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Property and it prices - Outlook for 2008

Lifr long free stay & collect back CPF $$$ after been retired after 62 yr for struggling with...

Property for high end is not ready to chiongg...yet, while HDB prices is still very stable.

 

Assuming up and down markets are even out, it takes about 14 years of 5% inflation plus interest for the value of a property to double its "value". So a 5-Rm HDB flat valued at $454K today is about the same at $227K 14 yrs ago.

 

SundayTimes Jul 27, 2008. Headline mentioned RECORD 13,400 HOMES to be completed next year.

Just for more info: The supply situation is not likely to improve beyond 2010: The latest offical data shows that apart from the 21,000 or so homes to be completed over the next two years, there are another 20,000 homes scheduled to be bulit in 2011.

teeth53      ( Date: 26-Jul-2008 13:17) Posted: Sat, Jul 26,2008. Straits Times Headline...Sharp drop in growth of private hone prices. For more info: http://sg.news.yahoo.com/cna/20080725/tap-702-public-housing-hots-private-cool-231650b.  SOFTENING PRICES (CBRE's research mentioned inevitable correctionin prices to d tune of 5% - 10% in d 2nd half of d year).   Property type                      Rise Jan-Mar(%)     Rise Apr–Jun (%)   Private home Prices                              3.7                               0.2 - Core Central/Prime Regional              3.8                               -0.1 - Rest of Central Regional                     3.3                               0.7 - Outside Central Regional                    3.8                               0.9 Private home rentals                              6.0                               2.5 HDB resale flats prices                          3.7                               4.5 Office prices                                         1.1                               0.7 Office rentals                                        7.3                               6.3 Shop prices                                          2.6                               0.7 Shop rentals                                         1                                  5.2   teeth53      ( Date: 25-Jul-2008 23:52) Posted: More info from....http://sg.news.yahoo.com/cna/20080725/tap-702-public-housing-hots-private-cool-231650b.html Prices for public housing on the resale market have risen while those for private property have slowed for the second quarter. »Why?  'S'pore is Asia's 5th most expensive city' SINGAPORE : Prices for public housing on the resale market have risen, while those for private property have moderated for the second quarter of 2008.

 

I am glad I have not sold my HDB flat in the bad times

I have learn an impt lesson

For pte properties, spending hundreds on thousand - buy only in the worse of recession for such huge investment

No other way am I going to invest such a hugh sum except in the next worse of recession in Spore

 

 

99 years new condo at least 650 psf anf 999 years at least 750 psf now .

 

I sold my HDB 5 Rm apt. in HG in Dec06, the valuation was low at only $285K. Now the valuation is out of this world. Why? Are the valuers following some guidelines? From who and from where? My guess is if valuation don't go up who is going to buy HDB houses at 700K with no facilities??? So who is keeping the valuation up? So what is affordability? If one is looking for a HDB apt. I would't be looking at it now!!!! Sure die! Just a thot.

 

over $534K for a 5 romm HDB DBSS - no condo swiming pool. etc

For that sum, 99 year condo at $500-600K better deal

 

 

For $700k, much better to better buy free hold.

jasonfaxingliu      ( Date: 22-Jul-2008 10:28) Posted: HDB pushes the price of 5-rm to nearing S$ 700K, so how low can it be for condo? Just worry for future generation that the quality of living is no longer exist

 

Today in ST - pte homes completion very high

- 20,000 in 2 years

- 21,000 in 2011

Those who buy at the height must be scared

Even the Parkcentral in AMK - I wonder who are those who buy

 

Sat, Jul 26,2008. Straits Times Headline...Sharp drop in growth of private hone prices.

For more info: http://sg.news.yahoo.com/cna/20080725/tap-702-public-housing-hots-private-cool-231650b. 

SOFTENING PRICES (CBRE's research mentioned inevitable correctionin prices to d tune of 5% - 10% in d 2nd half of d year).

 

Property type                      Rise Jan-Mar(%)     Rise Apr–Jun (%)

 

Private home Prices                              3.7                               0.2

- Core Central/Prime Regional              3.8                               -0.1

- Rest of Central Regional                     3.3                               0.7

- Outside Central Regional                    3.8                               0.9
Private home rentals                              6.0                               2.5

HDB resale flats prices                          3.7                               4.5

Office prices                                         1.1                               0.7

Office rentals                                        7.3                               6.3

Shop prices                                          2.6                               0.7

Shop rentals                                         1                                  5.2

 

teeth53      ( Date: 25-Jul-2008 23:52) Posted: More info from....http://sg.news.yahoo.com/cna/20080725/tap-702-public-housing-hots-private-cool-231650b.html Prices for public housing on the resale market have risen while those for private property have slowed for the second quarter. »Why?  'S'pore is Asia's 5th most expensive city' SINGAPORE : Prices for public housing on the resale market have risen, while those for private property have moderated for the second quarter of 2008. ozone2002      ( Date: 22-Jul-2008 09:46) Posted: all developers launching now cos they got their land @ high prices... don't sell now..wait for IR then sell ah?.. lose more $$.. 2009 more supply coming up...prices will be depressed again!..so wanna buy..don't rush to buy now.. even tho they say prices are cooling.. will be iced in no time..keke

 

More info from....http://sg.news.yahoo.com/cna/20080725/tap-702-public-housing-hots-private-cool-231650b.html

Prices for public housing on the resale market have risen while those for private property have slowed for the second quarter. »Why? 

