Which Direction Will Property Prices Go ?

[NiShiZhu]

So which one would you pick? For example?

The M at 21xxpsf

 

[NiShiZhu]

The M
Tpt/commercial nodes - near mrt and Shaw tower grade A office,
Growth plan - Beach Road transformation
Good entry price- from 21xxpsf.
Surrounding lifestyle amenities - malls, mala, ktv,


Basically it ticks all the boxes

 

[arctician]

https://www.edgeprop.sg/property-ne...eir-initial-launch-prices?utm_source=Telegram

 

[daheigou999]

https://www.edgeprop.sg/property-ne...eir-initial-launch-prices?utm_source=Telegram

When faced with such price cuts, it is important to figure whether the lower price is a "discount" or the "more realistic market value". More often than not, it is the latter

 

[arctician]

When faced with such price cuts, it is important to figure whether the lower price is a "discount" or the "more realistic market value". More often than not, it is the latter

Yea thats why dont take launch price at face value, i will say dont even focus too much on profit margin as developer may overbid for land plot

Best indicator is still resale price in area. Never pay above 200 psf for new.

 

[mikezuper]

Yea thats why dont take launch price at face value, i will say dont even focus too much on profit margin as developer may overbid for land plot

Best indicator is still resale price in area. Never pay above 200 psf for new.

But need to take consideration the age of the resale?

 

[ThinkCarefully]

https://www.edgeprop.sg/property-ne...eir-initial-launch-prices?utm_source=Telegram

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Dyodd
(Note: the numbers should come from you or someone trusted... those with vested interest have tried to smoke me before..until I showed some colour..)

Check price of surrounding
Check Developers margin
Ask yourself who is going to buy from you after 3 years or later (exit)
Ask who is going to rent from you if cannot exit.. what is the expected rent, what is the rent %...

If you Happy, then consider
If not, there is always the next boat...
When the boat has already left but now reverses back to the jetty, think carefully if you should still board..

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[arctician]

But need to take consideration the age of the resale?

Yah but for simplicity i usually take $200 psf as the premium for new launch, and resale can be FH or LH with up to 10y lease decay

those LH that past 30y mark i usually wont factor in coz they be due for enbloc and not a fair comparison

 

[skpuppy]

Actually market always up because of carrot head. Take for example rivercove, top up 20%. So good to earn? Another 5 years can double already. Let’s see whether this bubble can continue or not. Interestingly, Covid19 didn’t affect the prices. Means Singaporean pocket freaking deep

 

[arctician]

Actually market always up because of carrot head. Take for example rivercove, top up 20%. So good to earn? Another 5 years can double already. Let’s see whether this bubble can continue or not. Interestingly, Covid19 didn’t affect the prices. Means Singaporean pocket freaking deep

bubble forms everyone is speculating on real estate and flipping OTP left and right, but post 2013 with TDSR everyone is diamond hands,people who can afford to buy ppty now have real cash or able to loan with income. This means HH income or HH wealth is real strong.

 

[skpuppy]

bubble forms everyone is speculating on real estate and flipping OTP left and right, but post 2013 with TDSR everyone is diamond hands,people who can afford to buy ppty now have real cash or able to loan with income. This means HH income or HH wealth is real strong.

Ya. Typically very strong holding power

 

[arctician]

Ya. Typically very strong holding power

and more buyers willing pay ABSD..if i rem correctly beside the 12% one also need to have 40% down. I went one holland V and quite a number was paying absd. even for reef the agent paid ABSD to buy one too.

 

[ThinkCarefully]

and more buyers willing pay ABSD..if i rem correctly beside the 12% one also need to have 40% down. I went one holland V and quite a number was paying absd. even for reef the agent paid ABSD to buy one too.

###

If you know you can exit with 20 plus % capital gain after 3 years,

(Not impossible, PR8 buyers at 14xx to 15xx probable achieved that gain in just one day!!)

Borrow 60% leverage about 2.5 x, gain about 50% , share 12 plus 4% = 16% tax less interest, legal, agent etc...some think it is worth it...

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[zaclee]

and more buyers willing pay ABSD..if i rem correctly beside the 12% one also need to have 40% down. I went one holland V and quite a number was paying absd. even for reef the agent paid ABSD to buy one too.

interesting; because a couple of people i know have also willingly paid ABSD to secure another property, and I thought it’s just one off odd cases.

 

[zaclee]

bubble forms everyone is speculating on real estate and flipping OTP left and right, but post 2013 with TDSR everyone is diamond hands,people who can afford to buy ppty now have real cash or able to loan with income. This means HH income or HH wealth is real strong.

Income is strong, and hands are strong. But everyone is just doing same strategy thinking there would be a pool of ready renter / buyers / upgraders waiting at the end of the rainbow to help them make money.

And many may be left disappointed, esp. those that paid high for poorly designed and inconveniently located projects.

 

[arctician]

interesting; because a couple of people i know have also willingly paid ABSD to secure another property, and I thought it’s just one off odd cases.

yea same here but after visiting a few showflats i realized there are ppl who willingly paid ABSD, thats why i think it will never be removed. No reason why govt want to lose the tax revenue when buyers are all purchasing anyway, with or without absd

 

[ThinkCarefully]

Income is strong, and hands are strong. But everyone is just doing same strategy thinking there would be a pool of ready renter / buyers / upgraders waiting at the end of the rainbow to help them make money.

And many may be left disappointed, esp. those that paid high for poorly designed and inconveniently located projects.

###

That’s why we are airing here...
Whilst Not encouraging people to pursue bad buys, we cannot help but observe how people are rushing to buy without much discern...

Let’s see what happens in 2-3 years...

One (although may not be representative) transaction already showed gardens new launch buyer lost money 3 years after .. let’s see who else and how many join the queue...

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[halfnode]

no way to know if a particular unit was bought with absd incurred correct? other then upfront ask the owner.

 

[skpuppy]

EC is the most crazy. Like you buy $1mil and suddenly $1.3mil after TOP. Return unit more steady. First owner buy $1mil then return. Developer sell $1.3mil. Serious or not? So god mode? Even in financial crisis? What crisis sia

 

[skpuppy]

https://www.bloomberg.com/news/arti...ng-property-curbs-underline-xi-s-new-priority
this may make our property cheong more