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Reporter

26-11-09, 14:24

http://www.mypaper.com.sg/images/mypaper-logo.gif
Property prices at record high
Koh HuiTheng
我报
Thursday, 26 Novemeber 2009

Property prices in Singapore jumped an all-time record 14.3% in the third quarter, in tandem with the rise in prices elsewhere, according to some of the latest global data.

However, property experts here say the steep rise in housing prices is unlikely to continue, thanks to a slew of government-introduced measures to prevent the market from overheating.

Quarter-on-quarter house price changes in Singapore, Britain, Canada, Germany and South Africa are back in positive territory after the financial crisis, according to Global Property Guide's latest data.

In the third quarter, price rises have occurred in 16 countries, and fell in only 11, of the 27 countries that have published their latest quarterly figures.

Market overheating is as much a concern in Singapore as in Hong Kong, the Guide says.

However, despite the quarterly jump in Singapore, prices are still down 11% over the year, according to the Guide's calculations.

The Guide's data reflects price changes after inflation, giving a more realistic picture than the more upbeat nominal figures usually preferred by real-estate agents.

The fact that housing markets are recovering in real terms is significant, as dramatic declines in property markets are typically followed by a period in which house prices are static in nominal terms, but decline in real terms.

However, the world seems polarised between the Asian economies - which are enjoying strong economic growth and high residential-property price rises (except in Thailand) - and Eastern Europe and the United Arab Emirates, where growth has stalled and property markets have crashed.

Even there, figures for the latest quarter offer hope.

The driver of world economic growth, the United States, appears to be in positive territory as well: its Q3 house-price changes were up nominally by 3.1%, according to the Case-Schiller index, or up 1.2% after inflation.

In nominal terms, the Case-Schiller index recorded an 8.9% decline in the year to Q3, a marked improvement over the 14.7% decline in the year to Q2, and the 19% drop in year to Q1.

Similar recoveries can also be seen elsewhere in the Asia-Pacific region.

Australia's housing markets were up 4.9 % year-on-year to Q3 this year. Darwin had the highest price increase among Australia's eight capital cities, followed by Melbourne and Canberra.

The upsurge appears to have been partly fuelled by a genuine housing supply shortage. Key interest rates in Australia are now on the rise.

New Zealand experienced a more modest increase of 2% over the year to Q3 this year. Median sales prices in New Zealand are now back at levels seen in the middle of last year.

Hong Kong's housing market, meanwhile, has entered a phase of irrational exuberance.

House prices there rose by 3.1% over the year to Q3, a significant improvement from the 7% year-on-year decline ending Q2. In the 3 months to September, house prices jumped 11.1%.

Britain, Canada, Germany, and South Africa have seen increases in the third quarter, after declines in every quarter since last year.

In Britain, house prices were up 3.4% in the third quarter, according to Nationwide, and 2.1%, according to the Land Registry. In fact, British house prices have been rallying since May.

Canada, Germany and South Africa saw modest increases of less than 1% in Q3.

Meanwhile, investors in Dubai, UAE, have something to be optimistic about: Dubai's nominal house-price index increased 7% in the third quarter, a significant improvement from an 8% fall in Q2.

As for the Singapore market, some say prices may have already peaked. Mr Donald Han, managing director of real-estate brokers Cushman & Wakefield, noted that mass-market prices are already hovering at peak levels, aided by active pick-up in residential activity for the mid to low-end properties.

Sell-out launches of private condos The Caspian near Jurong Lake and Alexis near Queenstown MRT station in Q1 show that confidence and liquidity have returned to the marketplace.

"But Q3 prices have gone up too fast, in too short a time," he warned. "The steep V-shaped recovery cannot be sustained. The market needs a breather."

To cool the real-estate market, the Government scrapped interest-only housing loans and the interest-absorption scheme in September.

Earlier this week, the Housing Board announced that it expects to offer between 10,000 and 12,000 flats every year over the next five years to meet growing demand.

More government land will also be released for development.

This is why PropNex's chief executive, Mr Mohamed Ismail, expects housing demand and price increases to continue "in a subdued manner" of 2-3% in the next two quarters.

But there could be more buzz for luxury properties priced above $2,200 psf.

Said Mr Han: "Top-end prices can go up by 25%, as high-end investors look for bargains in Districts 9, 10, 11, Sentosa Cove and the Marina Bay areas."

He also expects prices to climb 11% for high-end units (priced between $1,500 and $2,000 psf) and 7% for mid-tier ones.

azeoprop

26-11-09, 21:28

azeoprop,

千金难买早知道！

Anyway, we would prbably be too young and just started out our career then... ... unless you are born with a golden spoon or strike toto big time but never invest lah....

No lost lah... :)

Thanks, yah now taking one step at a time, saving money to prepare for paying the housing loan. :)

jlrx

26-11-09, 23:59

Said Mr Han: "Top-end prices can go up by 25%, as high-end investors look for bargains in Districts 9, 10, 11, Sentosa Cove and the Marina Bay areas."

He also expects prices to climb 11% for high-end units (priced between $1,500 and $2,000 psf) and 7% for mid-tier ones.

Top-end prices have no limit, unlike mass-market condos whichs' rise can be blocked by the Straits Times Forum Complainers.

The Straits Times Forum Complainers, despite possessing extremely moral high grounds above Mount Everest, have yet to pen a letter explaining why the Government should rein in top-end properties to make it affordable for them.

bargain hunter

27-11-09, 12:36

Hang seng loses 3%+. Dubai pok kai.

Dubai Debt Delays Revive Fear of Financial Crisis

Investors recoiled from risky assets on Friday and dumped shares in Asian banks and builders, fearing a Dubai debt default could reignite the financial turmoil of the credit crisis.

Stocks in Tokyo and Hong Kong were haunted by suspicion of lenders' exposure to the Dubai firms that built palm-frond shaped islands in the Gulf and planned cities from

The emirate, which emerged from dusty obscurity to became a trading and tourism hub with global ambitions, said on Wednesday it would ask creditors of state-owned Dubai World and Nakheel to agree to a standstill on billions of dollars of debt as a first step towards restructuring.
Dubai World, the conglomerate that led the emirate's expansion, had $59 billion of liabilities as of August, a large proportion of Dubai's total debt of $80 billion. Nakheel was the builder of three palm shaped islands off Dubai.
The news shook markets that are recovering from the collapse of the U.S. housing market and contagion that threatened to rupture the global financial system last year.
"The panic button's been hit again," said Francis Lun, general manager of Fulbright Securities.
Analysts expect financial support from Abu Dhabi, like Dubai a member of the United Arab Emirates and home to most of the emirates' oil. But Dubai might have to abandon an economic model that focused on heavy real estate investment and inflows of foreign money and labour.
Banks Shares Slump
Shares in HSBC Holdings dropped more than 7 percent and Standard Chartered fell 6 percent. The London listed shares of the two lenders led the biggest tumble in European bank stocks in six months on Thursday.
"If this eventually becomes an issue that affects the banks, once again it will put in doubt their capacity to start lending, which is a key factor in all the strategies to reactivate economies," said Carlos Ponce, head of equity strategy at brokerage IXE in Mexico City.
Exposure to Dubai World could be as high as $12 billion in syndicated and bilateral loans, including existing loans for Nakheel and Istithmar, an investment arm of Dubai's government, banking sources told Thomson Reuters LPC.
The Dubai crisis could have a "meaningful impact" on banks across Asia, said Daniel Tabbush, Asia banks analyst at CLSA in Bangkok, listing Standard Chartered, HSBC and Singapore's DBS Group as the most exposed in the region.
DBS shares were not traded due to a market holiday in Singapore.

