Bukit Timah Site Seeks Buyer

Bukit Timah Site Seeks Buyer

Another apartment site comes out for sale in the market. The site is located at Bukit Timah, on the Bukit Timah hill which is highest point. This land parcel sits on a total area of 40,449 square feet. This allows for the building to be built on five storeys.

Apartments in Singapore are a good option to live in Singapore. The apartments can range from 3- room to 5-room private apartments. The living units also vary in their price which other than depending on their size also depends on where it is located. For example the housing units located at a prime location can cost invariably more than the ones located at West Coast or the East Coast which are still popular residential areas.

However the Bukit Timah site is located in a very principal locale. The Seller of this free hold Toh Tuck Apartment site was initially a small time developer who is now in the field of construction. According to a representative at HSR, the site can be redeveloped into 75 apartments with ranging sizes. A lot of developers have shown interest in the site because of the opportunity it holds.

Due to the rise in demand for the different kinds of housing units in Singapore, experts believe that it should not be hard to sell an apartment site or site meant for hotels of condominium projects. However reports suggest that developers at some places do find asking price a bit high than they would want. This has been registered in the past during the sales of The Green Lodge and Mayfair Gardens.

The asking price and sale mode is deeply affected by the fact that who the seller is. For example if it is a singular party selling the land then it would face less complication as compared to the party being a group of companies where it involves lot of paper work to be done. There has to be 80% consent for the transaction to be filed and then take place before the agreement expires.

The freehold Toh Tuck Apartment site was bought by Mequity which is partially owned by Roxy Land- a subsidiary of Roxy-Pacific. The amount that was paid for the site at Bukit Timah area equates to $687 per square ft per plot ratio. The Marketer quoted that the seller expected the price ranging around $35.5 million which is inclusive of the development charges estimating to $5 million.

The apartments which will then be built can be put on sale or on rent. This depends on the requirements. So far the property market is making a steady climb and though there are numbers who would be interested to buy an apartment for investment in a prime location, apartments are also offered for rent in Singapore.

A lot of such apartments are abided by expatriates. Apartments like other housing built by HDB are well-served by shops and other resourceful amenities.
Apartments built for rent or sale is still very much in demand. Bukit Timah site for freehold apartments therefore landed with a good deal.

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Mindy Yong

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Melrose Court Gains $44 Million Price Tag »« New Rules Call For The Decision To Stay Here

New Rules Call For The Decision To Stay Here

New Rules Call For The Decision To Stay Here

Announcement of new rule regarding disposing of the overseas property was being discussed after the Aug30. Discussions as to who is exempted from the rule and who is not were reported to have created some misunderstandings. However, the Housing and Development Board has clarified the position on the ruling once for all. It stated that all will have to abide by the new rule of selling the property abroad in order to be qualified for the purchase of HDB resale units. The new rule has been viewed as very tough measures as all cannot be pushed with one stick.

Despite the announcement of these rules no worthwhile mechanism to ascertain the claims by the applicant has been devised by the government as yet. The local property might be easily traced but the overseas property records will need some ways and means of attestation. The HDB has announced penalty of $5000 or six month imprisonment or the both for the culprits who try to dodge out the new ruling.

This new rule is said to have effects on all those individuals who own overseas properties. But the classification of such individuals has not been made by the authorities. Some thirty to forty percent permanent residents are estimated to have their properties in their native countries. Even a majority is thought to have their families staying in these overseas properties.

With the enforcement of these new rules the permanent residents will have to make choice to either maintain the status quo or get permanently settled in Singapore. This is going to be very tough choice for all these permanent residents from all over the world. Some locals have even blamed these permanent residents of the recent escalatory property prices.

In the press HDB officials have clarified the position on the other rules as well. It has been reiterated that the banks have been instructed to provide 70% of the loan to the buyers. This is ten percent less than the previous loans of 80%. It entails that the buyers will be required to pay thirty percent down payment for the purchase of HDB resale flats. Out of this 30% at least ten percent will be cash paid.

