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Get ready for more New Launches
All customers, get ready yourself, a lot more new launches coming up. Grab the opportunity to get yourself a property. Launches at many more location coming soon. Grab now before development charge increase. Click on the above to register yourself to get more updates of these upcoming projects.

District 1 to 8 Updates
Spottiswoode 18, former Dragon Mansion
One of the best plot of land in District 2 Spottiswoode, Spottiswoode 18 an iconic 45 Storey development. Limited units available now. Call us soon before all units are sold.

Ascentia Sky @ Alexandra - Must See
All looking for a Good Project, here we have Ascentia Sky. This must see project is a 45 storey majestic development with outstanding view. Good size 3, 4 bedrooms & Penthouses still available. Comes with interest Absorption and Stamp duty absorption. Call now to enquire. 

Lumiere at Shenton way just TOP
Looking for a TOP project with good investment returns? Look no more, check out Lumiere at Shenton Way by BS Capital. Iconic 45 storey development that is build for DUAL Usage: as office or home. Great potential for investment and rental. Call us now for viewing.

The Foresta @ Mount Faber - Very HOT Project, Investors Pick
Long waiting for a West Coast project? Now its coming, it is even better than all previous. The Foresta @ Mount Faber in Wishart Road with 141 Residential is launching soon. Excellent location just 5 mins to telok Blangah MRT and 10 mins walk to Vivo City. This project is sure hot grabs. Register your interest today.

District 9 Updates
Grange Infinite on sale- Just TOP
Premium high quality, high end project just behind Takashimaya Shopping Mall. Outstanding district 9 location that is great for luxurious own stay or investment. Superior quality finishes that is uncomparable. Call us to view actual units today.

The VERV Preview
The VERV at River Valley, an exclusive 26 units development is previewing very soon. Get ready to see high end finishes and fittings in rare spacious 2 bedroom and 2+Study sizes. All units even comes with Private Lift access. To catch the preview, call us @ 6100 8090 to arrange

The Peak @ Carinhill
The Peak @ Cairnhill, an excellent centralise location just mins to Orchard, Novena and Newton. High Quality finishes and affordable price. Rare size development makes The Peak @ Cairnhill the top investment choice for all investors. Call now for appointments

Oxley Edge Preview
Oxley Edge, latest development by famous Oxley group. Located along River Valley Road, just 5 mins to future River Valley MRT, Orchard, Clarke Quay and CBD. Excellent Location for a Great investment. To catch the preview, call us @ 6100 8090 to arrange

District 10 Updates
Stevens Suites Preview Now  
A rare location with very few new launches. Stevens Suites is located in Prime District 10 along Stevens Road. Consist of only exclusive 32 units from 1+study to 3 bedrooms and penthouses. Excellent project that calls for high rental yield and capital returns. Units moving fast. Call us for appointment now.

LOFT @ Nathan, good investment
All Investors, Check out Loft @ Nathan in River Valley Road,. Excellent development with 121 units of residential and 26 units of commercial. Its is definitely a good project to invest in with prices only fr0m $8xxk up. Call us now for a special preview of this project.

District 11 Updates
Copthorne Orchird Redevelopment
Excellent sales at The Glyndebourne. Only few units left for this masterpiece by CDL. So if y ou are keen, act fast to secure a unit. You will never be disappointed with this prestigious project. Call now!

Gilstead 2, Investors Pick
For those that has miss Gilsteads 2 or decide to give it a miss. It is better for you to reconsider. Gilstead 2 is a highly recommended project with very high potential. Sales of this project is strong and now we are left with last few units. If you do not want to lose out, Call us now before everything is gone. This is a project not to be missed.

10 Shelford @ Shelford Launching
Top Investment Pick not to be missed. 10 Shelford consist of exclusive 69 units of 1 bedroom and Penthouses. Project protrays a lifestyle, chic and lively lifestyle in this quiet residential enclave. Good tendency rate. Prices at only $8xxk. Call us now for appointments. Don't Miss!

District 12 Updates
SkySuites 17 @ Balestier units moving very Fast
SkySuites 17 @ Balestier, one of the fastest moving project now. Great potential for capital growth once Zhong San Park is ready. Investors, don't wait, this is an opportunity not to be missed. left with limited 2 and 3 bedrooms now!

