singapore property weekly issue 248

8/20/2019 Singapore Property Weekly Issue 248

1/12

Issue 248Copyright © 2011-2016 www.propwise.sg . All Rights Reserved.

http://www.propwise.sg/http://www.propwise.sg/


2/12

ContributeDo you have articles and insights and articles that you’d like to sharewith thousands of readers interested in the Singapore propertymarket? Send them to us at [email protected] , and if they’re goodenough, we’ll publish them here, on our blog and even on Yahoo!News.

AdvertiseWant to get your brand, product, service or property listing out tothousands of Singapore property investors at a very reasonablecost? Head over to www.propwise.sg/advertise/ to find out more.

CONTENTS

p2 Property Investment Strategy in the

Year of the Fire Monkey

p8 Singapore Property News This Week

p10 Resale Property Transactions

(February 3 – February 12)

Welcome to the 248 th edition of theSingapore Property Weekly .

Hope you like it!

Mr. Propwise

FROM THE

EDITOR

mailto:[email protected]://www.propwise.sg/advertise/http://www.propwise.sg/advertise/mailto:[email protected]


3/12

SINGAPORE PROPERTY WEEKLY Issue 248

Page | 2Back to Contents

By Property Soul (guest contributor)

Last year I wrote about “The Property Marketin the Year of the Goat ”. It‟s time to review thepast year before talking about what to expectin the Year of the Monkey.

Year of the Goat: Enough bad news?

The strong earth element in the Wood Goatyear posed a big challenge to the worldeconomy. The disturbance in the global assetmarket in the last six months was not for thefaint-hearted.

Property Investment Strategy in the Year of theFire Monkey

http://propertysoul.com/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/2015/02/23/year-of-the-goat/http://propertysoul.com/http://propertysoul.com/http://propertysoul.com/


4/12



It started with the crash of China‟s stockmarket and the sudden depreciation of theChinese currency. Then the interest rate hikeby Federal Reserve caused a correction inthe emerging markets. The year ended with asteep fall of commodity prices, especially oil.

And the Year of the Goat ended with thesharp decline of stock prices in January.

Investors who were unprepared were like

lambs to the slaughter. Who can blame them?Even Warren Buffett‟s Berkshire Hathawayadmitted they had the worst performancesince 2009.

Year of the Monkey: Who can tell what’s

next?

When financial analysts give very diverseviews on what 2016 will look like, this is a badsign. It implies they are simply fulfilling their duty to speak for their company, but deep in

their heart, it‟s likely they don‟t have a clueeither.

Those who make forecasts do not pledge to

take back their words when they make thewrong guess. That‟s why we prefer to talkabout „observations‟ here, not „predictions‟ .

What do the traits of monkeys mean for the property market?

Monkeys have a few characteristics that canperhaps give us a glimpse of the propertymarket in 2016.

Trait 1: Smart and Intelligent

According to URA, there are 5,736 launchedbut unsold private residential units and a totalof 23,271 unsold units from projects withplanning approvals. In 2016, there will be22,351 new units to be completed. Findingthe demand to clear the new and existing


5/12



stock in a lacklustre market is like missionimpossible, unless developers and marketingagents possess supernatural powers to playmagic tricks like the Monkey King.

Like monkeys with high intelligence,developers will be using more creative waysto push projects this year. To stand out fromcompetition, they have to attract buyers withsuperior marketing, more aggressive

discounts and better unique selling positions.To avoid incurring extension charges and the

ABSD, developers will continue to use „clever‟ways to tackle projects that still have unsoldunits beyond the stipulated timeframe,including selling to subsidiaries or corporate

buyers in bulk, or delisting from the localstock exchange.

Advice from Property Soul:

The same applies to the resale and rental

market. Owners and landlords have to berealistic about their expectations. Smart onesknow how to attract eyeballs online with nicephotos after home staging which drives

buyers or tenants to send in their offers.

Don‟t think you can get rid of the middlemanduring bad times. Don‟t skimp oncommissions paid to property agents.Remember: When you pay peanuts, you get

monkeys.Trait 2: Curious and Adventurous

The monkey year started with the plummetingof oil prices and the Japanese stock market.Lots of drama is still waiting to be unfolded.

Like monkeys which are adventure-lovinganimals, the high volatility of the marketpresents many opportunities for speculators.Many will be tempted to rush in and make aquick profit.


6/12



Others may be curious to know whether alternative investment strategies can work.Never mind the fact they are purelyspeculative. Monkey see, monkey do.


1) Avoid getting your hands into any propertyyou can‟t afford.