Builders took a beating from Seoul to Sydney on concern that money due from Dubai's grandiose construction projects,
including the world's tallest building, would not be paid.
Australian construction firm Leighton Holdings said on Friday it was owed money on a few separate Dubai building projects, but that it was confident of recovering the money. The stock fell more than 3.5 percent.
Property Bubble
Dubai's debt problems are a hangover from a property bubble that imploded after the financial crisis derailed its plans to become a magnet for tourists and a regional hub for everything from financial services to media and entertainment.
The delays in debt payments and the risks that posed to a global financial system already battered by bank failures in Europe and the United States, raised fears of a new wave of market turmoil.
"Similar stories to the one in Dubai are likely to come out, leading risk money to pull out from assets such as commodities and stocks," said Takahiko Murai, general manager of equities at Nozomi Securities in Japan.
Japan's top bank Mitsubishi UFJ Financial Group slipped as Japan's Nikkei average struck a four-month low. It also came under under pressure from weak exporters after the dollar hit a fresh 14-year low against the yen.
The Australian and New Zealand dollars retreated.
Oil extended Thursday's decline and fell below $76 a barrel. Shanghai copper and Chicago grains each dropped around 2 percent.
Dubai tried to revive confidence by saying on Thursday its profitable DP World, which runs 49 ports around the world, would not be involved in the restructuring.
DP World, which has $3.25 billion outstanding in bonds, is majority owned by Dubai World but has shares listed on NASDAQDubai.
If creditors reject proposals to postpone near-term debt obligations until May 2010, the Dubai government could be forced to hold a firesale of its international real estate.

echotrain

27-11-09, 13:21

I know this is a property forum and not ghost forum ...

But did you all see ??? ... gasp :scared-4: gaSP :scared-4: GASP!!! :scared-4: ... choke :eek: choKE :eek: CHOKE!!! :eek: ...

http://www.happyhorror.com/pix/Sadako-from-Ringu-on-DVD-Ghost-Girl-Japanese-Horror-Movie-Anthology.jpg

Ghost ... I mean Gold has just reached US$1185 / oz !!!

I do not have as much invested in gold as in properties, but it's really very very scary ...

I suspect ... the USA is trying to force its currency to ZERO so as to clear off its national debt to creditor nations like China and Japan !!!

Once the US dollar reaches ZERO, then the USA doesn't owe China (or the World) anything anymore ...

I think everyone is beginning to suspect that's what the USA is trying to do (while at the same time proclaiming its "strong dollar policy") and now everyone is beginning to move its reserves out of the US dollar into alternative assets ...

This may be the beginning of the GREAT STAMPEDE !!!

Yup... more money flowing into commodities, property and stocks. Hang on to your properties guys. I see serious inflation coming down the line.

kali-yuga

27-11-09, 14:14

Sorry for the double post.

kali-yuga

27-11-09, 14:15

Quite correctly guess that if anyone is to post this piece of news, it will have to be you.

But more importantly, for any brother whom is in the global conference call on Dubai World & Nakheel yesterday, its hard to miss the fear that the worst is yet to come omen (so much uncertainty, so few details, and there will be no update for the creditors till 6th Dec, which is a huge info vacuum)

However, I will not be surprised that the rest of the guys here will be partying like (what they have said) Christmas of 2006.

Hang seng loses 3%+. Dubai pok kai.

Dubai Debt Delays Revive Fear of Financial Crisis

Investors recoiled from risky assets on Friday and dumped shares in Asian banks and builders, fearing a Dubai debt default could reignite the financial turmoil of the credit crisis.

Stocks in Tokyo and Hong Kong were haunted by suspicion of lenders' exposure to the Dubai firms that built palm-frond shaped islands in the Gulf and planned cities from

The emirate, which emerged from dusty obscurity to became a trading and tourism hub with global ambitions, said on Wednesday it would ask creditors of state-owned Dubai World and Nakheel to agree to a standstill on billions of dollars of debt as a first step towards restructuring.
Dubai World, the conglomerate that led the emirate's expansion, had $59 billion of liabilities as of August, a large proportion of Dubai's total debt of $80 billion. Nakheel was the builder of three palm shaped islands off Dubai.
The news shook markets that are recovering from the collapse of the U.S. housing market and contagion that threatened to rupture the global financial system last year.
"The panic button's been hit again," said Francis Lun, general manager of Fulbright Securities.
Analysts expect financial support from Abu Dhabi, like Dubai a member of the United Arab Emirates and home to most of the emirates' oil. But Dubai might have to abandon an economic model that focused on heavy real estate investment and inflows of foreign money and labour.
Banks Shares Slump
Shares in HSBC Holdings dropped more than 7 percent and Standard Chartered fell 6 percent. The London listed shares of the two lenders led the biggest tumble in European bank stocks in six months on Thursday.
"If this eventually becomes an issue that affects the banks, once again it will put in doubt their capacity to start lending, which is a key factor in all the strategies to reactivate economies," said Carlos Ponce, head of equity strategy at brokerage IXE in Mexico City.
Exposure to Dubai World could be as high as $12 billion in syndicated and bilateral loans, including existing loans for Nakheel and Istithmar, an investment arm of Dubai's government, banking sources told Thomson Reuters LPC.
The Dubai crisis could have a "meaningful impact" on banks across Asia, said Daniel Tabbush, Asia banks analyst at CLSA in Bangkok, listing Standard Chartered, HSBC and Singapore's DBS Group as the most exposed in the region.
DBS shares were not traded due to a market holiday in Singapore.

Builders took a beating from Seoul to Sydney on concern that money due from Dubai's grandiose construction projects,
including the world's tallest building, would not be paid.
Australian construction firm Leighton Holdings said on Friday it was owed money on a few separate Dubai building projects, but that it was confident of recovering the money. The stock fell more than 3.5 percent.
Property Bubble
Dubai's debt problems are a hangover from a property bubble that imploded after the financial crisis derailed its plans to become a magnet for tourists and a regional hub for everything from financial services to media and entertainment.
The delays in debt payments and the risks that posed to a global financial system already battered by bank failures in Europe and the United States, raised fears of a new wave of market turmoil.
"Similar stories to the one in Dubai are likely to come out, leading risk money to pull out from assets such as commodities and stocks," said Takahiko Murai, general manager of equities at Nozomi Securities in Japan.
Japan's top bank Mitsubishi UFJ Financial Group slipped as Japan's Nikkei average struck a four-month low. It also came under under pressure from weak exporters after the dollar hit a fresh 14-year low against the yen.
The Australian and New Zealand dollars retreated.
Oil extended Thursday's decline and fell below $76 a barrel. Shanghai copper and Chicago grains each dropped around 2 percent.
Dubai tried to revive confidence by saying on Thursday its profitable DP World, which runs 49 ports around the world, would not be involved in the restructuring.
DP World, which has $3.25 billion outstanding in bonds, is majority owned by Dubai World but has shares listed on NASDAQDubai.
If creditors reject proposals to postpone near-term debt obligations until May 2010, the Dubai government could be forced to hold a firesale of its international real estate.

bargain hunter

27-11-09, 15:10

haha. i don't have the more detailed financial news feeds like you do so will have to post based on publicly available news like from CNBC. i was saying christmas of 2007 but got laughed at hee.

