Property News

[FHBH12]

Govt can’t deliver affordable homes on its own
By Laura Lee
Friday, 08 May 2015, 12:30 AM

If prospective housebuyers hope government agencies will quickly deliver affordable dream homes, they should brace themselves for disappointment.

Syarikat Perumahan Negara Bhd (SPNB), entrusted to deliver 200,000 affordable homes nationwide this year, says it cannot do this on its own but must collaborate with other parties such as private developers.

SPNB president Professor Datuk Dr (Sr) Kamarul Rashdan Salleh says even special government vehicle Perumahan Rakyat 1 Malaysia (PR1MA) or the 1Malaysia housing programme has its limits.

Speaking at the recent National Affordable Housing Summit 2015 in Kuala Lumpur, Kamarul says capital expenditure provided by the government may not even be enough for PR1MA to deliver the projects.

He believes this is where the private sector can assist the government to fulfil the affordable housing needs.

Citing developers such as Glomac Bhd and Mah Sing Group Bhd, which have stepped in to provide affordable homes, Kamarul commends them for sacrificing profits to fulfil corporate social responsibility.

He however reminds industry players the government is not a developer – its role is to create policies for the housing industry.

- See more at: http://www.focusmalaysia.my/Assets/...ordable homes on its own#sthash.hTpUZobH.dpuf

 

[FHBH12]

Johor sultan wants property and housing bill reviewed
Published: 7 May 2015 12:17 PM

Johor Sultan Ibrahim Sultan Iskandar today said he wants the Johor Real Property and Housing Board Bill to be reviewed.

The Johor government had in June last year proposed a bill for the establishment of a Johor Housing and Property Institution which would give Sultan Ibrahim authority over the institution's accounts and a direct hand in the development of real estate in Johor.

The bill, which was met with fierce opposition from various quarters, was tabled and passed by the Johor legislative assembly with amendments that either limited or removed the sultan’s power in the proposed housing board.

The amendments no longer give the sultan the power to determine the remuneration or allowances of board members in the Johor Property and Housing Commission (JPHC).

The sultan’s power to direct any person to investigate the books, accounts and transactions of the board were removed, and he does not have the power to direct the board to be wound up and dissolved.

The board does not have to submit to the ruler the accounts, an estimate of the expenses or a report of its activities, nor does it require the sultan’s approval to establish a corporation. Instead, those powers are vested solely in the state authority.

The sultan can only appoint members of the board on the advice of the menteri besar.

Additionally, either the sultan or the menteri besar can decide to revoke a member’s appointment, as opposed to the sultan having the sole authority to do so.

Individuals such as former prime minister Tun Dr Mahathir Mohamad, legal experts, and former Johor Corporation chief executive officer and president Tan Sri Muhammad Ali had opposed the bill, saying it contravened the Federal Constitution.

DAP lawmaker Lau Weng San had also spoken out against the bill, saying it went against the concept of constitutional monarchy.

Lau said the move was "very confusing" as Malaysia practised constitutional monarchy and not absolute monarchy, which he noted was irrelevant with time.

Giving the sultan absolute powers would indirectly affect the basis of the constitution's framework as well as change the characteristic features of the constitutional monarchy that had been practised since independence, he said.

However, Johor Menteri Besar Datuk Seri Mohamed Khaled Nordin said that the menteri besar was the automatic chairman and the sultan would act only on the advice of the menteri besar.

“Any decision on the state administration is still made by me because the executive powers rest with the menteri besar,” he was reported as saying. – May 7, 2015.

- See more at: http://www.themalaysianinsider.com/...nd-housing-bill-reviewed#sthash.Qz7FPi4o.dpuf

 

[snowbird]

Johor sultan wants property and housing bill reviewed
Published: 7 May 2015 12:17 PM

Johor Sultan Ibrahim Sultan Iskandar today said he wants the Johor Real Property and Housing Board Bill to be reviewed.

The Johor government had in June last year proposed a bill for the establishment of a Johor Housing and Property Institution which would give Sultan Ibrahim authority over the institution's accounts and a direct hand in the development of real estate in Johor.

The bill, which was met with fierce opposition from various quarters, was tabled and passed by the Johor legislative assembly with amendments that either limited or removed the sultan’s power in the proposed housing board.

