Confirmed land sales poised for comeback

[mr funny]

http://www.channelnewsasia.com/stori...002398/1/.html

Govt may be taking steps to calm down the property market, say analysts

By Cheryl Lim, Channel NewsAsia | Posted: 02 September 2009 1730 hrs


SINGAPORE: The government could re-introduce land sales through the confirmed list and analysts said this could mean the government is taking steps to cool down the property market.

Last October, recession woes saw the government suspending land sales through the confirmed list.

But now the government said it will consider re-introducing it for the first half of next year.

National Development Minister Mah Bow Tan, said: "Now that the market is coming back, demand is coming back and the take-up is strong. There is every likelihood that we will resume the confirmed list."

This means land parcels will be tendered according to scheduled dates and this will translate to more residential property launches.

But one analyst said while these changes will ease the market, they will take time to make any impact.

Nicholas Mak, property consultant, said: "This may be the first of actions by the government if they see that the property market shows signs of overheating especially if there is a lot of speculative buying. I think that could prompt the government to take further action."

Public housing prices have gone up by almost 35 per cent over the last two years and the government said they're expecting it to increase even further.

They said these price increases are part of the reason why people invest in the first place.

But they said buyers shouldn't be complaining because these price increases are part of the reason why people invest in the first place.

Mr Mah added: "When you buy an HDB flat, you are investing for your future. We subsidise when you buy, we increase the value of the flat as you live in it and encourage you or facilitate you to cash out when you grow old."

Mr Mah was speaking on Wednesday at the launch of the final skybridge at the Pinnacle @ Duxton, Singapore's tallest public housing project.

He said while public housing remains affordable with a range of flats to suit people from all levels of income, Singaporeans should continue to buy within their means. - CNA/vm

[xebay11]

They just want a piece of the cake as well, what cooling down?

[teddybear]

Resumption of confirmed land sale means that govt believes property market is already on a confirmed steady trend upwards! Ops! Bad news for anybody who is still waiting on the side-line and good news for anybody who has bought & waiting to flip. Let's see when it is coming? (If too long don't come means bad news for those wanting to flip).

They just want a piece of the cake as well, what cooling down?

[mr funny]

http://www.straitstimes.com/Breaking...ry_424629.html

Sep 2, 2009

Govt may restart land sales

By Joyce Teo


THE Government is considering reinstating the 'confirmed list' of new sites for sale at its year-end review - a move seen by experts as a measure to cool the buzzing property market.

National Development Minister Mah Bow Tan said on Wednesday: 'As far as (private home) prices are concerned, we want to make sure the property market do not become overheated, that there is no excessive speculation.'

'The government is monitoring the market very closely. If there's any necessity, obviously we will take certain actions. One of the things we are looking at is the Government land sales,' he told reporters at the launch of the final skybridge at Singapore's tallest public housing project The Pinnacle@Duxton. It has 1,848 units, of which 111 are unsold.

Bringing back the confirmed list is a 'a definite possibility', said Mr Mah.

The Government suspended the confirmed list of sale sites last October when the property market was in the doldrums and Singapore slipped into a recession.

'Now that the market is coming back, demand is coming back and the take-up is strong, there's every likelihood that we will resume the confirmed list,' said Mr Mah, adding: 'It's a question of how much we put on the confirmed list.'

Restarting the confirmed list was a measure suggested by property developer Kwek Leng Beng as a possible Government move to cool the market.

Singapore's market for new home sales have shot through the roof recently, with some projects sold at benchmark levels.

Resale prices of many popular projects have also risen from the lows early this year.

In tandem with the recovery in the Singapore economy, Mr Mah said HDB resale flat prices will continue to rise this year - by perhaps 1 or 2 per cent.

[amk]

Resumption of confirmed land sale means that govt believes property market is already on a confirmed steady trend upwards! Ops! Bad news for anybody who is still waiting on the side-line and good news for anybody who has bought & waiting to flip.

Agreed!

In fact I'm so surprised MBT made a statement about HDB pricing like this:

"When you buy an HDB flat, you are investing for your future. We subsidise when you buy, we increase the value of the flat as you live in it"

It's almost like an assurance that HDB resale price will stay high, and will go up some more. Now more HDB upgraders will be looking at mass market condos.

It gives me a feeling this is kind of politically correct to let all HDB owners feel good as their "asset value" increases "as you live in it"

[sleek]

Agreed!