Suites @ Topas last 3 Penthouse left
If you are looking for a good project that is beautiful, low quantum and great for investment, then Suites @ Topas is the choice. Excellent city fringe location with beautiful facade and landscaping. A good project to embark on. Left with only 3 penthouses. So act Fast. Call us Today.

District 14 Updates
Vacanza @ East Coming
All Kembagan Lovers, Vacanza @ East will be previewing tentatively on the 28th Sep. This 463 units freehold full condominium development consist of 1 - 4 bedrooms and penthouse. Prices starts from only $5xxk. If keen please call us for a Pre Launch Presentation today.

Royce Residences @ Geylang - Great affordable low quantum from 450k
One of the highest potential development with the most affordable price now. Royce Residence is a 40 unit development just mins drive to the city. Great location with lots of food amenities. Prices from only 450k and comes with stamp duty absorbption. Call to View now.

Oxley BizHub @ Ubi Road 1
Top development in UBI, Oxley BizHub, a new concept industrial development consist of 728 units of warehouses and production units. Great business investment not to be missed. High Potential property once Paya Lebar Business hub is up. Great Rental demand. Call us for Viewing NOW. 

District 15 Updates
Tivoli Grande @ Koon Seng Road
Call us now, hot project Tivoli Grande on preview now. Tivoli Grande a 82 units condo development is the gem to be in Koon Seng area. A good development with excellent quality finishes and well planned layouts. Definitely a good buy. Call us now to enquire and Booking!

Bella Casita few units left
Located at District 15 Ipoh Lane, Low Quantum, Affordable starting from only $6xxk. Excellent High Potential for Rental and Capital Yield with coming Paya Lebar Business Hub. Highly recommended property to invest, Last few units left. Call now for enquiries

Aalto - Booking Starts Now!
One of the most talked about project in 2007. Aalto @ Meyer road, outstanding seaview lifestyle living with superb high quality interior finishes and fittings. Luxury that is undefined. Definitely a desired lifestyle for your family. Call Now for viewing and info.

Vibes @ East Coast
Excellent Good Project in the mids of all famous Food Eateries and in the heart of the East. Freehold development with 1, 1+Study and 2 bedroom layout with Commercial Shops. Great Investment and near Tao Nan Primary School. Register NOW!

Questa @ Dunman Road, Good Development
Another great project by Hoi Hup Realty. 140 freehold units in the mids of Dunman Road. Great Investment and near Tanjong Katong Girl's School and Secondary School. Excellent District 15 location. Left with Limited 2 bedroom units. Dun Miss. Call us NOW! 

38 iSuites @ Ipoh Lane, units moving fast
38 iSuites, a 120 units lifestyle development located at Ipoh lane, close to future Paya Lebar Business Hub. Comprises of 1+Study, 2, 2+Study and Penthouse units. Great peaceful location with loads of amenities around the vicinity. Call for viewing NOW! 

District 18 to 28 Updates
NV Residences @ Pasir Ris by CDL
Another of CDL hugh development. NV Residences consist of 642 units on a 328,000 sqft of land. Consist of 1-4 bedroom and penthouses. Beautiful nice project near MRT. Prices for 2 bedroom starts only from $6xxk. Call us to get the most attractive price.

Poets Villas @ Tegora Ave on Preview
Looking for a Cluster housing, Poets Villas a new 40 units modern cluster development is set to launch early next year. Located in Yio Chu Kang, its location is quiet and green. Every unit is spacious and comes with their own lift. Register now for update on this new launch.

H2O Residences @ Seng Kang by CDL
CDL embarks on another landmark development. H2O Residences will be located at the junction of Fernvale Link and Seng Kang West Ave. A beautiful development consisting for 475 units from 1 to 4 bedrooms. Register your interest now and get updates on this project.

Hedges Park @ Flora Drive on Preview
Hong Leong latest collection development, Hedges Park @ Flora Drive consist of 501 units of Resort style units. Full Condominium with lots of facilities for your family and friends. Prices from just $4xxk for its one bedroom. Call us now to enquire.