The amendments no longer give the sultan the power to determine the remuneration or allowances of board members in the Johor Property and Housing Commission (JPHC).

The sultan’s power to direct any person to investigate the books, accounts and transactions of the board were removed, and he does not have the power to direct the board to be wound up and dissolved.

The board does not have to submit to the ruler the accounts, an estimate of the expenses or a report of its activities, nor does it require the sultan’s approval to establish a corporation. Instead, those powers are vested solely in the state authority.

The sultan can only appoint members of the board on the advice of the menteri besar.

Additionally, either the sultan or the menteri besar can decide to revoke a member’s appointment, as opposed to the sultan having the sole authority to do so.

Individuals such as former prime minister Tun Dr Mahathir Mohamad, legal experts, and former Johor Corporation chief executive officer and president Tan Sri Muhammad Ali had opposed the bill, saying it contravened the Federal Constitution.

DAP lawmaker Lau Weng San had also spoken out against the bill, saying it went against the concept of constitutional monarchy.

Lau said the move was "very confusing" as Malaysia practised constitutional monarchy and not absolute monarchy, which he noted was irrelevant with time.

Giving the sultan absolute powers would indirectly affect the basis of the constitution's framework as well as change the characteristic features of the constitutional monarchy that had been practised since independence, he said.

However, Johor Menteri Besar Datuk Seri Mohamed Khaled Nordin said that the menteri besar was the automatic chairman and the sultan would act only on the advice of the menteri besar.

“Any decision on the state administration is still made by me because the executive powers rest with the menteri besar,” he was reported as saying. – May 7, 2015.

- See more at: http://www.themalaysianinsider.com/...nd-housing-bill-reviewed#sthash.Qz7FPi4o.dpuf

This issue that happened a year ago, was thought to be over and done with, is now being brought up again.
Apparently, His Royal Highness prefer absolute power on the said Bill is not happy with the verdict and with the "outsiders" influencing the decision!
Now, His Royal Highness may set to challenge the 1994 Federal constitutional amendment, made by the former PM Dr Mahathir, that restrictions his powers.
Expect at least some strong ripples, if not tidal waves, to the now extremely quiet property scene when this happens.

https://sg.news.yahoo.com/johor-sultan-challenge-1994-constitutional-102947008.html

 

[snowbird]

Some Medini home buyers pull out of contracts

Several buyers of homes in Medini, the centrepiece of the Iskandar development zone, have backed out of their purchases after developers failed to produce a sales and purchase agreement.
These agreements look to have been tied up in red tape, with the Malaysian authorities seeking to produce a standard document.
Singapore developer Melvin Ho, who had about 20 per cent bookings for his upscale 200-unit condo Prive Medini in Malaysia, is not surprised at the withdrawals.
"It was inevitable that some buyers lost confidence in the project after the signing of the sales and purchase agreements was delayed several times."

http://www.straitstimes.com/news/bu...edini-home-buyers-pull-out-contracts-20150508

According to the news report on yesterday's ST, the developer Mr Ho claimed to be "optimistic Prive Medini will take off".
Based on his comment, the project apparently is still waiting to commence construction work.
So, with only 20% sold after one year and worse, with some purchasers pulling out now plus all the negative reports, will the project really take off soon or.................?

 

[Funniman]

Some Medini home buyers pull out of contracts

Several buyers of homes in Medini, the centrepiece of the Iskandar development zone, have backed out of their purchases after developers failed to produce a sales and purchase agreement.
These agreements look to have been tied up in red tape, with the Malaysian authorities seeking to produce a standard document.
Singapore developer Melvin Ho, who had about 20 per cent bookings for his upscale 200-unit condo Prive Medini in Malaysia, is not surprised at the withdrawals.
"It was inevitable that some buyers lost confidence in the project after the signing of the sales and purchase agreements was delayed several times."

http://www.straitstimes.com/news/bu...edini-home-buyers-pull-out-contracts-20150508

According to the news report on yesterday's ST, the developer Mr Ho claimed to be "optimistic Prive Medini will take off".
Based on his comment, the project apparently is still waiting to commence construction work.
So, with only 20% sold after one year and worse, with some purchasers pulling out now plus all the negative reports, will the project really take off soon or.................?

