SOLD: $762 psf ppr
NEW DEVELOPMENT: $1548 psf average
(as of Dec 2010)
Feast your eyes on what is going up on the the old Farrer Court site! This one will be interesting to follow ... easily another $2 -3 billion bonanza project.
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Buyers back in October, sales rebound from September low
Monday, 22 November 2010
Monday, 22 November 2010
© 2010 - The Edge Singapore
Let's go! I already bought some Capitaland shares!!
ReplyDeleteSometimes I wonder why with all these examples of how much the developers can make, people still sell en-bloc at low price, worrying the developers will not make enough and hence not bit for it.
ReplyDeleteSo please don't sell Tampines Court like a "lay-long".
Take a look at yesterday's ST back page. some developers have many unsold units in prime areas.
ReplyDeleteThere have also been many unsuccessful enblocs where developers did not bid up to the RP.
To be successful, reserve price have to be a balance between the owners' expectation of good value n developers' expectation.
Well, they insist on building these super luxurious types that only the very rich and overseas investors can afford. Now, if they started to build apartments the rest of us can buy then they wouldn't have that problem!
ReplyDelete"More apartments for Singaporeans" was one of the mantras for en blocs espoused by our Law Minister - but it hasn't turned out that way. It's just a flippers dream come true and a handy place to park all that overseas hot money flowing into the country.
There is a building frenzy for a reason, developers are no fools.
Owner's expectations have been shaped in the past by deliberate bad advice from property agents and ignorant sales committees. Good value does not mean outright exploitation and subsequent obscene profit. Bear in mind, the Ministry of Law is still under the illusion that the developers generate only a 20% profit! (I kid you not!)
They need their eyes opened!
"well, they insist on building these super luxurious types.... Now, if they started building apartments the rest of us can buy then they would not have a problem"
ReplyDeleteNow, are you claiming that developers are fools?
Bad advice from MA? there are more checks now....
ReplyDeleteThe current process is transparent. Selection of the CSC is by the owners, Selection of the MA and lawyers can be made by the owners too, CSC members have to declare interest, reserve price and apportionment method must be aggreeable by 80%, lawyers must witness the signing and address any legal concern, independent land valuation done to prevent selling below value (to be doubly sure, you can get 3 valuers opinion).
If all else fail, do not sign!! you need the 80% to go.
Re: "now are you claiming..."
ReplyDeleteCan't you read? I SAID the developers were NO FOOLS.
My comment about building more affordable apartments was tongue in cheek. You missed the nuance.
Re: "The current process is transparent"
Like mud, sir, like mud.
I re-read it!
ReplyDeleteone sentenace u say they have 'problems', the next u say the are 'no fools'
ok, tounge-in-cheek.
Anyway, it's yur blog and u say what ever u wish. you can also choose not to post this.
cheers!
Dear Anonymous,
ReplyDeleteDevelopers have their way to sell unsold units. I wonder why you worry about these unsold units. You own their shares or what?
Another mentioned that developers did not bid to the RP, we have to have a balance between the two.
Let me ask a few questions:
1. If you are a developer, would you pay more or less for a same piece of land?
2. If you had paid more, would you have designed the new development to ensure the company has the target profit?
3. If the time is not right to launch the new development, can delay the launch to get most gain out of it?
4. When your land bank is used, and you need more and you didn't managed to get the new government land sale, would you start bidding higher for en-bloc?
It is all a matter of timing for sellers. If you are desperate, you'll sell for a song and the developers laugh their way to the bank.
If you are not desperate, you sell at your expectation and developers cough up more for it than they planned, they will still laugh their way to the bank because they just know how to make money. You DON'T!!!
Because if you know how to make money like them, you won't be staying in TC.
Developers wants you to think they are not making enough, so be realistic in expectation etc. Don't be fooled.
Please wise up. Which big developer lost money on the en-bloc? (don't bother about small developers, they can't afford large scale developments).
List it out for us!
Developers have power to hold, you who have bought a few TC units hoping for en-bloc have no holding power, hence you are desperate. Economy is picking up, interests rates will go up in 2011/2012...
Or if the housing bubble burst, those who have bought more will be in dire strait.
Desperate times will drive you to desperate moves.
Don't bite more than you can chew and choke others with you.
Of course developers have their way of maxinising their profits... they will buy when the price suits them... they will not buy if the price is too high. that is why there are successful and unsuccessful enblocs. It really depends on whether the price is right for buyer and seller.
ReplyDeleteThat is my point.