Heartland condos breach $1k psf?

[Watchman]

Mar 21, 2010
Heartland condos at $1k psf?
Maybe for a few more months but it won't be norm for mass market
By Joyce Teo, Property Correspondent

An artist's impression of the 329-unit Centro Residences in Ang Mo Kio. Far East Organization launched it at more than $1,100 psf last year. -- PHOTO: FAR EAST ORGANIZATION


A 99-YEAR leasehold condominium The Vision, in the quiet suburbs of West Coast Crescent, was launched recently at an eye-popping price of around $1,000 to $1,200 per sq ft (psf).

Nevertheless, at least 160 buyers put down money for the mass market homes that come with branded goods and quality finishes, said the developer Cheung Kong (Holdings).

That set the benchmark price for the area. And this will not be the last of such pricey projects, industry players said.

PropNex chief executive Mohamed Ismail said the trend of a sizeable number of properties sold above $1,000 psf will likely continue over the next few months.

Still, this price level is not yet likely to become the norm for the entire mass market category, given that affordability will be a serious issue, said those in the industry.

This price level first came up in the mass market segment after Far East Organization launched its 329-unit Centro Residences in Ang Mo Kio at more than $1,100 psf last year.

 

[ahleebabasingaporethief]

This is a CON-certed mental masterbation by all CONcerned parties.

1. developers
2. property conmen or agents

If prices do not correct by at least minimum 30% to 50% within the next 2-3 years and bankruptcies do not reach record highs again, I cut my kuku jiao.

Also will be very lucky if Singapore can avoid being another Dubai. Both IRs are doomed for failures according to a gaming international analytical site. http://expertir.wordpress.com/

Both PRC and Aussie govts have taken serious steps to bring down property prices. They are concerned that their own citizens will be priced out and cannot afford housing as FOREIGNERS are pushing up prices. BUT HERE IN SINGAPORE, THE GOVT DO NOT GIVE A FUCK AND STILL SAY PROPERTY PRICES ARE AFFORDABLE? VOTE FOR THEM AGAIN AT YOUR OWN PERILS.
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[Watchman]

They can afford to list high prices . Hot money coming from new immigrants .

 

[ahleebabasingaporethief]

They can afford to list high prices . Hot money coming from new immigrants .

These are words of a govt that cares......

AUSTRALIA PROTECTS THEIR LOCALS AGAINST FOREIGN PROPERTY SPECULATORS!
April 24 (<leo_highlight style="border-bottom: 2px solid rgb(255, 255, 150); background: none repeat scroll 0% 0% transparent; cursor: pointer; display: inline; -moz-background-inline-policy: -moz-initial;" id="leoHighlights_Underline_0" onclick="leoHighlightsHandleClick('leoHighlights_Underline_0')" onmouseover="leoHighlightsHandleMouseOver('leoHighlights_Underline_0')" onmouseout="leoHighlightsHandleMouseOut('leoHighlights_Underline_0')" leohighlights_keywords="bloomberg" leohighlights_url_top="http%3A//shortcuts.thebrowserhighlighter.com/leonardo/plugin/highlights/3_1/tbh_highlightsTop.jsp?keywords%3Dbloomberg%26domain%3Dforums.delphiforums.com" leohighlights_url_bottom="http%3A//shortcuts.thebrowserhighlighter.com/leonardo/plugin/highlights/3_1/tbh_highlightsBottom.jsp?keywords%3Dbloomberg%26domain%3Dforums.delphiforums.com" leohighlights_underline="true">Bloomberg</leo_highlight>) -- Australia will tighten rules on foreign investment in real estate, and introduce penalties to enforce the changes, to ensure pressure isn’t placed on housing availability for local residents.
Temporary residents will require approval from the Foreign Investment Review Board to buy property, and will have to sell when leaving the country,...

These are words of a govt that does not give a fuck about their own citizens.....

Singapore govt says housing is still affordable even though HDB price have been pushed through the $1m mark......:oIo:

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[Watchman]

-Lee Kuan Yew should go Australia to make the
necessary comments that
Australians need a spur under their skin so that they can buck up .

By increasing more migrants into Australia .

 

[Boliao]

I can never understand why some are dumb enough to buy 99-years leasehold property.. and to top it off, a condo.

Don't they know that they loan formula is the lease period divided by 2, minus years since T.O.P? So for a 99-years lease, you're basically stuck after staying for 20 years as the max loan rate will be 25 years.

And a condo? You're paying for land that you do not own, balcony that cost as much as your built-in and you still have pay for maintenance!!

For $1,000 psf, you can easily buy a decent size freehold landed property.

