Rents are crashing in the east

[revhappy]

Hello guys,

Telling from personal experience, rents are crashing in eastern Singapore, Tampines, Simei, Pasir Ris Area. Why? Banks in CBP area are laying off people like no tomorrow. Barclays has just layed off 700 people and vacated their CBP office. Lots of Indians loved renting in the Tampines area and are now breaking leases and going back.

I broke my lease of 3 bedroom HDB in Tampines 3 bus stops away from MRT and gave them notice 1 month back and rent is 2.4k and they haven't found tenant yet. Most tenants now are getting 2 bedroom condo in loyang area for same rent so why will they rent a hdb for 2.4k? So there are lots of vacant houses. I lost my job so I gave them notice and left the place and came to India for vacation now I got a new job, but I am not going to rent the same place, my joining date is 1 month later, so I break lease and lose deposit and find a new place at lower rent

[Werther]

Hello guys,

Telling from personal experience, rents are crashing in eastern Singapore, Tampines, Simei, Pasir Ris Area. Why? Banks in CBP area are laying off people like no tomorrow. Barclays has just layed off 700 people and vacated their CBP office. Lots of Indians loved renting in the Tampines area and are now breaking leases and going back.

I broke my lease of 3 bedroom HDB in Tampines 3 bus stops away from MRT and gave them notice 1 month back and rent is 2.4k and they haven't found tenant yet. Most tenants now are getting 2 bedroom condo in loyang area for same rent so why will they rent a hdb for 2.4k? So there are lots of vacant houses. I lost my job so I gave them notice and left the place and came to India for vacation now I got a new job, but I am not going to rent the same place, my joining date is 1 month later, so I break lease and lose deposit and find a new place at lower rent

Hi Revhappy

Maybe you are away for too long, today i was reading our main paper and there was report on transacted rental for month of march in dist 9,10,11.. Surprising, rentals are still sustaining and not any lower from some development which I am familiar with.

Are you sure the east is falling?

[azeoprop]

My friend's newly top waterview unit is still vacant after 3 months.

[solsys]

Hello guys,

Telling from personal experience, rents are crashing in eastern Singapore, Tampines, Simei, Pasir Ris Area. Why? Banks in CBP area are laying off people like no tomorrow. Barclays has just layed off 700 people and vacated their CBP office. Lots of Indians loved renting in the Tampines area and are now breaking leases and going back.

I broke my lease of 3 bedroom HDB in Tampines 3 bus stops away from MRT and gave them notice 1 month back and rent is 2.4k and they haven't found tenant yet. Most tenants now are getting 2 bedroom condo in loyang area for same rent so why will they rent a hdb for 2.4k? So there are lots of vacant houses. I lost my job so I gave them notice and left the place and came to India for vacation now I got a new job, but I am not going to rent the same place, my joining date is 1 month later, so I break lease and lose deposit and find a new place at lower rent

I recognize your grammar and sentence writing. You are the applicant for our company's new job. We generally do not hire retrenched personnel but we do make exceptions especially like your case.

Having said that, we do not tolerate people who have no respect for contractual writings, i.e. breaking contracts or leases.

And if you are wondering who I am? I'm the one who gave the greenlight to hire you and I'm now regretting.

As such, please contact our HR department to submit your explanation over this matter.

[teddybear]

Same problem for Punggol, Sengkang, Hougang, etc I heard.
However, I have no problem renting out mine in D9-D11..........

Hello guys,

Telling from personal experience, rents are crashing in eastern Singapore, Tampines, Simei, Pasir Ris Area. Why? Banks in CBP area are laying off people like no tomorrow. Barclays has just layed off 700 people and vacated their CBP office. Lots of Indians loved renting in the Tampines area and are now breaking leases and going back.

I broke my lease of 3 bedroom HDB in Tampines 3 bus stops away from MRT and gave them notice 1 month back and rent is 2.4k and they haven't found tenant yet. Most tenants now are getting 2 bedroom condo in loyang area for same rent so why will they rent a hdb for 2.4k? So there are lots of vacant houses. I lost my job so I gave them notice and left the place and came to India for vacation now I got a new job, but I am not going to rent the same place, my joining date is 1 month later, so I break lease and lose deposit and find a new place at lower rent

[hyenergix]

Hello guys,

Telling from personal experience, rents are crashing in eastern Singapore, Tampines, Simei, Pasir Ris Area. Why? Banks in CBP area are laying off people like no tomorrow. Barclays has just layed off 700 people and vacated their CBP office. Lots of Indians loved renting in the Tampines area and are now breaking leases and going back.

