why does these measures attract "serious" investors????Originally Posted by Eastboy
It just deter ALL foreign investors.... got "not serious" investors meh?
why does these measures attract "serious" investors????Originally Posted by Eastboy
It just deter ALL foreign investors.... got "not serious" investors meh?
It may signal housing loan interest rates will remain low for quite a while. Hence the need for these quantum measures.
it has become more like our taxis here already..so many surcharges here n there until the foreigners are confused.Originally Posted by wind30
They should review case by case basis.
If foreigner enrols his kid for school here, and whole family uproot and stay here, then should consider lower ABSD or no additional at all if it is 1st property.
At the end of the day,they just want yr $$$ lah..Originally Posted by buttercarp
Just pay n pay..simple.
Redas should ask developers don't be so aggressive I'm bidding for land. And don't price to the max when selling. The numbers are too glaring.
The cooling measure is very effective. One stone kills many birds. In a way, it is good for most Singaporeans.Originally Posted by DaytonaSS
Quite a good measure, looking from several angles. Citizens happy, new PR, newer citizens, who only own 1-2 properties as of now lagi more happy.Originally Posted by DC33_2008
With the exception of property agents I guess, the smart ones will be planning to do rental deals already......
Seriously, I think agents are earning too much, i.e. 1-2% of a 2 million property is alot of commission. Before the ABSD, i think they earn nearly half as much as the government's stamp duty.
Y is that so? Care to elaborate?Originally Posted by DC33_2008
So if the developers absorb the stamp duty, then it'll probably feel like there was no additional buyer stamp duty. But that'll mean lesser margins for them. I guess they can afford 3% off from their margins to move the inventory.
I wonder whether we'll see more inventive layout with bigger and "improved" air con ledges.
See if you are a family comprising of 1 SPR and 1 citizen currently owning HDB, you will still get hit by this extra 3% stamp duty when buying PC, unless you sell off HDB first.
This will kill off medium term speculators completely, the transaction cost is simply too high especially for new units under construction:
1. Buyer stamp duty around 2.5%
2. Additional stamp duty 3%
3. SSD of 4y
4. LTV 60%
5. To sell must pay agent 2%
6. After 4y, already paid bank interest probably 1-2%
Overall upfront cost for investment is 2.5+3+2+2 = 9.5% with low leverage due to LTV 60% The investment property must go up 15% in 4y just for you to have kopi $$ profit
Ride at your own risk !!!
Originally Posted by phantom_opera
this type of people dont want to convert to citizen yet want to enjoy the best of both world...deserve to get hit and hit them hard...this is the message loud and clear....
To be fair I think the CM also help prevent these foreign investors from over investing in our pty mkt and getting burnt later. I think the most upset person right now is BJT......
then convert to PR lor.... case by case basis, you think so free to look at all the appeals meh?Originally Posted by buttercarp
quite surprised by the recent cooling measures.
I think its effect is more dramatic that the previous ones due to it timing.
People are already wondering whether to relax some of the cooling measures, etc. The government all of a sudden whack another tough measure. I think this will weigh heavily on people's mind as the potential for MORE measures are very high.
YES SIR i receive message loud n clear...Originally Posted by fclim
I think what's worse is the policy risk. Investing in SG is more and more like investing in Malaysia propertiesOriginally Posted by fiat500
It is politically correct to make housing affordable, but the price tag is that Singapore residential properties may be off from foreign investors' radar screen
Once bitten twice shy. let's see if foreign investors will ever come back
no need bahOriginally Posted by esther
That's why CCR will be hardest hit .... loss of confidence in capital growth potential, OCR is normally for rental play still okOriginally Posted by SpinCity
Ride at your own risk !!!
MMs in RCRs and OCRs near MRT will hardly be affected. Developers will simply hold back from price increase and dangle more discounts for larger units.
This is definitely not a pro-rich policy, high inflation of 5+X% every year ... still take away the only safe asset class that is hedging inflation
CityDev down 7.5% already ... probably 10% down today
Ride at your own risk !!!
developers may absorb the ABSD, but for those who buy from developers, by the time they want to sell, they have to absorb the ABSD and potentially pay the SSD. All buyers will think twice before they signOriginally Posted by kane
They should just fine tune d hdb system n not interfere too much on private properties.Originally Posted by SpinCity
Afterall they are private n should just let d mkt force dictate its direction.
Perhaps just change ltv to 50% for foreign buyers instead of 10% sd.
Xiao....seems like another knee jerk measure motivated by political/election concerns. This is at odds with foreign policy and certainly going to send confusing messages to foreign investors and potential immigrants.
On the one hand, want to encourage foreign talent and investment. On the other hand, make it expensive for them to afford accomodation
Then when market crash and foreign investment dries up, they will scurry to remove all the measures or even add incentives. Instead of trying to even out the ups and downs, they are making the swings more extreme.
.
How is that good for singaporeans when the million dollar property you own becomes less desirable for foreigners to buy?Originally Posted by DC33_2008
1) if people buying fewer properties, and taking out fewer mortgages, what is the banks going to do with the excess funds? FD rates going to be lower? lower mortgage rates?
2) why won't developers jackup the price and absorb stamp duties. Afterall valuers go along with any price developers/banks ask for. So this measure increase new sales at the expense of subsale and resale.
before (BSD borned by buyer)
$1mil property, cash outflow = 20% DP + 3% BSD = 200k + 24600 = 224600
after (all BSD absorbed by developer).
$1.06mil property, cash outflow = 20% DP = 212000
If only for rental play, why come to Singapore? the rental yield is not that great compared to other part of the worldOriginally Posted by phantom_opera
What if next CM come in to tax foreigners the property tax at 100% of annual value? Only investors become cautious about the policy risk, they may not come in at all
I believe this is a smart move from gov.. With additional10% can make foreigner think twice to sell their properties. It will make price stable. Also can match the demand n supply cos developer also hold new launch.
For landlords also good .. Foreigner better rent then buy. IMHO
just bade high for the Alexandra site and now all of a sudden CM5 comesOriginally Posted by phantom_opera
maybe CDL will do service apartment instead of residential units
Originally Posted by hopeful
Isn't LTV 60% for 2nd pty, and stamp duty should be BSD (3%) + ABSD (3%)? Quite a big cash outlay.....