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Property bubble to burst soon

Singapore's Property Tax will be like GST

INcreasing  fOrever

by  INFLATING  Property  Valuation

from  TiME  tO  TiME

 

Though i also think no bubbles coming, but,  my only concern is property tax.  This can escalate at the discretion of the government when they want to curb the property speculation. You own one private property and rent out but, if you need to fork out more than 25 or 30% property tax , thats where one will get burnt.  

knightrider      ( Date: 01-Apr-2010 12:45) Posted: That is what Simon Cheong's point also, the demand is created by our Gov to keep the supply of land low. Totally agreed, no bubble burst, but will slow down only. Livermore      ( Date: 01-Apr-2010 12:42) Posted: I repeat again. There is no bubble. As I said, if you are behind the curve and don't provide enough supply to meet demand, this is what will happen. I shall not comment too much on this forum. Some of our problems are inter-related. Problems need to looked at as whole and not as isolated problems.

 

Does  DEMOCRACY   need  DYNASTY  EMPERORS  ????

Do  PEOPLE  want  DEMOCRACY  or  DYNASTY ????

 

Moderate      ( Date: 01-Apr-2010 11:34) Posted: I think we need politicians to improve our lots, not to jam the highways and crowd the carparks. The Elite can rule only if they serve our ends, not their ends.  AnthonyTan      ( Date: 01-Apr-2010 11:10) Posted: Ppls move forward,but,  you want to move backward, haha

 

That is what Simon Cheong's point also, the demand is created by our Gov to keep the supply of land low. Totally agreed, no bubble burst, but will slow down only.

Livermore      ( Date: 01-Apr-2010 12:42) Posted: I repeat again. There is no bubble. As I said, if you are behind the curve and don't provide enough supply to meet demand, this is what will happen. I shall not comment too much on this forum. Some of our problems are inter-related. Problems need to looked at as whole and not as isolated problems.

 

I repeat again. There is no bubble. As I said, if you are behind the curve and don't provide enough supply to meet demand, this is what will happen. I shall not comment too much on this forum. Some of our problems are inter-related. Problems need to looked at as whole and not as isolated problems.

 

This day will not come, sorry to be mean, you are just 1 direction day-dreaming. As some post below, pls read it. It will slow down the property prices from escalating but will not be a burst.

Together combine and partner with my friend (50-50), we bought 1 unit at Citylight near lavender MRT, opposite the Passport office, in year 2007 at S$675 psf. And collecting rental of S$4800 monthly. Today, property keep knocking doors that someone is buying at that location at S$1300 psf. Is a 100% gain, but we are happy as the rental can self-sustain the mortgage and sinking and maintenance  fees.

This friend is rich in cash, he himself also have a unit at The Sail, a small unit, in 2007 he bought S$800 psf, I scolded him for stupid as that is just a 99 lease hold same as Citylight. Today, he handsomely sit on the growth, the rental is S$6800 and the asking psf of the The Sail, you can guess for yourself, easy S$2000 and above !

Last Dec, we partner again (he 80, i just 10 and another friend 10), we buy another property at Alexander area - the designer is HK movie star Maggie's ex-french boyfriend. 1 psf at S$1000, now already asking for S$1250 psf this month.

Last month, before CNY, we partner again for the Softland condo, the old Eng Cheong Tower tear down, oppsite Citylight, (he 90, I 10), buy 1 unit at S$1050 psf, and now asking same price with Citylight (same location at Lavender) at S$1300. We just prepare and consider to sell off and not collecting the key, this is total new, no tenant yet !

I agree MBT need to step out early, not just put on a show. Eveyone read SC Global boss Simon Cheong, comments, I very agreed, if Gov put out a tender, then back-off because the price is too low, what a coward signal.Then if price now at Super high, then Gov laugh all the way to bank. 

The district 9 and  10 has yet to pick up to reach its peak yet ! 

Just share some of my thought, I think bubble is not bursting but slowing down is for sure ! 

ar2ibrahim      ( Date: 01-Apr-2010 11:43) Posted: Property investment is a good hedge against inflation as you all know. But then, one must not go into the market at the wrong time i.e. at peak prices. However, it is difficult to pinpoint at what and when  is "Peak Prices". But a general rule would be when people stop talking about property and stocks, like our our uncles and aunties, brothers-in-law, sisters-in-law etc. When people have bad or no opinion about property or stocks, IT IS the best time to invest. You can pick and choose you property at bargain prices. Make sure you buy within your limit. See and view 100 properties and buy one. Make sure the rental income can pay for your morgage and put some money in your pocket (passive income). In a few years the price will appreciate and you may keep and earn more rental income or sell for capital gains.