I broke my lease of 3 bedroom HDB in Tampines 3 bus stops away from MRT and gave them notice 1 month back and rent is 2.4k and they haven't found tenant yet. Most tenants now are getting 2 bedroom condo in loyang area for same rent so why will they rent a hdb for 2.4k? So there are lots of vacant houses. I lost my job so I gave them notice and left the place and came to India for vacation now I got a new job, but I am not going to rent the same place, my joining date is 1 month later, so I break lease and lose deposit and find a new place at lower rent

Is the lay-off situation so bad there?

[august]

My friend's newly top waterview unit is still vacant after 3 months.

projects like waterview are more for own stay, rental is not expected to be relatively robust.

[revhappy]

I recognize your grammar and sentence writing. You are the applicant for our company's new job. We generally do not hire retrenched personnel but we do make exceptions especially like your case.

Having said that,

we do not tolerate people who have no respect for contractual writings, i.e. breaking contracts or leases.

And if you are wondering who I am? I'm the one who gave the greenlight to hire you and I'm now regretting.

As such, please contact our HR department to submit your explanation over this matter.

If I and my landlord agree to break lease, what is your problem?

[revhappy]

Hi Revhappy

Maybe you are away for too long, today i was reading our main paper and there was report on transacted rental for month of march in dist 9,10,11.. Surprising, rentals are still sustaining and not any lower from some development which I am familiar with.

Are you sure the east is falling?

Yes, I am sure, especially in east area. Have a look at propertyguru rental. I see lots of ads where the move date mentioned there is already past which means vacant. Also now put the filter of maximum rent 2.5k for condos and see how many 2 bedroom are available now. In the past for 2.5k you could only get studio.

I also saw an ad for 3 bedroom in Azalea park for 2.5k

[radha08]

I also saw an ad for 3 bedroom in Azalea park for 2.5k

...facing the dustbin...

[walkthetiger]

Yes, I am sure, especially in east area. Have a look at propertyguru rental. I see lots of ads where the move date mentioned there is already past which means vacant. Also now put the filter of maximum rent 2.5k for condos and see how many 2 bedroom are available now. In the past for 2.5k you could only get studio.

I also saw an ad for 3 bedroom in Azalea park for 2.5k

Enjoy yourself renting, current state is not the bottom.......I am sure too.

[jwong71]

Enjoy yourself renting, current state is not the bottom.......I am sure too.

if current state is not the bottom,yet with sucky rental.

can't imagine if is the bottom state, how much sucky the rental can land

[hyenergix]

if current state is not the bottom,yet with sucky rental.

can't imagine if is the bottom state, how much sucky the rental can land

Bedok reservoir properties seems to have the poorest access to the tenants working in the industrial parks, although for self-stay it offers plenty of water view and greenery.

I believe a big portion of Bedok reservoir condos are purchased for investment, as they were priced cheaper than other areas about 2-3 years ago, which leads to the oversupply situation now. The clusters near the MRT at the southern part of the reservoir should be quite okay, but not those near the quarry side. I believe the over-supply situation there should stabilise by 2016.

[marktkt22]

Thanks ... that the general sentiments.
Rents are plunging..
Even in d15...there are so many completed projt..
Moda,shore,tivole grande, coralis
Aristo@amber....

[minority]

East is a big area. So depends where ur east is located . My units in the east moved relatively fast all out in 1-2 mths. Very min rental increase. But to be fair I touched up the places before re leasing them out.

[Kelonguni]

East is ideal in the atmosphere and setting for residential purposes.

But employment opportunities far lag the west. Traffic concerns so far may mean a preference for this strata to prefer western areas.

Those that rent in the central belong to another league.

But trust in the equalisation over time. PM did announce some further plans for that area in the longer haul.

[johnlee]

Rents dropping in the east is only the latest sign of a weak rental market which has hit the central area pretty hard given the amount of new completions there. It will extend from residential to industrial as well at some point given the massive building in Industrial where a lot of buyers in the last 3 years were investors, not users. Just drive by Oxley Bizhub to see how many for sale and for rent signs are out

[Kelonguni]

Rents dropping in the east is only the latest sign of a weak rental market which has hit the central area pretty hard given the amount of new completions there. It will extend from residential to industrial as well at some point given the massive building in Industrial where a lot of buyers in the last 3 years were investors, not users. Just drive by Oxley Bizhub to see how many for sale and for rent signs are out

Yes I purposely did not discuss the central to avoid turning this into CCR vs RCR vs OCR thread.

But I very much share your views...

[teddybear]

I already warned quite long time ago about industrial properties.........

Rents dropping in the east is only the latest sign of a weak rental market which has hit the central area pretty hard given the amount of new completions there. It will extend from residential to industrial as well at some point given the massive building in Industrial where a lot of buyers in the last 3 years were investors, not users. Just drive by Oxley Bizhub to see how many for sale and for rent signs are out

[johnoon]

Rental market is bad now. This is very true.

