Tag Archives: Singapore Property

Buying costs in SIngapore among highest in the world

Posted on 5 Jul 2013 | Comments Off on Buying costs in SIngapore among highest in the world

The costs of buying a property in Singapore are, along with Hong Kong, among the most expensive in the world for non-residents.

New research from Knight Frank looked at the purchase costs associated with buying a new-build residential property in 15 prime property locations around the world.

Hong Kong is the most expensive location to buy a home, once all the associated costs have been factored in. Non-residents can expect to pay 25 percent on top of the purchase price when buying a new-build US$3 million home. The bulk of this consists of stamp duty costs and a property tax levied on foreign non-permanent residents.

In Singapore, buyers pay purchase costs of 19.3 percent. The city-state’s 18 percent rate of stamp duty for non-residents is the highest of all the world cities analysed in the Cost of Buying report, in which analysis compared the purchase costs for non-resident buyers purchasing a new-build property valued at US$3 million. This includes stamp duty, legal costs, transfer fees and agency fees (where these apply for the purchaser).

London and Sydney sit in third and fourth places respectively with buying costs making 7.9 percent and 7.2 percent of the total purchase price in each city respectively. Moscow, where buying costs for non-residents for a US$3 million property amount to just US$100, is the cheapest of the 15 locations surveyed.

Despite being one of the more expensive locations to buy a new-build home, London property remains popular with international investors who are attracted by the U.K.’s political stability, good communications and the city’s top schools.

The research showed that 73 percent of prime central London’s new-build homes in 2012 were bought by overseas buyers, with Singaporeans making up the largest proportion of international purchasers.

In New York there is no stamp duty, but the purchase of a US$3 million new-build condominium will incur a 1 percent mansion tax.

Buying a US$3 million home in Paris is relatively low-cost. There are registration and notary fees to be paid, but it is cheaper to buy a luxury home in the city compared to other traditional locations.

Source – PropertyGuru – 5 Jul 2013

Comments Off on Buying costs in SIngapore among highest in the world

Posted in Property Market / Real Estate

Tagged , , , , , , , ,

Home buyers flock to suburbs

Posted on 3 Jul 2013 | Comments Off on Home buyers flock to suburbs

While the latest cooling measures have dented demand for private properties in the central region, the appetite for suburban homes has remained resilient thanks to an increasing number of launches that are attracting mass market buyers with good locations and relative affordability.

Prices of homes in the Outside Central Region (OCR) surged 3 per cent in the second quarter this year from the previous three months, according to preliminary data from the Urban Redevelopment Authority published yesterday. That was more than double the 1.4 per cent rise in the first quarter and helped drive the overall private residential index up 0.8 per cent, adding to the 0.6 per cent increase previously.

Meanwhile, prices of homes in the Core Central Region fell 0.2 per cent in the quarter in what PropNex real estate agency noted was the first decline in this region since the first quarter of last year, while prices in the Rest of Central Region were up 0.2 per cent.

Many of the buyers in the OCR are first-time home buyers and the Housing and Development Board (HDB) upgraders, who are largely unaffected by the cooling measures introduced in January aimed mainly at curbing investment demand.

SLP International Property Consultants’ Executive Director Nicholas Mak said: “Compared to the central region and the city fringes, the suburban market is driven not so much by investment demand. The cooling measures are not to discourage people from buying their one or only property, or changing their property from HDB to private.”

Recently launched OCR projects that boast attributes such as proximity to MRT stations as well as leisure and dining options, have been popular, driving up prices of these homes.

“This is largely a function of the number of projects with good connectivity that were released by developers in recent months,” said CBRE’s Executive Director for Residential, Mr Joseph Tan. He added that the proportion of new homes sold in the suburban areas accounted for 60 per cent of the total transactions in the last quarter.

Jewel@Buangkok, near Buangkok MRT Station, achieved more than 70 per cent sales during its debut weekend last month, with units priced at an average of S$1,250 psf, according to its developer City Developments. Jade Residences at Lew Lian Vale, close to Serangoon MRT Station and nex shopping mall, sold close to 80 per cent at its April launch at a median price of S$1,592 psf.

Besides attractive locations, some of the new projects are benefiting from a government-backed redevelopment plan to set up regional commercial centres outside the Central Business District.

One of them is J Gateway, the first condominium to be launched near the Jurong East MRT Station in 10 years. All 738 units of the project were snapped up at the weekend at S$1,450 to S$1,650 psf.

Source – Today – 3 Jul 2013

Comments Off on Home buyers flock to suburbs

Posted in Property Market / Real Estate

Tagged , , , , , , , , , , , ,