In fact I'm so surprised MBT made a statement about HDB pricing like this:

"When you buy an HDB flat, you are investing for your future. We subsidise when you buy, we increase the value of the flat as you live in it"

It's almost like an assurance that HDB resale price will stay high, and will go up some more. Now more HDB upgraders will be looking at mass market condos.

It gives me a feeling this is kind of politically correct to let all HDB owners feel good as their "asset value" increases "as you live in it"

Sounds like election-coming speech.

[proud owner]

Resumption of confirmed land sale means that govt believes property market is already on a confirmed steady trend upwards! Ops! Bad news for anybody who is still waiting on the side-line and good news for anybody who has bought & waiting to flip. Let's see when it is coming? (If too long don't come means bad news for those wanting to flip).

govt so stupid sell land on a up trend ?

they will sell on the pretext of 'easing the demand' ..
they actually selling for $$ .. last year , say recession ..hold back land sale ..not becos no buyer.. but becos the bids were 'too low' for them to sell ...

once they start selling you should get really to sell as well .. cos probably go up another 200-300 psf then its over .. .

[proud owner]

Agreed!

In fact I'm so surprised MBT made a statement about HDB pricing like this:

"When you buy an HDB flat, you are investing for your future. We subsidise when you buy, we increase the value of the flat as you live in it"

It's almost like an assurance that HDB resale price will stay high, and will go up some more. Now more HDB upgraders will be looking at mass market condos.

It gives me a feeling this is kind of politically correct to let all HDB owners feel good as their "asset value" increases "as you live in it"

buy votes lah ..

LPPL ... not too long ago said no sign of speculations .. then later said ..some signs appearing ...

make the HDB people happy all vote for him/his party lor ..

when market collapse ..see whether got election or not ..

sure choose 'good time' to shine

[teddybear]

In previous cycle, govt started selling confirmed list land in 2006 right? Did the property price drop immediately after they start selling then? The answer is that it didn't until 2008. So, if they start selling in early 2010, then probably again market will go uptrend for another 2 extra years?

govt so stupid sell land on a up trend ?

they will sell on the pretext of 'easing the demand' ..
they actually selling for $$ .. last year , say recession ..hold back land sale ..not becos no buyer.. but becos the bids were 'too low' for them to sell ...

once they start selling you should get really to sell as well .. cos probably go up another 200-300 psf then its over .. .

[proud owner]

In previous cycle, govt started selling confirmed list land in 2006 right? Did the property price drop immediately after they start selling then? The answer is that it didn't until 2008. So, if they start selling in early 2010, then probably again market will go uptrend for another 2 extra years?

what they sold in 2006 was to prepare to population increase ..

but 2008 kana the crisis .. they held back what they initially planned to sell ..

so if they do sell in 2010 ..which would be old stock from 2008/9 ..at a higher price ..

if they truly see the need ..they would have continued to sell even last year .. instead of saying the bids too low ..

[teddybear]

No reason for them to sell cheap mah since they know they are the biggest landlord in SG and furthermore they are only willing to sell land as 99 years LH. . No reason for them to spoilt their own product (<=>land) price where they are almost the monopoly here.
They will only sell when they can do so at a good enough price for them but yet helps to avoid over-heating (which is un-sustainable in the long-term).

what they sold in 2006 was to prepare to population increase ..

but 2008 kana the crisis .. they held back what they initially planned to sell ..

so if they do sell in 2010 ..which would be old stock from 2008/9 ..at a higher price ..

if they truly see the need ..they would have continued to sell even last year .. instead of saying the bids too low ..

[jlrx]

Mr Mah added: "When you buy an HDB flat, you are investing for your future. We subsidise when you buy, we increase the value of the flat as you live in it and encourage you or facilitate you to cash out when you grow old."

This whole property market sounds very much like a pyramid scheme.

First, Singaporeans buy HDB, then sell to Malaysians, while Singaporeans upgrade to private condos.

Then, Malaysians buy HDB, then sell to China/India PRs and new citizens, while Malaysians upgrade to private condos.

But I guess we won't have to worry until the population reaches 6 million, when all the new China/India PRs and new citizens holding on to the HDB flats have nobody to sell to ...

Unless by then, we start importing people from other sources ... maybe Mongolia, Kazakhstan or Nigeria?

[xebay11]

This whole property market sounds very much like a pyramid scheme.

First, Singaporeans buy HDB, then sell to Malaysians, while Singaporeans upgrade to private condos.

Then, Malaysians buy HDB, then sell to China/India PRs and new citizens, while Malaysians upgrade to private condos.

