Singapore Residential Property | Lush Dream Home

Tag Archives: Singapore Residential Property

More condo units returned in 2013

Posted on 30 Jul 2013 | Comments Off

The number of Singapore buyers choosing to return their private property units has been rising throughout 2013, although there seems to be a variety of reasons why people opt to forfeit 1.25 percent of the purchase price.

Last month saw 97 units returned to developers according to published data from SquareFoot Research. That number, although high, remained below the April year-to-date record of 152 units.

According to the study, the project seeing the highest number of returned units was Stratum with 18, although the developer denied that number was correct, adding that a total of 16 units were returned over the course of a two-month period – and a further two units were exchanged.

The developer suggested that buyers may have taken the decision to return their units for a variety of reasons, including changing their minds and opting for a more suitable unit, or realising they would be unable to obtain financing for their purchase.

Other developments seeing multiple returned units last month, according to the research, included The Lanai (2), Canberra (5), La Fiesta (2), Jade Residences (2), Midtown Residences (5), Cambio Suites (2), Whitehaven (4), Newest (6), Twin Fountains (6), Corals at Keppel Bay (9) and Kap Residences (7).

Seven units were also returned by buyers of CityLife@Tampines.

A spokesperson for the developer told PropertyGuru: “All seven units which were returned happened because the buyers subsequently discovered they did not meet the qualifying criteria to buy an executive condo under current Housing Development Board (HDB) rules.”

The spokesperson added that all seven had since been sold to other buyers.

Far East Organization’s luxury development Ferra also saw three units returned during June, with a spokesperson clarifying: “I can confirm that the number of Ferra units sold as of mid-May was 8. As of July 29 the number of Ferra units sold is five.”

The spokesperson declined to provide further details or reasons why units were returned.

SquareFoot’s Research shows a direct correlation between property prices and the number of returned units for more than five years, although no official data exists for the precise numbers, or reasons they are being forfeited.

Property Guru – 30 Jul 2013

Comments Off on More condo units returned in 2013

Posted in Property Market / Real Estate

Tagged Housing Development Board, Private property, Singapore Property, Singapore Residential Property

No sign of foreign buying law changes

Posted on 18 Jul 2013 | Comments Off

Restrictions for international property buyers and investors who want to buy property in the Asia-Pacific region are unlikely to be lifted in the near future, according to Knight Frank’s latest review of property markets in the region.

Although the number of cross-border residential property transactions has increased over the last few years, the rapid rise in residential house prices has resulted in policymakers in the region taking more protectionist stances as domestic affordability becomes an issue.

The additional buyers stamp duties in Hong Kong and Singapore are good examples, as are the proposed additional taxes for foreign buyers in the Johor state of Malaysia. Mainstream property prices in Hong Kong, China and Malaysia have increased by 28 percent, 23.8 percent and 6 percent respectively over the last year ending Q1 2013.

Knight Frank noted that while certain countries have not been open to foreign ownership of property, overseas buyers in Japan, South Korea and New Zealand should face no significant barriers to home ownership.

The issue of land ownership is seen as being especially sacred in many countries, and not something that can be given over to foreign hands, the agency reported.

“Other countries try to strike a balance between giving domestic citizens an affordable stake in their country, while offering the possibility of property ownership to attract foreign talent who make an economic contribution to the country,” said Nicholas Holt, Knight Frank’s Asia Pacific Research Director.

“Indeed, many countries allow foreign residents permission to buy property that would not be accorded them if they lived overseas. This is the case in the two giants of the region, China and India whose respective ownership regulations allow resident foreign purchasers the possibility to buy property.”

In Singapore, foreign purchasers are permitted to access to the private non-landed market freely, although this accounts for only around 17 percent of the total existing housing stock. Landed property however is more difficult to access for foreign buyers, with a number of hurdles having to be faced before a purchaser could even be considered.

Elsewhere, Australia’s policy of allowing foreign purchasers into the new build or land market, so as not to crowd out domestic purchasers in the resale market has limited the numbers of foreign purchasers, although it has provided developers with an incentive to target offshore interest.

Source – PropertyGuru – 18 2013