View Full Version : CM got REVERSE effect..
The way i see all these CM make people more kan cheong to buy...buy...buy....look at all new launch....ANYTHING but dampening effect...:doh:
The way i see all these CM make people more kan cheong to buy...buy...buy....look at all new launch....ANYTHING but dampening effect...:doh:
Aiyah, people just look see only lah. Onlyvthe low quantum units move fast.
Aiyah, people just look see only lah. Onlyvthe low quantum units move fast.
yup but still move....for a property investor WORST day of week is FRIDAY:scared-1:
Thats why all the sales launch start on FRIDAY...:D:D:D
next CM will come out on thurs evening then all LPPL...:D:D:D
CMs 1-7 target ability to buy and ability and willingness to sell.
Only CM 8, plus the HDB measures targets willingness to buy for buyers of second or more property.
They have just about managed to balance supply and demand. Its likely to be stable in price and volume going forward at a more comfortable pace for all.
Plus the recent additional tax measures for investment properties increase the willingness to sell.
So all in, it is a very graduated approach to balance the equation.
The measures v good, make the developer slash prices and make it affordable for first timer, or hdb Upgraders , then property rise is sustainable, we should welcome CM8 .....well done KBG
Hi...which show flat are freshly open to public? I will like to do some leisure visiting.
phantom_opera
16-03-13, 11:18
CM7 is very successful it reduced developer margin and give those MTBs first timers a chance to board the boat
I like the 15% absd on foreigners, harder for them to buy, make rental better, now I go see foreigner tenant extend rental 1year.....he asks until 2016, I say no way, I want slowly increase rent
phantom_opera
16-03-13, 11:56
hk new sales also cutting prices..
this year should be a pretty flat year for prop prices
Our cooling measures are designed to stop 2nd timers of properties from buying and reserve for first timers of property buyers the privilege to buy! If the first-timer don't buy, when? Wait till the boat sailed again?! So very obvious they heed the govt's actions and quick buy buy buy! :p
The way i see all these CM make people more kan cheong to buy...buy...buy....look at all new launch....ANYTHING but dampening effect...:doh:
CM7 is very successful it reduced developer margin and give those MTBs first timers a chance to board the boat
If you have been to showflats recently, you will certainly notice that the ABSD is eroding slowly. More and more people are willing to fork out the additional 7%, 10% for their second third, fourth, fifth property !
When I talk to them to understand how they think, I conclude that most people see the ABSD as additional tax on their money making properties! One of them told me - just make $100K lesser lor, blah blah blah government blah blah blah, so instead of earning $300K, next time I just can make $200K lor!
Watch out folks! This maybe the new thinking.
DKSG
This is what the Govt wants - extra revenue that balances supply and demand. Its never about crashing.
If you have been to showflats recently, you will certainly notice that the ABSD is eroding slowly. More and more people are willing to fork out the additional 7%, 10% for their second third, fourth, fifth property !
When I talk to them to understand how they think, I conclude that most people see the ABSD as additional tax on their money making properties! One of them told me - just make $100K lesser lor, blah blah blah government blah blah blah, so instead of earning $300K, next time I just can make $200K lor!
Watch out folks! This maybe the new thinking.
DKSG
No worries, if CM7 can't work, then CM8 will raise the tax another 5%, so 12% and 15%. Not enough? CM9, raise to 17% and 20%. Still cannot? Then CM10, 22% and 25%..... :D
If still cannot, implement recurring ABSD, every year you own the property, you pay 5-10% tax on valuation. :scared-4:
No worries, if CM7 can't work, then CM8 will raise the tax another 5%, so 12% and 15%. Not enough? CM9, raise to 17% and 20%. Still cannot? Then CM10, 22% and 25%..... :D
If still cannot, implement recurring ABSD, every year you own the property, you pay 5-10% tax on valuation. :scared-4:
When that happens, all the cash we have in our bank accounts will become banana money!
