ABSD readjusted!!

[Mergui219067]

While first-time buyers remain unaffected by the ABSD rules, the new LTV limit at 75 per cent will affect this category of buyers as this means a greater initial cash outlay for their property purchase, said real estate agency CBRE.

"Year to date, 74.4 per cent of all new home sales (3,740 transactions) have been below $1 million. With transaction quantum still relatively affordable, we do not expect buying demand to drop too drastically especially from genuine buyers," it said.
https://www.straitstimes.com/busine...tocks-tumble-on-hit-from-new-cooling-measures

 

[Mergui219067]

Too fast, too furious?

Indeed, private property prices had gradually declined for 4 years and rebounded only in third quarter of 2017, increasing by 9.1% over the past one year.

However, the bottoming out of the private property market merely reflected a recovery of the market. Frankly, it should not be seen as a formation of a property bubble. Nothing like the Hong Kong property market for sure.

Furthermore, given that the period for the run up of the private property prices was only nine months, the need to implement new curtailing measures is quite questionable. It raises the question on whether it is too early to implement pre-emptive strikes to tame the market sentiments.

To be specific, does the following graph from URA reflect a sign of housing bubble or recovery? I leave it to you to draw your own conclusion.
http://sgwealthbuilder.com/2018/07/12-absd-to-bomb-out-private-property-market/

 

[Mergui219067]

The tough measures shocked many and also raised the pertinent question - why use a sledgehammer on a market that may be showing signs of finding its own equilibrium?

https://www.businesstimes.com.sg/real-estate/property-curbs-ahead-of-the-curve-but-too-much

 

[Mergui219067]

Property price increases have been backed by income growth which has outpaced home price increases since 2010. Home prices could still grow 20% before we hit previous peak affordability levels seen in 2013. Household income have grown at a CAGR of c.5% since we recovered post GFC from 2010, outpacing the growth of residential home prices of c.2.5%. This has been the fundamental factor behind the 9% increase in private property price index since 3Q17, along with improved sentiment. Going by the affordability metric of median home prices over household income, prices could still potentially rise 20% before we hit the peak “expensive” levels in the previous decade, last seen in 2013.
https://www.stocksbnb.com/reports/s...rce=fbad&utm_medium=fb&utm_campaign=stocksbnb

 

[SKWSMC]

If you own a HDB now and is buying a BTO no ABSD will be charged. You don’t even have to apply for anything is auto exempted.

Not true. If you currently own a HDB and you got your BTO, you are still need to PAY ABSD. If you manage ti dispose off your old HDB within 6 months, you can ask for refund.

 

[Weeli85]

If you own a HDB now and is buying a BTO no ABSD will be charged. You don’t even have to apply for anything is auto exempted.

Married couples with at least one SC spouse, who jointly purchase a second residential property, can continue to apply for a refund of ABSD, as long as they sell their first residential property within 6 months after (a) the date of purchase of the second residential property, or (b) the issue date of the Temporary Occupation Permit (TOP) or Certificate of Statutory Completion (CSC) of the second residential property, whichever is earlier (if the property was uncompleted at the time of purchase).

I guess is a yes within 6 mths to disposed

 

[Mergui219067]

 

[kelvinangsw]

Married couples with at least one SC spouse, who jointly purchase a second residential property, can continue to apply for a refund of ABSD, as long as they sell their first residential property within 6 months after (a) the date of purchase of the second residential property, or (b) the issue date of the Temporary Occupation Permit (TOP) or Certificate of Statutory Completion (CSC) of the second residential property, whichever is earlier (if the property was uncompleted at the time of purchase).

I guess is a yes within 6 mths to disposed

Anyway, cannot own 2 HDBs. If apply for BTO or resale HDB, die die must dispose off your existing HDB when you get your new BTO or resale HDB.... can ask for extension though to dispose your existing HDB ...

 

[Scylla]

Boomz....
https://www.todayonline.com/singapo...ng-loan-value-limits-promote-stable?cid=TODAY

saddddddddddddddddddd

 

[henrylbh]

actually the new measure is gd, prevent ppl from flipping their HDB...

the HDB resale is crazily priced. In SK and punggol ppl are selling over 400k for 4rm.

