Property values in S'pore have fallen by 8.2% from the market’s peak in Sept 2013

[krafty]

Summary:

Property values in Singapore have fallen by 8.2% from the market’s peak in September 2013
Fitch Ratings points to government cooling measures and a market saturated with supply for the slowdown in growth
With returns having slid for eight consecutive quarters, many Asian investors are looking for alternative assets in international property markets such as the UK


http://www.selectproperty.com/2015/12/singapore-property-prices-fall-8-2-from-previous-peak/

 

[Wunderfool]

Summary:

Property values in Singapore have fallen by 8.2% from the market’s peak in September 2013
Fitch Ratings points to government cooling measures and a market saturated with supply for the slowdown in growth
With returns having slid for eight consecutive quarters, many Asian investors are looking for alternative assets in international property markets such as the UK


http://www.selectproperty.com/2015/12/singapore-property-prices-fall-8-2-from-previous-peak/

But the fall may not be strong enough as a signal to the government to relieve some of the cooling measures.

Suppose if the rates were to go in line with the Fed's rate increase likely in Dec, that may provide some impetus for the government to step in and adjust some of the measures.

Most Singaporeans are still flushed with cash and are waiting for the right moment to pick up bargains buy especially with the glut of supply coming onstream in the next few years.

 

[krafty]

But the fall may not be strong enough as a signal to the government to relieve some of the cooling measures.

Suppose if the rates were to go in line with the Fed's rate increase likely in Dec, there may provide more impetus for the government to step in and adjust some of the measures.

Most Singaporeans are still flushed with cash and are waiting for the right moment to pick up bargains buy especially with the glut of supply coming onstream in the next few years.

i expect property market to be worse off next year, s'pore's biggest trading partner, china is slowing and fed is going to hike interest rate(SIBOR-mortgages will be costlier). oil price all time low, cheap property prices, all point to deflation.

 

[Wunderfool]

i expect property market to be worse off next year, s'pore's biggest trading partner, china is slowing and fed is going to hike interest rate(SIBOR-mortgages will be costlier). oil price all time low, cheap property prices, all point to deflation.

Bro, are you loading your ammo for next year ? Durians will drop soon ?!

 

[krafty]

Bro, are you loading your ammo for next year ? Durians will drop soon ?!

no bro, i am not mr richie. i just bought a property in australia with 270k mortgage loan, wish me well.:o

 

[xebay11]

no bro, i am not mr richie. i just bought a property in australia with 270k mortgage loan, wish me well.:o

What income you have to get the loan? Taxi driver can be so rich?

 

[enterprise2]

8.2% drop is no big deal considering it has gone up by >50% over last couple of years!

 

[frenchbriefs]

What income you have to get the loan? Taxi driver can be so rich?

dont need drive taxi,even working at mcdonalds in australia u can earn as much as a NUS graduate in SG.

 

[krafty]

What income you have to get the loan? Taxi driver can be so rich?

dont need drive taxi,even working at mcdonalds in australia u can earn as much as a NUS graduate in SG.

i am an elite taxi driver, that's why!

 

[hbk75]

But the fall may not be strong enough as a signal to the government to relieve some of the cooling measures.

Suppose if the rates were to go in line with the Fed's rate increase likely in Dec, that may provide some impetus for the government to step in and adjust some of the measures.

Most Singaporeans are still flushed with cash and are waiting for the right moment to pick up bargains buy especially with the glut of supply coming onstream in the next few years.

who says sinkaporeans are flushed with cash? 700k out of 1.6 million credit card holders are paying min payment or never pay at all. restaurants queue does not mean people are cash rich. only a selective few who are really rich. sinkieland must be ready for foreclosure.

 

[lifeafter41]

who says sinkaporeans are flushed with cash? 700k out of 1.6 million credit card holders are paying min payment or never pay at all. restaurants queue does not mean people are cash rich. only a selective few who are really rich. sinkieland must be ready for foreclosure.

These are the pseudo rich, 花未來錢. Better pray hard don't kena retrench.

 

[hbk75]

These are the pseudo rich, 花未來錢. Better pray hard don't kena retrench.

last time credit card limit only 5k max. u wanna extend also cannot. now credit card limits u never ask also give u 20-30k. so can go restaurants and eat everyday.

 

[Wunderfool]

who says sinkaporeans are flushed with cash? 700k out of 1.6 million credit card holders are paying min payment or never pay at all. restaurants queue does not mean people are cash rich. only a selective few who are really rich. sinkieland must be ready for foreclosure.

Believe most Sinkies have enough money to plonk down for down payments for condos especially when husband and wife work. That is what is needed for investment. The rest can be leveraged from the banks. It doesn't make sense to pay full in cash for your property even if you have the money. Leverage makes sense for a good debt. The rich does it the same way.

 

[krafty]

Believe most Sinkies have enough money to plonk down for down payments for condos especially when husband and wife work. That is what is needed for investment. The rest can be leveraged from the banks. It doesn't make sense to pay full in cash for your property even if you have the money. Leverage makes sense for a good debt. The rich does it the same way.

ya right, paying interest on top of mortgage is good debt???!!??

 

[hbk75]

Believe most Sinkies have enough money to plonk down for down payments for condos especially when husband and wife work. That is what is needed for investment. The rest can be leveraged from the banks. It doesn't make sense to pay full in cash for your property even if you have the money. Leverage makes sense for a good debt. The rich does it the same way.

for the past 7 years after fed implemented QE. then sinkies suddenly become very rich? why is that so? the ultra rich does not see which day to purchase properties. those in debts will need to be worried. once unemployment soars when hot money exit asia after fed hike interest rates. sinkies will go back to reality.