Quite correctly guess that if anyone is to post this piece of news, it will have to be you.

But more importantly, for any brother whom is in the global conference call on Dubai World & Nakheel yesterday, its hard to miss the fear that the worst is yet to come omen (so much uncertainty, so few details, and there will be no update for the creditors till 6th Dec, which is a huge info vacuum)

However, I will not be surprised that the rest of the guys here will be partying like (what they have said) Christmas of 2006.

jlrx

27-11-09, 16:34

Yup... more money flowing into commodities, property and stocks. Hang on to your properties guys. I see serious inflation coming down the line.

If this Dubai thing blows up, Obama will have to crank up his money printing machine even more.

http://www.marketoracle.co.uk/images/obama-money.jpg

This whole cycle is going to be repeated. :cheers1:

I guess that's how fiat currency ends up being worth nothing.

Reporter

27-11-09, 16:55

http://media.ft.com/cms/6f68385c-882a-11da-a25e-0000779e2340.gif
Fear pushes U.S. government debt interest rates negative
Michael Mackenzie
Financial Times
New York, New York, U.S.
Tuesday, 24 November 2009, 19:19 U.S. EST

http://www.ft.com/cms/142251aa-d92d-11de-b2d5-00144feabdc0.jpg

Negative interest rates are back. Yields on short-term US government debt have fallen into negative territory as banks and investors park their cash in havens before the end of the year.

Strong demand for US Treasury bills, US government debt with durations of 1 year or less, suggests that dislocation and fear still pervade the financial system as institutions and investors show they are willing to forgo interest income completely or even take a small loss to own securities considered safe.

In the bond market, analysts say the heightened demand for short-term government debt also extends to the 2-year note, reflecting a quest by banks and institutional investors for pristine year-end balance sheets, in what is commonly called window dressing on Wall Street.

William O'Donnell, strategist at RBS Securities, says: "One of the primary catalysts keeping yields at the front end low is the amount of liquidity in the system that needs to find a spot over the calendar flip."

Since late last week, yields on some Treasury bills maturing in January have traded and been quoted below 0%. Meanwhile, 3-month bills have approached 0%, while the yield for 6-month bills recently fell to a record low of 13 basis points.

On Tuesday, yields edged higher but remain near these lows.

This comes as the amount of outstanding Treasury bills has dropped by $209 billion to $1,859 billion since the end of August when 1- and 3-month bills were both yielding above 10 basis points and 6-month paper was at 22 basis points.

Talk by some members of the Federal Reserve that the economy faces uncertain prospects next year has led many investors to conclude that official interest rates will remain on hold well into 2010. In some quarters, there are fears of a double-dip recession amid worries about commercial real estate and the potential exposure among small and regional US banks.

Andrew Lo, at the MIT Sloan School of Management, says: "Year-end is typically not a great time and the flight to safety into bills is motivated in part by general concerns about the economy and whether another shoe, such as commercial real estate, will drop."

Normally, the window dressing scramble starts in mid-December but this year a number of factors has sparked an earlier flight into Treasury bills.

This is the first year that all leading US banks, many sitting on big trading profits thanks to the rebound in risky assets since March, will close their books at the same time. In past years, investment banks such as Goldman Sachs and Morgan Stanley reported annual results in November and could thus add liquidity, by selling Treasury bills, during December as other banks and institutions rushed to window dress.

Another factor is the low level of overnight interest rates set by the Federal Reserve. Since last December, the federal funds rate has been placed in a range of zero to 0.25% which, say traders, means that the traditional year-end demand for bills can draw rates into negative territory.

David Ader, strategist at CRT Capital, says: "Negative bill rates are one of the unintended consequences of having a low funds rate. It doesn't take much to push bills below zero when there is such a large demand."

Mr Ader also says that many holders of bills, such as central banks, are loath to lend them out into the market, and this has contributed to a squeeze, pressuring rates lower.

Treasury bills briefly traded negative ahead of the third quarter ending in September and a lack of liquidity has plagued trading at crucial times in recent years.

Ted Wieseman, economist at Morgan Stanley, says: "There has been a regular pattern during this crisis of bills being badly squeezed around quarter ends, but it's happening a lot earlier than normal this time around. Even last year when the financial crisis was near its peak we didn't see the pressures intensifying so far ahead of the actual calendar turn."

Last December, 1-month Treasury bills traded as low as -9 basis points, and traders are not ruling out a similar move as the calendar enters December and liquidity becomes scarcer.

Some say that other short-term market rates could also approach 0 and possibly turn negative.

Gerald Lucas, senior investment adviser at Deutsche Bank, says: "Overnight rates in the money market may well be negative at year end as banks, looking to reduce the assets on their balance sheet, will be reluctant to take overnight funds from investors."

Already, financing rates for Treasury collateral in the repurchase market are tight for the year end.

Joseph Abate, strategist at Barclays Capital, says: "Treasury collateral is trading around 3bp for the turn, which would be comparable with the June and September quarter ends."

Mr Wieseman says: "Our financing desk thinks it is likely on New Year's Eve that we will see a repeat of the previously unprecedented negative overnight rates first seen at the end of September."

But once the new year gets under way, the general view is just like that of last January; yields will rebound back into positive territory.

Mr Ader says: "We expect to see an ongoing bid and negative rates will be commonplace into 2010, righting quickly in January. While counterintuitive, negative rates simply reflect balance sheet window dressing demand and the premium for having very short-term liquid assets."

jlrx

27-11-09, 17:53

http://media.ft.com/cms/6f68385c-882a-11da-a25e-0000779e2340.gif
Fear pushes U.S. government debt interest rates negative
Michael Mackenzie
Financial Times
New York, New York, U.S.
Tuesday, 24 November 2009, 19:19 U.S. EST

Negative interest rates are back. Yields on short-term US government debt have fallen into negative territory as banks and investors park their cash in havens before the end of the year.

Strong demand for US Treasury bills, US government debt with durations of 1 year or less, suggests that dislocation and fear still pervade the financial system as institutions and investors show they are willing to forgo interest income completely or even take a small loss to own securities considered safe.

In the bond market, analysts say the heightened demand for short-term government debt also extends to the 2-year note, reflecting a quest by banks and institutional investors for pristine year-end balance sheets, in what is commonly called window dressing on Wall Street.

Read this analysis from this very brilliant guy Warren Pollock:

1. The Chinese are figuring out ways to extract themselves from the "USD Trap".

2. China is letting longer dated Treasury notes mature and placing the proceeds into shorter dated T-Bills to assist their exit strategy.