Monetary Authority of Singapore has clarified that the individuals with already loans for the overseas property will not be affected by these new financial rules.
Due to these new rules enforced by the government, the retired people are likely to suffer. These individuals normally have the overseas properties for the rental purpose as they are left with regular income source. There have been expectations that these individuals will be dealt leniently on account of double property ownership.

Enforcement of new rules by the authorities has given the signal that the HDB resale flats cannot be used for the investment purposes. The occupants of these units alongside executive condos will not be permitted purchase any private property within the prescribed period of minimum five years. This is wait and see time to watch which way the wind blows.

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Mindy Yong

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Bukit Timah Site Seeks Buyer »« Higher Loans Available If Home Sale Proved

Higher Loans Available If Home Sale Proved

Higher Loans Available If Home Sale Proved

Prior to the announcement of the anti-speculation measures by the government on Aug30, the banks were allowed to provide 80% of the total land value as loan to the buyers. But after the enforcement of these new rules, the banks have been asked by the government to provide only 70% loan to the applicants. This rule entails that the intended buyers will have to now pay 30% down payment for the purchase of units instead of 20% previous rates. This very rule has been enforced to curb the tendency of the investment property at the cost of loans obtained from the banks.

In order to facilitate the genuine buyers a new clause has been introduced for the bank loans. Buyers who are interested to obtain 80% loan of the total land value will have to provide the documentary proofs that they have actually disposed of the previous property in their names. This will also imply that the buyers of such like properties have completed all the sale/ purchase formalities including the payment of stamp duties.

This rule of obtaining 80% of the loan money will have certain effects on the market for the resale of the private property. As the applicant will be required to have sold his previous property for the purchase of new one, the interim period of moving to newly purchased unit will require some arrangements to live. This will affect the sale purchase process duration.

Previously the sale of a unit would be completed in two to three months, now after the enforcement of new rules the same period will be enhanced to almost four months. The other practice which is likely to be observed during the sale/purchase procedure is that the seller will be vacating the sold units even after the expiry of the stipulated movement period. Certainly this is going to be mutually agreed arrangements between the seller and the buyers.
Home owners have showed the mix feelings over the new rules. One of the interested home owners who wants to buy another unit for the investment purposes hoped that the measures taken by the government if succeeded will bring the property price to a bearable level. Even if the buyers will be required to pay 30% of the down payment yet the profit from the real estate business will compensate for the extra money invested in cash.

Banks sources have clarified that the loan facility upto 80% will be available to even those who have sold their previous house and are in the process of completion of the process of moving to their new units. They will be required to provide the documentary proof of their sale to the bank authorities.

The government’s newly enforced rules are being viewed critically by the market players for their effects on the real estate business. These rules will demand some revision in the later stages as the inconvenience being caused to the genuine land buyers may even lead unaffordable solutions. Therefore, it may be still premature to gauge the exact extent of impacts on the property industry.

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Mindy Yong

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Mindy@MindyYong.com

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New Rules Call For The Decision To Stay Here »« Low Priced Resale Of Newton Condo

Low Priced Resale Of Newton Condo

Low Priced Resale Of Newton Condo

Freehold Maison Royale site in Newton has been again placed for the resale. The officials from the Urban Front Real estate have declared that the site can be again redeveloped into new approximately 40 units. The size of these units will remain at an average of 988 square foot. In the recent past collective sale scene have not been able to achieve the desired prices. Though the projects have been well received yet the prices could not go high against the expectations. The mix indicators of low market were demonstrated by the Melrose Court and Maison Royale schemes.

It is worth mentioning here that the Maison Royale was presented for sale in 2008 but the sale could not meet success. Two years back the land owners had asked for $50 million for the 20 unit space. Now despite the fact, that two years have passed and the prices of the real estate have gone sky high, the land owners have now asked for $48 million. In 2008 the project was closed without even getting a bid beyond the stated reserve price. As per the new prices claimed the average price of $1,220 per square foot per plot ratio is likely to give a profit of about $2.2 million to $2.59 million to the owners. The lowering of the price value of the Newton project site seems to be market tact to attract the developers.

As earlier said that the plot size will be reduced hence the risk factor for the developers will also be reduced considerably.
The officials have found to be aid that the government anti-speculation measures announced are likely to have temporary effects on the market dynamics. These are not likely to affect the builders and developers resolve for the good land sites which can alos be developed into collective sale sites.