It is very evident that Mr Ho jumped the gun to sell without getting the advertising permit which is the approval to sell issued by the local authorities. He "soft" launched and collect bookings without signing the actual agreements until he sell more than 50% of the units, otherwise banks would not provide bridging loans. In view of weak market sentiments, I suspect this developer is purposely defaulting without any penalty as no agreement signed. In the end, this project would be sold lock stock and barrel to some one else.

 

[snowbird]

It is very evident that Mr Ho jumped the gun to sell without getting the advertising permit which is the approval to sell issued by the local authorities. He "soft" launched and collect bookings without signing the actual agreements until he sell more than 50% of the units, otherwise banks would not provide bridging loans. In view of weak market sentiments, I suspect this developer is purposely defaulting without any penalty as no agreement signed. In the end, this project would be sold lock stock and barrel to some one else.

This is dangerous and also the biggest problem here - NO CONTROL!!!
Anyone can sell anything without proper approval from relevant dept and no checking were done to ensure compliance.
Earlier we already saw vast reclamation work carried out without govt. approval and has to halt for a year.
Property purchase is not supermarket shopping and you buy only after some serious consideration and because its something you really like.
Just when you thought buying from a Singaporean developer is safer and more reliable, news like this pops up!
So, this Mr Ho is still only "optimistic", then there's a good chance that this project may also never "take off".

 

[Funniman]

This is dangerous and also the biggest problem here - NO CONTROL!!!
Anyone can sell anything without proper approval from relevant dept and no checking were done to ensure compliance.
Earlier we already saw vast reclamation work carried out without govt. approval and has to halt for a year.
Property purchase is not supermarket shopping and you buy only after some serious consideration and because its something you really like.
Just when you thought buying from a Singaporean developer is safer and more reliable, news like this pops up!
So, this Mr Ho is still only "optimistic", then there's a good chance that this project may also never "take off".

It take two hands to clap. Many buyers are ignorant if a project is fully approved. One easy way to find out is look at the brochures and there will be a print that states the advertising permit number. The authorities only issue this permit when the developer via its local representative architect present all drawings and documents, evidence of financial ability as well as infrastructural approvals. If nothing is signed, authorities cannot do anything. There's no transactions.

But many times, the salesmen quietly pre-sell the project, promising choice lots, unofficial discounts, free legal documentation and goodies subjected to final pricings. They only collect cheques and do not cash them yet until everything is official. That's why many times, it is important not to depend only on the salesman who promise you moon and stars. They will even promise you a "bridge built over land". Go to the developer's office and find out for yourself. Appoint your own lawyers if you are not comfortable to handle the sale.

Lucky buyers only abort purchase and cancel cheques. Unlucky buyers loses coffee money.

 

[potter]

I remembered I had hinted this issue before, think is condos @ danga bay. Wahaha...:p

 

[Relaxman]

With this development, can we say that at this moment, China Developers seem much reliable than Singaporean Developers?

 

[sgcount]

This goes to show the brand name "Singapore developer" does not guarantee anything. It's about time the advertising body in newspapers and property authorities in Singapore regulate more tightly on what can be advertised.

Well at least the S&P has not been signed yet. I'd rather lose that small amount of money than AFTER signing and regretting it.

Attended a talk and even a well-known property agent here commented Iskandar is a "time bomb waiting to explode soon". No resale value or tenants and likely will have many vacant/unsold units.

Only time will tell how true this is in the coming years.

 

[Relaxman]

This goes to show the brand name "Singapore developer" does not guarantee anything. It's about time the advertising body in newspapers and property authorities in Singapore regulate more tightly on what can be advertised.

Well at least the S&P has not been signed yet. I'd rather lose that small amount of money than AFTER signing and regretting it.

Attended a talk and even a well-known property agent here commented Iskandar is a "time bomb waiting to explode soon". No resale value or tenants and likely will have many vacant/unsold units.

Only time will tell how true this is in the coming years.

One hint......any properties that are endorsed by the Johor Sultan will be ok.

 

[cow138]

Condo development will likely bear the brunt of the downturn.
Landed properties will still have some level of support as supplies are not that huge

 

[Funniman]

Condo development will likely bear the brunt of the downturn.
Landed properties will still have some level of support as supplies are not that huge

People who buy landed properties normally are well off enough to bear any short comings. At least you still have a piece of land in your name. You can charge it anytime you want to the bank of course if it is not encumbranced.

