What will be the trend of HDB flat?

[2lanu]

Up or Down?

Find it funny as the price of flats are still going up even in recession time.

 

[commoner]

sure down one,,,,, at 200-300k per piece and credit tightening, how to go up? only the CB Mapok Tan will try to manipulate the numbers and supply,,,,

private property coming down somemore,,,,,,, so many apartments finishing, holding costs for those developers getting expensive,,,,,,

stocks rally can maintain how long......

 

[Conan the Barbarian]

It will go up, due to contro; of supply. That will be until mass
migration of the people when we go bankrupt. Then its zero.

 

[2lanu]

sure down one,,,,, at 200-300k per piece and credit tightening, how to go up? only the CB Mapok Tan will try to manipulate the numbers and supply,,,,

private property coming down somemore,,,,,,, so many apartments finishing, holding costs for those developers getting expensive,,,,,,

stocks rally can maintain how long......

I was thinking like you but then it seem that it is not true

 

[2lanu]

It will go up, due to contro; of supply. That will be until mass
migration of the people when we go bankrupt. Then its zero.

White scum will used this to benefit themselves...Most probably election is coming...

 

[makapaaa]

Why u Peasants like to ask stupid questions? Can't u see my pigeonholes getting smaller and more expensive? Not happy ah? Buy condos lor! *chey*​

 

[2lanu]

Errr, we are talking about the cost of pigeon hole, not the size.

 

[SIFU]

I am hoping it goes up and up then I sell maybe early next year...

Then after I sell, goes down and down so I can buy another one at cheaper cost and make about 200k spare...

with all due respect, i dun think sell hdb can make 200k..

dun forget to factor in interest cost for cpf used etc..

the only ppl that can make 200k, is those that purchased from hdb 20+ years ago; whereby 3 rm only 40k and 4 rm only 60k..

 

[zuoom]

since HDB flat is pegged accordingly to market price. it would only be on a downward trend.

private housing in the form of condo n landed properties would come down. and when the difference between the private n public housing is not that much. people would jump over.

in very simple terms, lesser demand on the HDB side, the prices for them will go south.

 

[SIFU]

No offence taken, SIFU.

I know what you mean, but my outstanding loan is not much that's why my target margin is as at 200k after purchasing another place at another location with refinancing, of course. Hoping to get my dream car with the margin! S2000 in the year 2010! Yeah! Just dreaming nia, I will probably keep the money for investments!

Cheers!

no problem.. good luck..

 

[2lanu]

since HDB flat is pegged accordingly to market price. it would only be on a downward trend.

private housing in the form of condo n landed properties would come down. and when the difference between the private n public housing is not that much. people would jump over.

in very simple terms, lesser demand on the HDB side, the prices for them will go south.

I am beginning to get confused. The above scene you presented is opposite as a friend told me. He said private property price down was because these owner let go private and jumpto public housing. That's why the surge in HDB flats.

Come to think of it now... Everyone have their own way of interpreting suck like stock market.

 

[zuoom]

that's true. in that the HDB prices for some unit actually went up.

as those downgrader jump ship, they are usually on the "cash rich" side. as a result, they are ok to pay a premium on the HDB units.

it's like a vicious cycle. up n up, down n down.

for this period, it's a down trend.

 

[singveld]

PAP using their power to keep HDB artifically high.

 

[2lanu]

PAP using their power to keep HDB artifically high.

That's my guess too. Imagine a 3 room flat costing $255K! Probably election coming and have to support price in order to gain some votes.

 

[2lanu]

The recent upswing in stock market is a fake sign. I rem someone posted a article by Andy Xie(ex chief economist of Morgan). He mentioned that more things to do before world economy back on track.

So pappies still have a tough times supporting this artifical inflated market.

 

[zuoom]

Slide a spill-over effect from falling private home rentals

May 10, 2009

property

HDB flat rents starting to fall

Slide a spill-over effect from falling private home rentals

By Fiona Chan

After shooting up over the past two years and holding steady even during the crunch time late last year, rents for Housing Board flats are finally starting to fall.

Median rents for five-room flats dropped from $2,000 to $1,800 a month in the first three months of this year, while those for four-room flats fell from $1,800 to $1,700.

The decline was across most locations, affecting central areas such as Bukit Merah as much as outlying ones, including Punggol.

But two- and three-room flats remained fairly unscathed by the downtrend. They maintained their median monthly rents at $1,100 and $1,500, respectively, according to the latest HDB data.

As the recession continues to bite into the property sector, the fall in rents for private homes is starting to spill over to the HDB market, say industry experts.

Private home rents have been sliding since the third quarter of last year and have lost almost 20per cent since their peak, according to data from the Urban Redevelopment Authority (URA).

In the first three months of this year alone, they dropped by some 8.5 per cent.

As condominiums become cheaper to rent, some HDB tenants may find it worth their while to switch to private homes, said Mr Mohamed Ismail, chief executive of property agency PropNex.

'Now that the private property rents have fallen, the downward trend will definitely start to have a knock-on effect on the HDB market.'

Part of the reason HDB rents moved up so quickly in the past few years was that private home rents climbed sharply, making condominiums unaffordable for the 'sandwiched' group of people, whose monthly rent budgets are about $2,000 to $2,500, he said.

If these people can now move to condos, it would depress demand for HDB flats, especially the larger five-room and executive flats.

Mr Ismail expects the fall in HDB rentals to continue over the next two quarters at least, falling by 'easily another 10per cent'.

'People will see better bargains in the private property market at the moment,' he said.

At Normanton Park near Queensway, for instance, a 1,200 sq ft three-bedroom apartment can be had for about $2,300 to $2,500 monthly - down from about $3,000 at the peak of the market, Mr Ismail said.

This may attract HDB-dwellers to move over, as a five-room flat in nearby Holland, Queenstown or Telok Blangah would cost about $2,000 or more a month to rent.

'For just a bit more a month, you can get a full suite of facilities, including a swimming pool and a gym,' he said.

'In order for HDB flats to remain appealing, they will need to be significantly cheaper, about 30per cent cheaper, so that the price difference can be a dealbreaker for tenants,' he added. 'This means rents still have some way to fall.'

But while the outlook for HDB flat rentals may be bleak, the leasing market is still active on the ground, said Mr Eugene Lim, associate director of real estate agency ERA Asia-Pacific.

'HDB flats are still relatively easy to rent out,' he said, although it takes longer now to find a tenant than the 'one-weekend job' it used to be during the boom times.

HDB tenants tend to be foreign students or

lower-level expatriates who, unlike their counterparts in the high-flying banking and financial sectors, have not yet lost their jobs in the recession, said Mr Lim.

While there are some who have left Singapore, 'for every one that leaves, another one comes', he added. 'We're not seeing a mass exodus.'

Particular hot spots are Clementi and Jurong East, which are near the universities and polytechnics, as well as the business parks.

But HDB landlords have had to make some adjustments. Many tenants now insist on including a clause that allows them to terminate the lease with just one month's notice, compared to the usual one- or two-year lease with stricter exit clauses, Mr Lim said.

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