Another significant development reported is that Freehold Melrose Court which was released last week achieved an important land mark of $44 million in place of expected $48 million. Despite the lower rate it is said to have achieved five percent to ten percent beyond the set reserve price. The average price of the land remained about $665 per square foot per plot ratio. A sum of $277,235 has been included in this price as the developmental expenditure on a 2.8 total plot ratio.

This land has actually been bought by the Melrose Land which is a syndicate of eminent investors. This deal will come into effect after the node by the Strata Titles Board. Despite the lower rates in the market the Melrose Land is likely to get profit of $1.129 million to $2.261 million. This will entail the developers to work out some imaginative development, building and the selling schemes so as the potentials buyers are attracted in a big way. Another significant factor which will determine the profit margin is the size of the plot for construction of the residential units. The lands bought for the units are likely to be developed over a long period of time and the prices of today’s market may not hold good for the times to come.

Buy Sell Rent invest In Singapore Property Real Estate

Mindy Yong

( +65 ) 91002985

Mindy@MindyYong.com

www.hotvictory.com

www.property-elite.com

Higher Loans Available If Home Sale Proved »« Is Property Abroad Really A Problem ?

Is Property Abroad Really A Problem ?

Is Property Abroad Really A Problem ?

The Housing and Development Board has announced that for the purchase of non-subsidized flat, applicants will have to forego with any private property inland or abroad. This step has been initiated to ensure that the flat being purchased actually goes to the occupiers and is not used for the investment purpose. For the culprits not abiding by the rules penalty has also been announced in the recent past. Defaulters will be fined $5000 or will have to face six months imprisonment or even both. The announcement of this penalty has created some panic among the genuine buyers.

Permanent residents are likely to suffer more from the aforesaid rule. For instance a person residing in Malaysia may have his family back home. In case of purchase of the Housing and Development Board Flats, he might not like to sale the property owned abroad. In another case property inherited to some individual will also be subject to the new rule. The problem has been voiced on the media so as some respite might be announced by the government for the permanent residents. Officials have estimated that 30-40% of the permanent residents do own homes or property at their native countries. It is interesting to know that the price value of these properties abroad is much below the prices of HDB resale units. Furthermore the impact of these properties on the Singapore market is almost negligible.

Another problem area by announcement of such like rules by the government is the retired class at home. There is a certain number of people who own more than one properties for the living after the retirement. In case of family compulsion to upgrade from the existing units to HDB resale flats, these will have to dispose of already held units. This development is likely to create more troubles for lower middle class.

After announcement of the new rules though HDB has confirmed that some flexibility can be exercised by the authorities for all such anomalies on case to case basis. It is also expected that despite the penalty announced for dodging the rule, a certain ratio of the applicants is likely not to declare their overseas assets. The government is also seems to be lacking to verify the overseas property records of all such applicants.

After the announcement of anti-speculation measures by the government there has not been any significant drop in the prices of high end priced projects like the one of Sing Tai and Dorsett Residences, above Outram MRT Station. The later mentioned project units were sold in just one day after the release. It is estimated that high end priced projects due to inherent strength of foreign investment and the interest taken by the genuine real estate players, these projects are less likely to be affected by these rules. The executive projects with very high prices are actually targeting the elite class. Therefore the dynamics of such like projects will be unchanged amid the tightened rules by HDB. However, at present a lot of investor have chosen to wait and see, what impact these rules may have.

Buy Sell Rent invest In Singapore Property Real Estate

Mindy Yong

( +65 ) 91002985

Mindy@MindyYong.com

www.hotvictory.com

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Low Priced Resale Of Newton Condo »« PRs Give A Second Thought For Purchase Of HDB Resale Units

PRs Give A Second Thought For Purchase Of HDB Resale Units

PRs Give A Second Thought For Purchase Of HDB Resale Units

The new rules Implemented by government from 30th August have made some permanent residents to give a second thought to buying resale flats

The policy announced by Government says that buyers of HDB flats will not be allowed hold any sort of public or private property and if at all they own any property independent of the fact that property is here or abroad, it has to be sold within six months of HDB flat purchase.
Another part of the Government policy says that a non-subsidized flat purchaser has to ensure that his occupation lasts for a minimum of five years period.