3. China is actively looking to buy hard asset companies (producers of raw materials and resources) in Australia and Canada. They have tried in the U.S. but have been blocked. It defeats the purpose to hold the currency of a country that won't let you use it to buy anything but that country's debt! :scared-4:

I think this is the third time in as many centuries that the Chinese have fallen into an Ang Mo trap.

http://newsimg.bbc.co.uk/media/images/44223000/jpg/_44223910_panda_getty300.jpg

Reporter

28-11-09, 08:47

http://www.rbs.com/images/branding/logo.gif

"Yes, the magnitude of the situation is dramatic for Dubai. But Dubai is not America - and a property crisis in Dubai will not cause the same global crisis as a property crisis in the States."

- http://www.moneycontrol.com/news_image_files/emil_wolter_abnamro_90.jpg
. Emil Wolter
. Head of Regional Strategy, Asian Equities
. RBS

Reporter

28-11-09, 08:56

http://static.guim.co.uk/static/82844/networkfront/images/guardian_logo.gif

"The good news about Dubai, from the point of view of western lenders to the emirate, is that it is easy to see how the financial damage might be slight. Abu Dhabi, Dubai's neighbour, is rich enough to fund a bailout and has an incentive to do so – it has its own reputation to protect."

- http://static.guim.co.uk/sys-images/Business/Pix/pictures/2008/02/06/nilspratleyb140140.jpg
. Nils Pratley
. Financial Editor
. Guardian

Douk

28-11-09, 10:07

is this statement true? Any comments from the expert here?

http://www.rbs.com/images/branding/logo.gif

"Yes, the magnitude of the situation is dramatic for Dubai. But Dubai is not America - and a property crisis in Dubai will not cause the same global crisis as a property crisis in the States."

- http://www.moneycontrol.com/news_image_files/emil_wolter_abnamro_90.jpg
. Emil Wolter
. Head of Regional Strategy, Asian Equities
. RBS

kali-yuga

28-11-09, 10:51

A rising tide raises a thousand ships.

Just look at the explosion of CDS spread no only for Dubai but also they emerging country counterpart.

No one financial event is an isolated event nowadays.

The main conclusion/lesson from this event is that which ever assumption there are out there, challenge it time and time again.

Who would have think that Dubai will go via this path.
Who would have think that Abu Dhabi is not coming in the make whole the debt?
Isn't the ruler of both Abu Dhabi and Dubai come from the same lineage of Bani Yas tribe which means they are Brothers and will help out one another in time of crisis?

This is just the beginning and not the end........

Reporter

28-11-09, 11:11

http://www.businesstimes.com.sg/mnt/static/image/images/bt_wkend_masthead.jpg
Resorts World househunt reaches into HDB heartland
Property consultants say Sentosa IR is scouting for rental flats for some of its foreign staff
The Business Times Weekend
Saturday, 28 November 2009

http://www.channelnewsasia.com/gallery/images/ir-genting/03.jpg
Resort World @ Sentosa

Visitors to the Universal Studios theme park in Resorts World at Sentosa (RWS) will soon be able to live out adventures seen in various movies. There will be zones based on films such as Madagascar, Shrek and Jurassic Park, to bring thrill-seekers to a make-believe world far away from home.

For some employees at RWS, being away from home will also be a new adventure. The integrated resort will be hiring a considerable number of foreigners, and it is said to be searching for hundreds of HDB flats to help them settle in. C&H Realty managing director Albert Lu said that RWS is looking for HDB flats to rent, and approached his firm a few months ago to find out about the rental market. RWS did not share many details then, but the number of flats is ‘in the hundreds’, he told BT.

Another property market insider who declined to be named also said that RWS has been ‘aggressively looking for flats to rent’, and is probably in need of ‘a few hundred’ units.

So far, there is no official statement on the number of foreigners that RWS could hire. Overall, it will employ about 10,000 people when it opens next year. RWS spokesman Robin Goh told BT that it remains committed in recruiting Singaporeans and Singapore permanent residents.

A media report in June noted that RWS had hired 600 workers, of whom 80% are locals. Assuming that the local-foreign ratio stays constant, its headcount from abroad could reach 2,000.

Going by HDB rules, 1- or 2-room flats can each be rented out to at most 4 people; 3-room flats to at most 6 people; and 4-roomers or bigger flats to at most 9 people. Assuming that RWS hires 2,000 foreigners and all of them rent 4-room flats, it would need to find at least about 220 units.

Mr Goh said that RWS started looking for ’suitable accommodation’ for foreign staff early this year, with help from a ‘reputable service provider’. He did not specify the types and number of housing involved.

‘To help reduce their stress and anxiety of relocating overseas, we assist our foreign team members in addressing one of their basic needs – accommodation,’ he said. ‘We make sure that they settle down comfortably as well as enjoy working and living in Singapore.’ And it is important for RWS to keep its employees happy because that could enhance their work performance and in turn, visitors’ experience at the integrated resort, he said.

Mr Goh added that RWS considered several factors in choosing accommodation, including the place’s accessibility and proximity to amenities such as convenience stores. ‘The locations we have chosen facilitate good interaction between the local community and foreign talent,’ he added. BT understands that units at Tiong Bahru and Toa Payoh have been found.

C&H Realty’s Mr Lu said that he believes that RWS would want flats in areas near Sentosa, such as Telok Blangah. But he pointed out that the supply of rental flats in such central locations is tight, and RWS might have to broaden its search to estates near MRT stations.

Rents of HDB flats in the central region rose between the second and third quarter of the year. For instance, the median sub-letting rent for a four-room flat in the area increased from about $2,000 to $2,200.

HDB’s website shows that up to the third quarter of this year, the agency has granted 11,235 sub-letting approvals. The bulk of these – 3,978 or 35 per cent – were for three-room flats. Another 3,593 approvals were for four-room flats.

Also, looking across all towns and flat types, median sub-letting rents have remained relatively steady from the first to third quarter.

Dennis Wee Group director Chris Koh observed that the HDB rental market is ‘more stabilised’ compared with the period when collective sales were rife and many displaced residents were looking for lodging. His firm has seen more rental enquiries direct from foreigners working with RWS.

Marina Bay Sands, the other integrated resort due to open next year, has not engaged property agents to look for accommodation for its foreign staff. ‘Housing arrangements will take into account the needs of the prospective foreign employees,’ said a spokeswoman. ‘At this time, Marina Bay Sands is giving priority to attracting and selecting Singaporeans and permanent residents for our job opportunities.’

proud owner

28-11-09, 11:36

[quote=Reporter]http://www.businesstimes.com.sg/mnt/static/image/images/bt_wkend_masthead.jpg
Resorts World househunt reaches into HDB heartland
Property consultants say Sentosa IR is scouting for rental flats for some of its foreign staff
The Business Times Weekend
Saturday, 28 November 2009
Resort World @ Sentosa

For some employees at RWS, being away from home will also be a new adventure. The integrated resort will be hiring a considerable number of foreigners, and it is said to be searching for hundreds of HDB flats to help them settle in. C&H Realty managing director Albert Lu said that RWS is looking for HDB flats to rent, and approached his firm a few months ago to find out about the rental market. RWS did not share many details then, but the number of flats is ‘in the hundreds’, he told BT.

