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Old 12-07-2018, 02:28 PM   #136
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I was thinking when Northwave and Parc Life was cheaper then Rivercove but sales wise cannot compare…… i do not think location the factors… dunno why seriously
Uninformed, kanchiong buyers. See queue, join the queue. But I think location plays a part too.
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Old 12-07-2018, 06:05 PM   #137
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Anyway people keep saying don't buy price will drop.. I totally agree

But for people who has already bought before the new AbSD kicks in.. do not worry. U might still be better off.

Simple scenarion

Ur purchase price is 1.5m
Per square ft take it as $1963.
With the old system u pay $455k cash + cpf

With the new system, for u to be on equitable terms u will need the price of the property to drop to 1.13mil, i.e. $1472 psf. I.e. dropping by 25%

Honestly in current market context, quite hard to see it dropping by 25%

Next, for people on old terms, u are taking more leverage (by 5% extra). Hence your ROI thoeretically should be better.

Just my humble opinion, I might be wrong since this is just a after lunch thought haha

After computing I realized the govt new measures have a huge kill on the past year increment of 9%
dont quite understand on the ROI part, maybe can share more on your insights ?
anyways i did a calculation, with the equity on hand last week vs this week, look at the PSF difference though a 2nd time sg buyer can buy

1.5m purchase, 1963 psf, means size of unit is 764 sf?
20% down payment (300k) + buyer stamp (39.6k) + additional buyer (105k) assuming SG
Total - 444,6000

1.1m purchase
25% downpayment (275k) + buyer stamp (27.6k) + additional buyer stamp (132k)
total - 434,600
that would be property would be 1439 psf, assuming size is 764 sf.


(*dont even know if applicable, because 2nd property unless loan paid off, the downpayment is higher)
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Old 12-07-2018, 06:46 PM   #138
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dont quite understand on the ROI part, maybe can share more on your insights ?
anyways i did a calculation, with the equity on hand last week vs this week, look at the PSF difference though a 2nd time sg buyer can buy

1.5m purchase, 1963 psf, means size of unit is 764 sf?
20% down payment (300k) + buyer stamp (39.6k) + additional buyer (105k) assuming SG
Total - 444,6000

1.1m purchase
25% downpayment (275k) + buyer stamp (27.6k) + additional buyer stamp (132k)
total - 434,600
that would be property would be 1439 psf, assuming size is 764 sf.


(*dont even know if applicable, because 2nd property unless loan paid off, the downpayment is higher)
Hmm u see ah.. both u will be having the same house..

Let's say u rent both out at $2k per month each

Per year ur return is 24k.

One with more loan less cash. Take $1m as an e.g.

80% loan

Meaning 200k cash

24k / 200k = 12%

2nd one, ur loan is 75%

Cash outflow is 250k

24k / 250k = 9.6%

The power of leveraging

Yeah assuming 1st ppty loan is fully paid
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Old 12-07-2018, 11:13 PM   #139
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I was thinking when Northwave and Parc Life was cheaper then Rivercove but sales wise cannot compare…… i do not think location the factors… dunno why seriously
I think the key factor is that there is a good primary school within 1 km... that is what happen to treasure cove EC too...I have seen many not few friends, relative and colleague shifting or buying flat or condo near good and famous primary school just to let their kid to have a chance to go in good school...

Last edited by kelvinangsw; 12-07-2018 at 11:16 PM..
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Old 12-07-2018, 11:18 PM   #140
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oh i see, but isn't buying before new absd = better ?
before new law, you can get a higher quantum property with the same amount of $.
Jut my personal opinion, but I don't think property prices will drop drastically, maybe a 1-2% drop max ? It will rebound back sooner or later
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Old 12-07-2018, 11:51 PM   #141
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That’s what >1k buyers thought so on last Thursday nite .
LTV 80% vs 75% for all.

oh i see, but isn't buying before new absd = better ?
before new law, you can get a higher quantum property with the same amount of $.
Jut my personal opinion, but I don't think property prices will drop drastically, maybe a 1-2% drop max ? It will rebound back sooner or later
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Old 13-07-2018, 05:47 AM   #142
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oh i see, but isn't buying before new absd = better ?
before new law, you can get a higher quantum property with the same amount of $.
Jut my personal opinion, but I don't think property prices will drop drastically, maybe a 1-2% drop max ? It will rebound back sooner or later
Base on last 2 times when government steps in, prices went down for first 2 months... Sales drop as well. But it went up after 5 months.
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Old 13-07-2018, 07:31 AM   #143
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MAS & LW are not here to kill the property market.
They want gradual rise in accordance to the economy to avoid disasters later.
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Old 13-07-2018, 07:35 AM   #144
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The cooling measures is mechanical, it does slow it down but unable to slow it for long periods. After few months the market will move again. Having say that, maybe this 2 months can buy for first timers as can enjoy some discounts from developers? For 2nd property, I don't know.
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Old 13-07-2018, 07:44 AM   #145
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The cooling measures is mechanical, it does slow it down but unable to slow it for long periods. After few months the market will move again. Having say that, maybe this 2 months can buy for first timers as can enjoy some discounts from developers? For 2nd property, I don't know.
Yeah I also agree that first timers should benefit from it...not so much for 2nd property owners
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Old 13-07-2018, 08:11 AM   #146
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80% to 75% LTV ( at least $50-75K extra cash / CPF ) may deter some 1st timer.
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Old 13-07-2018, 08:16 AM   #147
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That's why with developers discount maybe can offset the 5%.
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Old 13-07-2018, 08:30 AM   #148
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Where is treasure cove EC?

I think the key factor is that there is a good primary school within 1 km... that is what happen to treasure cove EC too...I have seen many not few friends, relative and colleague shifting or buying flat or condo near good and famous primary school just to let their kid to have a chance to go in good school...
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Old 13-07-2018, 09:36 AM   #149
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That’s what >1k buyers thought so on last Thursday nite .
LTV 80% vs 75% for all.
It's not really about the loan.

Most of them who bot on 5th July want to pay the lower absd of 7%.

Some want to get the best units by queuing. Previously you have to wait possibly 4-6 hours to ballot for a place, now you just need to stand in queue for 2-3 hours. Or ask agent to queue.

Previously, RF has more than 7k cheques so the odds of getting a ballot is only about 25%.
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Old 13-07-2018, 09:47 AM   #150
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So unless >5% ‘discount’ given , the 1st time buyers basically pay no less than last Thursday.

Developers can ‘adjust’ the listed price to deceive the buyers. Excuses like different floor / directions etc etc.

That's why with developers discount maybe can offset the 5%.
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