This Government policy has decreased the interest of many PRs towards buying the property. Many industry insiders think that it is nothing but a total loss. Some officials have even quoted the examples of PRs who have been dealing in this business for a long time, but now owing to the Government policies are reconsidering purchase of non-subsidized flats. One of the officials even said that this can even bring down the purchase market by 30 to 40%.Therefore; PRs might take some time to coup with this news before considering the thought of new purchases. An official claimed that if the policies remain unchanged and inflexible, at least 10% of the PRs will leave the non-subsidized flat purchasing business.

On the contrary, sources have confirmed that in opinion of some officials these policies will not have any significant effect on many purchasers as they have been doing this business for a very long time and merely these, Government laid policies won’t hinder their long run business. Moreover, PRs can come up with different ideas to have ownership of non –subsidized flats, for instance, they can hold any sort of foreign property and keep it secret. Firstly, it is difficult to investigate a foreign property, second to this; HDB has not spoken of the consequences one has to face in case of any sort of fraud or policy violation. In addition to this, there are many PRs who do not hold or own a single piece of property, so they are free to buy the flats

A Government-laid policy regarding bank loans has also decreased the purchase of HDB flats. The policy says that from 30th August banks will loan for 70% of land value instead of the previous 80%,thereby,meaning that he purchasers have to give 30% money as down payment which is 10% more than the previous policy. Because of this sudden and unusual increase in down payments multi-flat buyers have to ponder over their decisions before going for next flats.
Another fact is that real estate companies or real estate purchasers with bigger capital will definitely go for high priced pieces of land and property rather than going for non-subsidized flats.

The new Government laid policy has opened new horizons for some real estate hunters as they are instantly buying the property, for example, a company got hold of all the 68 units that were put to sale, in a single day. Avenue of project was Outram Park MRT station comprising of single or two-bedders measuring about 484-1,615 sq.ft.

Buy Sell Rent invest In Singapore Property Real Estate

Mindy Yong

( +65 ) 91002985

Mindy@MindyYong.com

www.hotvictory.com

www.property-elite.com

Is Property Abroad Really A Problem ? »« High End Projects Will Be Less Affected By Property Cooling Measures

High End Projects Will Be Less Affected By Property Cooling Measures

High End Projects Will Be Less Affected By Property Cooling Measures

Real estate business serves as one of the pivotal factor in development of the country’s economy. But due to certain malpractices such like speculations, over investment and unrealistic prices, the economy is likely to suffer inversely. Recent global depression can be viewed as a case in point. Banks, over a period of time, developed their business by lending maximum loans for the real estate sector. But due to unhealthy activities in the sector, the results could be devastating for the overall financial outlook of the financial institutes in the country. Another ill effect of such unrealistic price hike in real estate is the suppression of genuine buyers from the middle and lower class. The ever rising prices remain out of reach of the commoner.

On Aug30 government announced certain measures to arrest this trend of unrealistic rising prices of real estate in the country. Main purpose of these measures is to prevent national economy to from unrealistic investments and to secure the financial infrastructure from any future depression. These measures are likely to prevent the genuine buyers to stay relevant to the market. This decision has been taken very timely as the recent prices seem to be raised unrealistically to the level which is not sustainable in the future. Many sources have confirmed that the decision has been well received by the majority affiliated with the real estate business. The focus of these measures has been the middle and lower class investment and purchase/sale majority.

Amid the new rules enforced Wing Tai has released its remaining 67 units for sale. Previously the 109 units were sold at the price of $2000 to $2700 per square foot on the average. Price for the newly released units has been kept from $2300 to $2800 per square foot. The firm officials have expressed hopes that these high end price units will be less affected by the measures announced by the government. High end projects are invested by the foreign investors besides the local investments. This very aspect is likely to render such high end priced projects to still earn good dividends. This has been amply demonstrated by the Wing Tai’s recent high end priced project. Market players are very critically observing the latest market trends in the light of new measures.

