Ct3833 Supersonic July 15, 2020 Share July 15, 2020 while we see HDB flats being resold at above $1mil and still sound like a steal.Likewise for condos , any decent size, starting price will be $1mil even around OCR. We all know a 99 year property will become zero value when the 99 lease is up, this is like COE, except that it has 10 times longer than COE, it is real that a property price will one day begin to depreciate when it reaches certain age, bank loan will be more difficult to secure, and towards the end of lease, the value of the property will become zero. We may not see the problem now since more of the properties are less than 50 year old, but there would be time, all the old properties will start to depreciate, the question is when? PM Lee also explained during 2018 NDR about why HDB lease was 99 years and what would happen to a 99 year property. https://www.channelnewsasia.com/news/singapore/ndr-2018-hdb-lease-99-years-flat-national-day-rally-10631442 foor for thought. Lai lai, covid 19 cannot go out, lets spam our keyboard harder. how old would a 99 property would be a buy buy or bye bye ? ↡ Advertisement 4 Link to post Share on other sites More sharing options...
Lala81 Hypersonic July 15, 2020 Share July 15, 2020 (edited) Above 12-15 years old, i would expect a discount/safety margin as a buyer. Cos likely it's going to be difficult to sell at the 20 year old mark. Basically for most LH property, probably only the original buyer or the 2nd buyer soon after ABSD restrictions end, won't expect some safety margin. Edited July 15, 2020 by Lala81 1 Link to post Share on other sites More sharing options...
13177 Hypersonic July 15, 2020 Share July 15, 2020 Even you buy a 5 year old hdb flat at $1m now, many years down the road the flat can sell higher than $1m meh? I doubts so le. I think when a buyer buy the flat at high price, high chance the buyer would not able to profit when sell. 5 Link to post Share on other sites More sharing options...
Rickster 5th Gear July 15, 2020 Share July 15, 2020 Generally speaking, when a LH property exceeds 30 years old, there is a chance the bank may not give the buyer max loan. That's one of the contributing factors for reduced pricing. If u spend some time browsing through propertyguru/SRX website for LH properties 30 years or older vs their surround FH/new property price, I think u can see a significant difference. Link to post Share on other sites More sharing options...
Colin03 4th Gear July 15, 2020 Share July 15, 2020 My understanding for HDB above 30 years old flat. Govt will not approve any loan to buyer and buyer need to seek from private bank outside. The max loan amount also lesser than a younger unit in the same area. Link to post Share on other sites More sharing options...
Spring Moderator July 15, 2020 Share July 15, 2020 I also feel fearful for 99yr leasehold properties as they age but it seems the market feels otherwise. I've seen condos changing hands for big sums even though they around 15yrs old. My own property is 7yrs old n so I'm thinking maybe around 12-15yr mark I will sell before the price plummets but then again I'm nvr accurate at predicting property trends and prices. 7 Link to post Share on other sites More sharing options...
Enye Hypersonic July 15, 2020 Share July 15, 2020 1 hour ago, Ct3833 said: while we see HDB flats being resold at above $1mil and still sound like a steal.Likewise for condos , any decent size, starting price will be $1mil even around OCR. We all know a 99 year property will become zero value when the 99 lease is up, this is like COE, except that it has 10 times longer than COE, it is real that a property price will one day begin to depreciate when it reaches certain age, bank loan will be more difficult to secure, and towards the end of lease, the value of the property will become zero. We may not see the problem now since more of the properties are less than 50 year old, but there would be time, all the old properties will start to depreciate, the question is when? PM Lee also explained during 2018 NDR about why HDB lease was 99 years and what would happen to a 99 year property. https://www.channelnewsasia.com/news/singapore/ndr-2018-hdb-lease-99-years-flat-national-day-rally-10631442 foor for thought. Lai lai, covid 19 cannot go out, lets spam our keyboard harder. how old would a 99 property would be a buy buy or bye bye ? wah stay landed fh is best lah....can start thread to talk about the misery of 99 year property owners 🤣 2 Link to post Share on other sites More sharing options...
Throttle2 Supersonic July 15, 2020 Share July 15, 2020 1 hour ago, Ct3833 said: while we see HDB flats being resold at above $1mil and still sound like a steal.Likewise for condos , any decent size, starting price will be $1mil even around OCR. We all know a 99 year property will become zero value when the 99 lease is up, this is like COE, except that it has 10 times longer than COE, it is real that a property price will one day begin to depreciate when it reaches certain age, bank loan will be more difficult to secure, and towards the end of lease, the value of the property will become zero. We may not see the problem now since more of the properties are less than 50 year old, but there would be time, all the old properties will start to depreciate, the question is when? PM Lee also explained during 2018 NDR about why HDB lease was 99 years and what would happen to a 99 year property. https://www.channelnewsasia.com/news/singapore/ndr-2018-hdb-lease-99-years-flat-national-day-rally-10631442 foor for thought. Lai lai, covid 19 cannot go out, lets spam our keyboard harder. how old would a 99 property would be a buy buy or bye bye ? People who pay through their noses for a 99 yr need to understand that they have got to write it off ultimately as an expense. as to when the asset starts going downhill, i would say after an arbitrary 20yrs. And it wouldnt be a linear downhill roll. I tend to believe that after 30-35yrs it will just fall off the cliff. whats also important to note is that due to the limited lifespan, there is a much dire need to extract more returns, quicker in the front so as to buffer the back. Therefore other than betting on a huge jump in capital growth, an investment property with limited lifespan is one fraught with high risk today. If one buys to enjoy the location, amenities , environment then its just one’s individual value of matters. In that case just write off as an expense like a car. Good luck. Note: i hv never bought a leasehold property whether to live n or to invest. 3 Link to post Share on other sites More sharing options...