I find it unbelievable when ST reported on the couples who bought condo (especially that dumb couple who paid $1.8mil for the Icon (1440 sqft - means they paid for 720 sqft pigeon hole given that it is actually a duplex). Do a search on propertyguru and for $1.8mil, you can build a 3800 landed property with a built-in of at least 6000 sqft, 6 bedrooms, a nice frontage and a huge yard.

 

[Watchman]

For $1,000 psf, you can easily buy a decent size freehold landed property.

You must be kiddling and living in the 1990s .

 

[Watchman]

I find it unbelievable when ST reported on the couples who bought condo (especially that dumb couple who paid $1.8mil for the Icon (1440 sqft - means they paid for 720 sqft pigeon hole given that it is actually a duplex). Do a search on propertyguru and for $1.8mil, you can build a 3800 landed property with a built-in of at least 6000 sqft, 6 bedrooms, a nice frontage and a huge yard.

The thing to ponder about is not what you pay today and what you can get in future . But really what the developers are going to built around you

 

[jw5]

I can never understand why some are dumb enough to buy 99-years leasehold property.. and to top it off, a condo.

Don't they know that they loan formula is the lease period divided by 2, minus years since T.O.P? So for a 99-years lease, you're basically stuck after staying for 20 years as the max loan rate will be 25 years.

And a condo? You're paying for land that you do not own, balcony that cost as much as your built-in and you still have pay for maintenance!!

For $1,000 psf, you can easily buy a decent size freehold landed property.

I find it unbelievable when ST reported on the couples who bought condo (especially that dumb couple who paid $1.8mil for the Icon (1440 sqft - means they paid for 720 sqft pigeon hole given that it is actually a duplex). Do a search on propertyguru and for $1.8mil, you can build a 3800 landed property with a built-in of at least 6000 sqft, 6 bedrooms, a nice frontage and a huge yard.

A 99 year leasehold condo is in my opinion, appropriate for certain people under certain circumstances.
While I agree with you that buying a condo in town for close to $2 Million is rather extravagant, I can understand why some people buy a condo for say $600 to 700K in the surbaban areas.
Firstly, they may have a budget of around that amount. That can get you a surbaban 99year lease condo with security and facilities, it will also get you an executive flat in a "good location". It won't get you a landed property.
Secondly, the fella who buys this condo may be an individual or a couple with no children at near middle age. They're not going to outlive the lease, neither do they have anyone important to pass the property to.

 

[ManBearPig62]

A 99 year leasehold condo is in my opinion, appropriate for certain people under certain circumstances.
While I agree with you that buying a condo in town for close to $2 Million is rather extravagant, I can understand why some people buy a condo for say $600 to 700K in the surbaban areas.
Firstly, they may have a budget of around that amount. That can get you a surbaban 99year lease condo with security and facilities, it will also get you an executive flat in a "good location". It won't get you a landed property.
Secondly, the fella who buys this condo may be an individual or a couple with no children at near middle age. They're not going to outlive the lease, neither do they have anyone important to pass the property to.

I think what he is trying to say is, if the couple wants to downgrade and sell in the future, the bank may not agree to extend a loan to the prospective buyer.

Therefore they will be stuck.. worst still, they have to continue paying the loan.

This can be very dangerous in certain circumstances where you may need cash urgently (not enough money for retirement, medical emergency, economic crash and need to cut living costs etc)

 

[tonychat]

make it 2k psf , much better. SInkies just love to show off and feel proud of their expensive concrete in the air.

 

[jw5]

I think what he is trying to say is, if the couple wants to downgrade and sell in the future, the bank may not agree to extend a loan to the prospective buyer.

Therefore they will be stuck.. worst still, they have to continue paying the loan.

This can be very dangerous in certain circumstances where you may need cash urgently (not enough money for retirement, medical emergency, economic crash and need to cut living costs etc)

Sure, I understand.
That's why I said it's apropriate for certain people in certain circumstances.
If a couple is unsure about the future and their finances, or they are stretching it too much, then why buy a condo in the first place?
For face probably............... and sadly.

 

[soikee]

A 99 year leasehold condo is in my opinion, appropriate for certain people under certain circumstances.
While I agree with you that buying a condo in town for close to $2 Million is rather extravagant, I can understand why some people buy a condo for say $600 to 700K in the surbaban areas.
Firstly, they may have a budget of around that amount. That can get you a surbaban 99year lease condo with security and facilities, it will also get you an executive flat in a "good location". It won't get you a landed property.
Secondly, the fella who buys this condo may be an individual or a couple with no children at near middle age. They're not going to outlive the lease, neither do they have anyone important to pass the property to.

Actually for an island so small like Singapore with a population of 6.5m
in 2 - 3 yrs time, $1000 psf is very cheap compared to HK.

In HK, property value of similar grade would cost around $3000 psf.