Another property market insider who declined to be named also said that RWS has been ‘aggressively looking for flats to rent’, and is probably in need of ‘a few hundred’ units.

A media report in June noted that RWS had hired 600 workers, of whom 80% are locals. Assuming that the local-foreign ratio stays constant, its headcount from abroad could reach 2,000.

Mr Goh added that RWS considered several factors in choosing accommodation, including the place’s accessibility and proximity to amenities such as convenience stores. ‘The locations we have chosen facilitate good interaction between the local community and foreign talent,’ he added. BT understands that units at Tiong Bahru and Toa Payoh have been found.

Rents of HDB flats in the central region rose between the second and third quarter of the year. For instance, the median sub-letting rent for a four-room flat in the area increased from about $2,000 to $2,200.

first of all ..what a joke to house your FOREIGN TALENT in HDB ...

secondly 9 person to a 4 room HDB , each costing a rent of 2-2.2k = $250 per person of housing allowance ..

SO MM, studio buyers (owners) ..do you still think theres demand for your investment ?

i kept reminding people rushing to buy MM units ..using macau as an example the income level of these employees ... how to afford a studio rental ?

so RWS subsidize $250 a mth .. one has to top up at least 2k to rent a studio ..

is it now still worth buying studio ? paying 1000 psf ? is there stilll demand for such units when IRs open ??

this is exactly what i said before ..they would go for HDB ...to house 3 to a room ..

jlrx

28-11-09, 20:15

But Dubai is not America- Emil Wolter Head of Regional Strategy, Asian Equities RBS

the financial damage might be slight - Nils Pratley Financial Editor Guardian

is this statement true? Any comments from the expert here?

This is just the beginning and not the end........

SO MM, studio buyers (owners) ..do you still think theres demand for your investment ?

What we should not do is to be caught up by the "Eternal Crisis Syndrome". The world will always have lots of crises. If we are always worried about crises, we will end up never purchasing any property.

Read the following headline news.

1964 Racial Riot 23 Killed, 556 Injured :scared-3:

1965 Konfrontasi Indonesia bombed MacDonald's House at Orchard Road :eek:

1971 British Troop Pullout of Singapore PM Lee Angry, Threatens to Disrupt British Shipping and Trade :scared-4:

1973 First Oil Crisis Oil price Quadrupled to US$12 per Barrel !!! :p US Economy in Shock !!! :scared-4:

1975 Fall of Vietnam

Extract from Lee Wei Ling's recent Straits Times article

"My parents called a family meeting in their bedroom soon after Saigon fell.

My father, Mr Lee Kuan Yew, then Singapore’s Prime Minister, told us: ‘Mama and I will stay here to the bitter end. Hsien Loong is already in the SAF and must do his duty. But the three of you need not feel obliged to stay.’ :scared-3:

1979 Second Oil Crisis

Amid massive protests, the Shah of Iran, Mohammad Reza Pahlavi, fled his country in early 1979, allowing the Ayatollah Khomeini to gain control. While the new regime resumed oil exports, it was inconsistent and at a lower volume, forcing prices to go up. :eek:

1980 Iran-Iraq War

In 1980, following the Iraqi invasion of Iran, oil production in Iran nearly stopped, and Iraq's oil production was severely cut as well. :scared-4:

1985 Singapore's 1st Recession :scared-3:

1991 Gulf War :scared-4: , Asian Financial Crisis 1997 :scared-3: , Dot Com Crisis 2000 :eek: , September 11 2001 :scared-4: , Argentina Debt Default 2002 :scared-3: , SARS 2003 :eek: , Lehman Brothers 2008 :scared-5: ...

jlrx

28-11-09, 21:02

Extract from dailyreckoning.com:

Fiat Money -Toilet Paper Money

http://www.coupondad.net/Images/Toilet_Paper_Icon.gif

The history of fiat money, to put it kindly, has been one of failure. In fact, EVERY fiat currency since the Romans first began the practice in the first century has ended in devaluation and eventual collapse.

Fiat Money -Rome — The Denarius

Emperors that succeeded Nero liked the idea of devaluing their currency in order to pay the bills and increase their own wealth. Around the time of Rome’s collapse, the denarius contained only 0.02% silver and virtually nobody accepted it as a medium of exchange or a store of value.

Fiat Money -China — Flying Money

Kublai Khan eventually had some success with fiat money. The best families in the empire were ruined, a new set of men came into the control of public affairs, and the country became the scene of internecine warfare and confusion.

Fiat Money -France — Livres, Assignats, and Francs

By 1795, inflation of assignats was running at approximately 13,000%.

Weimar Germany — Mark

Inflation got so bad in this period that German citizens were literally using stacks of marks to heat their furnaces. December 1923: 1 US dollar = 4.2 trillion marks.

Extract from "The Coming Collapse of the Dollar. First Print 2004" (Now the title has changed to "The Collapse of the Dollar. 2008")

Why will the dollar be the first of today’s fiat currencies to collapse?

U.S. debt now comes to about US$45 trillion, or US$600,000 per family of four.

What happens when the dollar collapses?

European and Asian leaders will respond with the only weapon they have left: monetary inflation. The result of these “competitive devaluations” will be a death spiral for all major fiat currencies.

Moral of the story ... don't hold on to toilet paper.

http://www.coupondad.net/Images/Toilet_Paper_Icon.gif
Even if you don't like properties, quickly exchange your toilet paper for something that has a limited supply, like Gold, Silver, Paintings, Antiques, Stamps, Antique Cars, Old Books, even Toilet Paper (I mean the real type of toilet paper).

http://icons.iconseeker.com/png/fullsize/body-care/toilet-paper-1.png

melodies

28-11-09, 21:26

It really also depends on the type of crisis. Crisis like DP World is actually good for Singapore & US! Let's wait and see. Very soon, the stock markets will recover as people get to understand the implications and stock prices will go even higher (with lots of money exiting Dubai & other middle east & unstable countries and going into more stable countries in Asia (e.g. Singapore) and also back to US because of their safe haven status in times of uncertainty).

What we should not do is to be caught up by the "Eternal Crisis Syndrome". The world will always have lots of crises. If we are always worried about crises, we will end up never purchasing any property.

Read the following headline news.

1964 Racial Riot 23 Killed, 556 Injured :scared-3:

1965 Konfrontasi Indonesia bombed MacDonald's House at Orchard Road :eek:

1971 British Troop Pullout of Singapore PM Lee Angry, Threatens to Disrupt British Shipping and Trade :scared-4:

1973 First Oil Crisis Oil price Quadrupled to US$12 per Barrel !!! :p US Economy in Shock !!! :scared-4:

1975 Fall of Vietnam

Extract from Lee Wei Ling's recent Straits Times article

"My parents called a family meeting in their bedroom soon after Saigon fell.

