- En bloc market R.I.P in 2012?
- En bloc fever appears to be receding: Khaw
- Sim Lian Group launches Tampines Trilliant Executive Condo
- Private home market has peaked: Analysts
- Why property prices will remain high*
- Home prices to slide this year*
- Two collective sale sites up for tender
*The media sends out conflicting reports, depending on who is doing the reporting - it's all sentiment and opinion and very low on facts. I prefer to track the actual sales to see how the market is really performing; the verdict - it's still boom-time out there. Tracking developer gross sales proceeds is also highly illuminating. The developers who bought the HUDC estates through en bloc are all making large profits - though D'Leedon seems to be languishing somewhat. Being in district 10, it not not a mass market property which is where all the action is at the moment. I also blame the awful design and sheer size of that estate for the present low interest/take up rate. Have no fear though, it will pass the $2 to $2.5 billion mark eventually.
So it is either a lukeward response or a very good response depending if you read the ST or Business Times! Tampines Trilliant is $971k for a 4 room. This is HDB; TC owners would not be eligable to buy into this kind of project until 2.5 years after they have disposed of their private property and even then there are all kinds of restrictions.
My view: (investers = flippers)
Flippers skew the market by creating a false demand. Hoards of speculators queueing up before a property launch create the illusion that things are 'picking up' or 'booming'.
So it is either a lukeward response or a very good response depending if you read the ST or Business Times! Tampines Trilliant is $971k for a 4 room. This is HDB; TC owners would not be eligable to buy into this kind of project until 2.5 years after they have disposed of their private property and even then there are all kinds of restrictions.
- Two more freehold properties offered for collective sale
- Secondary market for private homes heading for doldrums Good article
My view: (investers = flippers)
Flippers skew the market by creating a false demand. Hoards of speculators queueing up before a property launch create the illusion that things are 'picking up' or 'booming'.
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Flippers are instrumental in price escalation. Markets impacted by flipping are not rational markets. Each flipped sale is an incorrect price signal which then permeates throughout the market and other buyers and sellers make inferences about what their properties are worth based on these flips, without truly realising (or maybe they just turn a blind eye) to that fact they are not true market sales. Flipped sales act like viruses that corrupt the whole market. Even the HDB market is affected as the subsidised rate of new flats is pegged to the market value of similar flats in the area. Ultimately, property flipping makes it harder for ordinary folk to buy a decent home. Flipper activity will always reach a point where market correction is inevitable as it is, after all, unsustainable.
Flippers are instrumental in price escalation. Markets impacted by flipping are not rational markets. Each flipped sale is an incorrect price signal which then permeates throughout the market and other buyers and sellers make inferences about what their properties are worth based on these flips, without truly realising (or maybe they just turn a blind eye) to that fact they are not true market sales. Flipped sales act like viruses that corrupt the whole market. Even the HDB market is affected as the subsidised rate of new flats is pegged to the market value of similar flats in the area. Ultimately, property flipping makes it harder for ordinary folk to buy a decent home. Flipper activity will always reach a point where market correction is inevitable as it is, after all, unsustainable.
Developers will still go for GLS, this one attracted 7 bids.
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