View Full Version : HDB crash is coming! ~ Spike in number of HDB flats sold below valuation
The number of Housing Board flats being sold below valuation has rocketed, as tighter mortgage rules eat into demand.
According to HDB's latest figures, 105 units were sold in October for less than their appraisal. This accounted for 7 per cent of the total resale volume, a marked increase on the average 0.3 per cent for each month of the first half of the year.
This means around four times as many flats were sold below valuation in October alone than over the whole of January to June, when there was an average of five such transactions every month.
This has forced sellers, such as assistant manager Raymond Koh, 37, to adjust expectations.
http://www.straitstimes.com/breaking-news/money/story/spike-number-hdb-flats-sold-below-valuation-20131202
That HDB prices in Punggol drop does not mean prices in other places will also drop like that.
That HDB prices in Punggol drop does not mean prices in other places will also drop like that.
but 1 or 2 mths ago, alrdy heard some lousy location selling at valuation/slightly below valuation liao leh. now seems like the magnitude is wider!
thomastansb
02-12-13, 10:17
But other areas will have to give in sooner or later. Imagine you market your unit for 2 months and not a single call. Some are second time buyers who have only 6 months to dispose their HDB.
That HDB prices in Punggol drop does not mean prices in other places will also drop like that.
let's wait and see. my viewpoint is that only prices in areas with oversupplies will drop observably.
let's wait and see. my viewpoint is that only prices in areas with oversupplies will drop observably.
haiz ... u got fwens wanting to sell their hdb onot? I hv heard so many woes lately liao. n some hv high floor flats near mrt & amenties wor ... but no one offered.
I have only one hdb how to sell, is not like pte condo, ...can buy back again..
I have only one hdb how to sell, is not like pte condo, ...can buy back again..
those hdb sellers r mostly pc or ec upgraders, whereby they hv no choice nid to sell desperately as the condo top le.
Too bad , hdb cannot rent out without getting permission:D
hdb owners shout lar, shout not fair, shout condo crash lar.
偷鸡不招十把米:p
Too bad , hdb cannot rent out without getting permission:D
permission is only req'd if u intend to sublet the whole flat, otherwise subletting of rooms nia no prob one.
hdb owners should lar, should not fair, should condo crash lar.
if hdb crash jialat jialat, mass condo will get the greatest hit. small crash possible wor...
haiz ... u got fwens wanting to sell their hdb onot? I hv heard so many woes lately liao. n some hv high floor flats near mrt & amenties wor ... but no one offered.
I hear many buyers are holding back in anticipation of further price drop. This is what happens when sentiment turns, all the demand goes hiding precipitating further drop.
I hear many buyers are holding back in anticipation of further price drop. This is what happens when sentiment turns, all the demand goes hiding precipitating further drop.
if I were a potential hdb buyer, I will oso wait for 1/2 yr more at least.
lower/no cov will affect future valuation.
it certainly pays to wait unless u r incurring rental exp rite now.
if hdb crash jialat jialat, mass condo will get the greatest hit. small crash possible wor...
Agree that the ripple effect will spill over to condo. Those who MTB, your chance coming le.
this situation should be good for hdb rental market.
a lot of EC in northeast region TOP in 1-2yrs times and with their ridiculously high valuation compared to other regions, it is post for a slight drop as owner still earn and they are worried that when their EC TOP, there are more sellers....therefore, quite a number I know already sold their flat and are renting till their EC TOP...
look into the situation before u guys become so paranoid and shouting crashing la...this is temp and is a good chance for real buyer to watch out for good deals. :)
:2cents:
haiz ... u got fwens wanting to sell their hdb onot? I hv heard so many woes lately liao. n some hv high floor flats near mrt & amenties wor ... but no one offered.
No. according to my casual talk with my HDB neighbors, I have not heard any one wanting to sell their HDB. as a matter of fact, we have met our MOP in February, but until today, I have not seen any transaction in my block.
No. according to my casual talk with my HDB neighbors, I have not heard any one wanting to sell their HDB. as a matter of fact, we have met our MOP in February, but until today, I have not seen any transaction in my block.
u missed my point le.