[smellyfish]

I already warned quite long time ago about industrial properties.........

good for genuine industrialists then, can pick up some fire sale or cheap rents. it's indeed classical economics coming into play.

[kamparboy]

There is always a low period for every industry and even the property market.

Rental is soft but not crashing. Sometime when a unit is not rent for month and months...agent and owner need to ask themselves, are their expectation align to the current market condition. For example: rental market demand is $3.5k/month but landlord asking $4k/month and there are a few option ranging from $3k to $4k for the comparable unit size. As a tenant, which one will you rent first?

From $$$ point of view, let see $3k *12 month = $36k/year.... if the $4k rental unit can be rent out on the 4month (waterview unit case) $4k*8month= $32k/year. Thus for the same time period, holding up your rental at the high spectrum of the market may not be a good idea.

Remember...property investment in Singapore is long term, it depending on the following:
1) Holding power (if you have pass 100% in cash or have 80% slash up in ur cpf or other investment)
2) Occupancy rate ( Even if you get $0 rental after minus your mortgage/property tax/maintenance charges, it is still not a bad deal as people are paying your mortgage for you)
3) Brave heart to weather through the soft period now.

from my mind

[Kelonguni]

Great, fair views.

There is always a low period for every industry and even the property market.

Rental is soft but not crashing. Sometime when a unit is not rent for month and months...agent and owner need to ask themselves, are their expectation align to the current market condition. For example: rental market demand is $3.5k/month but landlord asking $4k/month and there are a few option ranging from $3k to $4k for the comparable unit size. As a tenant, which one will you rent first?

From $$$ point of view, let see $3k *12 month = $36k/year.... if the $4k rental unit can be rent out on the 4month (waterview unit case) $4k*8month= $32k/year. Thus for the same time period, holding up your rental at the high spectrum of the market may not be a good idea.

Remember...property investment in Singapore is long term, it depending on the following:
1) Holding power (if you have pass 100% in cash or have 80% slash up in ur cpf or other investment)
2) Occupancy rate ( Even if you get $0 rental after minus your mortgage/property tax/maintenance charges, it is still not a bad deal as people are paying your mortgage for you)
3) Brave heart to weather through the soft period now.

from my mind

[minority]

I already warned quite long time ago about industrial properties.........

as usual talk cock. I can also say SGX will crash. keep saying it will crash when it did. I will come back and say See. I told u all so ....

[Simi]

There is always a low period for every industry and even the property market.

Rental is soft but not crashing. Sometime when a unit is not rent for month and months...agent and owner need to ask themselves, are their expectation align to the current market condition. For example: rental market demand is $3.5k/month but landlord asking $4k/month and there are a few option ranging from $3k to $4k for the comparable unit size. As a tenant, which one will you rent first?

From $$$ point of view, let see $3k *12 month = $36k/year.... if the $4k rental unit can be rent out on the 4month (waterview unit case) $4k*8month= $32k/year. Thus for the same time period, holding up your rental at the high spectrum of the market may not be a good idea.

Remember...property investment in Singapore is long term, it depending on the following:
1) Holding power (if you have pass 100% in cash or have 80% slash up in ur cpf or other investment)
2) Occupancy rate ( Even if you get $0 rental after minus your mortgage/property tax/maintenance charges, it is still not a bad deal as people are paying your mortgage for you)
3) Brave heart to weather through the soft period now.

from my mind

Don't worry

can go to one place in Singapore and learn from a Master on how to


" Upturn the downturn "

[revhappy]

I just rented a 2+1 HDB in my same area in Tampines for 2.1K. In Oct 2013, I couldnt find a single HDB for rent in that area and even lousy houses were renting for 2.2-2.3k.

Now completely tables have turned. There are 2 dynamics at play.
1) The number of people coming to Singapore on EPs at 5-7k have reduced drastically. Now most people coming are high end expats, which is a small number anyway or low level S Pass holders.

2) The HDB ruling of Non Citizen quota of 8% in HDB blocks is biting the owners very badly. I spoke to few agents and they are shit scared. Some told me last month the house they had to keep vacant because the quota was full, this month its Ok. The quota is calculated every month.

I just looked at propertyguru listings for Ang Mo Kio. Ho Ho Ho. 2+1 HDBs going for 1750-1800. Its like we are back to year 2010 levels

[Aquablade]

Hi, I am a genuine local looking to rent a 1 bedroom or Studio apartment in the East.

Any homeowners who are interested, please feel free to PM me here. Strictly no agents please. Thank you.