My point is not the tax ... its the observation in the showflat as an indicator of buying sentiments.
Government is busy with 60-year lease HDB flats. CM will cool for a while.
DKSG
it looks like people now worry the prospects of the subsequent CMs rather than the CM itself.
developer expert gives discounts? why?
they are the experts think markt will be soft
met with buddy yesterday - interest rates expect 6 times up. 6 TIMES UP
true ah?
now interest rates low installments $1000 later interest rate up $4000
he said okay no worry of high high interest rate if pay cash.
now kno why gahmen said more downpymt fr car and more CMs
6x up the current SIBOR of 0.35% = 2.1%. Include the bank spread is about 3.1%. That is a reasonable number if economy is good.
cm has multi purpose
one, appease the kpkb segment by showing hey we got press the rich jialut jialut ok!
two, it makes the rich (a lot here ok) buy up more at a faster rate due to fear of more restrictions
so everybody happy. win win win win
developer win
poor win
rich win
kpkb win
owners win
and biggest winner .....
gahmen.
Any rich here buying more?
developer expert gives discounts? why?
they are the experts think markt will be soft
met with buddy yesterday - interest rates expect 6 times up. 6 TIMES UP
true ah?
now interest rates low installments $1000 later interest rate up $4000
he said okay no worry of high high interest rate if pay cash.
now kno why gahmen said more downpymt fr car and more CMs
Your calculations not accurate.
Calculate monthly installment based on 20/25/30 years 3% vs 1.3%
Based on 25years 1mil loan,
Monthly installment @1.3% 3.9k
@3% 4.74k
pls based calc on 4-5% before signing the mortgage is ensure u r able to cope with reduced spending monies in times of burgeoning economy
pls based calc on 4-5% before signing the mortgage is ensure u r able to cope with reduced spending monies in times of burgeoning economy
It is better to have 100-200k emergency cash for every 1mil loan. Any job or business is non guaranteed
It is better to have 100-200k emergency cash for every 1mil loan. Any job or business is non guaranteed
Very much agree. If you dont have this kind of reseves, better dont take so much loan. But then ... ALAMAK! Office Boy is under-loaning !!!!
DKSG
pls based calc on 4-5% before signing the mortgage is ensure u r able to cope with reduced spending monies in times of burgeoning economy
If the economy isn't sound and the central banks raise rates to 4%, the economy will cave in.
Very much agree. If you dont have this kind of reseves, better dont take so much loan. But then ... ALAMAK! Office Boy is under-loaning !!!!
DKSG
Means you can afford to buy more properties and hoard less cash.
Sales in the month of march with jump up 80% compared to feb sales volume.
Your calculations not accurate.
Calculate monthly installment based on 20/25/30 years 3% vs 1.3%
Based on 25years 1mil loan,
Monthly installment @1.3% 3.9k
@3% 4.74k
25 yrs for young buyers
me old liao more impact
if 4-5% rate - 6K? 2k more
how to afford pay installment if miscalculated. jialat
Sales in the month of march with jump up 80% compared to feb sales volume.
sales jump for smaller units if u think abt it
developers cut into smaller units knowing $1m is affordable now for some
buyers not looking at psf rationality died. clementi or bkt panjang calling for $1400-1500psf
my god if compared to d10 d leedon same psf..make sense or not?
gahmen said new hdb at cheaper prices
25 yrs for young buyers
me old liao more impact
if 4-5% rate - 6K? 2k more
how to afford pay installment if miscalculated. jialat
If u are older, make sure u have 200k e cash for every 1mil loan. 100k enough for younger ones
Ha ha ha!