Apart from all these downturn problems from over supply or deficit cash flow, one need to know their risk especially condos during downturn.
Condo owners do not own any land. All they have is S & P document and that too need the approval of the developer to sell their units. Developers charge the master title for bridging loans and sometimes they do not redeem the master title for strata title processing.
If the developer is in any form of land dispute directly or indirectly or in any form of legal problems including its contractors, then the buyers would most probably be affected as well. It is extremely crucial that the developer is well versed with local and national regulations.

 

[cow138]

Sounds like condo purchases is more trouble than its worth

 

[Funniman]

Sounds like condo purchases is more trouble than its worth

Not necessarily. Condo living is very different from landed living. At least you don't have to worry about security, leaking roofs, clogged drains, sweeping your lawns, picking up your neighbour's cat shit in your porch, little creatures straying into your house (snakes included), fighting with your neighbour over car parks..

All you need is to find a good reputable well established developer.

 

[Manhattan]

Landed or condo appeals to very different group of people. Landed people tends to have a big family, love to have space and nurture a garden, like to always do improvements to the house, like the idea of owning a piece of land.
Condo people tends to be those who needs to feel secure within the living space and dont like the feeling of maybe someone is lurking outside the windows, love the good view, relatively lower humidity, less insects, less maintenance of condo, and don't really care if they own a piece of land as they themselves will turn to ash in a few decades, so just enjoy the present.
No matter which type you belongs to, you are ok. As long as you are happy.

 

[Relaxman]

Landed or condo appeals to very different group of people. Landed people tends to have a big family, love to have space and nurture a garden, like to always do improvements to the house, like the idea of owning a piece of land.
Condo people tends to be those who needs to feel secure within the living space and dont like the feeling of maybe someone is lurking outside the windows, love the good view, relatively lower humidity, less insects, less maintenance of condo, and don't really care if they own a piece of land as they themselves will turn to ash in a few decades, so just enjoy the present.
No matter which type you belongs to, you are ok. As long as you are happy.

As discussed earlier in this forum, if you own a strata titled landed property, you cannot do improvements to the house. No extension even if you have 10ft extra land behind or side of your house.

 

[sgcount]

One hint......any properties that are endorsed by the Johor Sultan will be ok.

I thot the Sultan "endorsed" practically much of Iskandar? There was a report last month or so where the Sultan mentioned Singaporeans will go to Iskandar to live as the tiny island becomes more and more expensive/crowded to live in.

It was the Maybank report that killed buyers' interest and suddenly revealed that Iskandar properties have been overhyped with huge over-supply now.

Really strange turn of events. Cos just 1-2 years ago, many property agencies, in Singapore and Malaysia, were all hyped up selling Iskandar properties. Some even charged a fee to bring potential buyers on tours and give advice. Did they not do any research back then to show that many Iskandar properties will not have strong market value and meet future demands?

Suddenly now, all the agencies have become quiet, especially after Maybank stirred some serious sh1t about the oversupply issue. Surely the problem did not surface within a short time overnight....

 

[Relaxman]

I thot the Sultan "endorsed" practically much of Iskandar? There was a report last month or so where the Sultan mentioned Singaporeans will go to Iskandar to live as the tiny island becomes more and more expensive/crowded to live in.

It was the Maybank report that killed buyers' interest and suddenly revealed that Iskandar properties have been overhyped with huge over-supply now.

Really strange turn of events. Cos just 1-2 years ago, many property agencies, in Singapore and Malaysia, were all hyped up selling Iskandar properties. Some even charged a fee to bring potential buyers on tours and give advice. Did they not do any research back then to show that many Iskandar properties will not have strong market value and meet future demands?

Suddenly now, all the agencies have become quiet, especially after Maybank stirred some serious sh1t about the oversupply issue. Surely the problem did not surface within a short time overnight....

Some jokers from Maybank may have read some of the comments from fellow forumers in the sammyboy forum. They just cut and paste and made it their report! Btw, when i said endorsement by Sultan, it means those projects where Sultan was there during their official launching.

 

[sgcount]

Some jokers from Maybank may have read some of the comments from fellow forumers in the sammyboy forum. They just cut and paste and made it their report! Btw, when i said endorsement by Sultan, it means those projects where Sultan was there during their official launching.

Haha...

Oic... ok didn't notice which projects he was present in.