Property investors knowledge share

[Throttle2]

 

Then wait until really drop 20~30% then think abt it... 人的本性是贪.... take 20yrs to drop 20% wld you buy? vs drop 20% in 6mths? vs drop 20% in 1yr+??

 

mindset completely diff in all 3 scenarios...

 

btw... REAL rental income is really pathetic now...(unless u don't pay tax)..... tho still much better than leaving cash in bank

Sometimes leaving cash in bank is better, considering that one still has to do that much work and run the risk of the market volatility.

 

Happening now....

[Sp4wn]

Sometimes leaving cash in bank is better, considering that one still has to do that much work and run the risk of the market volatility.

 

Happening now....

 

shhhh :P

[Volvobrick]

Consider the political, non-market angle - Next GE is around end 15 or in 16, so don't expect property market to zoom up before that, which will affect how the young people (and their parents) vote.....

 

 

[SuPerBoRed]

Sometimes leaving cash in bank is better, considering that one still has to do that much work and run the risk of the market volatility.

 

Happening now....

 

fair enough... ... wld loathe to HAVE to enter the mkt this period (+/-3yrs).. sometimes really 可怜 friends who are starting family now... even HDB is expensive...

[Throttle2]

 

fair enough... ... wld loathe to HAVE to enter the mkt this period (+/-3yrs).. sometimes really 可怜 friends who are starting family now... even HDB is expensive...

Yes, in life, many people make money not becos they are smart, but becos they have natural timing.

Now for those in their twenties, the timing is really not to great for properties.

 

No choice gotta move on.

 

Next time our children will have more loans than this generation and higher spending.

We are moving in the same way other developed nations have moved.

Give it another 20-30yrs, Singapore will not be resilient enough to tahan a full blown economic crisis becos we have nothing except borrowed wealth.

 

Anyway who cares, property will always go up , huat ah!!

[Wyfitms]

Now is the best time to buy, property will always go up. Come on, whats there to discuss. Easy money. Every year buy one as one girl says.

 

yes, it is true

 

only headache is which property to choose

 

choose the wrong property and you will only make 50% instead of 200%!

 

stress sia

[Mercury1]

Yep, agreed. I think 30% - 40% down payment least to finance the property during the downtown to get adequate financing.

 

The properties I look for are generally on a lower cost compared to the surrounding ones, the last property I acquired the agent even warned me that it was pretty run down before we viewed so hold the expectations. Bank valuation was also pretty modest so financing wasn't too bad. Plus it was 300 M from the MRT station 10 mins walk to Mapletree Business City and tenanted so all around decent deal.

 

The pie is big enough for everyone to dig in, I reckon the big boys will probably go for the larger premium slices and hopefully I can get some decent slices after.

 

 

 

if you are waiting for a 20-30% drop, then you better be prepared to pay a huge sum in cash.

 

in a tumbling market, the last thing the bank wants to do is finance an asset that may have a chance of going underwater.

 

besides ... if the market comes down that much, before you can buy, i can assure you the big boys will cherry pick the best first. after the last huge tumble, most people have become smarter (either hoarding cash to wait for another tumble or simply not buying risky investments like stock market etc).

 

[Mercury1]

I usually have a target price in mind when I see a property, for example the one I was interested in a development where the 3 bedder was going for 1.4M, but realistically to me its only worth between 1.15 - 1.2M, the price would probably be worth 1.4M once the MRT station 100 meters away is completed in 2017. Also taking the rental yield into play at 1.4M it only works out to be 2.5%, I will offer what I am willing to pay and the owner has to decide accordingly.

 

Doesn't have to be 20-30% drop lah, but the asking at the moment just carry to much premium.

 

 

 

Then wait until really drop 20~30% then think abt it... 人的本性是贪.... take 20yrs to drop 20% wld you buy? vs drop 20% in 6mths? vs drop 20% in 1yr+??

 

mindset completely diff in all 3 scenarios...

 

btw... REAL rental income is really pathetic now...(unless u don't pay tax)..... tho still much better than leaving cash in bank

 

[Throttle2]

 

yes, it is true

 

only headache is which property to choose

 

choose the wrong property and you will only make 50% instead of 200%!