Then, by 2016 GE, they become Opposition? :banghead:
No worries, if CM7 can't work, then CM8 will raise the tax another 5%, so 12% and 15%. Not enough? CM9, raise to 17% and 20%. Still cannot? Then CM10, 22% and 25%..... :D
If still cannot, implement recurring ABSD, every year you own the property, you pay 5-10% tax on valuation. :scared-4:
for investors looking for capital gain....forget abt it with all those exit costs
Remember, Buy and hold for 20 years! Sure got very good chance to exit with no costs and huge profits! In fact, many will end up deciding not to exit at all because exit already cannot buy back without paying premium and still get lousy quality, cheated on space (e.g. paid for 1600 sqft but actually only 1300 sqft real usable space!), super huge number of units in estate that fits to be called "public housing" rather than "private housing"! :doh:
for investors looking for capital gain....forget abt it with all those exit costs
aunty and uncle also know this la bro.
prices on uptrend over long time
only question is if u buy now andprices down...u have put more capital compared others
below okay if u have plenty ofspare cash $$$$$
me poor chap only got one chance
Remember, Buy and hold for 20 years! Sure got very good chance to exit with no costs and huge profits! In fact, many will end up deciding not to exit at all because exit already cannot buy back without paying premium and still get lousy quality, cheated on space (e.g. paid for 1600 sqft but actually only 1300 sqft real usable space!), super huge number of units in estate that fits to be called "public housing" rather than "private housing"! :doh:
Remember, Buy and hold for 20 years! Sure got very good chance to exit with no costs and huge profits! In fact, many will end up deciding not to exit at all because exit already cannot buy back without paying premium and still get lousy quality, cheated on space (e.g. paid for 1600 sqft but actually only 1300 sqft real usable space!), super huge number of units in estate that fits to be called "public housing" rather than "private housing"! :doh:
Agree. +1 Like.
But D'Leedon with 1700+ units in the estate is like "public housing"! Facilities not enough! How to compare? I am sure anybody can walk into and out of D'Leedon without much hassle when it is completed! You think the security guards can remember 1700+ people, let alone 1700+ x4 (assuming average 4 family members per unit?)! :p
sales jump for smaller units if u think abt it
developers cut into smaller units knowing $1m is affordable now for some
buyers not looking at psf rationality died. clementi or bkt panjang calling for $1400-1500psf
my god if compared to d10 d leedon same psf..make sense or not?
that's how u rationalize psf
bigger project in better location - psf lower than those mickey mouse project in suburb location
tenants dont care they want to enjoy exclusivities
better ask tenant since investor buying to rent out
if u ask me to rent a condo in london paying same rent in a bigger vs mickey mouse project ....
u must b kidding
rivergate PI reflections developers must dun no how to sell then
shld slice into smaller mickey mouse units to beat those mickeymouse projects in suburbs
rivergate and PI back then considered crazy public housing size compared to other projects
see what happened to psf
location location location
tenant tenant tenant .....wants to live in nice hype area
why paying so much rent if staying i shoebox project
castrophobia kicks in
Due to the latest CM7, the mentality is "buy now" or "pay more taxes" when CM8, 9, 10 comes.
:banghead:
The way i see all these CM make people more kan cheong to buy...buy...buy....look at all new launch....ANYTHING but dampening effect...:doh: two types of ppl. Scared prices continue to move up, gan jiong buy. 2nd type is cash rich and can wait for next CM and very likely MSR or lower LTV
if MSR + LTV + capital gain tax... all up the lorry liao :cheers5: :cheers5:
two types of ppl. Scared prices continue to move up, gan jiong buy. 2nd type is cash rich and can wait for next CM and very likely MSR or lower LTV
if MSR + LTV + capital gain tax... all up the lorry liao :cheers5: :cheers5:
You must put the CMs into perspective. CM is to cool the market, once market turns cool then cold. CMs will be removed two by two to revitalised the market.
So when you say up lorry, you mean market turn cold and CMs removed ?
DKSG
two types of ppl. Scared prices continue to move up, gan jiong buy. 2nd type is cash rich and can wait for next CM and very likely MSR or lower LTV
if MSR + LTV + capital gain tax... all up the lorry liao :cheers5: :cheers5:
I think I better save more CASH to collect lew lian.... :47:
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