Mercs: property news & updates

[13177]

On 12/13/2023 at 9:11 AM, Volvobrick said:

That's the idea. To kill off those demands who are thinking of profiteering from these flats like flipping after 5 yrs or rent out then stay private. 

Good move. Maybe more HDBee should be restricted this way. 

But don't understand why they only restrict on PLH? Not able to rent out whole HDB, many people cannot accept, esp since there are tons of people profiting decades over decade from rental income.

[Volvobrick]

On 12/13/2023 at 11:32 AM, 13177 said:

But don't understand why they only restrict on PLH? Not able to rent out whole HDB, many people cannot accept, esp since there are tons of people profiting decades over decade from rental income.

Many cannot accept means reduced demands. Want to rent out? Buy old resale or non prime flats lor.... 

[Mercs]

On 12/13/2023 at 9:02 AM, 13177 said:

PLH cannot rent out whole unit even after MOP? I thought only cannot rent out whole unit to certain people. Why there is such clause ar? No wonder take up so low. I think i also would not buy since cannot rent out whole unit, as it kills the golden goose to generate rental income. 😂

As always with whatever implemented something gotta give, some may gravitate towards resales within same estate no wait time move in immediate 5yr MOP with no further restrictions sale/rental and the biggest advantage being an earlier 10yr headstart to upgrade pte at lower prices. So short term to see spike in 'no 1mil no talk, longer term with 10yr MOP only means supply dip to future hdb resales, also more PLH only means supply dip to available hdb units for rental, no choice have to go pte rental = both hdb/pte property prices/rental to stay elevated and skyrocket.

So quite clear to see where this is leading to, thus the earlier mentioned 2mil hdb on the horizon, 20-25% ABSD coming- 'SG property, good to be in as early as possible' - hdb resale 10yr headstart to pte at lower prices and the most important one 'SG property, always ideal to stay vested' - more properties vested to sell/rent = more HUAT 😉

 

 

https://www.businesstimes.com.sg/property/how-might-more-plh-flats-affect-hdb-market

Implications of building more PLH flats

In the short term, when a PLH BTO project is announced in a particular location, buyers who want to avoid the restrictions may opt to buy neighbouring HDB flats. This will drive up demand and prices, and brings the possibility of more million-dollar flat transactions.

On the other hand, some buyers will try their luck for PLH flats as they know that HDB is applying more generous subsidies to make such flats more accessible. The current application rate for PLH flats bears testament to this. Furthermore, the impression is that such flats are going to be worth more than a million dollars in the future.

Similarly, if rental demand stays strong, rents of flats in the prime location may stay elevated because new supply of flats for rent is constrained under the PLH model.

 

Edited December 13, 2023 by Mercs

[Mercs]

 

 

Edited December 13, 2023 by Mercs

[13177]

On 12/13/2023 at 1:14 PM, Volvobrick said:

Many cannot accept means reduced demands. Want to rent out? Buy old resale or non prime flats lor.... 

Prime area can fetch crazy high rental, so now they don't allow to rent out whole unit, really kill off many people to profit from rental income.

[Volvobrick]

On 12/14/2023 at 9:18 AM, 13177 said:

Prime area can fetch crazy high rental, so now they don't allow to rent out whole unit, really kill off many people to profit from rental income.

HDB is subsidised for living in, not meant to make profits. So the new policy achieves its purpose. Want to have rental income then buy private. Not subsidised, rent out from day 1 and no one complains. 

[13177]

On 12/14/2023 at 9:23 AM, Volvobrick said:

HDB is subsidised for living in, not meant to make profits. So the new policy achieves its purpose. Want to have rental income then buy private. Not subsidised, rent out from day 1 and no one complains. 

Agreed, HDB is not meant to make profits, but too bad many people are using HDB to become rich. Esp those people who bought their HDB firsthand in the 70s and 80s price so cheap, then they rented out the whole unit for decades, and some of them even claimed that the rental that they get covered the price of the house they bought. So basically the house is free.

Anyway, the new policy only applies to PLH, the current HDB still allowed them to rent out whole unit. So half past six policy again.

 

[Volvobrick]

On 12/14/2023 at 9:53 AM, 13177 said:

Agreed, HDB is not meant to make profits, but too bad many people are using HDB to become rich. Esp those people who bought their HDB firsthand in the 70s and 80s price so cheap, then they rented out the whole unit for decades, and some of them even claimed that the rental that they get covered the price of the house they bought. So basically the house is free.

Anyway, the new policy only applies to PLH, the current HDB still allowed them to rent out whole unit. So half past six policy again.

