Property is getting quite hot now

[hyenergix]

Buyers are out in full force.

By Romesh Navaratnarajah:
May 4, 2012 - PropertyGuru.com.sg

The long Labour Day weekend has paid off for many public and private projects in the country, with property buyers turning up at showflats in full force and snapping up units.

For instance, the 447-unit Pasir Ris One DBSS (Design, Build and Sell Scheme) project was oversubscribed even before submissions of e-applications ended.

Despite the high prices, the 99-year leasehold project has seen strong take-up. The developer SingXpress Land is selling a three-room (700 sq ft) unit from S$390,000 to S$490,000, which works out to around S$557 psf to S$700 psf. For a five-roomer (1,130 sq ft), prices range between S$650,000 and S$770,000, or around S$575 psf to S$681 psf.

According to analysts, the higher prices put it in direct competition with Watercolours, an EC (executive condominium) project located in the same area. In addition, sources said that the 99-year leasehold, 416-unit EC is already oversubscribed even with applications closing on Monday.

A 743 sq ft two-bedroom unit is going at between S$500,000 to S$600,000 while a three-bedder with a built-up area from 915 sq ft is priced in the range of S$600,000 and S$700,000.

Over at Yishun, the 665-unit 1 Canberra EC (pictured) by MCC Land recorded 500 e-applications. Prices for standard three-bedders range between S$680,000 and S$880,000 while a four-bedder unit is estimated to cost around S$860,000 to S$970,000.

Mass market private condos have also driven healthy sales.

Of the 200 units released at the SeaHill by Far East Organization, some 145 were sold at an average price of S$1,311 psf. MCL Land’s Ripple Bay also sold 505 units from the 679 homes released at an average price of S$870 psf.

http://www.propertyguru.com.sg/prope...over-labour-da

[radha08]

thats because we have a good credible gov unlike our neighbouring country...

http://www.youtube.com/watch?v=U0uSA...feature=g-vrec

[Sleepyhead]

So true.. Despite Singapore's many flaws... The good far outweighs the bad.. For now...

I just wish property prices are at more affordable levels so that people like me can buy somewhere to call home without signing off my salary to the bank for the next 30-40 yrs!

And that is assuming my salary remains at today's level. With the open door policy.. Increasing competition, rising inflation, anything can happen!

Sianzzzz.

[roly8]

So true.. Despite Singapore's many flaws... The good far outweighs the bad.. For now...

I just wish property prices are at more affordable levels so that people like me can buy somewhere to call home without signing off my salary to the bank for the next 30-40 yrs!

And that is assuming my salary remains at today's level. With the open door policy.. Increasing competition, rising inflation, anything can happen!

Sianzzzz.

quite true..

slave to 30-40yr loan.. definitely not advisable...

[Sleepyhead]

Actually... Even in our neighboring country, house prices have risen in line with Singapore. Of course the quantum is smaller... But % wise it's the same or thereabouts..

So people there too have to slave for 30-40 years if they want to own a home...

IMHO, better to slave in Singapore where the political environment is stable.. Rather than over there where things may just explode anytime?

So in conclusion... BUY! BUY! BUY!!!

Hahahhahaha.....

[hyenergix]

Actually... Even in our neighboring country, house prices have risen in line with Singapore. Of course the quantum is smaller... But % wise it's the same or thereabouts..

So people there too have to slave for 30-40 years if they want to own a home...

IMHO, better to slave in Singapore where the political environment is stable.. Rather than over there where things may just explode anytime?

So in conclusion... BUY! BUY! BUY!!!

Hahahhahaha.....

True. Even in Sarawak, properties prices r rising rapidly.

[Laguna]

True. Even in Sarawak, properties prices r rising rapidly.

Ya, it is the hottest among all states

[PN]

The same happens to other part of Asia

I've spoken to people from Taiwan, Korea, HK, Malaysia, China. If you asked them how long they need to pay back the home mortgage loan. The reply is about 30yrs. That's why you'll hear these two words 房奴 when you discuss property to people from China or Taiwan.

[rattydrama]

isnt it scary, just few years ago, many people I know say want to clear their loan within 15 years... as early as possible, now taking more and longer term is like a in thing.

better keep cash for rainy days.....at least few years

[DC33_2008]

I know of people who leverage on property investment to become multi-millionaire. Just more difficult & risky now.

The same happens to other part of Asia

I've spoken to people from Taiwan, Korea, HK, Malaysia, China. If you asked them how long they need to pay back the home mortgage loan. The reply is about 30yrs. That's why you'll hear these two words 房奴 when you discuss property to people from China or Taiwan.

[House]

I know of people who leverage on property investment to become multi-millionaire. Just more difficult & risky now.

Those were the good old years

[Worsty]

Actually... Even in our neighboring country, house prices have risen in line with Singapore. Of course the quantum is smaller... But % wise it's the same or thereabouts..

So people there too have to slave for 30-40 years if they want to own a home...

IMHO, better to slave in Singapore where the political environment is stable.. Rather than over there where things may just explode anytime?

So in conclusion... BUY! BUY! BUY!!!

Hahahhahaha.....

It may rise the same % but the Malaysians as it is, have it better as their purchasing power parity is in a better position than most Singaporeans.

[Sleepyhead]

Huh! How do you conclude that Malaysians have higher purchasing power?

A fresh grad earns SGD2500 and MYR2500 respectively.

A plate of chickenpox rice is SGD 3.00 and MYR 4.50 respectively.

Who has the higher purchasing power?

[ikan bilis]

Huh! How do you conclude that Malaysians have higher purchasing power?

A fresh grad earns SGD2500 and MYR2500 respectively.

A plate of chickenpox rice is SGD 3.00 and MYR 4.50 respectively.