• 'S'pore is Asia's 5th most expensive city'
• SINGAPORE : Prices for public housing on the resale market have risen, while those for private property have moderated for the second quarter of 2008.

ozone2002      ( Date: 22-Jul-2008 09:46) Posted: all developers launching now cos they got their land @ high prices... don't sell now..wait for IR then sell ah?.. lose more $$.. 2009 more supply coming up...prices will be depressed again!..so wanna buy..don't rush to buy now.. even tho they say prices are cooling.. will be iced in no time..keke

 

700K... who want to buy...i sell them..

 

HDB pushes the price of 5-rm to nearing S$ 700K, so how low can it be for condo?

Just worry for future generation that the quality of living is no longer exist

 

all developers launching now cos they got their land @ high prices...

don't sell now..wait for IR then sell ah?.. lose more $$..

2009 more supply coming up...prices will be depressed again!..so wanna buy..don't rush to buy now.. even tho they say prices are cooling.. will be iced in no time..keke

 

Meanwhile Kim Eng Securities develop Beacon hts off St Michael's road released two weeks ago, buyer pick 60 units of 212 units available at $800 psf on a 999 lease hold condo.

teeth53      ( Date: 22-Jul-2008 09:35) Posted: Just sharing lastest deal in town. Bad news from US hit S'pore Condo sales last week.Two newly released projects (Capland Wharf residence of Tong Watt Road, off rivervalley road - 174units and Frasers Centrepoints - 48 units at 28 Woodsville near Potong Pasir MRT Stn) yesterday sold fewer than 20 units each...due to deepened after the collapse of US bank INDYMAC and the forcedrescue of mortgage giants Freddie Mac and Fannie Mae.

 

Just sharing lastest deal in town.

Bad news from US hit S'pore Condo sales last week.Two newly released projects (Capland Wharf residence of Tong Watt Road, off rivervalley road - 174units and Frasers Centrepoints - 48 units at 28 Woodsville near Potong Pasir MRT Stn) yesterday sold fewer than 20 units each...due to deepened after the collapse of US bank INDYMAC and the forcedrescue of mortgage giants Freddie Mac and Fannie Mae.

 

Property Invest......Sunday Times (on paper) July 6, 2008. page-25 and on web site http://www.channelnewsasia.com/stories/singaporebusinessnews/view/358524/1/.html (Analysts say Singapore's property boom cooling)

http://news.asiaone.com/News/Latest%2BNews/Business/Story/A1Story20080706-74888.html (S'pore's property boom cooling: analysts)

The bhttp://news.asiaone.com/News/Latest%2BNews/Business/Story/A1Story20080706-74888.htmlest buys seem to be at d higher end, with prices holding steady in d mass-market segment. To date, around 4,000 reasle transaction have been recorded, say CBRE Research. In contrast, more than 20,000 resales homes changed hands last year. Current downturn happened in certain projects and cetain locations, it may becom board-based if it subdued sentiment persists and sales volume remains low. Mentioned CRBE Research....Meanwhile

DTZ says high inflation compounding the expectied slowdown in d global economy, prices of new and resale homes are set to correct further.

 

 

 

Credit Suisse keeps Singapore property sector at Underweight despite URA flash overall private home price index rising 0.4% on-quarter in 2Q08. Says rise mainly on lower-end market (Outside Central Region) increasing 1.3%; notes core central region, a proxy for high-end, posted smaller 0.2% on-quarter rise. Adds, however, rise on small transaction volumes, still marks slowdown from 1Q08, 4Q07 growth of 3.7% on-quarter, 6.8% on-quarter, respectively. Says still expects physical private home prices to decline average 20% from end-2007 levels. "While we believe stock prices have reflected these price declines, with the sector trading at 18% discount to trailing RNAVs, we believe they could potentially trade towards the trough discount of 60%." Tips further potential negatives as higher construction and financing costs to cause margin squeeze, poor pricing power, deteriorating overseas conditions, prolonged domestic economic uncertainties.

 

If oni we can engage Paul services..We can be safe then sori..rather then pay off many million to... 

US Sub-prime legend John Paulson: It's not over yet...Says write downs could hit S$1.8 trillion, surpassing IMF's S$1.3 trillion. and

Nearly 1/3 of US chief Execs expect payroll cuts......but they also see fragile economy becoming stronger later this year and into next year.

Paul is the hedge fund manager who made almost S$5.4 billion from correctly calling the implosion of US sub=prime mortgages last year.



 

 

Sell while it is still possible within a reasonable profit if it does not lose much $$$. If not can wait for another three year..err, maybe wait for 2012 to arrive lor.

teeth53      ( Date: 26-Jun-2008 09:07) Posted: Meanwhile same date Jun 26, 2008: Just for sharing info CITI Grp (angmo analysts has stuck their neck out to said) sees no oversupply of homes in next two years, estimate oni 60% of d 30,000 units forecast will be completed, so fall in prices will be modest, (so a fall is fall). Knight Frank say, a large supply of homes for occupation would negatively affect rentals, and this would in turn hit prices. While Savills S'pore also believes d supply figures released by d Urban Redevelopment Authority (URA) are too high. URA think is just nice figures. Bank like Credit Suisse and Barclays Capital have forecast drops of up to 40% in rents and prices, but Citi tips a fall of up to 30% and largely oni in high-end homes. Mid tier segment is likely to fall by 10% to 20%. Luxury home prices have since surged by 149%, since d troughs in 2004. Prices in d mid tier and low-mass market segments rose by a still robust 79% and 39% respectively.