 

Wait a while I think in future more and more % of BTO will be classified Prime... Until all Prime! 😆

[Spidey10]

On 12/14/2023 at 9:53 AM, 13177 said:

Agreed, HDB is not meant to make profits, but too bad many people are using HDB to become rich. Esp those people who bought their HDB firsthand in the 70s and 80s price so cheap, then they rented out the whole unit for decades, and some of them even claimed that the rental that they get covered the price of the house they bought. So basically the house is free.

Anyway, the new policy only applies to PLH, the current HDB still allowed them to rent out whole unit. So half past six policy again.

 

i duunno if HDB at prime is considered cheap...700k a pop is not cheap to me....so if launch at 700k, and 10 yrs time will be $2 mil, i thot everyone will rush in....

maybe that's why i cannot afford a place in central, given up hope of owning a private prop

Edited December 14, 2023 by Spidey10

[Mercs]

 

[Mercs]

https://www.channelnewsasia.com/singapore/new-private-home-sales-surge-november-jden-hillock-green-watten-house-3991566

'Pent-up demand' sees surge in new private home sales in November

 

https://www.edgeprop.sg/property-news/unique-and-rare-projects-drive-november-developer-sales-2862-m-o-m

Unique and rare projects drive November developer sales up 286.2% m-o-m

https://www.edgeprop.sg/property-news/four-bedder-kovan-residences-sold-18-mil-profit

Four-bedder at Kovan Residences sold at $1.8 mil profit

https://www.edgeprop.sg/property-news/sky-vue-achieves-new-high-2174-psf

Sky Vue achieves new high of $2,174 psf

https://www.edgeprop.sg/property-news/residential-transactions-contracts-dated-nov-28-dec-5-done-deals

Residential transactions with contracts dated Nov 28 to Dec 5 [DONE DEALS]

 

https://sbr.com.sg/residential-property/news/private-home-rentals-rise-11-12-in-2023

Private home rentals to rise by 11%-12% in 2023

https://sbr.com.sg/hr-education/news/decline-in-ep-holders-slows-demand-private-residential-homes-in-2h23

Decline in EP holders slows demand for private residential homes in 2H23

https://sbr.com.sg/residential-property/news/softer-price-increases-in-new-private-homes-resale-hdb-flats-seen-next-year

Softer price increases in new private homes, resale HDB flats seen next year

 

https://www.straitstimes.com/business/property/s-porean-buyers-lead-prime-property-sales-as-foreign-demand-wanes-amid-stamp-duty-hike

S’porean buyers lead prime property sales as foreign demand wanes amid stamp duty hike

 

https://stackedhomes.com/editorial/2024-property-tax-hike-whats-the-impact-on-homeowners-and-tenants-in-singapore/

https://stackedhomes.com/editorial/25-surprisingly-profitable-condos-that-you-may-not-know-about-since-2013/

 

 

 

[13177]

On 12/14/2023 at 12:28 PM, Volvobrick said:

Wait a while I think in future more and more % of BTO will be classified Prime... Until all Prime! 😆

Prime is PLH?

[13177]

On 12/14/2023 at 12:35 PM, Spidey10 said:

i duunno if HDB at prime is considered cheap...700k a pop is not cheap to me....so if launch at 700k, and 10 yrs time will be $2 mil, i thot everyone will rush in....

maybe that's why i cannot afford a place in central, given up hope of owning a private prop

High chance next time HDB resale can hit $2 mill since current HDB resale already can find $1.4/$1.5 mill liao.

Central can afford to stay, just buy those old HDB lo. New BTO or newer resale crazily ex. Even those HDB far from town/central, current resale price also not very cheap hor.

[Mercs]

 

 

[Mercs]

 

 

[Ginyu]

On 12/14/2023 at 12:35 PM, Spidey10 said:

i duunno if HDB at prime is considered cheap...700k a pop is not cheap to me....so if launch at 700k, and 10 yrs time will be $2 mil, i thot everyone will rush in....

maybe that's why i cannot afford a place in central, given up hope of owning a private prop

Better  than many who cannot afford a roof over their head. Mai hiam la🤣. Anyway in 10 years time, at the rate of inflation is going,   $2mil spending power will be the same as $700k today🤣

Edited December 17, 2023 by Ginyu

[ccc888]

@13177 it is just due to inflation whereby home prices will be doubled every 20-30 years.

 

Another perspective is devaluation of fiat currencies.

[inlinesix]

On 12/17/2023 at 10:33 PM, ccc888 said:

@13177 it is just due to inflation whereby home prices will be doubled every 20-30 years.

 

Another perspective is devaluation of fiat currencies.

What is this?