Terrasse @ Hougang Ave 2 Launch
Kovan Lover take note, MCL Land developed Terrasse is coming. Terrasse a magnificent development of 414 units sitting on massive land. Consist of 16 lifestyle blocks of 5 storey , it comprises of 1-4 bedrooms and Penthouse. Very beautiful development set to sell at very affordable prices. Call us for presentation today.

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Home arrow Property Market Reviews arrow Market Review - Jan 2008
Real Estate Market Review - January 2008 Print E-mail

Singapore Real Estate Market Review - January 2008

"Where is the Market Heading?"
Feb 15, 2008

The Myth, Reality and Awkwardness of 2008

I said in the previous seminar on 23 July 2007 the following:

§ The two-track economy
§ Sub-sale to concentrate in new projec
§ En bloc sale become ‘End’ block sale
§ The return of the mass market new homes (caution needed for those thinking of flipping)
§ Look out for stock market correction

I also said that “next to get the chop will be Deferred Payment Scheme” and for the specific market environment I recommended that agents should say: “There are some undercurrents” in this market when asked by customers about the market situation. And I defined “undercurrents” as any sudden moves and contingencies that would transform the landscape of real estate investments completely.

Most of the forecast, except that one about sub-sale were correct and I have proven once again to be ‘worth a listen’. Now, let me take you through the market performance in the past six months by way of answering the following questions and then do a projection of the real estate market in the next six months:

(A) How has the market performed? (B) How different is it this time than last? (C) What do all these mean to real estate agents in general? And where do we go from here?

A – How Has the Market fared? 

(1) Private Home Prices Jump 31% in the whole of 2007

From October up to end of December 2007, Singapore private home prices rose 6.6%, compared to 8.3% in the third quarter. For the whole year, home prices climbed 31% over 2006.  Take up rate for new homes hit a record 15,000 new homes in 2007. It is a 34.5% growth over the 11,147 new homes sold in 2006.

Here are the price movements of condos and apartments in the last quarter of 2007 (Oct – Dec):

§  In the Core Central Region, prices increased 7.0% (8.3% in the third quarter) on a quarterly basis in second quarter. This region comprises the traditional prime districts 9, 10 and 11 and Marina Bay and Sentosa.
§  In the Rest of Central Region, prices increased 7.3% (7.9% in the third quarter) on a quarterly basis in the second quarter. This region comprises locations like Queenstown, Bukit Merah, Outram, Bishan, Kallang and Marine Parade.
§  Outside Central Region, prices increased 7.5% (7.9% in the third quarter) in the same period. This region comprises locations like Woodlands, Jurong, Hougang, Ang Mo Kio, and all the outlaying areas.

 Myth or Reality (1) : For the whole of 2008, barring any miracles, the take-up rate of new homes should be less than 10,000 given current uncertainties in the global economy. With Singapore’s domestic economy continued to be strong (driven by the ongoing boom in the construction sector) and the allure of Singapore as a safe haven and a global financial hub for a bigger portion of private wealth, the upside is still good.

The booming domestic sector should continue to support the sale of mid-end and mass-market homes which are expected to experience a healthy growth of 10% to 15% price rise. For the luxury homes segment, prices and take-up rate are expected to moderate, having gone through a vintage year of fast growth.

 Awkwardness (1) : Sale volume and prices may continue to grow in 2008 on the back of sustained inflow of foreign funds seeking safe haven outside the United State of America, but buying activities may be restricted to institutional and corporate type of portfolio investments, such as bulk purchases (e.g. overseas property funds acquiring a number of blocks in a project), swop deals (e.g. between developers) and marriage deals (e.g. local and overseas joint ventures buying back own projects for mid-term investment income). Such purchases usually occur in selected areas like the Core Central Region and the outskirt of Orchard Road areas.

