Many Sporns Still Losing $ on Condos?

[makapaaa]

Feb 23, 2010

PROPERTY
New measures won't help market bloom

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LAST Saturday's report, 'New rules to curb property speculation', puzzles me. Each time the media reports on a heightened interest in the property market, such as queues for condominiums or higher prices of newly launched condos, a new rule is introduced.
A situation in which all players in the market must guess constantly about government policy is unhealthy for a stable property market.
The market is currently trying to pick itself up after a state of depression since the most recent boom in 1997.
There are still many mass market condos today where owners have been unable to break even (after factoring in interest costs) on units they bought more than a decade ago.
For every new condo launched at a record-breaking price, there are several in the secondary market in good areas transacted at less than $600 per sq ft.
However, as this secondary market is of less news interest, the general impression given is that all condos are hitting record prices and the market is out of hand.
As for loans, banks are now extra prudent following the economic downturn and Singaporeans in general are not highly leveraged.
Speculation has not reached unduly high levels and trying to attack it too early may damage the entire market, not just curb speculation.
The fundamental problem now is not a property bubble but the unrealistic expectations of buyers who want good locations and good views at affordable prices but are not willing to accept the fact that, in a healthy and growing economy, it is normal and even desirable for prices to rise steadily.
Bobby Jayaraman

 

[hockbeng]

Feb 23, 2010

PROPERTY
New measures won't help market bloom

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LAST Saturday's report, 'New rules to curb property speculation', puzzles me. Each time the media reports on a heightened interest in the property market, such as queues for condominiums or higher prices of newly launched condos, a new rule is introduced.
A situation in which all players in the market must guess constantly about government policy is unhealthy for a stable property market.
The market is currently trying to pick itself up after a state of depression since the most recent boom in 1997.
There are still many mass market condos today where owners have been unable to break even (after factoring in interest costs) on units they bought more than a decade ago.
For every new condo launched at a record-breaking price, there are several in the secondary market in good areas transacted at less than $600 per sq ft.
However, as this secondary market is of less news interest, the general impression given is that all condos are hitting record prices and the market is out of hand.
As for loans, banks are now extra prudent following the economic downturn and Singaporeans in general are not highly leveraged.
Speculation has not reached unduly high levels and trying to attack it too early may damage the entire market, not just curb speculation.
The fundamental problem now is not a property bubble but the unrealistic expectations of buyers who want good locations and good views at affordable prices but are not willing to accept the fact that, in a healthy and growing economy, it is normal and even desirable for prices to rise steadily.
Bobby Jayaraman

Bobby you are right!

The Gov should have imtroduced a 30% capital gains tax on all property transactions long ago to wipe out speculators like yourself. Then you wont be losing money.

 

[Brightkid]

He's probably bought a lemon and now blaming the gov for curbing the market before his lemon become king of fruit, aka, durian.

Don't he knows that even all the flowers that were sold in shops for the recent CNY, there will be some that will be thrown into rubbish bins as no one wants them even though they are also of same species as those grabbed by buyers hunting for flowers?

 

[hockbeng]

Feb 23, 2010

PROPERTY
New measures won't help market bloom

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<!-- end left side bar --><!-- story content : start -->
LAST Saturday's report, 'New rules to curb property speculation', puzzles me. Each time the media reports on a heightened interest in the property market, such as queues for condominiums or higher prices of newly launched condos, a new rule is introduced.
A situation in which all players in the market must guess constantly about government policy is unhealthy for a stable property market.
The market is currently trying to pick itself up after a state of depression since the most recent boom in 1997.
There are still many mass market condos today where owners have been unable to break even (after factoring in interest costs) on units they bought more than a decade ago.
For every new condo launched at a record-breaking price, there are several in the secondary market in good areas transacted at less than $600 per sq ft.
However, as this secondary market is of less news interest, the general impression given is that all condos are hitting record prices and the market is out of hand.
As for loans, banks are now extra prudent following the economic downturn and Singaporeans in general are not highly leveraged.
Speculation has not reached unduly high levels and trying to attack it too early may damage the entire market, not just curb speculation.
The fundamental problem now is not a property bubble but the unrealistic expectations of buyers who want good locations and good views at affordable prices but are not willing to accept the fact that, in a healthy and growing economy, it is normal and even desirable for prices to rise steadily.
Bobby Jayaraman

And remember boobby; wealth creation is through hard work and not property speculation hor. Remember the old adage on how to get rich: " you grow it, mine it or make it"

 

[Man in the streets]

This guy could be a FT.

HDB has a political price like what others say, private condos price are just a yardstick for HDB to determine BTO or OTB price.

Every which way PAP moves to curb property up or down will lose, the mistake is already made, it will collapse when the time comes.

Because in Singapore, property price is a fake .

 

[shOUTloud]

It is obvious that Bobby bought a condo pre 1997 and still suffering lah. Too bad dude. I am sorry but life has to go on.

 

[SamuelStalin]

When we were young, we had beautifully-illustrated and very colorful storybooks where everyone in the stories lived in cottage houses amid the meadows on a bright, carefree, cheery and sunny day. They had no real food and money (don't think they have much use for it) worries, and they were just living their lives.

When we grew older it turned out that lots of people live in the cities and don't have that luxury of space, privacy and carefree existences.

Bullshit is fed in huge chunks to the unsuspecting young.

 

[SamuelStalin]

And remember boobby; wealth creation is through hard work and not property speculation hor. Remember the old adage on how to get rich: " you grow it, mine it or make it"

Property speculation requires dedication, research and analysis too - all that sum up hard work and effort. The payout is something else however, for better or worse.