After the announcement of the anti-speculation measures the present bids for different project sites are still towards the higher side. However, it is felt that these will be re-adjusted after some time as the market may not get much of revenue from the banks and the purchasers. Still it is felt that the projects for high end, upper middle class and super high class will be less affected by the measures announced.

Banks have now started getting the effects of these measures. There has been a drop in loan application for the housing projects. Banks now will have to devise new market policies for the investment instead of only focusing on the real estate sector. They still have a scope of growth if they bring the loan rates under an affordable range for average citizen.

Buy Sell Rent invest In Singapore Property Real Estate

Mindy Yong

( +65 ) 91002985

Mindy@MindyYong.com

www.hotvictory.com

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PRs Give A Second Thought For Purchase Of HDB Resale Units »« RB Capital Hotels Gets Clemenceau Ave Hotel Site

RB Capital Hotels Gets Clemenceau Ave Hotel Site

RB Capital Hotels Gets Clemenceau Ave Hotel Site

Hotel industry plays an important role in the over economy of the country. Other sectors like tourism, mega events, business activities and national policies for the foreigners are support the development and handsome earnings in the hotel industry. Due to quite a numbers of market players in this industry, its effects on the real estate cannot be ignored. Suitable sites for the hotels get maximum investments. Government is also endeavoring to get more investors in this field.

The Urban Redevelopment Authority (URA) launched a site for hotel at Clemenceau Avenue/Havelock Road on June 28 this year. Bids were invited for the development of luxury hotel at the site. The site itself has been viewed as very suitable place for the commercial projects like hotels etcetera. The tender for the site was closed on Aug31.
The site has been offered for 99 years lease period through Reserve List System. The site was able to invite number of bids. The exact figure of 13 was quoted for the bids received for the project. RB Capital Hotels was declared successful in getting the tender with a bid of $101.1 million. Subsequent bids ranged between $50.1 million to $96 million. The highest bid stood at $8,751 per square foot per plot ratio.

The hotel sources have confirmed the winning of bid for the hotel site at Clemenceau Avenue/Havelock Road. It was declared as the important land mark for the management. Intentions for a mega project building at this site have been shown and the project is likely to be launched soon after the completion of the land transfer formalities between the URA and the hotel management.

Singapore is said to have been the hub for international as well as domestic business tycoons. The hotel management vowed to build a dream hotel for the investors at the site.
Before award of the tender of site at Clemenceau Avenue/Havelock Road apprehensions of the property cooling measures were also being discussed as the site might be able to attract some big bids but subsequently the bidders might have to work to devise new sale, design and development schemes. Singapore is said to be new destination for the world class events like the formula one race. These developments and the foreign investments are likely to remain main sources to prevent the downfall of real estate prices for the commercial projects.
Banks may also reconsider maximum loaning facility to the commercial projects instead of the residential ones.

The site offered for the hotel at Clemenceau Avenue/Havelock Road has a size of 5,502 square meters. This site will offer maximum floor area of 11,555 square meters for the use as hotel facilities. These auctions are likely to give confidence to cautious developers and investors. It is also deemed appropriate to assume that such auctions and sale will reinvigorate the stale property industry which has be on the rise for quite some time but now government price cooling measure have introduced a pause to it. Tourists are still flocking to Singapore which is a reassurance for the hospitality industry.

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Mindy Yong

( +65 ) 91002985

Mindy@MindyYong.com

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High End Projects Will Be Less Affected By Property Cooling Measures »« Property Types In Singapore

Property Types In Singapore

Property Types In Singapore

Residential property in Singapore can be classified into three distinct categories which are housing and development board units, private apartments and landed property. The majority of the Singapore population lives in the housing and development board units which are within housing estates. The remaining Singaporeans live in live in the private apartments or landed property. Emigrants have ownership restrictions on the private apartments and landed property as per government policies while Singapore residents can own and live in any three of these properties.

