Prices of executive condominiums (ECs) do catch up with private condos after the initial five-year minimum occupation period (MOP), and even more so when they are fully privatised 10 years after purchase. A study by OrangeTee has found that the average price gap between new condos and ECs starts at around 20 per cent, due to the sales restrictions that apply to ECs, as well as their lower land and...
Expert Corner
For those holding out for a rollback of property curbs after an election victory by the People’s Action Party (PAP), the wait may be longer than anticipated. The pace of decline in home prices will need to double the 6.7 per cent drop from the peak two years ago before any of the restrictions are eased, said Chestertons Singapore and RHB Research Institute Singapore. “The winning of a...
The Total Debt Servicing Ratio (TDSR) framework, which took effect on Jun 29, 2013, has been blamed for the slowdown in the private housing market, and the steady drop in prices over the past six quarters. For the whole of 2014, developers sold around 7,316 private residential units, just under half the 14,948 in 2013. The TSDR framework - which restricts monthly debt payments, including home and car...
In an era of cooling measures and loan curbs, sales transactions in the Singapore property market continue to languish. The action is in rentals, at least in terms of the number of deals. SRX Property data shows that rental deals represented about 67 percent of a total of 115,864 property transactions last year and are hovering at about the same percentage so far this year. In contrast, rentals...
Great Eastern Life will be moving to Westgate Tower in Jurong East. It is among several firms, including German automaker Daimler and CPG Corporation, shifting to the west. Already, Jurong East is seeing a major transformation - with several shopping malls, office buildings and even a hotel and hospital sprouting up in recent years. But this will gain further momentum, with the upcoming high-speed rail...
Property prices in Jurong are projected to increase by up to 5 per cent once construction of the Singapore-Kuala Lumpur High Speed Rail terminus is completed. In fact, some agents said prices are already up 1 per cent, just a week after the location of the terminus was announced. The Singapore-Kuala Lumpur High Speed Rail terminus will only be ready after 2020, but the impact on property prices in...
Private property market prices in Singapore may be levelling off at a new support level after five years of cooling measures that have been very effective at stalling the market. However, it appears the effectiveness of the measures has levelled off. Barring major catastrophes such as war, epidemics or financial crises, private property prices are expected to hold up, unless more resale supply is...
As the old adage goes, there are three things that matter in real estate: Location, location and location. This saying is spot on, as any real estate agent, developer, property investor or urban planner will tell you. Location, not the physical home, is the most important factor in determining the value of a home. A dilapidated home in a desirable neighbourhood is worth more than a pristine one of...
While the majority of Singaporeans own their homes, quite a number of them, especially among the retirees, are asset-rich but cash-poor. And their numbers are growing with our rapidly ageing population. Unless these retirees have other sources of income or can count on the financial support provided by their children, they will have to find ways to monetise the value of their homes. Downgrading is...
Investors should sell their residential investments in Singapore. The property market, which has been gradually declining, does not need any new action to tip it over. Just the sheer number of new homes being supplied both in Singapore and Iskandar will drive prices lower. New private home sales in Singapore have plunged in the past three months to about 40 per cent of the monthly average of the past...