Im not asking if yr hdb fwens intend to sell their hdbs; Im saying u see how easy it is for those hdb dwellers who nid to sell their hdb nowadays.
Agree that the ripple effect will spill over to condo. Those who MTB, your chance coming le.
many seem to underestimate the ripple effect from hdb to mass condo.
gd luck to those developers who still dare to bid high high for mass condos.
who cares if u hv gotten yr land costly?
as long as a buyer is kiap by tdsr n absd, u earn marginal nia they oso wun buy if u cannot price yr proj at an affordable quantum.
Too bad , hdb cannot rent out without getting permission:D
hdb owners shout lar, shout not fair, shout condo crash lar.
偷鸡不招十把米:p
偷鸡不着蝕把米
现代人的华文真是—落千丈
this situation should be good for hdb rental market.
a lot of EC in northeast region TOP in 1-2yrs times and with their ridiculously high valuation compared to other regions, it is post for a slight drop as owner still earn and they are worried that when their EC TOP, there are more sellers....therefore, quite a number I know already sold their flat and are renting till their EC TOP...
look into the situation before u guys become so paranoid and shouting crashing la...this is temp and is a good chance for real buyer to watch out for good deals. :)
:2cents:
selling off yr hdb n rent while waiting for ec top is the best option meh? it is not any better sia! :doh:
ec/pc upgrader is only given 1/2 grace period to get rid of their hdb.
wat is gg to happen if after 6 mths still unable to sell?
this is because the location, i.e. Punggol, sucks!! no matter how much the government tried to whitewash it, the fact remains that punggol is far flung away in a corner of the island
Haha, bro, u also miss the pt. I didn't say sell their hdb first and rent till their EC TOP is a good option...I say this is temporary...even for the below valuation thingy, also temporary. Watch out for the turning pt. Could last as long as two qtr...maybe even shorter.:):2cents:
Wa u change a lot of identities but your tone is still same, u switch here switch there u not tired??...:o
selling off yr hdb n rent while waiting for ec top is the best option meh? it is not any better sia! :doh:
ec/pc upgrader is only given 1/2 grace period to get rid of their hdb.
wat is gg to happen if after 6 mths still unable to sell?
偷鸡不着蝕把米
现代人的华文真是—落千丈
Thank you....pai sei:D
Haha, bro, u also miss the pt. I didn't say sell their hdb first and rent till their EC TOP is a good option...I say this is temporary...even for the below valuation thingy, also temporary. Watch out for the turning pt. Could last as long as two qtr...maybe even shorter.:):2cents:
I din say tat u said, Im juz commenting tat wat the hdb owners did to prevent a low selling $ n desperate sell did not resulted in a better margin for them.
Wa u change a lot of identities but your tone is still same, u switch here switch there u not tired??...:o
I oni change my identity once. if u find tonnes of similar tones, tat means u mistaken me for someone else liao.
btw, I oni change my identity, I din change my gender. Im still a sista, haha :D
this is because the location, i.e. Punggol, sucks!! no matter how much the government tried to whitewash it, the fact remains that punggol is far flung away in a corner of the island
worse part is punggol is expensive :47:
worse part is punggol is expensive :47:
i don't think only punggol is expensive. over the weekend, i was discussing with my mum about our old place at bedok, which is behind the stadium and not near bedok or tanah merah MRT at all.
guess what, a 35year old 3room resale flat was transacted at $340k recently!!!!!!! i bought my telok blangah 4rm flat in 2004 for $240+k.
:scared-5::scared-5::scared-5: i dread for my kids' future.
i don't think only punggol is expensive. over the weekend, i was discussing with my mum about our old place at bedok, which is behind the stadium and not near bedok or tanah merah MRT at all.
guess what, a 35year old 3room resale flat was transacted at $340k recently!!!!!!! i bought my telok blangah 4rm flat in 2004 for $240+k.
