what I know.
FilthyRich
23-04-12, 11:44
Hmm but in this article it actually states that there has been much confusion and disputes with this issue

SOURCE (http://www.stproperty.sg/articles-property/singapore-property-news/absds-scope-more-clarifications-required/a/62926)
House
23-04-12, 12:22
Hmm but in this article it actually states that there has been much confusion and disputes with this issue

SOURCE (http://www.stproperty.sg/articles-property/singapore-property-news/absds-scope-more-clarifications-required/a/62926)

This guy(article) is picking bones in an egg. :beats-me-man:
He is trying to link the zoning with ABSD, more on the developer level, not end consumers like us.

To consumers, in the case of ABSD, Zoning has little or nothing to do with it, it's the end product that counts.
You buy a commercial/industrial = no ABSD
You buy a house = ABSD applies

Btw there are factories built on residential land too. So if you buy a unit in this factory building you pay ABSD? Of cos not.