 

This may be a double-edge sword. If retirees want to change to a smaller HDB unit to get cash for the retirement may not enough when their children have their own flat and family.

PRs are "meng long guo jiang". They work hard, more entreprenuer and daring (note that the Australians do not like Asians to work so hard in their country). Before 1995, PRs were not allowed to buy HDB from open market. Many of them were forced to buy private properties. 1 Pr bought one for $400K in Mohd Sultan area in 1986. When he retired in 1996, he sold for $1.3 million. He went back to Msia. Many Prs have private property as well as HDB bought from open market, while many locals of same salary bought directly from HDB, dare not to invest in private property.

Prs who are concerned with their children's education and safety will not stay in JB if they have flats here.

Locals can start off to buy directly from HDB using only CPF for loan repayment. Then save money to invest in private property to hedge against inflation. The banks pay interest at such miserable rate is at the mercy of the global effect that we cannot control. HDB must not act like Private developer as they have a duty to help the young local couples tohave a roof so that they are more willing have children/ more children/ at the younger age. Cut down the waiting time to less than 2 yrs.

pharoah88      ( Date: 31-Mar-2010 17:17) Posted: to be  FAIR  &  JUST  to  singaporeans, PR should  only  be  allowed to buy HUDC or private property  since  they can afford to  PAY  OVER and ABOVE  REQUIREMENT   [POAR]  knightrider      ( Date: 31-Mar-2010 16:45) Posted: This high record prices in HDB is set by HK (PR) people, I heard. Fyi. The recent Bras Pasar Complex ("Su cheng"), the 4-room sell to a Taiwan (PR) at S$690K. All foreigners pay and jackup the COV.

 

Ask wrong fellow, why ask OCBC ? Ask Gov when coming election !

fishnet      ( Date: 31-Mar-2010 19:58) Posted: In the past, a 5 room flat cost around 300k. Now 550K! Quite Worried for my children..They might be paying 1mil for a flat..  Poor Sick ka porean. Salary didn't increase much... How to sustain...Ask OCBC?

 

Property investment is a good hedge against inflation as you all know. But then, one must not go into the market at the wrong time i.e. at peak prices. However, it is difficult to pinpoint at what and when  is "Peak Prices". But a general rule would be when people stop talking about property and stocks, like our our uncles and aunties, brothers-in-law, sisters-in-law etc.

When people have bad or no opinion about property or stocks, IT IS the best time to invest. You can pick and choose you property at bargain prices. Make sure you buy within your limit. See and view 100 properties and buy one. Make sure the rental income can pay for your morgage and put some money in your pocket (passive income). In a few years the price will appreciate and you may keep and earn more rental income or sell for capital gains.

 

I think we need politicians to improve our lots, not to jam the highways and crowd the carparks. The Elite can rule only if they serve our ends, not their ends. 

AnthonyTan      ( Date: 01-Apr-2010 11:10) Posted: Ppls move forward,but,  you want to move backward, haha

 

Ppls move forward,but,

 you want to move backward, haha

 

OBAMA  CHANGED  USA  and  the WORLD  in 2009.

someone told me  SINGAPORE CHANGED  during the  LAST ELECTION.

SCHOLARS  are no longer the CRITERIA  for  potential MP  SELECTION.

i was told there are now quite a number of nOn-Scholar  MPs  in  Singapore.

Also,  when the Opposition  recruited  SCHOLARS  in 2009,

some  VIPs [forgot who they were]  warned  that:

TiME  had CHANGED.

SCHOLARS  are  nOt  the BEST candidates  who can  SERVE  the  PEOPLE.

implying  that Opposition had recruited the  WRONG  STUFF.

ALL these  are just  their  Opinions and may be personal.

TiME  will  TELL  the  TRUTH 

[TiME  does  not  LIE  and  cannot  HIDE  TRUTH]

who  is RiGHT ?

and  who is WRONG ?

Would  non-Scholar  MPs  SERVE  the PEOPLE  BETTER?

will Singapore  RETURN  to those days with  Taxi Driver and the Like  be  MPs ?