(2) Condo / Apartment Sales and Foreign Ownership of Private Homes in 2007

Table 1 – FIRST HALF 2007 Total Sale of private apartments/condos (including sub-sales)
Price range 1st  Half PRIMARY Sale Foreigner % of Total 1st  Half SECONDARY Sale Foreigner % of Total
$500k – $999k 7,073 545 7.7% 2,354 217 9.22%
$1m – $1.99m 3,588 594 16.56% 1,575 310 19.68%
$2m – $2.99m 1,317 316 24.00% 451 99 21.95%
$3m – $3.99m 636 184 28.93% 217 63 29.03%
$4m – $4.99m 251 65 25.89% 85 21 24.70%
$5m – $5.99m 215 58 26.98% 55 16 29.09%
$6m – $50m 898 50 5.6% 1,086 225 20.72%
Total 13,978 1,812 12.96% 5,823 951 16.33%
(FB = foreign buyers)  Source of statistics SISV Realink

First half private property sales were 19,801 units. Foreigners accounted for 2,763 or 13.95% of total transactions.

Table 2 – SECOND HALF 2007 Total Sale of private apartments/condos (including sub-sales)

Table 2 – SECOND HALF 2007 Total Sale of private apartments/condos (including sub-sales)
Price range 2ND  Half PRIMARY Sale Foreigner % of Total 2ND  Half SECONDARY Sale Foreigner % of Total
$500k – $999k 705 58 8.22% 5,546 870 15.68%
$1m – $1.99m 958 113 11.8% 2,219 490 22.08%
$2m – $2.99m 299 46 15.38% 624 141 22.6%
$3m – $3.99m 133 34 25.56% 196 54 27.55%
$4m – $4.99m 49 16 32.65% 99 37 37.37%
$5m - $5.99m 62 22 35.48% 61 13 21.31%
$6m - $50m 359 31 8.6% 356 61 17.13%
Total 2,565 320 12.47% 9,101 1,666 18.30%
 (FB = foreign buyers)  Source of statistics SISV Realink

Second half private property sales were 11,666 units. Foreigners accounted for 1,986 or 17.02% of total transactions.

Table 2.2 – Comparison between FIRST and SECOND HALF 2007 non-landed properties transactions (including sub-sales)
  Primary Sale Secondary Sale Total
1st Half 13,978 5,823 19,801
2nd Half 2,565 9,101 11,666
Total 16,540 14,924 31,467
In the second half of 2007, while primary sales dropped 81.65% to only 2,565 units sold, private secondary sales actually improved 56.23% to 9,101 units sold, on the strength of spectacular hikes in private rentals.  For the whole year, the first half outperformed the second half by 8,135 transactions.Table 3 – Percentage of foreign ownership of condos / apartment in First and Second half of 2007
Price range First Half transactions % of Total Second Half transactions % of Total
$100k – $999k 988   7.66% 612 10.0%
$1m – $1.99m 1,121 16.11 % 852 17.7%
$2m – $2.99m 504 24.01% 278 21.27%
$3m – $3.99m 292 28.99% 138 27.11%
$4m – $50m 301  25.55% 222 27.58%
Total 3,205 13.49% 2,102 15.51%

In the second half, the absolute numbers of foreign purchasers of condo / apartments were down. However, the percentage of foreign purchasers actually went up 2.02 percentage point. It means that while the overall purchases were reduced due to one reason or another, the number of foreign purchasers did not change drastically. It was reduced by only 1,103 units (3,205 – 2,102) for the whole year.

Myth or Reality (2) : Although the overall private home sales went down in the second half of 2007, foreign ownership of Singapore private homes gained in percentage term, especially for high-end homes.

The Million Dollar Question now is: “Will the trend of ‘sustained foreign buying’ continue in the first half of 2008?”  From the appearance of the statistics, the answer has to be a YES. This is because of the following reasons:

(i) The threat of an economic recession in the US in 2008 looms larger each time a global financial institution made a revelation of massive write-down in relation to its exposure to the US sub-prime mortgages (e.g. UBS, Citigroup, and Merrill Lynch).
(ii) The value of US dollar will continue to weaken against Singapore dollar throughout the year, and Singapore will continue to be a safe haven for international funds.
(iii) The European economy is similarly under the weather due to its symbiotic relationship with the US market.
(iv) The Chinese real estate market has shown signs of over-heating and the risks of investing there have grown much larger.

Awkwardness (2) :  With limited upside of less than 10% projected price growth, the buying activities may continue to thin, which means the percentage gain of foreign ownership will continue to rise amid smaller business volume for real estate agents.



 
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