They should impose new PR cannot buys HDB for 5 yrs not 3yrs...mop raise to 7yrs

The amount of HDB flipping is crazy

The new measures just announced got nothing to do with flipping of hdb flats. Anyway, how to flip hdb flat?

You need to meet MOP before you can purchase a second property. If you buy a second property and pay ABSD and retain the hdb's, that's not flipping. You need to dispose your hdb flat if you want remission of ABSD. That's also not flipping.

 

[henrylbh]

Anyway, cannot own 2 HDBs. If apply for BTO or resale HDB, die die must dispose off your existing HDB when you get your new BTO or resale HDB.... can ask for extension though to dispose your existing HDB ...

My father was a joint owner of a hdb flat with my sis. He (or rather I) bought another hdb flat in my father's sole name.

After 6 months from completion date, hdb has been chasing me now and then to get my father to take off his name from the jointly held flat. My father is still the owner of both flats since Jan 2017 and hdb has discreetly gave up chasing me

I asked permission to dispose the second flat as it was a mistake to buy. But HDB disallowed the disposal as the second flat has not met MOP. Then I offered to return the flat to HDB since I cannot sell and MOP will never be met as my father never stayed and doesn't want to in the second flat. HDB also doesn't want to take back. What to do? Told HDB that since my father breached the agreement to dispose his first flat within 6 months, HDB should exercise its right to repossess the flat. But HDB doesn't want or said cannot. If can, they would repossess the first flat That means, the joint owner of the first flat would be kicked out or f by my father After ding dong, it appears my father is allowed to own 2 flats

Sharing of experience to be continued ....

 

[fotoudavid]

My father was a joint owner of a hdb flat with my sis. He (or rather I) bought another hdb flat in my father's sole name.

After 6 months from completion date, hdb has been chasing me now and then to get my father to take off his name from the jointly held flat. My father is still the owner of both flats since Jan 2017 and hdb has discreetly gave up chasing me

I asked permission to dispose the second flat as it was a mistake to buy. But HDB disallowed the disposal as the second flat has not met MOP. Then I offered to return the flat to HDB since I cannot sell and MOP will never be met as my father never stayed and doesn't want to in the second flat. HDB also doesn't want to take back. What to do? Told HDB that since my father breached the agreement to dispose his first flat within 6 months, HDB should exercise its right to repossess the flat. But HDB doesn't want or said cannot. If can, they would repossess the first flat That means, the joint owner of the first flat would be kicked out or f by my father After ding dong, it appears my father is allowed to own 2 flats

Sharing of experience to be continued ....

Wa steady man... Your father so good did what is supposed to be impossible

 

[Mergui219067]

Did the Government intervene too early in Singapore’s private housing market?
With the new cooling measures, those buying a second property for investment purposes might have to set aside almost half of the property price for upfront payments, stamp duties and fees, say two observers.

https://www.facebook.com/93889432933/posts/10155744562302934/

 

[Hyruga]

Hopeless market right now.

No more investors is ever gonna buy or pay the extra 5% for absd. Investors market is dead. Even if they got the money, they also won't pay because they don't feel good.

Expect market to be very quiet from August onwards. July will still register some sales due to July 5 changes.

 

[pcmdan]

Hopeless market right now.

No more investors is ever gonna buy or pay the extra 5% for absd. Investors market is dead. Even if they got the money, they also won't pay because they don't feel good.

Expect market to be very quiet from August onwards. July will still register some sales due to July 5 changes.

Sure or not...now buy still can write as before 5 July meh..

I thought all sales transacted would alr been written alr.they don't wait for S&P to be reflected... As long as OTP exercise it would be recorded liao

 

[Mergui219067]

Try lowball any individual seller or developer & let me know .

Hopeless market right now.

 

[Hyruga]

I meant the sales that happened on July 5 itself. There will be thousands over sales in July.

Unethical salesperson will tell you that market is still very hot in Q3 of 2018.

 

[fotoudavid]

The market will gradually rise again after few months. The cooling measures will can hold temporary only.

 

[Hyruga]

If let's say there are only 300 sales in August and there are more than 30000 agents, that means that only 1% of agents will earn money from sales while the other 99% can get ready to eat grass for that month.

 

[Pokémon]

There will still be people with loads of money and just want to spend them.