Grass Root  People  [GRP]  are close to the ground and live the lives of the PEOPLE.

would GRP MPs  make  a BETTER  Singapore?

would scholar-EMPERORS SERVE the PEOPLE better ?

[heard that some scholars behaved like EMPERORS ????] 

TiME  will  be  the  BEST  JUDGE

 

edward123      ( Date: 01-Apr-2010 10:12) Posted: Pharoah88... with your standard of English and the way you type your words? I think not. MP will take your letter to parliament as an example of how NOT to write a letter. Though I agree with the context of your post. pharoah88      ( Date: 01-Apr-2010 09:59) Posted: i am going to SHARE your ENLIGHTENMENT with my MP. so that Ministry of National Development & HDB can be asked to look into this CITIZENRY ROBBERY by fOreign tOlent. this mal-practice is UNtOlerable tO singapOreans. i hOpe every singapOrean can feedback this ENLIGHTENMENT tO ALL their MPs fOr them tO cOntribute tO ALL singapOrean in the REAL ACTION way. No use just having Debates and Readings in the PARLIEMENT. PS: no name will be mentioned. Only the CITIZENRY ROBBERY issue will be raised to the M

 

He is a smart guy staying in a condonimum but staying in govt.

class C bed. It's a win win situation for him, hahaha

 

When the economic is in recession, the GDP drop and people suffer with low pay job and job lost. Generally, the financial crisis had already cause property price in US to drop by as much as 40% from peak which is logical.

As mention by some earlier, propery is non productive and don't generate any form of products or create job. So it is basically a form of speculative investment like Leman brother structure deposit.

Hope all of us learn from the collapse of the Leman brother. Don't make the same mistake to invest in property now.

I agree that the global financial crisis had not cause property prices to moved down in 2008, 2009. But once it reach the equilibrium point, the adjustment cycle will start causing price drop.

Again some say when recovery, prices sure cheong.  Question is how long it take to recovery and is there a droble dip recession?

So crisis property price is up by 35% now and when recovery it will move by another ??? %. It is possible?

Brother and sister do be abit more prudent -  better have some cash for retirement ,child education and medical use. Had come across one guy staying in condonimum but staying in govement class C bed --- really sad to see that.

So be smart and follow the middle path - be happy, have a roof over your head - not to over stretch and save up for retirement.

Good luck.

 

When the economic is in recession, the GDP drop and people suffer with low pay job and job lost. Generally, the financial crisis had already cause property price to drop by as much as 40% from peak which is logical.

As mention by some earlier, propery is non productive and don't generate any form of products or create job. So it is basically a form of speculative investment like Leman brother structure deposit.

Hope all of us learn from the collapse of the Leman brother. Don't make the same mistake to invest in property now.

I agree that the global financial crisis had not cause property prices to moved down in 2008, 2009. But once it reach the equilibrium point, the adjustment cycle will start causing price drop.

Again some say when recovery, prices sure cheong.  Question is how long it take to recovery and is there a droble dip recession?

So crisis property price is up by 35% now and when recovery it will move by another ??? %. It is possible?

Brother and sister do be abit more prudent -  better have some cash for retirement ,child education and medical use. Had come across one guy staying in condonimum but staying in govement class C bed --- really sad to see that.

So be smart and follow the middle path - be happy, have a roof over your head - not to over stretch and save up for retirement.

Good luck.

 

From  History,  Emperors in CHINA  used to have 3,000 wives.

because they had to RE-produce 10,000 princes

niuyear      ( Date: 01-Apr-2010 08:49) Posted: How can President Scholars give birth to only 1 kid?   Must have more.....Next time, the criteria to award president scholarship is :  One must be committed to want to get married and have a family and must serve the country. Afterall, this is the most prestigious scholarship.    WeiQiQi      ( Date: 31-Mar-2010 23:49) Posted: they probably lost all their $$ buying Lehman's related structured investment products. OR they are just plain not savvy with their finances. Can study and get president scholarship does not mean that they are smart with finances

 

According  to  Economics,  a country is  Extremely  UNproductive if  its GDP  contribution is  GROSSLY  dOminated by  prOperty  and  prOperty-related  DRIVEN  GROWTH.

Property  Driven  Economy  will  Ultimately  be  TWISTED and  TURNED  Upside  dOwn

 

moderate has ENLIGHTEN WISDOM of  the  EXCELLENT  LAO ZI  ECONOMICS  on  the MIDDLE PATH.