Who has the higher purchasing power?

their condo may be in range of MYR200K-500K only, car also much cheaper...

[focus]

their condo may be in range of MYR200K-500K only, car also much cheaper...

Agreed. Depends on where you want to live in malaysia, even a small terrace can be had for rm$200k. And mind you.. these people who live in there are working as blue collar workers.

Housing is the largest expense for almost all and if you can minimize on that expense, your quality of living will definitely increase even if one is receiving sgd 2500 and the other rm 2500.

In any case, I still find our 3 & 4 rms affordable for two degree holders who are working. Most can pay it off in 10yrs.

[sh]

I know of people who leverage on property investment to become multi-millionaire. Just more difficult & risky now.

To get rich with property, you have to have more than 1 property. Where you stay doesn't count.

To avoid being enslaved to the bank for 30years, you need >2 investment properties. When and if the price doubles eventually.... sell one off and repay the bank fully with money to spare. (or keep both since its so lowly geared)

Aiyah... now not so easy with 40% LTV....

the good old days without CMs.... deferred payment with 20% down. Can hoot properties 5 times the downpayment.....

[DC33_2008]

You are absolutely right. Properties bought till Lehman brothers are meant to be kept for good passive income. Rather difficult after it.

To get rich with property, you have to have more than 1 property. Where you stay doesn't count.

To avoid being enslaved to the bank for 30years, you need >2 investment properties. When and if the price doubles eventually.... sell one off and repay the bank fully with money to spare. (or keep both since its so lowly geared)

Aiyah... now not so easy with 40% LTV....

the good old days without CMs.... deferred payment with 20% down. Can hoot properties 5 times the downpayment.....

[chiaberry]

You are absolutely right. Properties bought till Lehman brothers are meant to be kept for good passive income. Rather difficult after it.

We don't have much good option but to keep them. Even if we sell, we can't buy another one to replace it withoug incurring ABSD. And we can't get the same level of leverage. Rather resigned to having to hang on to them. Bought the last one just days before the last CM. Won't be buying any more until such time they revise the ABSD.

[DC33_2008]

Rental yield of bought then are fetching rental yield of at least 5%. Not those bought in the last 2 years.

We don't have much good option but to keep them. Even if we sell, we can't buy another one to replace it withoug incurring ABSD. And we can't get the same level of leverage. Rather resigned to having to hang on to them. Bought the last one just days before the last CM. Won't be buying any more until such time they revise the ABSD.

[carbuncle]

Huh! How do you conclude that Malaysians have higher purchasing power?

A fresh grad earns SGD2500 and MYR2500 respectively.

A plate of chickenpox rice is SGD 3.00 and MYR 4.50 respectively.

Who has the higher purchasing power?

Sorry I cant stop laughging on a humid saturday afternoon.... What is chickenpox rice..??

[Rysk]

Sorry I cant stop laughging on a humid saturday afternoon.... What is chickenpox rice..??

Is it those which you can find in Malacca? Chicken rice in a ball shape.. so is called chickenpox rice...

[carbuncle]

Is it those which you can find in Malacca? Chicken rice in a ball shape.. so is called chickenpox rice...

You just gave me a second fit of laughter... Tanks everybirdy tanks

[Sleepyhead]

ROTFL!!

Stoopid auto correct! And I sure didn't notice it till now!

Wakakakakaka! I also cannot stop laughing now!

[Rysk]

It may rise the same % but the Malaysians as it is, have it better as their purchasing power parity is in a better position than most Singaporeans.

Lets say a white collar in M'sia who is earning RM15000 per month.. come to S'pore searching for a MM unit cost $600k for an investment.. you think he still has the purchasing power over here?
On the other hand, a white collar in S'pore who is earning S$12000 per month wish to by a landed in JB worth RM600k.. do you think he can afford one?

[Sleepyhead]

Repeat post

[wind30]

Rental yield of bought then are fetching rental yield of at least 5%. Not those bought in the last 2 years.

I don't think you should calculate rental yield based on WHEN you bought it.

It should always be pegged against current price/value of the property.

If price goes up and up, your rental yield will drop signalling to you that you should sell the property NOW when the price is high.

Imagine if your property price went up by 100% but rental income only increased by 10%, it is not wise to keep the property. And you will not be able to see it if you pegged your yield to your initial purchase price.

[DC33_2008]

That is important if you intend to sell, i.e. buyers will be looking for. A fully-paid up property will receive net rental income as passive income. IMO: Good properties are bought to be kept and not to be sold.

I don't think you should calculate rental yield based on WHEN you bought it.

It should always be pegged against current price/value of the property.

If price goes up and up, your rental yield will drop signalling to you that you should sell the property NOW when the price is high.

Imagine if your property price went up by 100% but rental income only increased by 10%, it is not wise to keep the property. And you will not be able to see it if you pegged your yield to your initial purchase price.

[lajia]

That is important if you intend to sell, i.e. buyers will be looking for. A fully-paid up property will receive net rental income as passive income. IMO: Good properties are bought to be kept and not to be sold.

trying to learn something here
what is good property? pardon me...

[Allthepies]

The cost of living is definitely higher in Malaysia for those staying in city. A plate of fried kway teow cost MYR$5 dollar in Penang city. It may seem dammed cheap to a Singaporean due to strong sing dollar, but definitely not cheap to a local. That why so many malaysians come here to work. If not will be the other way around, many singaporeans will go there to work

[kane]

We don't have much good option but to keep them. Even if we sell, we can't buy another one to replace it withoug incurring ABSD. And we can't get the same level of leverage. Rather resigned to having to hang on to them. Bought the last one just days before the last CM. Won't be buying any more until such time they revise the ABSD.

They can keep the absd. Just revise the LTV back to 80%. I will be happy.