But I guess we won't have to worry until the population reaches 6 million, when all the new China/India PRs and new citizens holding on to the HDB flats have nobody to sell to ...

Unless by then, we start importing people from other sources ... maybe Mongolia, Kazakhstan or Nigeria?

What about Singaporeans who have not bought? How are they going to afford?

[teddybear]

Too bad lor because they are to be blamed for not trusting the establishment when they said "HDB is good investment for you".

What about Singaporeans who have not bought? How are they going to afford?

[Allthepies]

Too bad lor because they are to be blamed for not trusting the establishment when they said "HDB is good investment for you".

how about the next generation? ur kids? can/should they buy now?

[teddybear]

Just pass down lor. Don't squabble away OR sell your HDB.

how about the next generation? ur kids? can/should they buy now?

[shespawn]

how about the next generation? ur kids? can/should they buy now?

ur kids's grandchildren will probably be paying off their grandparent's mortgages with HDB prices shooting up in the future. Sigh, now i wish i was born 10 years earlier, at least i could catch the affordable prices back then. Our salary also never increase like 30%...

[jlrx]

What about Singaporeans who have not bought? How are they going to afford?

They can inherit from their parents ...

That's why I say the whole property market is getting more and more like a pyramid scheme.

New couples will buy a new HDB, then their parents still have an old HDB. So next time when the parents are gone, what happens to the old HDB?

The new couple will end up with two HDBs.

The same goes with private properties. Many parents like to "collect" properties to give their children, but the children themselves already have their own properties.

In the end the grandchildren may end up with more than 10 properties, but they can only stay in one property.

[mr funny]

http://www.businesstimes.com.sg/sub/...48614,00.html?

Published September 3, 2009

Confirmed land sales poised for comeback

Mah says govt may bring confirmed list back next year as demand returns

By UMA SHANKARI


(SINGAPORE) There is a 'definite possibility' that the government will re-introduce land sales through its confirmed list system from next year, Minister for National Development Mah Bow Tan said yesterday.

Right now, it is 'a question of how much we put on the confirmed list', he added.

Mr Mah was speaking to reporters at the launch of the final skybridge at the Pinnacle @ Duxton, Singapore's tallest public housing project. The project will be completed in December 2009.

Sale of state land under the confirmed list was suspended for the first half 2009 Government Land Sales (GLS) Programme to help stave off oversupply risk as the property market here was then on a downtrend.

Instead, state land was only made available under the 'reserve' list system for H1 2009 and H2 2009.

Under the reserve list system, the government releases a site for sale only if an interested party submits an application with a minimum price that is deemed acceptable.

By contrast, land parcels under the confirmed list will be tendered according to scheduled dates - which could translate to more residential property launches.

But now, with the property market on an upswing again, it seems as if state land will be made available through the confirmed list once again in the H1 2010 GLS programme.

'Yes, that is a definite possibility, to bring back the confirmed list,' said Mr Mah when asked if there will be confirmed list sites in the first half 2010 GLS programme. The H1 2010 GLS programme will be ready by the end of this year.

'As you know, we have always had a mix of the reserve list and the confirmed list, and we dropped the confirmed list when the property market was in the doldrums, when the recession hit us and we needed to remove supply from the market... but now that the market is coming back, demand is coming back and the take-up is strong, there is every likelihood that we will resume the confirmed list.'

Property analysts said the government was reacting to signals from the market that more land will be welcome.

For example, a recent government tender for a 99-year condo site at Chestnut Avenue drew 13 bids and a much-higher-than-expected top bid of $280 psf per plot ratio from two companies from the Hong Leong Group. The bid price was 2.3 times the minimum price.

However, some analysts warned that it was still difficult to tell if seeming recovery in the property market is for real.

'I think it is still early days,' said Tan Tiong Cheng, chairman of property consultancy Knight Frank. 'A lot really depends on whether the surge continues.'

There was also speculation that the re-introduction of the confirmed list could be the first action by the government to combat signs of overheating and speculative buying in the property market.

Yesterday, Mr Mah reiterated that the government is monitoring the market very closely and will take 'certain actions' if necessary.

And speaking about the HDB market, Mr Mah said that while HDB flat prices are expected to rise by another 1 per cent or 2 per cent this year, the government will continue to ensure that public housing remains affordable for Singaporeans.