:scared-5::scared-5::scared-5: i dread for my kids' future.
how can u compare a resale flat in 2013 wif yr 4rm purchased (dunno if it is bto) in 2004 sia!!! :doh:
selling off yr hdb n rent while waiting for ec top is the best option meh? it is not any better sia! :doh:
ec/pc upgrader is only given 1/2 grace period to get rid of their hdb.
wat is gg to happen if after 6 mths still unable to sell?
my defination of upgrading is to be able to buy a PC yet keep your HDB else dont bother.:D
my defination of upgrading is to be able to buy a PC yet keep your HDB else dont bother.:D
tat is not upgrade, is became richer.
upgrade involves replacing the current wif something better.
tat is not upgrade, is became richer.
upgrade involves replacing the current wif something better.
like i said, that is my defination. i belong to the conservative party.:D
how can u compare a resale flat in 2013 wif yr 4rm purchased (dunno if it is bto) in 2004 sia!!! :doh:
ge ge, i'm just using it to explain that it ain't only expensive in punggol. everywhere's expensive!
Too bad , hdb cannot rent out without getting permission:D
hdb owners shout lar, shout not fair, shout condo crash lar.
偷鸡不招十把米:p
they get wat they want mah.. Housing slow down. but then they will kpkb again…coz other people should slow down but theirs must go UP UP UP n away….
need to remind them many people keep saying HDB evil mah. HDB is for stay not investment!!!
So I think better drop to ZERO. besets!!! KOOT!! AH!
ge ge, i'm just using it to explain that it ain't only expensive in punggol. everywhere's expensive!
everywhere can be expensive; but not everywhere is worthwhile ;)
tat is not upgrade, is became richer.
upgrade involves replacing the current wif something better.
Based on your definition, not many HDB-dwelling buyers are upgraders.
Actaully it is true. HDB dwellers who get used to spacious units won't like cramped PCs. Therefore, most likely, they buy MM for investment purpose.
everywhere can be expensive; but not everywhere is worthwhile ;)
worth and value is another topic in itself. see why people are bombarding a certain 'R' moron
Based on your definition, not many HDB-dwelling buyers are upgraders.
Actaully it is true. HDB dwellers who get used to spacious units won't like cramped PCs. Therefore, most likely, they buy MM for investment purpose.
it is not my definition, it is the definition of the word upgrade.
up·grade (pgrd)
v. up·grad·ed, up·grad·ing, up·grades
1. To raise to a higher grade or standard: .
2. To improve the quality of (livestock) by selective breeding for desired characteristics.
3. Computer Science
a. To replace (a software program) with a more recently released, enhanced version.
b. To replace (a hardware device) with one that provides better performance.
v.intr.
1. To exchange a possession for one of greater value or quality; trade up.
Most people still think at present HDB price is still expensive.
So the govt has made the right thing to bring down HDB resale prices.
It is not easy to psychologically change the buying momentum which lead to
price increase from the past years....especially with the "kiasuism" in Singapore.
I think the downtrend will continue for long time...maybe for 2 years.
Any relaxing of cooling measures will cause setback and change the momentum psychologically.
Most people still think at present HDB price is still expensive.
So the govt has made the right thing to bring down HDB resale prices.
It is not easy to psychologically change the buying momentum which lead to
price increase from the past years....especially with the "kiasuism" in Singapore.
I think the downtrend will continue for long time...maybe for 2 years.
Any relaxing of cooling measures will cause setback and change the momentum psychologically.
just to be clear, HDB resale prices have not declined in general. while there are incidences of sales transacting at prices below valuation, these are the minority. till now, we can only be sure that COVs have dropped.
Most people still think at present HDB price is still expensive.
So the govt has made the right thing to bring down HDB resale prices.
It is not easy to psychologically change the buying momentum which lead to
price increase from the past years....especially with the "kiasuism" in Singapore.
I think the downtrend will continue for long time...maybe for 2 years.
Any relaxing of cooling measures will cause setback and change the momentum psychologically.
yeah, removing the CMs oso set a wrong impression tat the price is not exp liao & many will rush into the market n buy as a result.