My father, Mr Lee Kuan Yew, then Singapore’s Prime Minister, told us: ‘Mama and I will stay here to the bitter end. Hsien Loong is already in the SAF and must do his duty. But the three of you need not feel obliged to stay.’ :scared-3:

1979 Second Oil Crisis

Amid massive protests, the Shah of Iran, Mohammad Reza Pahlavi, fled his country in early 1979, allowing the Ayatollah Khomeini to gain control. While the new regime resumed oil exports, it was inconsistent and at a lower volume, forcing prices to go up. :eek:

1980 Iran-Iraq War

In 1980, following the Iraqi invasion of Iran, oil production in Iran nearly stopped, and Iraq's oil production was severely cut as well. :scared-4:

1985 Singapore's 1st Recession :scared-3:

1991 Gulf War :scared-4: , Asian Financial Crisis 1997 :scared-3: , Dot Com Crisis 2000 :eek: , September 11 2001 :scared-4: , Argentina Debt Default 2002 :scared-3: , SARS 2003 :eek: , Lehman Brothers 2008 :scared-5: ...

Reporter

29-11-09, 01:09

first of all ..what a joke to house your FOREIGN TALENT in HDB ...

secondly 9 person to a 4 room HDB , each costing a rent of 2-2.2k = $250 per person of housing allowance ..

SO MM, studio buyers (owners) ..do you still think theres demand for your investment ?

i kept reminding people rushing to buy MM units ..using macau as an example the income level of these employees ... how to afford a studio rental ?

so RWS subsidize $250 a mth .. one has to top up at least 2k to rent a studio ..

is it now still worth buying studio ? paying 1000 psf ? is there stilll demand for such units when IRs open ??

this is exactly what i said before ..they would go for HDB ...to house 3 to a room ..
I am not a MM supporter. However, you should not twist the fact.

RWS did not say they will house up to 9 persons in a flat. In fact, RWS did not say anything. Please read the news properly.

Reporter

29-11-09, 01:21

http://www.businesstimes.com.sg/mnt/static/image/images/bt_wkend_masthead.jpg
From mass market to high end
Analysts upgrade property counters with exposure to the top end of the sector
Uma Shankari
The Business Times Weekend
Saturday, 28 November 2009

http://www.businesstimes.com.sg/mnt/media/image/launched/2009-11-28/BT_IMAGES_UMPROP28A.jpg

Sales of high-end homes have picked up. And as a result, analysts are more upbeat about property counters with exposure to the top end of the market.

DBS Group Research has upgraded its calls on SC Global, Ho Bee Investment and Wheelock Properties to ‘buy’. The three developers have significant exposure to the high end of the market.

‘We see value emerging for these companies, following price consolidation in recent months, and this is backed by our expectation of a pick-up in activity in the high-end segment come 2010,’ DBS analyst Adrian Chua said in a Nov 17 report.

DMG & Partners Securities analyst Brandon Lee said in a Nov 16 note: ‘The confluence of the integrated resorts’ opening, strong real estate fundamentals and more positive economic newsflow should lead to an upswing in high-end prices from current levels over the next six months.’

Mr Lee issued fresh ‘buy’ calls on City Developments, Wing Tai Holdings and SC Global.

The property recovery started in the mass market, where sales began to improve as early as February this year. Activity at the top end of the market only started to pick up in Q3.

‘The number of units transacted at more than $2,000 psf – our definition of high-end – is just below the number of units we saw back in Q1 2007, prior to the run-up in the high-end market,’ said DBS’s Mr Chua.

And while the property market cooled in October, the high end held up. Developers sold 811 new private homes in October, down from the 1,143 in September.

But the number of high-end homes sold climbed month on month. Goldman Sachs said that 285 homes with a median price of more than $1,500 psf were sold in October 2009, compared with 115 in September. Prime district sales are now the driver, the bank said on Nov 16.

Analysts cited a number of reasons for betting on high-end homes. Policy risk is smaller for this segment as government policies tend to focus on the mass market.

The government announced cooling measures in September and warned recently that further pre-emptive measures will be taken, if necessary, to ensure a stable market.

But the government has traditionally been less concerned with the top end of the market, as this is seen to be the playing field of high net-worth individuals.

Any new cooling measures, if prudent, will also only have a near-term negative impact on share prices, as improving property fundamentals and still attractive valuations matter more, according to Goldman Sachs analysts Paul Lian and Rishab Bengani. They have ‘buy’ calls on two property stocks – CapitaLand and City Developments.

Another boon for the high end is the opening of the integrated resorts (IRs) in early 2010, which could boost demand from foreigners in particular.

DBS’s Mr Chua said that high-end homes in Singapore now look relatively cheap compared to those in Hong Kong – similar to the valuation gap before the 2007 high-end run here. He said that the high-end segment here could also be a beneficiary of Chinese demand, which did not factor in a big way in 2007 but could be a force in 2010.

Looking ahead, top-end prices are expected to trend upwards. Prices here have stayed between $1,750 and $1,825 psf over the past quarter, up 38-44% from the bottom in April 09, DMG’s Mr Lee said. ‘Nonetheless, this represents 15-20% off Q4 2007 peaks, which should head upwards over the subsequent 6 months in the wake of the IRs’ opening and improved economy.’

Property analysts are also encouraged by developers’ Q3 results. They came in mostly ahead of expectations, with year-on-year bottom-line growth.

‘Perhaps the most important takeaway is the substantial improvement in developers’ balance sheets,’ CIMB Research said in its Q3 2009 earnings round-up. ‘Robust property sales and stabilising asset values helped push down average net gearing from 0.5 times in Q2 2009 to 0.3 times for developers under our coverage.’

proud owner

29-11-09, 03:32

I am not a MM supporter. However, you should not twist the fact.

RWS did not say they will house up to 9 persons in a flat. In fact, RWS did not say anything. Please read the news properly.

again i am not twisting any facts..

i am posting my opinion to reinstate as to why those buying studio to rent to IR demand is just being too naive

xebay11

29-11-09, 06:38

I am not a MM supporter. However, you should not twist the fact.

RWS did not say they will house up to 9 persons in a flat. In fact, RWS did not say anything. Please read the news properly.

I think proud owner just doing us a favour and painting a worst case scenario to beware of buying MM units as investment.

proud owner

29-11-09, 11:50

I think proud owner just doing us a favour and painting a worst case scenario to beware of buying MM units as investment.

i am only concern for those who bought studio on the belief that there will be such demand from IRs ..

fact remains that IR general workers which will make up the bigger pct , simply cannot afford to rent a studio .. however close they are to the IR

Reporter

29-11-09, 19:45

i am only concern for those who bought studio on the belief that there will be such demand from IRs ..

fact remains that IR general workers which will make up the bigger pct , simply cannot afford to rent a studio .. however close they are to the IR
Believe it or not, I think it is very nice of you to raise your concern.

Unfortunately, you use the wrong article. There are articles that warn buyers of the risk in buying MMs. This one doesn't.

Those figures of 9 people in a flat, etc. are the rules of HDB - not RWS' plan/expectation. You did not twist the fact but you did misread them.

bargain hunter

29-11-09, 20:27

even 3 IR workers to a hdb flat of $2,200 in rental still means MM studios have been badly overpriced right?