[mr funny]

http://www.straitstimes.com/Money/St...ry_424794.html

Sep 3, 2009 Thursday

Govt likely to release more land for sale

'Every likelihood' the Govt will reintroduce confirmed list of land sites, says Mah

By Joyce Teo


THE Government is mulling over how much land to release for sale - a move industry experts see as a signal it is ready to act if the highly buoyant property market overheats.

National Development Minister Mah Bow Tan said yesterday there was 'every likelihood' the Government would reintroduce the confirmed list of land sites, which was suspended last October.

This is a list of sites tendered out on a fixed schedule, without preconditions such as developer expressions of interest.

'It's a question of how much we put on the confirmed list,' Mr Mah said.

He also said HDB resale prices will continue to rise this year by perhaps 1 per cent or 2 per cent in tandem with the recovery in Singapore's economy.

New home sales in Singapore have shot through the roof recently. Resale prices of many popular projects have also risen from the lows early this year.

'As far as (private home) prices are concerned, we want to make sure the property market does not become overheated, that there is no excessive speculation,' said Mr Mah.

'The Government is monitoring the market very closely. If there's any necessity, obviously we will take certain actions. One of the things we are looking at is the government land sales.'

The Government suspended the confirmed list last October when the property market was in the doldrums and Singapore slipped into recession.

'Now that the market is coming back, demand is coming back and the take-up is strong, there's every likelihood that we will resume the confirmed list,' the minister said.

Mr Mah was speaking to reporters at the launch of the final skybridge at Singapore's tallest public housing project, The Pinnacle@Duxton. It has 1,848 units, of which 111 are unsold.

Developer Kwek Leng Beng had said restarting the confirmed list could be used by the Government to cool the market.

Mr Mah's comments signal the Government is ready to step in if prices rise too sharply and more people are swept up in a panic-buying spree, said Ngee Ann Polytechnic real estate lecturer Nicholas Mak.

The move, however, will not have an immediate impact on prices, he said.

Said Savills Residential director Phylicia Ang: 'It's healthy for them to bring it back because some developers are running out of land.'

Some developers have recently done very well with the sales of mass-market to mid-tier projects, and are actively looking for new sites.

ERA's associate director, Mr Eugene Lim, noted that some of the demand in the HDB resale market is coming from buyers who have been forced out of the rising private homes market.

When asked about HDB resale prices, Mr Mah said they are likely to continue rising this year.

'Flat prices would probably go up, they will go up by 1 per cent, 2 per cent, or whatever,' he said.

'They will just keep on going up if the economy recovers as people expect, and if confidence returns, but affordability will always be there.'

HDB resale prices go up in tandem with a very strong market, but their movements will not be as volatile as private home prices, Mr Mah said.

Price rises have to be viewed from both sides as sellers naturally do not mind prices going up, he pointed out.

In the HDB market, resale prices are sitting at record high levels after climbing 1.4 per cent in the second quarter and about 35 per cent since 2007.

Indeed, HDB resale prices could rise by as much as 3 per cent this quarter on strong demand, going by the rise in the cash amounts that buyers are willing to pay over and above a flat's valuation, said ERA's Mr Lim.

Mr Mah said buyers of old flats are using on average about 25 per cent of their household incomes to repay their loans - which is still below the international affordability benchmark of 30 per cent - thanks to government grants.

His advice to buyers: 'Before you buy a property, you must remember three things - think, think and think... Think carefully, Think long term, Think about the unexpected.'

[email protected]

[mr funny]

http://www.todayonline.com/Singapore...-on-the-market

Back on the market

Govt likely to resume confirmed list land sales ; 111 Pinnacle@Duxton units still for sale

by Ong Dai Lin

05:55 AM Sep 03, 2009


IF THE economy recovers and consumer confidence returns, prices of resale Housing and Development Board (HDB) flats could increase by 1 to 2 per cent this year, said Minister for National Development Mah Bow Tan.

But, he stressed, the key is making sure that housing is accessible to Singaporeans even if prices go up. The Government does this by keeping prices of new flats affordable and giving grants to resale flat buyers, said Mr Mah.

On average, new HDB flat owners spend about 20 per cent of their household income on instalments while resale flat owners spend about 25 per cent - below the recommended 30 per cent threshold for repayments to be comfortable, he said.

HDB resale prices rose 1.4 per cent in the second quarter. Mr Mah's assurance was that any increments would not be as volatile as seen in private property prices. The two markets have different dynamics and HDB controls its supply.

As for the private market, the Minister reiterated, the Government was keeping watch for signs of overheating and would take action if need be. This could involve bringing back the confirmed list system of the Government Land Sale programme at the year's end.

