By Lynda Hong | Posted: 23 October 2010 2300 hrs
Source : channel news asia
SINGAPORE: The strong Sing dollar and rising property prices in Singapore have prompted Singaporeans to consider investing in properties overseas.
More than 6,000 visitors turned up at an exhibition on overseas properties on Saturday, the first day of the two-day event.
More than 150 properties worldwide are being put up for sale at the exhibition at Marina Bay Sands.
Among the properties is The Elements@Ampang in Kuala Lumpur. At about S$400 per square feet, the freehold property saw half of the block's units being taken up when the sale was launched in July.
Land & General Berhad's sales & marketing manager, Lim Kok Yee, said: "With a HDB flat [costing] about S$600,000, you can easily get about four units of this [The Elements@Ampang].....[On] the returns for capital gain, we are looking easily at about 15-20% in terms of three years to come."
The weaker euro has also made properties in Europe more appealing.
Ocean Villas Group's director, Rebecca Smith, said: "Singaporeans, unfortunately, can't get 100% finance loan most of the time, but 70% of finance in these properties is possible."
Still, buying properties in Spain now is about 50 percent cheaper than several years ago as property prices there have reached rock bottom, said property developers.
But property agents advise investors to consider other substantial charges including property taxes, interest rates and even property management fees.
Sunday, October 24, 2010
Friday, October 22, 2010
Private residential prices rise 2.9% in Q3
Source: Channel News Asia
By Mok Fei Fei and May Wong
SINGAPORE: Singapore's measures to cool the property sector had a stronger effect on prices in the private housing segment in the third quarter than initially estimated.
Final data released on Friday by the Urban Redevelopment Authority (URA) showed that overall private residential prices rose 2.9 per cent from the second quarter, slowing sharply after a gain of 5.3 per cent in the previous three months.
URA's initial estimate was for a 3.1 per cent increase in prices in the third quarter.
URA data showed that although prices rose more slowly than in any of the previous four quarters, they still climbed to a new record.
Non-landed properties in the core city centre rose by 1.6 per cent in the third quarter, compared to 5.4 per cent in the second quarter.
Those in the city-fringe area or rest of central region increased 2.3 per cent, compared to 4.6 per cent in second quarter, while in the suburban areas, prices went up 2.2 per cent compared to 5.7 per cent in second quarter.
However, prices of landed properties increased 7.7 per cent in the third quarter, compared with a 6.2 per cent gain in the previous quarter.
"It's possibly a good time for anyone especially if you're looking for personal occupation. I think the policy effect has come in to make it a healthier market, so for those looking for a roof over your head and needs to buy a property, I think this is probably a good time to start looking around," said Dr Chua Yang Liang, head of Research, Southeast Asia, Jones Lang LaSalle.
In the short term, industry watchers don't expect prices to increase to the 5 per cent levels as seen in the first two quarters of this year. They said that it has reached its peak and that the level is unsustainable.
Going into the fourth quarter of this year, with the full impact of the government's cooling measures, observers expect private residential property prices to either stay flat or increase by up to two per cent.
Rents of private residential properties rose 3.6 per cent in the third quarter, lower than the 5.9 per cent increase in the April-June period.
New launches and take-up rates were also affected by the cooling measures.
A total of 3,501 uncompleted private homes were launched in the third quarter, down from the 4,180 units in the previous three months.
As many as 3,561 uncompleted private homes were sold last quarter, a drop from the 3,955 units sold between April and June.
The cooling measures that took effect from August 30 require homeowners to pay a three per cent stamp duty on the sale price if they dispose of their properties less than three years after buying them.
Previously, the duty applied to those "flipping" their houses and apartments within a year of purchase.
Property buyers also have to pay more money upfront, with the minimum cash payment doubled to 10 per cent for those already servicing another mortgage. - CNA/fa/ls
By Mok Fei Fei and May Wong
SINGAPORE: Singapore's measures to cool the property sector had a stronger effect on prices in the private housing segment in the third quarter than initially estimated.
Final data released on Friday by the Urban Redevelopment Authority (URA) showed that overall private residential prices rose 2.9 per cent from the second quarter, slowing sharply after a gain of 5.3 per cent in the previous three months.
URA's initial estimate was for a 3.1 per cent increase in prices in the third quarter.