Believe it or not, I think it is very nice of you to raise your concern.

Unfortunately, you use the wrong article. There are articles that warn buyers of the risk in buying MMs. This one doesn't.

Those figures of 9 people in a flat, etc. are the rules of HDB - not RWS' plan/expectation. You did not twist the fact but you did misread them.

Reporter

29-11-09, 20:35

http://www.zaobao.com/images1/zblogo.gif
阿布扎比要助迪拜渡难关世界领袖：迪拜危机只是小巫
吴汉钧
早报星期天综合电
迪拜、伦敦、阿布扎比
星期日, 29-11-2009

迪拜出现债务危机，阿布扎比表示将选择性协助迪拜渡过难关。

阿布扎比已通过阿拉伯联合酋长国中央银行和两家私人银行向迪拜注资150亿美元（US$15 billion）。阿联酋央行表示将密切关注迪拜债务危机，确保不对国家经济造成负面后果。

世界领袖和国际银行也就迪拜债务危机大派定心丸。他们称，这个危机同环球金融危机比较是小巫见大巫，而且经过金融海啸洗礼的全球金融体系已有更好的防范措施。

阿布扎比一名要求匿名的政府官员说，阿布扎比将有选择性地协助债务累累的迪拜。

这名官员说：“我们会视迪拜的承诺而定，按个别情况协助他们。这不意味着阿布扎比将会承担所有的债务。”

“迪拜的一些发展计划是商业性和半政府性质的。阿布扎比将会选择何时及从何协助。在事情明朗前，很难对债券作出进一步的投资决策。许多事情都有待迪拜厘清。”

许多投资者以为，富裕的阿布扎比会对迪拜提供全面援助。

根据阿联酋宪法，7个酋长国在这个松散的联邦内拥有独立的司法权，掌控自己的天然和财政资源。联邦政府不一定能使用这些资源，也没有义务为任何一个酋长国承担债务。

尽管迪拜债务危机在全球引发广泛担忧，但世界领袖对经济复苏仍有信心。

英国首相布朗说：“这虽然是一个挫折，但我认为我们会发现它和我们过去应付的危机规模不一样。世界金融体系如今更强韧了，能够应付浮现的问题。”

法国总理菲永说，阿联酋有资源确保世界不会再度陷入第二轮金融动荡。

加拿大财长费海提说，七国集团已商讨了迪拜债务危机，正在关注其后果。美国财政部也在密切监视迪拜的情况。

印度财长慕克吉说，这个危机不会对印度造成太大影响。不过，政府会密切关注局势，会在必要时采取行动防止余波冲击。

他说：“它的影响可能不会太大，因为我们的参与是如此的小，涉及的金额和世界经济相比是微乎其微。不过，保持警惕和适时有效干预，能避免一些眼前的危机。”

阿联酋是印度第二大出口市场，来自阿联酋外汇收入占了印度总外汇收入的10%至12%。

国际银行估计，它们在迪拜的曝险顶限总额只是介于120亿至130亿美元（167亿至181亿新元（approximately S$16.7-18.1 billion））。同国际货币基金组织预计欧美银行在2007年至2010年间减记的2万8000亿美元（约3万9000亿新元（approximately S$3.9 trillion））相比，这是小巫见大巫。

汇丰银行和摩根大通都表示不太担心迪拜世界的情况。汇丰银行在阿联酋的投资额约为159亿美元（约221亿新元（approximately S$22.1 billion））。

欧洲央行理事会成员欧菲尼德斯说：“近日在迪拜的事件只是一个打嗝，如果你喜欢这么说的话，或者说这是其中一个困难，这再次证明我们强调我们面临不确定性和前路可能依然崎岖不平是正确的。”

投资者冷静下来后，分析迪拜危机的散播风险不如想像中严重，股市窜逃现象已见缓和。美国股市周五开市时暴跌超过2.0%，后来跌幅收窄，闭市时跌了近1.5%。欧洲股市经历周四的3.0%大跌后，周五回弹。

分析家认为，这个危机不会造成长期影响，更不会导致脆弱的经济停止复苏。

Reporter

29-11-09, 21:38

http://www.idrbt.ac.in/newsroom/news/economic%20times.gif
Singapore may be the new financial hub
Sugata Ghosh & Krishna Gopalan
The Economic Times
Mumbai, Maharashtra, India
Saturday, 28 November 2009, 2102 hrs IST

http://farm2.static.flickr.com/1348/1239206781_24f7bf1e49.jpg
Stars who own villas in Dubai Who is who in Dubai corporate map?

The jury is out on what the future holds for Dubai. Fund managers and high-street bankers see the fall of Dubai as a prelude to the emergence of Singapore as the undisputed financial centre of Asia.

“Dubai has a different charm. Many Indians, I feel, have discovered the world of numbered accounts in Dubai... besides, there’s no tax for individuals and corporates. Only foreign banks and insurance companies have to pay a nominal tax,” says Dilip J Thakkar, an expert on Fema matters.

Surely, Singapore or Hong Kong, with tax rates of 18% and 16%, respectively, can’t match this. Many, like Mr Thakkar, are betting that it will soon be business as usual. They think that investors will take haircuts, European banks (which may be holding as much as $40 billion of Dubai’s $80 billion debt) will sell a slice of their investments, and a Kazakh-style clean-up and debt write-off will get the builder’s paradise up on its feet.

But many fear the stigma would stick.

“Market forces in Dubai never work the way they do in other parts of the world. Dubai never really became a financial centre and a large part of its progress was based on what was taking place in its real estate market. It never attained the stature that was given to a market like Hong Kong,” feels Munesh Khanna, managing director of the investment bank Centrum Capital. Singapore, according to Mr Khanna, will be a major beneficiary.

It will be a bigger damage if Dubai authorities are not quick enough in striking a deal with the lenders, as this will impact capital flows to many emerging markets. The very shadow of default could make life difficult for the private sector in the entire Gulf region. Over the past few years, private firms have turned more dependent on foreign borrowing to fund their local growth, and chances are that foreign banks may trim exposure to the region.

Indeed, “increased scrutiny by foreign lenders could curtail domestic growth in the region and aggravate the credit constraints on large family groups,” said an internal note of one of the foreign banks with exposure to the region.

There is a higher possibility that investors would now prefer to operate out of more established jurisdictions, says Siddharth Shah who heads the corporate and securities practice group at the law firm Nishith Desai Associates. “What could help Singapore is its long history of a successful financial centre,” says Mr Shah.

According to Seshagiri Rao, CFO and joint MD of JSW Group, markets may not collapse dramatically, but people fear that there may be more defaults of this kind in the days ahead. While many would agree with Mr Rao that the present sell-off in the financial market is to an extent sentiment-driven, global banks are grappling with an element of mistrust and disbelief.

“Even if this does turn out to be a voluntary restructuring, the lack of clarity and ill-timing of this announcement are likely to raise the international cost of financing for the Emirate for some time to come,” says a note prepared by a large US bank. “Why did it happen? We frankly find no compelling explanation for such a move,” says the note.