Property  has NIL PRODUCTIVITY.

Property  scores  ZERO  for PRODUCTIVITY  in  ECONOMICS.

that was the reasOn  why the WEST  NEVER  push  prOperty UNtil  it was all started by the EAST.

DECADES ago, the working people in US  and  Europe  preferred to live in  rented houses because property were considered as  Wasting  Assets  which  lost  money over time.   Because as houses age with wear and tear,  they cannot be worth  more.

US and European  companiess  do  buy  properties  in  Singapore.

The just lease for the same reason because they are nOt  developers. 

JAPAN  was  the  CULPRIT  who  started  the  EVIL  PURSIUT to  SOAR  ZERO  PRODUCTIVITY   DRIVE  IN  PROPERTY  PRICES.

that is why JAPAN  had fallen for two DECADES and  will NEVER  ReCOVER   UNless JAPAN RETURNS ALL the ZERO  PRODUCIVITY PRiCES back to  SQUARE ONE.

JAPAN  had the 1st Property Credit sub-PRiME 

nOw is  USA

neXt  is SingapOre ? ? ? ?

Moderate      ( Date: 01-Apr-2010 09:48) Posted: Property assests are non-productive; If all the properties of Singapore go up, is it a good thing?  Only selective properties due to special location that go up is valuable situation.  The general way will lead to a good feeling overall and onto excessive consumption.  This will burst when the assest ultimately fail to deliver (remember it is non-productive) and thereby misery.  We are going the misery path, only a company going for IPO will do it this way because they want to sell their shares.  Have Singaporeans found another island that we could all sell our homes and migrate en masse?

 

hahaha!  I vote you next up and coming new MP for sharejunctions -   Your job description:  To gather feedbacks from Sharejunctions and submit them to the Cabinet for discussion.    hehehe!

pharoah88      ( Date: 01-Apr-2010 10:09) Posted: this is an  Excellent  Question. i take the Liberty to EXTEND your Excellent Question  tO: - the PRESiDENT  [Qualification: 20 Children] - the PRiME  MiNiSTER  [Qualification:  15 Children] - MiNiSTERS   [Qualification: 10 Children] - MPs   [Qualification:  6 Children] - ALL  DIVISION  ONE AND  ABOVE CIVIL  SERVANTS  [Qualification: 5 Children] - ALL  COMAPNY  CHAIRMAN  [Qualification: 8 Children] - ALL  CEOs  [Qualification:  7 Children] - ALL  COMPANY  DIRECTORS   [Qualification: 6 Children] - ALL BANKERS  [Qualifcation:  5 Children] - ALL PROFESSORS  [Qualification:  5 Children] - ALL who earned  above S$100,000 per annum  [Qualification:  3 Children] - ALL Billionaires  [Qualification: 20 Children] - ALL  Decilionaires  [Qualification:  12 Children] - ALL Millionaires  [Qualification:   6  Children] - ALL married couple  [Qualification:  2 Children]   - ALL car  owners  niuyear      ( Date: 01-Apr-2010 08:49) Posted: How can President Scholars give birth to only 1 kid?   Must have more.....Next time, the criteria to award president scholarship is :  One must be committed to want to get married and have a family and must serve the country. Afterall, this is the most prestigious scholarship.

 

Pharoah88... with your standard of English and the way you type your words? I think not. MP will take your letter to parliament as an example of how NOT to write a letter. Though I agree with the context of your post.

pharoah88      ( Date: 01-Apr-2010 09:59) Posted: i am going to SHARE your ENLIGHTENMENT with my MP. so that Ministry of National Development & HDB can be asked to look into this CITIZENRY ROBBERY by fOreign tOlent. this mal-practice is UNtOlerable tO singapOreans. i hOpe every singapOrean can feedback this ENLIGHTENMENT tO ALL their MPs fOr them tO cOntribute tO ALL singapOrean in the REAL ACTION way. No use just having Debates and Readings in the PARLIEMENT. PS: no name will be mentioned. Only the CITIZENRY ROBBERY issue will be raised to the MP wongmx6      ( Date: 31-Mar-2010 21:55) Posted: Ya, PR should pay higher price, as i know many of them buy HDB then rent out the whole unit and live at JB.  The money from the rental is enough for them to support their House and Car at JB. S'pore Gov make some of the PR gain easy money.