URA data showed that although prices rose more slowly than in any of the previous four quarters, they still climbed to a new record.
Non-landed properties in the core city centre rose by 1.6 per cent in the third quarter, compared to 5.4 per cent in the second quarter.
Those in the city-fringe area or rest of central region increased 2.3 per cent, compared to 4.6 per cent in second quarter, while in the suburban areas, prices went up 2.2 per cent compared to 5.7 per cent in second quarter.
However, prices of landed properties increased 7.7 per cent in the third quarter, compared with a 6.2 per cent gain in the previous quarter.
"It's possibly a good time for anyone especially if you're looking for personal occupation. I think the policy effect has come in to make it a healthier market, so for those looking for a roof over your head and needs to buy a property, I think this is probably a good time to start looking around," said Dr Chua Yang Liang, head of Research, Southeast Asia, Jones Lang LaSalle.
In the short term, industry watchers don't expect prices to increase to the 5 per cent levels as seen in the first two quarters of this year. They said that it has reached its peak and that the level is unsustainable.
Going into the fourth quarter of this year, with the full impact of the government's cooling measures, observers expect private residential property prices to either stay flat or increase by up to two per cent.
Rents of private residential properties rose 3.6 per cent in the third quarter, lower than the 5.9 per cent increase in the April-June period.
New launches and take-up rates were also affected by the cooling measures.
A total of 3,501 uncompleted private homes were launched in the third quarter, down from the 4,180 units in the previous three months.
As many as 3,561 uncompleted private homes were sold last quarter, a drop from the 3,955 units sold between April and June.
The cooling measures that took effect from August 30 require homeowners to pay a three per cent stamp duty on the sale price if they dispose of their properties less than three years after buying them.
Previously, the duty applied to those "flipping" their houses and apartments within a year of purchase.
Property buyers also have to pay more money upfront, with the minimum cash payment doubled to 10 per cent for those already servicing another mortgage. - CNA/fa/ls
Cooling measures affect HDB resale market, even as prices rise
Source: TODAYonline
by Imelda Saad Aziz
SINGAPORE - First, it was the private home market. Now, latest figures released Friday by the Housing and Development Board (HDB) showed that the Government's property cooling measures have also chilled the HDB resale market - even though prices continue to rise.
Transactions in the HDB resale market fell 10 per cent to 8,205 between July and September, down from 9,114 in the previous quarter.
The HDB said there was a 25-per-cent drop in monthly resale volume from August to September, compared to the previous month.
But in its statement, the HDB said that as most of the transactions for the third quarter were submitted to HDB before the measures, "the impact of the measures is not fully reflected in the data".
Over the same period, resale flat prices went up by 4 per cent, with median cash-over-valuation unchanged at $30,000.
The Government announced a slew of cooling measures on Aug 30, which tightened financing and restricted homeownership of HDB flats.
Said ERA Real Estate associate director Eugene Lim: "August was our (company's) highest month for the entire year in terms of volume of transactions as well as resale prices. After the announcement, September became our lowest month for the year."
Mr Lim said the market is experiencing a "mismatch of expectations" - with buyers, who are expecting prices to fall, unwilling to match the high asking prices.
Propnex spokesperson Adam Tan felt that the huge supply of Build-To-Order flats which came on to the market meant that first-time buyers had "alternatives to the resale flats".
In spite of the falling number of transactions, resale prices rose for the ninth straight quarter. But, observers expect the median COV to fall by the end of the year to around $20,000 when the full impact of the cooling measures is felt.
Mr Nicholas Mak, executive director at SLP International Property Consultants, expects COV to fall another 10 to 25 per cent by the end of 2011.
"I think there is less upside potential for COV in the near future," said Mr Mak.
Overall, analysts predict resale prices could fall by 5 to 8 per cent over the next six months. Correspondingly, they noted that valuations of flats are also beginning to slide, reflecting market conditions dictated by recent transactions of similar properties.
The HDB will be launching 1,320 BTO flats in Bukit Panjang and Sengkang on Oct 26. Another 2,200 new flats will be launched in Yishun and Punggol in November and December, respectively. Additional reporting by Saifulbahri Ismail
by Imelda Saad Aziz
SINGAPORE - First, it was the private home market. Now, latest figures released Friday by the Housing and Development Board (HDB) showed that the Government's property cooling measures have also chilled the HDB resale market - even though prices continue to rise.