I tink wif a increasing population, it is quite unlikely tat CMs will be relaxed.
just to be clear, HDB resale prices have not declined in general. while there are incidences of sales transacting at prices below valuation, these are the minority. till now, we can only be sure that COVs have dropped.
Its true that price have not decline in general.
But I'm looking at the govt direction. It is clear that the govt wants the price to
go down. But at what level...nobody knows.
The govt policy will not be a flip flop one.
If at anytime the public may seem panic and talking about a severe price drop,
it does mean that the govt shared the same sentiment.
The govt may continue to let the price drop because they have already set an objectiv before they set the cooling measures.
blackjack21trader
02-12-13, 14:26
I din say tat u said, Im juz commenting tat wat the hdb owners did to prevent a low selling $ n desperate sell did not resulted in a better margin for them.
I oni change my identity once. if u find tonnes of similar tones, tat means u mistaken me for someone else liao.
btw, I oni change my identity, I din change my gender. Im still a sista, haha :D
WHAT ? THEN YOU TOLD ME U A GUY ???!!!!
Its true that price have not decline in general.
But I'm looking at the govt direction. It is clear that the govt wants the price to
go down. But at what level...nobody knows.
The govt policy will not be a flip flop one.
If at anytime the public may seem panic and talking about a severe price drop,
it does mean that the govt shared the same sentiment.
The govt may continue to let the price drop because they have already set an objectiv before they set the cooling measures.
the govt had always stated they want prices to stabilize and not crash the market. apart from affecting HDB owners, drastic price cuts will hit banks and HDB too.
all the CMs did was to eliminate speculation and make sure buyers don't overleverage themselves. if the govt truly wants to crash the market, all it needs to do is to sell new HDB flats at $150-200k. don't even need that many CMs
the govt had always stated they want prices to stabilize and not crash the market. apart from affecting HDB owners, drastic price cuts will hit banks and HDB too.
they dun wan to crash the mkt but they still wan the $ to moderate slightly, not merely to sustain it.
I tink even if they expect price to down by say 10%-15% is oso not too unreasonable.
WHAT ? THEN YOU TOLD ME U A GUY ???!!!!
I mean Im a sissy ok :p
they dun wan to crash the mkt but they still wan the $ to moderate slightly, not merely to sustain it.
I tink even if they expect price to down by say 10%-15% is oso not too unreasonable.
let's see if HDB start selling new flats below valuation. till date, they have never done so.
let's see if HDB start selling new flats below valuation. till date, they have never done so.
wat is the proper valuation of new bto in the 1st place? or rather, does it exist in the 1st place?
even if u try to compare wif previous release, it may not be comparable.
wat is the proper valuation of new bto in the 1st place? or rather, does it exist in the 1st place?
even if u try to compare wif previous release, it may not be comparable.
ah!!!! wise question!! who does the valuation in the first place? in the past, it's done by HDB officers. now, property agencies can do the work too.
taking a step back further, what's the price equation and pricing strategy of HDB? till now, HDB has resisted repeated calls for transparency
ah!!!! wise question!! who does the valuation in the first place? in the past, it's done by HDB officers. now, property agencies can do the work too.
taking a step back further, what's the price equation and pricing strategy of HDB? till now, HDB has resisted repeated calls for transparency
I rather one dun depend on hdb's valuation!
it is so ridiculous! :doh:
sold at or slightly below valuation still make smelly smelly $200k (at least) profit
huat ah!!!
I rather one dun depend on hdb's valuation!
it is so ridiculous! :doh:
ah, the problem is you can't! at least in the matrix, you have the choice of taking the red or blue pill.
let me use an analogy. in town raspberry, there is only one bakery and it is owned by me. you want cakes and bread, you have no other choice to buy from me.
monday, i decide my wholemeal bread shall be sold at $1.00 and customers buy.
tuesday, i decide my wholemeal bread shall be sold at $1.20 and customers buy, though grudgingly.
wednesday, i decide that i need more money for my year-end vacation and my wholemeal bread goes for $1.50. customers bo bian, still have to buy.