 

stress sia

No wonder i so headache.

[Jimmylim]

property investment to me has reach a high point as in the not many can afford already. so are we still going to expect it to go up further? luckily i have board the boat much earlier but i think the boat is too full now for newcomers to take the risk.

 

look at the price of EC for an example, does it make sense for a couple earning 12k per month to buy it?

 

anyway that's just my view, i may be wrong but i will play safe, the risk is too high now for the return that you are going to expect from it. i'll always look at the risk side first before looking at the gain. if i'm not wrong, it's ok, i just miss an opportunity out of so many others but if i'm right, heng ah. i rather be hum chee for now. good luck.

[Mercury1]

Invest in Industrial lah, so many in some pretty ulu locations. Unless you want like Pulau Ubin type ulu

 

 

I only want to invest in the outskirts/ulu-ulu locations. But the government already acquired them. How?

 

[Mercury1]

Agreed with that, prices seem to be unrealistic against the income earned. But low interest rates help to bubble up the prices.

 

I still on waiting on the fence until the market prices have moved down, might take a while since it probably will only happen when interest rates rise. (2016/2017?)

 

I see all these mega condo's >1000 units being built around my area, almost completed to TOP. I really do wonder who is going to rent the investor units which I estimate at about 500 or so. Not to mention the smaller condo 200 - 300 units built which are going to TOP around the same time.

 

 

 

property investment to me has reach a high point as in the not many can afford already. so are we still going to expect it to go up further? luckily i have board the boat much earlier but i think the boat is too full now for newcomers to take the risk.

 

look at the price of EC for an example, does it make sense for a couple earning 12k per month to buy it?

 

anyway that's just my view, i may be wrong but i will play safe, the risk is too high now for the return that you are going to expect from it. i'll always look at the risk side first before looking at the gain. if i'm not wrong, it's ok, i just miss an opportunity out of so many others but if i'm right, heng ah. i rather be hum chee for now. good luck.

 

[Alpha78]

Warren Buffet says, Buy when the market is fearful and no one dares to buy, sell when everyone else says buy.

[Wyfitms]

Warren Buffet says, Buy when the market is fearful and no one dares to buy, sell when everyone else says buy.

 

then better dont buy now, cos people are still chionging to buy

 

heard new units sale volume went up double in sep

[Alpha78]

 

then better dont buy now, cos people are still chionging to buy

 

heard new units sale volume went up double in sep

 

Shh... you know I know, good enough...

[newsgprop]

Warren Buffet says, Buy when the market is fearful and no one dares to buy, sell when everyone else says buy.

 

This is so true. I like this quote. Haha

[Auto_emocion]

Invest in Industrial lah, so many in some pretty ulu locations. Unless you want like Pulau Ubin type ulu

 

 

 

 

There is a lot of brand new bare vacant units out there. Fitting up cost is too high for a new tenant to come onboard.

 

Something is cooking in Sungei Kadut. I believe it's going to be labelled as the 2nd Jurong Heavy Industrial when the existing lease runs out in 10yrs time. Being near to Causeway, easily get workers from Malaysia.

[Mercury1]

Actually I meant that as a jest :)

I have B1 industrials and it did take a long time to find a tenant, 6 months or so. And you're right the fitting cost is quite high, those with elabote fittings generally would have bought the place. My tenant kept it simple, just Air Con, Desk, some plumbing and shelving / carpteting. Bare basics. Luckily my units have toilets so the tenant pool is slightly wider and can cater to companies that need both storage and admin related.

Sungei Kadut very popular industrial area, but its heavy industrial not too familiar with that area. Won't be surprised if JTC or some large co-operation steps in on that party. I will search for information in that area though.

No point going into Industrial now anyway, last time the yield was good 6% which made up for the risk. Now its like 3 -4% which puts it almost like residential. Another bubbly sector.

 

There is a lot of brand new bare vacant units out there. Fitting up cost is too high for a new tenant to come onboard.

 

Something is cooking in Sungei Kadut. I believe it's going to be labelled as the 2nd Jurong Heavy Industrial when the existing lease runs out in 10yrs time. Being near to Causeway, easily get workers from Malaysia.