2) Avoid getting your hands into anyinvestment you can‟t afford to lose.

3) Avoid getting your hands into any schemeyou don‟t understand.

Trait 3: Mischievous and Cunning

Monkeys are clever. But they can use their

intelligence in the wrong way. Although monkeys live in groups, they arealso known to be selfish and possessive.When a monkey finds good food, it produces

sounds to warn others of a tiger so that allmonkeys run away and it can safely enjoy thefood all by itself –faking at its best.

During uncertain times, people tend to lookfor second incomes that appeal to the needfor security. This is when deceitful high-returninvestments come into play.


7/12


8/12




Don‟t waste time monkeying around withunprofitable or money-draining properties.Don‟t hesitate to cut loss if you need to. If youhave to get a monkey off your back, talk tothe bank first before you really need to.

"Banks will lend you umbrellas on a sunnyday, but they will take them back when it ispouring." This is my favorite line from

Hanzawa Naoki, a popular Japanesetelevision series released in 2013.

My property investment strategy in the Year of the Monkey is to be defensive rather thanaggressive. The most important thing thisyear is not return. It is to avoid losing money.Less is more. Risk less and fail less.

May the Year of the Monkey be your Year of "Money"!

By guest contributor Property Soul, asuccessful property investor, blogger , and author of the No B.S. Guide to PropertyInvestment .

S GA O O 2 8

http://propertysoul.com/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://propertymarketinsights.com/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://aktive.com.sg/store/no-b-s-guide-to-property-investment/http://propertysoul.com/


9/12


Singapore Property This Week


ResidentialHougang EC site sold for $183.8 million

A 99-year leasehold site situated at Hougang/Yio Chu Kang area attracted 10 bids in arecently closed tender. The site was won byHoi Hup Realty with a winning bid of $183.8million or $331.02 psf ppr. The breakevencost is estimated to be slightly above $700psf and the targeted selling price will be closeto $800 psf on average, said market experts.Last year, when the plot was launched,

property consultants had predicted that thewinning bid would be in the range of $260 to$340 psf ppr. Market experts also predictedthat there would be 5 to 14 bids. The plot is

projected to be developed into 560 units. Of these units, about 70% will be three-bedroomapartments, 15% will be four-bedroomapartments and the rest will either be two- or five-bedroom apartments. According to OngKah Seng from R‟ST Research, the results of this tender do not reflect that developers arebecoming positive. Instead, Ong believesthat bid prices were higher due to thelocation of the site. Ong Teck Hui from JLLadded that an absence of new EC supply inthat area and the significant potential

demand catchment from nearby HDB estatescould have encouraged bidders to view thesite positively.

(Source: Business Times)

SINGAPORE PROPERTY WEEKLY I 248


10/12



At least 4 GCBs sold since start of year

According to the Business TImes, at least 4Good Class Bungalows (GCBs) have beensold since the start of this year. Among thelatest is a bungalow along Peirce Road thatchanged hands for about $24 million or $1,479 psf based on the freehold land area of 16,224 sq ft. The two-storey property which islocated near Ridout Park was previously soldin 2006 for about $9.5 million. Other GCB

transactions include a property at Mount EchoPark which changed hands for $22.25 millionor $1,322 psf on 16,826 sq ft of freehold land;and another GCB along Yarwood Avenue wassold for $15.7 million or $971.35 psf. In 2015,more than $700 million of deals were

transacted in GCB areas. This exceeded the$626 million that was transacted in 2014.William Wong from Realstar Premier Groupestimates that GCB prices had fallen by 10 to15% in 2015. He predicts that prices will

continue to slip in H1 this year due to anabsence of positive stimulus. However, hebelieves that GCB prices will stabilise in H2this year.


TOP awarded to Tampines EC

The first hotel-inspired EC project,CityLife@Tampines has been awarded thetemporary occupation permit (TOP). The EC

which was launched in 2012, consists of 514units. About 90% of the units were fully soldduring its launch in March 2013. The EC willoffer hotel-inspired features such as homeconcierge service, an infinity pool and evencomplimentary WiFi at common areas.

Market experts believe that the hotel-inspiredfacilities and the strategic location of thecondo had contributed to its appeal.