then some customers itchy backside and start asking how i price my bread. guess what? i tell them it's being sold at valuation and in fact, i 'lose' money by selling to them at $1.50. well, nobody knows how much i bought my flour, egg, labor, rent and machinery for.
come thursday, guess what? the customers are still back for my bread
sold at or slightly below valuation still make smelly smelly $200k (at least) profit
huat ah!!!
tat is when u buy bto leh.
imagine those who paid for the 1 mil flat.
do u tink they can still earn a profit bo?
ah, the problem is you can't! at least in the matrix, you have the choice of taking the red or blue pill.
let me use an analogy. in town raspberry, there is only one bakery and it is owned by me. you want cakes and bread, you have no other choice to buy from me.
monday, i decide my wholemeal bread shall be sold at $1.00 and customers buy.
tuesday, i decide my wholemeal bread shall be sold at $1.20 and customers buy, though grudgingly.
wednesday, i decide that i need more money for my year-end vacation and my wholemeal bread goes for $1.50. customers bo bian, still have to buy.
then some customers itchy backside and start asking how i price my bread. guess what? i tell them it's being sold at valuation and in fact, i 'lose' money by selling to them at $1.50. well, nobody knows how much i bought my flour, egg, labor, rent and machinery for.
come thursday, guess what? the customers are still back for my bread
tat's y the moral is, y eat bread when u noe tat it is being monopolised? :D
Its true that price have not decline in general.
But I'm looking at the govt direction. It is clear that the govt wants the price to
go down. But at what level...nobody knows.
The govt policy will not be a flip flop one.
If at anytime the public may seem panic and talking about a severe price drop,
it does mean that the govt shared the same sentiment.
The govt may continue to let the price drop because they have already set an objectiv before they set the cooling measures.
By hook or by crook, the Govt have to achieve their objective before the next election. "The people" have complained about the escalating prices of HDBs. Don't complain now that HDB prices moderate or drop, OK?
tat's y the moral is, y eat bread when u noe tat it is being monopolised? :D
u mean there's another alternative supplier of bread or in our case, public housing?
u mean there's another alternative supplier of bread or in our case, public housing?
yup in tis case, bread fm confectionery if u dun wan to be a victim of the supermarket pricing.
but then again, not everyone can afford such exp bread.
so i decide to go for condo iso hdb.
yup in tis case, bread fm confectionery if u dun wan to be a victim of the supermarket pricing.
but then again, not everyone can afford such exp bread.
so i decide to go for condo iso hdb.
eh in our world, prices of bread from duke's confectionery and gardenia softmeal bread are intricately linked.
softmeal bread prices go up, atas bread prices go up too
There is a yield premium in terms of owning a HDB vs. a PC. Its yield is at least 1% higher than a PC. We also know that one cannot simply go out and buy a HDB. You are only likely to own it if it is your first property. However, the downside of a HDB is that you cannot refinance it fully (i.e. getting another 80% LTV). You can realize the value only by selling it first. In my view, HDB is like a blue chip which pay high dividends. Every investor needs to have a diversified portfolio and a HDB will be a prized component. The appreciation of a HDB is limited but is rewarded by its higher yield. Selling it or forgoing one's chance to possibly own one is not a financially rational decision. Emotionally, yes! Everyone loves to live in a swanky new condo. Thus, if the price is high or low should not be a major factor in deciding if one should sell. The key consideration is how to find alternative solutions and hang on to this blue chip.
Agreed with you buy HDB when you are young. Buy a 3 room HDB..then fully pay up..buy a small 2 bedroom condo.....then fully pay up....but a terrace house...fully pay up...then buy a iskandar property......move over to live......and use the rental from the 3 property to finance your iskandar property....then fully pay up.....buy property in NZ to retire........finance from the 4 property in Sin-Ma..:cheers1:
Kiang de hor mai kay kiang .. property tax for those not dwelling is up to how many percent very soon ? u zai bo the figure?
typical example.....
http://forums.condosingapore.com/showthread.php?t=19645&page=9
:D:D
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