Boonview Condo – Value Buy for Property Investors

Despite cooling measures, investors are still hunting for the best possible Real Estate deals in the market. And most investors would agree with me that during good times or bad times, there will always be good buys if you search hard enough.

Boonview is a rare freehold condominium that is situated of 1 Marymount Terrace. I’d leave the judgment of the rarity for you to call with the following reasons,

Boonview Condo

Freehold Condominium in Bishan/ Pemimpin Area

Sitting on a very decent piece of land size, it is a full facilities condominium that sits right in between the 99 year leasehold Seasons View (by Far East) and next to a brand new freehold Tresalveo (by the same developer as Boon View, Soon Lian). Continue reading “Boonview Condo – Value Buy for Property Investors”

New Cooling Measures Yet Again – Seller Stamp Duty and Loan to Value Adjusted

With the introduction of Seller’s Stamp Duty and lowering of Loan-to-Value ratio last year and being enhanced before, the Singapore Government steps in further to adjust the already heavy measures to cool down the property market by introducing the following:-

  • Increasing the holding period for imposition of Seller’s Stamp Duty(SSD) from three to four years
  • Raise the SSD rates to 16%, 12%, 8% and 4% of consideration for residential properties which are bought on or after 14 January 2011, and are sold in the first, second, third and fourth year of purchase respectively. You can see an example of the computation here.
  • Lower the Loan-To-Value (LTV) limit to 50% on housing loans granted by financial institutions regulated by MAS for property purchasers who are not individuals
  • Lower the LTV limit on housing loans granted by financial institutions regulated by MAS from 70% to 60% for property purchasers who are individuals with one or more outstanding housing loans at the time of the new housing purchase

The measures will take effect tomorrow on the 14th of January 2011. Continue reading “New Cooling Measures Yet Again – Seller Stamp Duty and Loan to Value Adjusted”

Singapore Property Auctions for November 2010

Here’re the property auctions for the month of November 2010 in Singapore.

JLL November 2010 Property Auctions

Jones Lang Lasalle will be having its monthly property auction on the 24th of November 2010 (Wednesday)

Date : 24 November 2010, Wednesday
Venue : Amara Hotel, Connection Room 1, Level 3
Time : 2.30 pm

DTZ November 2010 Property Auction

DTZ will be having its monthly property auction on the 25th of November 2010 (Thursday)

Date : 25 November 2010, Thursday
Venue : Amara Hotel, Connection Room 1, Level 3
Time : 2.30 pm

Knight Frank's November 2010 Auction

Knight Frank Singapore will be having its monthly property auction on the 30th of November 2010 (Tuesday)

Details are not out yet

Do refer to my auction guide FAQ if you’re new to Singapore Auctions.

To Express Interest

To express interest in any of the properties listed in any of the Auction, you can contact me (+65 9125 3045) to make arrangement.

SRI5000 Microsites – The Trillium & Belle Vue Residences

Many of you would know, I have move on from Knight Frank to SLP Empire (as with most) for an exciting career partnership with Bruce Lye of Team 5000. Together we’ve formed a fantastic synergy team called the SRI5000.

SRI5000

Our model of competency for SRI5000 will go in the form of GTA (geographical targeted area) where we could give our clients the most out from every district area that a client could be looking for a property (bang for their bucks)

Here are two micro-sites (with many more to come) that we have done this far,

The Belle Vue Residences

Belle Vue Residences is a District 9 (Orchard/ Oxley) project that has recently TOP-ed. With its unique designs, you have over 150 different layouts in just a mere 175 unit condominium that is spanning over 250,000 sqft of land.

The Belle Vue Residences
The Belle Vue Residences

Visit The Belle Vue Residences for more information on the project as well as view the existing photos of Belle Vue and apartment.

The Trillium

The Trillium is another District 9 (Orchard/ Kim Seng) project that should have already TOP. Spot the 3 blocks of condominium from afar with its classy facade. The Trillium is a highly anticipated TOP project because of its prime locality and with the full fledged condominium facilities it offers.

The Trillium
The Trillium

Visit The Trillium for more information on the project to find out more facts as well as the different layouts The Trillium offers.

With such micro-sites, the scalability doesn’t stop there. There will be more interesting roll outs in which I will explain as they are implemented, both for my SRI5000 team as well as even for clients and consumers like you to check any properties for sale.

So if you are considering Real Estate as your career. have you considered joining us at SLP’s SRI5000 yet?

Singapore Property Auction for the Month of September 2010

Knight Frank's September 2010 Auction

Knight Frank Singapore is having its September Property Auction on the 28th this month.