The government has classified private apartments as condominium or as an apartment. The difference between apartments and condominiums is that the apartments are smaller and have comparatively less facilities while the condominium is larger and is more spacious with lot of facilities. Generally a condominium would have many facilities like a gym, a swimming pool, a tennis court, a squash court, a barbeque centre and a playground for children. They would also have special car parking facilities within them. The security guards are appointed for security of the entire area around the condominium. The tenure of the private apartments is freehold, ninety nine year leasehold or nine hundred and ninety nine year leasehold.

Landed property includes a terraced house, detached house, semi detached house, shop house and a bungalow. Landed property is called so because the title of the property is tied with the land. Landed properties are generally freehold but there are also properties which are either ninety nine year leasehold or nine hundred and ninety nine year leasehold. Since land is limited in Singapore these landed properties can be really expensive. Big plots of land near the centre of the city can fetch real good value.

HDB units are flats which are constructed and maintained by the housing and development board. The government subsidizes the purchase and finance of these units. HDB apartments are generally build within large housing estates which are self contained. These housing estates have almost all the facilities that might be required by the resident. They have hotels and restaurants for food, supermarkets for daily needs, schools, colleges and libraries for students and parks and playgrounds for recreation. The housing estates have maximum facilities in the neighbourhood.

Executive condominiums can be said to be an apartment which is better than the HDB units but less luxurious than the private condominiums. These are located within the housing estates and there are certain policies that you should be aware of before considering these types of houses. These apartments are also government subsidized and to get them you need you fulfil certain criterion.

Buy Sell Rent invest In Singapore Property Real Estate

Mindy Yong

( +65 ) 91002985

Mindy@MindyYong.com

www.hotvictory.com

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RB Capital Hotels Gets Clemenceau Ave Hotel Site »« HDB Announces Flexibility For New Polices On Case To Case Basis

HDB Announces Flexibility For New Polices On Case To Case Basis

HDB Announces Flexibility For New Polices On Case To Case Basis

Government measures of Aug 30 anti-speculation to control the ever rising prices of real estate have posed certain problems for the deals before the announcement. Mainly the applicants who opted for the purchase of HDB units in resale have to face the difficulties. Another class which has been affected is the one who applied for the bank loans before the announcement of new rules.

Now the Housing Development Board has shown some flexibility to review all such applications which are affected by the new rules. Applicants will be required to produce the evidence that they have applied for the resale or purchase of resale HDB units before Aug30. Accordingly bank loans will also be reviewed in the light of recent announcement by the board. HDB sources have confirmed that after the enforcement of the new rules fifty percent of calls have increased from the routine. People are curious as to how the new rules are going to affect their business and deals which were made prior to Aug30. HDB officials have said that the applications to redress such anomalies will be considered on case to case basis. Only genuine case will be allowed to be implemented according to rules prior to Aug30 announcement.

According to government’s Aug30 anti-speculation measures state that the buyers with at least one property already held will be required to pay the extra cash in advance for the purchase of next property. This will inhibit the practice of purchasing too many properties with less cash investment by the buyers. Only the original and strong purchasers are likely to remain relevant in this context. Previously only five percent of the unit value was required to be paid in cash for the purchase. This has now been doubled to ten percent. Similarly the banks used to provide the loan of up to eighty percent of the unit value and the same has now been reduced to seventy percent only.

Another step taken by the HDB is the increase in the minimum period to five years for eligibility to resale or purchases other property for the non-subsidized flats purchasers. HDB has announced that the non-subsidized unit owner will not be allowed to have two units that is public or private. The board has already announced penalty of $ 5000 or six months imprisonment or both for the defaulters. Even the cases detected after the completion of the allotment procedures will be asked to vacate the units forcefully.

This ruling has been made compulsory for compliance on the inland as well as on the properties held abroad. Market players have expressed their concerns over the ruling regarding overseas properties. Because no worthwhile mechanism exists to verify the properties abroad and there are the chances that few applicants might still take to chance and succeed in deceiving the rules. Another concern is the equal application of the rule for the subsidized and non-subsidized units. However board has clarified that the owners of non-subsidized units will be eligible for the purchase of other property only after the period of 5 years.

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Mindy Yong

( +65 ) 91002985

Mindy@MindyYong.com

www.hotvictory.com

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Property Types In Singapore »« HDB Announces Penalty For Defaulters To New Rules