Throttle2 Supersonic July 15, 2020 Share July 15, 2020 (edited) 28 minutes ago, Spring said: I also feel fearful for 99yr leasehold properties as they age but it seems the market feels otherwise. I've seen condos changing hands for big sums even though they around 15yrs old. My own property is 7yrs old n so I'm thinking maybe around 12-15yr mark I will sell before the price plummets but then again I'm nvr accurate at predicting property trends and prices. 15 yrs still fine. But the race becomes more stressful....imagine 25yrs. But you buy to stay one , no need to stress, its just long term rent Edited July 15, 2020 by Throttle2 Link to post Share on other sites More sharing options...
Throttle2 Supersonic July 15, 2020 Share July 15, 2020 1 hour ago, 13177 said: Even you buy a 5 year old hdb flat at $1m now, many years down the road the flat can sell higher than $1m meh? I doubts so le. I think when a buyer buy the flat at high price, high chance the buyer would not able to profit when sell. For people who buy $1mil hdb, they dont care about profit. Its not for investment. its for using. 3 Link to post Share on other sites More sharing options...
serenade 6th Gear July 15, 2020 Share July 15, 2020 22 minutes ago, Enye said: wah stay landed fh is best lah....can start thread to talk about the misery of 99 year property owners 🤣 FH is not forever as long as the Land Acquisition Act exists. Your home can be taken over for road widening or to construct MRT station, or an airport runway. No one is spared. Not even LKY father-in-law house which was along Pasir Panjang. Got acquired to make way for access road to West Coast Highway 2 Link to post Share on other sites More sharing options...
Throttle2 Supersonic July 15, 2020 Share July 15, 2020 (edited) 2 minutes ago, serenade said: FH is not forever as long as the Land Acquisition Act exists. Your home can be taken over for road widening or to construct MRT station, or an airport runway. No one is spared. Not even LKY father-in-law house which was along Pasir Panjang. Got acquired to make way for access road to West Coast Highway And so 99yrs is better? Muayhahahahahaha. That was before when Singapore was fast pace in development and city planning was in early stages. today no more lah. You think Viceroy’s detach house in holland road will be acquired by govt to make way for a road??? Muayhahaha.... Edited July 15, 2020 by Throttle2 Link to post Share on other sites More sharing options...
Wt_know Supersonic July 15, 2020 Share July 15, 2020 (edited) logic does not add up leh why old hdb can resale no $1M no talk huh? where got going donwhill? high go higher wor ... Edited July 15, 2020 by Wt_know Link to post Share on other sites More sharing options...
Ct3833 Supersonic July 15, 2020 Author Share July 15, 2020 (edited) Haha, @Enye Mai suan ah, I have a 99 lease hold on rental too, but have to let go sooner. But rental yiled of freehold apartment cmi. It is a reality that one day our hard earned money on a property will become zero, may be not when I am alive, but when and who will strike by the reality. Edited July 15, 2020 by Ct3833 1 Link to post Share on other sites More sharing options...
Throttle2 Supersonic July 15, 2020 Share July 15, 2020 1 minute ago, Wt_know said: logic does not add up leh why old hdb can resale no $1M no talk huh? where got going donwhill? high go higher wor ... When an idiot sets a price, other idiots will think that everyone is an idiot. so it depends on how many idiots there are. Thankfully, not too many. Muayhahahahahaha 1 Link to post Share on other sites More sharing options...
Throttle2 Supersonic July 15, 2020 Share July 15, 2020 3 minutes ago, Ct3833 said: Mai suan ah, I have a 99 lease hold on rental too, but have to let go sooner. Mai tu liao. just sell it 1 Link to post Share on other sites More sharing options...
Wt_know Supersonic July 15, 2020 Share July 15, 2020 (edited) 2 minutes ago, Throttle2 said: When an idiot sets a price, other idiots will think that everyone is an idiot. so it depends on how many idiots there are. Thankfully, not too many. Muayhahahahahaha my cck flat i price down $888K ... also no viewer la Edited July 15, 2020 by Wt_know 1 Link to post Share on other sites More sharing options...
Ct3833 Supersonic July 15, 2020 Author Share July 15, 2020 1 minute ago, Wt_know said: my cck flat i price down $888K ... also no viewer la Millionaire spotted . 😀😀 ↡ Advertisement Link to post Share on other sites More sharing options...
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