Date : 28 September 2010, Tuesday
Venue : Amara Hotel, Connection Room 1, Level 3
Time : 2.30 pm

JLL September 2010 Property Auctions

Jones Lang Lasalle Singapore is having its September Property Auction on the 29th this month.

Date : 29 September 2010, Wednesday
Venue : Amara Hotel, Connection Room 1, Level 3
Time : 2.30 pm

Do refer to my auction guide FAQ if you’re new to Singapore Auctions.

To Express Interest

To express interest in any of the properties listed in any of the Auction, you can contact me (+65 9125 3045) to make arrangement.

HDB Minimum Occupation Period Revised to Five Years

HDB revises minimum occupation period

With the latest measures in-lieu of the Government’s way to deal with cooling down the property market, more new flats has been introduced into the supply pipeline which gives more choices to first-time home buyers.

The reason given for the Minimum Occupation Period (MOP) revision is to dampen HDB buying speculations. The measures as follow:-

  1. The MOP of non-subsidised flats for reslae and subletting of flat will be increased from three to five years.
  2. Buyers of non-subsidised flats will be disallowed from concurrently owning both an HDB flat and private residential property within the MOP. Private property owners who buy a non-subsidised HDB flat must now dispose of their private residential property within six month from the date of flat purchase. Ownership of private properties by HDB lesees will be allowed after the MOP

New Cooling Measures – Seller Stamp Duty Holding Period, Lower LTV, Minimum Cash Revised

The Singapore Government has recently released further measures today to curb the possibly speculative hot property market which will be in effect immediately (30th August 2010) as follows:-

  • Seller’s Stamp Duty Holding period extended from 1 year to 3 years
  • For residential properties bought4 on or after 30 August 2010, SSD will be imposed if these properties are sold within three years of purchase. Specifically, the SSD levied on residential properties will be revised to as follows:

    1. Sold within the first year of purchase, i.e. the property is held for 1 year or less from its purchase date – The full SSD rate (1% for the first $180,000 of the consideration, 2% for the next $180,000, and 3% for the balance) will be imposed.

    2. Sold within the second year of purchase, i.e. the property is held for more than 1 year and up to 2 years – 2/3 of the full SSD rate.

    3. Sold within the third year of purchase, i.e. the property is held for more than 2 years and up to 3 years – 1/3 of the full SSD rate.

    No SSD will be payable by the vendor if the property is sold more than 3 years after it was bought. Please see Annex for examples of how the SSD will be computed.

  • Cash Component Revised from Minimum 5% to 10% Loan to Value Limit for Property Owners with More Than One Outstanding Loan
  • Loan to Value revised from 80% to 70% for Property Owners with More Than One Outstanding Loan
  • The LTV limit is lowered from 80% to 70% with effect from 30 Aug 20108 for borrowers who have one or more outstanding housing loans (whether from HDB or a financial institution regulated by MAS) at the time of applying for a housing loan for the new property purchase. Borrowers who do not have any outstanding housing loans continue to have an LTV cap of 80%. These rules apply to housing loans granted by financial institutions for private residential properties, Executive Condominiums, HUDC flats and HDB flats (including DBSS flats).

    Loans granted by HDB for HDB flats (including DBSS flats) will still have an LTV cap of 90%. HDB loans are offered to eligible first-time flat buyers and second-timers who are right-sizing their flats to meet their housing needs. They are required to utilise all of their CPF Ordinary Account balance before HDB loans will be granted. Furthermore, those taking a second concessionary HDB loan must use the CPF refund and 50% of the cash proceeds from the sale of their previous flat before they are granted an HDB loan. This is in line with HDB’s home ownership policy of helping eligible buyers, especially first-time buyers, purchase public housing in a financially prudent manner.

    Financial institutions’ lending standards have remained prudent and the asset quality of housing loans has stayed robust, with the non-performing loans ratio at less than 1% as at Q2 2010. Nonetheless, there are signs that more housing loans are originating at higher LTV bands of above 70%. In line with the objective of ensuring a stable and sustainable property market, lowering the LTV limit sends a clear signal to financial institutions to maintain credit standards, and encourages greater financial prudence among property purchasers already servicing one or more outstanding housing loans.

The reasons as exact given by Ministry of National Development,

While Singapore has enjoyed strong economic growth in the first half of 2010, our economic growth is expected to moderate in the second half of the year. There are also still uncertainties in the global economy. Should economic growth falter and the market corrects, property buyers could face capital losses, with implications on their own finances and the economy as a whole. Moreover, the current low global interest rate environment will not continue indefinitely, and higher interest rates could have severe implications for buyers who have overextended themselves. Therefore, the Government has decided to introduce additional measures now to temper sentiments and encourage greater financial prudence among property purchasers.