SINGAPORE PROPERTY WEEKLY I 248


11/12



Non-Landed Residential Resale Property Transactions for the Week of Feb 6 – Feb 12

PostalDistrict

Project NameArea(sqft)

TransactedPrice ($)

Price($ psf)

Tenure

2 ALTEZ 603 1,210,000 2,007 994 THE INTERLACE 2,347 2,730,000 1,163 999 THE RITZ-CARLTON RESIDENCES SINGAPORE CAIRNHILL 3,057 11,600,000 3,795 FH9 TWENTYONE ANGULLIA PARK 3,348 12,052,800 3,600 FH9 THE RITZ-CARLTON RESIDENCES SINGAPORE CAIRNHILL 3,057 10,600,000 3,467 FH9 THE LAURELS 883 2,388,000 2,705 FH9 THE PATERSON 1,464 2,780,000 1,899 FH9 WATERSCAPE AT CAVENAGH 1,216 2,288,555 1,882 FH9 LEONIE SUITES 689 1,195,000 1,735 999 UE SQUARE 1,625 2,250,000 1,384 9299 CASA NOVACREST 1,582 2,000,000 1,264 FH10 ST REGIS RESIDENCES SINGAPORE 2,142 4,700,000 2,194 99910 THE LADYHILL 3,843 7,400,000 1,926 FH10 D'LEEDON 635 1,085,000 1,708 9910 SPRING GROVE 1,012 1,550,000 1,532 9910 JEWEL OF BALMORAL 1,345 1,950,000 1,449 FH10 BEAVERTON COURT 3,229 4,250,000 1,316 FH10 THE BALMORAL 2,885 3,650,000 1,265 FH10 DUCHESS CREST 1,561 1,900,000 1,217 9911 CUBE 8 904 1,450,000 1,604 FH12 IRESIDENCES 1,066 1,330,000 1,248 FH12 THE ARTE 1,873 2,200,000 1,175 FH

PostalDistrict


TransactedPrice ($)

Price($ psf)

Tenure

12 CRADELS 1,313 1,150,000 876 FH12 THE BELLEFORTE 1,658 1,350,000 814 F12 KIM KEAT HOUSE 1,066 820,000 769 F14 WATERBANK AT DAKOTA 1,130 1,710,000 1,513 14 STUDIO8 495 683,100 1,380 FH15 SUITES @ EASTCOAST 366 580,000 1,585 15 PARC ELEGANCE 431 600,000 1,394 F15 SUITES @ AMBER 840 1,050,000 1,251 F15 SANCTUARY GREEN 1,711 2,000,000 1,169 15 TANJONG RIA CONDOMINIUM 1,399 1,520,000 1,086 15 CRESCENDO PARK 1,345 1,438,888 1,069 F15 PEBBLE BAY 1,378 1,450,000 1,052 9915 EASTVILLE APARTMENTS 1,001 980,000 979 15 ALPHA APARTMENTS 1,152 1,128,000 979 16 THE BAYSHORE 1,259 1,180,000 937 918 NV RESIDENCES 743 800,000 1,077 918 TAMPINES COURT 1,690 830,000 491 1019 A TREASURE TROVE 1,130 1,168,000 1,033 19 A TREASURE TROVE 1,335 1,350,000 1,011 19 A TREASURE TROVE 1,206 1,208,000 1,002 19 PARC VERA 1,141 1,080,000 947 9919 THE QUARTZ 1,163 1,078,000 927 99



12/12



NOTE: This data only covers non-landed residential resale propertytransactions with caveats lodged with the Singapore Land Authority.Typically, caveats are lodged at least 2-3 weeks after a purchaser

signs an OTP, hence the lagged nature of the data.

PostalDistrict


TransactedPrice ($)

Price($ psf)

Tenure

19 CHILTERN PARK 1,249 1,110,000 889 99

19 RIVERVALE CREST 1,668 980,000 587 99

20 COUNTRY GRANDEUR 1,442 1,520,000 1,054 FH

20 BISHAN POINT 936 950,000 1,014 9921 JARDIN 1,259 1,400,000 1,112 FH

21 SIGNATURE PARK 1,033 1,145,000 1,108 FH

21 SOUTHAVEN II 1,507 1,500,000 995 999

21 HIGH OAK CONDOMINIUM 1,658 1,180,000 712 99

22 THE LAKEFRONT RESIDENCES 710 968,000 1,363 99

22 THE LAKEFRONT RESIDENCES 710 930,000 1,309 99

23 HAZEL PARK CONDOMINIUM 1,378 1,285,000 933 999

23 MAYSPRINGS 915 805,000 880 99

26 BULLION PARK 1,238 1,250,000 1,010 FH

26 BULLION PARK 807 810,000 1,003 FH

27 ORCHID PARK CONDOMINIUM 893 690,000 772 99

27 ORCHID PARK CONDOMINIUM 980 710,000 725 99
http://propertymarketinsights.com/

singapore property weekly issue 248

Documents