Transactions in the HDB resale market fell 10 per cent to 8,205 between July and September, down from 9,114 in the previous quarter.
The HDB said there was a 25-per-cent drop in monthly resale volume from August to September, compared to the previous month.
But in its statement, the HDB said that as most of the transactions for the third quarter were submitted to HDB before the measures, "the impact of the measures is not fully reflected in the data".
Over the same period, resale flat prices went up by 4 per cent, with median cash-over-valuation unchanged at $30,000.
The Government announced a slew of cooling measures on Aug 30, which tightened financing and restricted homeownership of HDB flats.
Said ERA Real Estate associate director Eugene Lim: "August was our (company's) highest month for the entire year in terms of volume of transactions as well as resale prices. After the announcement, September became our lowest month for the year."
Mr Lim said the market is experiencing a "mismatch of expectations" - with buyers, who are expecting prices to fall, unwilling to match the high asking prices.
Propnex spokesperson Adam Tan felt that the huge supply of Build-To-Order flats which came on to the market meant that first-time buyers had "alternatives to the resale flats".
In spite of the falling number of transactions, resale prices rose for the ninth straight quarter. But, observers expect the median COV to fall by the end of the year to around $20,000 when the full impact of the cooling measures is felt.
Mr Nicholas Mak, executive director at SLP International Property Consultants, expects COV to fall another 10 to 25 per cent by the end of 2011.
"I think there is less upside potential for COV in the near future," said Mr Mak.
Overall, analysts predict resale prices could fall by 5 to 8 per cent over the next six months. Correspondingly, they noted that valuations of flats are also beginning to slide, reflecting market conditions dictated by recent transactions of similar properties.
The HDB will be launching 1,320 BTO flats in Bukit Panjang and Sengkang on Oct 26. Another 2,200 new flats will be launched in Yishun and Punggol in November and December, respectively. Additional reporting by Saifulbahri Ismail
Singapore sees strong growth in real estate investment
Source: Channel News Asia
SINGAPORE: Property consultant Jones Lang LaSalle says Singapore is seeing one of the world's strongest growth in real estate investment transactions.
In its Global Market Perspective report, it says shortages of prime assets for sale are constraining investment volumes.
This has led to Singapore, Australia, Sweden and China experiencing the highest property investment growth as those countries have robust economic conditions.
In the third quarter, Singapore saw direct commercial real estate investment rise by 358 per cent from the April-June period to US$3.1 billion.
The markets in China, Sweden and Australia grew between 37 per cent and 66 per cent quarter-on-quarter.
Jones Lang LaSalle also notes in its report that investor sentiment is positive and appears to be getting stronger as market fundamentals steadily improve.
It adds that substantial increases in prime capital values are being recorded, most notably in many of the world's premier office markets like London, Shanghai and Hong Kong.
In addition, Jones Lang LaSalle says commercial mortgage-backed securities (CMBS) are staging a rally.
It says the US securitised markets have year-to-date witnessed CMBS issuances totalling US$4.7 billion compared with US$3.4 billion for the whole of 2009.
SINGAPORE: Property consultant Jones Lang LaSalle says Singapore is seeing one of the world's strongest growth in real estate investment transactions.
In its Global Market Perspective report, it says shortages of prime assets for sale are constraining investment volumes.
This has led to Singapore, Australia, Sweden and China experiencing the highest property investment growth as those countries have robust economic conditions.
In the third quarter, Singapore saw direct commercial real estate investment rise by 358 per cent from the April-June period to US$3.1 billion.
The markets in China, Sweden and Australia grew between 37 per cent and 66 per cent quarter-on-quarter.
Jones Lang LaSalle also notes in its report that investor sentiment is positive and appears to be getting stronger as market fundamentals steadily improve.
It adds that substantial increases in prime capital values are being recorded, most notably in many of the world's premier office markets like London, Shanghai and Hong Kong.
In addition, Jones Lang LaSalle says commercial mortgage-backed securities (CMBS) are staging a rally.
It says the US securitised markets have year-to-date witnessed CMBS issuances totalling US$4.7 billion compared with US$3.4 billion for the whole of 2009.
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