 

[Wunderfool]

for the past 7 years after fed implemented QE. then sinkies suddenly become very rich? why is that so? the ultra rich does not see which day to purchase properties. those in debts will need to be worried. once unemployment soars when hot money exit asia after fed hike interest rates. sinkies will go back to reality.

For the past 7 years, sinkies are smart to leverage on low interest rates to buy up distressed properties and become rich in the process as the government brought in tens of thousands of foreigners.

Time and tide wait for no man.

If you miss the boat , you will have to sit out and wait long long.

 

[hbk75]

For the past 7 years, sinkies are smart to leverage on low interest rates to buy up distressed properties and become rich in the process as the government brought in tens of thousands of foreigners.

Time and tide wait for no man.

If you miss the boat , you will have to sit out and wait long long.

haha. if fed hike rates even by a small amount in 2 weeks time. alot of sinkies will be sinking with their ships.

 

[lifeafter41]

Believe most Sinkies have enough money to plonk down for down payments for condos especially when husband and wife work. That is what is needed for investment. The rest can be leveraged from the banks. It doesn't make sense to pay full in cash for your property even if you have the money. Leverage makes sense for a good debt. The rich does it the same way.

The difference is the ability to pay in full if one needs to.

If the husband and wife team bought a condo at 1.2kk (assuming it's 1000sqft type).

Loan of 960k at 2.6% at 30 years is similar if one Loan at 1920k at 1.3% for 30 years, in terms of interest payment.

I recall in year 2000, interest rate was at 3 to 5%, can't imagine if rates rise to that level......

 

[hbk75]

The difference is the ability to pay in full if one needs to.

If the husband and wife team bought a condo at 1.2kk (assuming it's 1000sqft type).

Loan of 960k at 2.6% at 30 years is similar if one Loan at 1920k at 1.3% for 30 years, in terms of interest payment.

I recall in year 2000, interest rate was at 3 to 5%, can't imagine if rates rise to that level......

that is why people never thought of any regional financial crisis like 1997. even if we sinkies are strong, our neighbours are quite weak. some weak economy in asia may have triggered the next crisis similar to 1997.

 

[zeebjii]

who says sinkaporeans are flushed with cash? 700k out of 1.6 million credit card holders are paying min payment or never pay at all. restaurants queue does not mean people are cash rich. only a selective few who are really rich. sinkieland must be ready for foreclosure.

And if flush with cash why dont buy now? If flush with cash Why must wait for cooling measures to be eased? Did the 81 year old sinkie rabbit lover featured below wait for COE to ease before buying his Rolls Royces?

Me And My Car

A tycoon and his Rolls-Royces

Christopher TanSenior Transport Correspondent
Shipping tycoon Yeo Chong Lin, 81, has a soft spot for Rolls-Royce limousines.


He has two in the driveway of his bungalow in Upper Thomson - a white Phantom he bought three years ago and a blue-and-silver Phantom Series II acquired this year.

"Except for the shape of the lights, almost everything is the same," he says of the newer Roller. "But the price went from $1.2 million to $1.8 million."



Then why did he buy it?

"It's the latest model," he declares matter of factly.


WHAT'S IN THE BOOT

"Nothing," he says. "I don't golf. People tell me you have to play golf to do business. I say that's rubbish."

The car is Mr Yeo's 10th Rolls-Royce. "The first one was a Corniche, which I bought in the 1980s," he recalls.

Explaining his Roller fixation, he says: "I belong to the old school. In the old days, the best car in the world was a Rolls-Royce.

"And when I drive to a hotel, they will let me park right in front."

But other than that, he says there is not much else that sets it apart from his other cars.

"People ask me, of all the cars I have, which is the best. To me, they're all the same," he says with the authority of one who has owned "more cars than I can remember".

But he remembers the first one he owned - a used Fiat 500 which he bought for $500. His first new car was a Toyota 2000, acquired in 1972.

It bore the registration number "8499", which Mr Yeo has used for all his cars since.

He has owned Ferraris, Maseratis and Porsches. But these days, he says he prefers cars that are less flashy - and easier to get in and out of.

Which is why he has just traded in his sporty Jaguar F-Type convertible for a BMW 640i. "The F-Type is nice, but it is too loud," he says, adding that it is unbecoming of an elderly gentleman to own such a loud car.

His stable of cars also includes a Bentley Mulsanne, Mercedes-Benz CLK Cabriolet and Jaguar XJ, which he alternates between the two Rollers.

"I have a driver, but I prefer to drive myself," he says. "He has eight cars to clean, so he usually drives me only when I go to town."

Cars are the only major indulgence of the self-made multi-millionaire, who left school after Standard (Primary) 6 at St Andrew's.

"There was a polio epidemic and the school was closed for months. When it reopened, it wanted backdated school fees. My parents couldn't afford it."

He started work immediately, helping at a noodle stall, earning $30 a month. Soon, he landed a job with the Port of Singapore Authority (PSA).

"My parents rented a place in Bukit Ho Swee and one of my neighbours was a cashier at PSA and he tried to help us because we were very poor.

"He recommended me to be a clerk as I knew my ABCs. In those days, it was very easy."

He spent 19 years there and rose to become a cargo supervisor. "I worked very hard and learnt a lot," he recalls.

But he was sacked in 1972 when PSA found out he had started a marine supply business, Swissco.

So he left and grew Swissco into an oil-and-gas major. The company was listed in 2004 and Mr Yeo cashed out a few years later.

These days, he dabbles in the buying and selling of ships, plays mahjong twice a week and, of course, enjoys his fine collection of cars.

He is estranged from his four children after an acrimonious divorce in 2005 and lives with his girlfriend and several rabbits.