Last October, with Singapore in recession, the Government had suspended the confirmed list to prevent oversupply. But now that the market is recovering, "there is every likelihood that we will resume the confirmed list", said Mr Mah. Sites are currently released through the reserve list, going up for tender only if developers indicate interest.

Meanwhile, house-hunters who missed their shot at a unit at The Pinnacle @ Duxton can try their luck again.

There are still 111 unsold units in the 50-storey project, as a result of some buyers backing out. This, despite initial overwhelming response - in the HDB's balloting exercise last September, the remaining 428 units of the 1,848-unit project drew 3,116 applications.

The available flats will be sold at a future exercise; HDB declined to say when.

At yesterday's launch of the final skybridge to be installed, Mr Mah said homeowners can expect to collect their keys by December.

Last May, HDB changed its application process to address the low take-up rates for new flats despite thousands of applications. A first-time buyer, who twice rejects an offer to buy a flat at HDB's build-to-order or balloting exercises, loses his first-timer priorities for a year.

[Condorich]

Resumption of confirmed land sale means that govt believes property market is already on a confirmed steady trend upwards! Ops! Bad news for anybody who is still waiting on the side-line and good news for anybody who has bought & waiting to flip. Let's see when it is coming? (If too long don't come means bad news for those wanting to flip).

Bullish signs Bullish signs...

HDB price + 1% to 2%... hmm... already so high so what it is hinting is that it should hover at current price for a long while.

Likely it will keep on going up till election time which could be held after IR is up..... Seems like Mar/Apr 09 is likely to the lowest point this year. Signs of missing the boat.

Anyway buy when you feel right because no one can predict the future.. maybe HDB prices would be doubled or tripled from their current pricing 30 years down the road.. who knows..

[teddybear]

Seem like almost all the economic data and news coming out currently from all over the world, especially Singapore and US are very positive.

Bullish signs Bullish signs...

HDB price + 1% to 2%... hmm... already so high so what it is hinting is that it should hover at current price for a long while.

Likely it will keep on going up till election time which could be held after IR is up..... Seems like Mar/Apr 09 is likely to the lowest point this year. Signs of missing the boat.

Anyway buy when you feel right because no one can predict the future.. maybe HDB prices would be doubled or tripled from their current pricing 30 years down the road.. who knows..

[BuffetForLunch]

They can inherit from their parents ...

That's why I say the whole property market is getting more and more like a pyramid scheme.

New couples will buy a new HDB, then their parents still have an old HDB. So next time when the parents are gone, what happens to the old HDB?

The new couple will end up with two HDBs.

The same goes with private properties. Many parents like to "collect" properties to give their children, but the children themselves already have their own properties.

In the end the grandchildren may end up with more than 10 properties, but they can only stay in one property.

That's why you should only have two children. Each child receives half share and their spouse gets half share from their parents. So properties pass down forever.

If you have more properties, you can afford more children.

[jlrx]

That's why you should only have two children. Each child receives half share and their spouse gets half share from their parents. So properties pass down forever.

If you have more properties, you can afford more children.

Then what if the children themselves also buy properties?

Won't the portfolio keep growing?

[proud owner]

Then what if the children themselves also buy properties?

Won't the portfolio keep growing?

but what if they divorce ?? and have to split and forego half to their wife ??

it wil be diluted

lets have more girls in the family ..and try to marry them off to rich man in GCB and and then divorce and do that a few times ..and soon can also afford your own GCB .. ??%$#%&#$&$%)^

[jlrx]

but what if they divorce ?? and have to split and forego half to their wife ??

it wil be diluted

lets have more girls in the family ..and try to marry them off to rich man in GCB and and then divorce and do that a few times ..and soon can also afford your own GCB .. ??%$#%&#$&$%)^

Ya ... looks like marriage is the way to move up/down the social ladder.

[Condorich]

Bullish signs Bullish signs...

HDB price + 1% to 2%... hmm... already so high so what it is hinting is that it should hover at current price for a long while.

Likely it will keep on going up till election time which could be held after IR is up..... Seems like Mar/Apr 09 is likely to the lowest point this year. Signs of missing the boat.

Anyway buy when you feel right because no one can predict the future.. maybe HDB prices would be doubled or tripled from their current pricing 30 years down the road.. who knows..

Said this 6 months ago.... proven accurate in the trend study. Easy to do when it is going from a low low... not so easy from now on when it is a low high as outcome can be high high or high low...