Huge impact should follow with such, and we could very likely see the property transactions drop drastically.

We’ll have to wait out for more details from each relevant government agencies on how the changes should impact your usual property transactions.

The Problems with Investing in Mickey Mouse Units

Mickey Mouse Apartments? Think Again. Image Credit: Cake by Nesrin, Flickr
Mickey Mouse Apartments? Think Again. Image Credit: Cake by Nesrin, Flickr

Definition of Mickey Mouse/ Shoebox Units

This term could be unique to Singapore for micro sized apartment that has really a small built-in area that could be just enough to function. You could have sizes like a studio unit with only 258 sqft (Suites at Guillemard) and have penthouses of up to 1,000sqft. At current, URA only approves units which are more than 300sqft according to a Business Times article cited in October 2009.

The trend could have started from February last year with the successful sale of Alexis at Alexandra.

Advantage

Affordable Overall Price

Developers are smart these days when it comes to planning for sizes and the affordability of the units. With more units that could be built in a single development because of the small sizes, developers (eg. projects such as Siglap V) will price them in accordance to the affordability level of most mass market income group, starting prices could be even slightly lower than $500,000.

With such type of affordability price, banks are more willing to lend to you as the risk of defaulting a mortgage is much lower as compared to apartment quantum that goes over the $1,000,000 mark.

Continue reading “The Problems with Investing in Mickey Mouse Units”

Singapore Property Auctions for the Month of July 2010

DTZ Singapore Property Auctions

DTZ Singapore Auction will be on the of 29th of July 2010, Thursday.

Venue:
The Amara Hotel Singapore, Connection Room 1, Level 3

Time:
02:30 PM

Download DTZ Auction List here

Knight Frank Singapore Auctions

Knight Frank Singapore will be having its Auction on the 27th of July 2010, Tuesday

Venue:
The Amara Hotel Singapore, Connection Room 1, Level 3

Time:
02:30 PM

Download Knight Frank Auction List here.

Jones Lang Lasalle Property Auction

JLL Singapore will be having its Auction on the 28th of July 2010, Wednesday

Venue:
The Amara Hotel Singapore, Connection Room 1, Level 3

Time:
02:30 PM

Download JLL Auction List here.

HDB Issues Reminder to Register Room Sublets

HDB has issued a reminder today to room rental Landlords to register their sublets with the them. The deadline is 31st of July 2010.

HDB Info-web

Date issued : 15 Jul 2010

Flat owners who sublet their rooms are required to register with HDB. HDB would like to remind flat owners with ongoing subletting tenancies commencing before 1 Feb 2010 that the deadline to register the subletting with HDB is in two weeks’ time, on 31 July 2010.

Background

On 12 Jan 2010, HDB announced that with effect from 1 Feb 2010, flat owners who sublet rooms in their HDB flats will have to register with HDB within 7 days of doing so. They are also required to notify HDB when they renew or terminate their subletting contracts, and when there are changes to their subtenants’ particulars. There is no need to seek prior approval for subletting of rooms.

This requirement supports Ministry of Home Affairs (MHA)’s ongoing efforts to eradicate loansharking activities, and to better protect HDB residents. Currently, some people use their old addresses to borrow from loansharks while they rent a room in another HDB flat. As they have moved their place of residence without updating their addresses in their NRICs, innocent new flat occupants ended up being harassed by the loansharks while the borrowers are untraceable.

The new rule will allow HDB to capture particulars of those who rent rooms in the HDB flats. With information on the addresses of owners and subtenants, MHA will be able to trace the movement of borrowers.

The new rule applies to all new and existing cases of rooms sublets:

o For new cases of subletting from 1 Feb 2010, owners are required to register with HDB within 7 days from the start date of the subletting; and

o For subletting tenancies that commenced before 1 Feb 2010, owners are given a 6-month grace period from 1 Feb 2010 to register their subletting of rooms with HDB. The 6-month grace period will expire on 31 July 2010.

As at 30 June 2010, about 32,000 flat owners have registered their subletting of rooms with HDB. This includes those with tenancies commencing before and after 1 Feb 2010.

Register by 31 July 2010

Flat owners who sublet their rooms before 1 Feb 2010 are reminded that they have about 2 weeks to register their subletting. They are advised to register early to avoid a last minute rush. Registration can be done online at www.hdb.gov.sg or at the HDB Branch Offices, where HDB staff will be on hand to guide residents on the process.


Penalty For Non-compliance

HDB may impose a penalty on those who flout the rule. The penalty may involve a fine of up to $3,000 or for recalcitrant cases, compulsory acquisition of their flats.