Reporter

29-11-09, 21:42

http://www.h88.com.sg/images/h88_masthead_logo.jpg
Dubai's fall may be Singapore's gain
H88
Saturday, 28 November 2009, 22:47

We've come across this article in The Economic Times which brought up a very interesting point - that IF things in Dubai don't improve, people might look elsewhere to put their moolah. A place that's much more stable and much more transparent, a city-state much like Dubai, but with only one fancy island for the uber-rich. You know who we're talking about. Yup, our glorious nation.

Wow, imagine if Dubai fails spectacularly, and everyone flocks to Singapore! Wouldn't that be ... um ... great?

kali-yuga

29-11-09, 21:51

This is really hilarious......really..........
Nearly fall of my chair just by reading the Subject......
Anyway have a good week ahead.

http://www.h88.com.sg/images/h88_masthead_logo.jpg
Dubai's fall may be Singapore's gain
H88
Saturday, 28 November 2009, 22:47

We've come across this article in The Economic Times which brought up a very interesting point - that IF things in Dubai don't improve, people might look elsewhere to put their moolah. A place that's much more stable and much more transparent, a city-state much like Dubai, but with only one fancy island for the uber-rich. You know who we're talking about. Yup, our glorious nation.

Wow, imagine if Dubai fails spectacularly, and everyone flocks to Singapore! Wouldn't that be ... um ... great?

teddybear

29-11-09, 22:02

Not that I am black-heart but there are just this fixed amount of investment $ to go around and thus the demise of 1 competitor (in this case Dubai) will benefit the others (e.g. Singapore).

http://www.h88.com.sg/images/h88_masthead_logo.jpg
Dubai's fall may be Singapore's gain
H88
Saturday, 28 November 2009, 22:47

We've come across this article in The Economic Times which brought up a very interesting point - that IF things in Dubai don't improve, people might look elsewhere to put their moolah. A place that's much more stable and much more transparent, a city-state much like Dubai, but with only one fancy island for the uber-rich. You know who we're talking about. Yup, our glorious nation.

Wow, imagine if Dubai fails spectacularly, and everyone flocks to Singapore! Wouldn't that be ... um ... great?

jlrx

29-11-09, 22:13

Believe it or not, I think it is very nice of you to raise your concern.

Unfortunately, you use the wrong article. There are articles that warn buyers of the risk in buying MMs. This one doesn't.

Those figures of 9 people in a flat, etc. are the rules of HDB - not RWS' plan/expectation. You did not twist the fact but you did misread them.
even 3 IR workers to a hdb flat of $2,200 in rental still means MM studios have been badly overpriced right?

Then the following investments do not generate any rental returns (in fact even negative returns as they incur storage costs), so does that mean that they are even more badly overpriced?

Gold, Silver, Paintings, Antiques, Stamps, Antique Cars, Old Books.

Rental returns is something that is good to have, but is of secondary importance.

The success or failure of an investment is determined by the big price movements, such as when a $40,000 Farrer Court HUDC apartment (1977) turned into $2.2 million (2007); a $195,000 Margate Road bungalow (1979) into $4.8 million (2006); or a US$85,000 Picasso's painting "Boy With A Pipe" (1950) into US$104 million (2004).

http://www.art-artist.co.uk/images/picasso_boy_pipe.jpg

In fact, there is a tendency (if you observe carefully) that the worse the rental return of a property, the higher the potential for capital appreciation (I'm not talking about MM studios here, as the verdict is still out).

The reason is simple. The worse the rental return, the less competition there is from those with shallow pockets, as they are unable to hold.

If you have the money, find something like this hotel (but it's too late for this one).

http://farm3.static.flickr.com/2592/3882964476_c21a6a5555.jpg

http://farm3.static.flickr.com/2599/3882006492_10b6da1571.jpg

http://farm4.static.flickr.com/3466/3881907040_87f662ea0d.jpg

http://www.happyhorror.com/pix/Sadako-from-Ringu-on-DVD-Ghost-Girl-Japanese-Horror-Movie-Anthology.jpg

Mitre Hotel, 145 Killiney Road.

Room Rate (? %).

Sold S$121 million. November 12, 2009.

ps. the last photo is from another website and has nothing to do with this hotel.

bargain hunter

30-11-09, 00:57

i used to think h88 gave good reviews for its condos. now i am giving it a wide berth after it has become a propaganda station and clearly no longer unbiased.

like you, i found it really hilarious...(i m still laughing now).

apparently, no one cares about how much funds are now stuck/lost in dubai.

This is really hilarious......really..........
Nearly fall of my chair just by reading the Subject......
Anyway have a good week ahead.

Reporter

30-11-09, 09:09

http://thestar.com.my/images/common/logo_tsolv12.gif
Insight Down South
Upper middle class folks are living in style
Seah ChiangNee
The Star
Malaysia
Saturday, 28 November 2009

In recent months, I have had a few glimpses of how far Singapore’s upper middle class has moved ahead in the richest city in South-East Asia.

The chance came as I was searching to rent a home, looking behind closed doors in the presence of an agent.

After visiting some two dozen homes in several estates, a picture soon emerged of how well the upper gentry — roughly a third of the population — has benefited from the island’s prosperity.

The upper middle class is, of course, a loose socio-economic offshoot of a broad middle class population.

Who makes up this group? Generally, they include professionals, businessmen, managers, executives and, of course, high-earning senior civil servants and politicians.

In my hunt, I have met home-owning doctors, administrators and shipping directors, with wives, more often than not, in similar professional strata.

(The middle, middle class earners are mostly in sales, technical and clerical work while the working class includes manual workers, cleaners and labourers.)

One family wanted to sell me its well-heeled, three-storey terrace house for S$1.6 million (RM3.9million), with one proviso — delivery only after December. That was when the whole family would resettle in Australia.

The upper middle class (UMC) is defined not only by its earnings or wealth but also by education, social influence and lifestyles.

To me, the extent this group has advanced economically in the past decade or so has been phenomenal. I had realised it only in general terms, but too substantially.

Singapore’s UMC, of course, does not include the super-rich or the tycoons (who are in a class of their own) or wealthy foreigners who have been attracted to its shores.

The UMC is most likely a millionaire, living in a luxurious condo or a landed property, a scarce commodity on this land-short island.

Increasingly, the UMC is gunning for landed houses. There are only 68,300 landed houses, or 29% of the total private properties in Singapore — and future growth is minimal.

The upper middle class person has a car and a maid — possibly even two of each — and his family takes annual overseas trips every year.

His growing emergence is the result of years of rapid economic expansion and an education system that pushed out tens of thousands of graduates ever year, particularly women.

The economic power of the female professionals is one of the major factors for the phenomenon.

The lifestyles of many of the residents are far more lavish than I had realised.

Staggering to me is the number of owners who spent S$150,000 to S$600,000 (RM366,000 to RM1.4mil) refurbishing or rebuilding their homes, adding one or two storeys. It has changed the landscape.

This sort of money could buy a bungalow even in suburban America, let alone in most parts of Asia. Not many UMC folk have swimming pools or spas or are chauffeur-driven but they are not short of other luxuries.

For lack of a better phrase, I’d call them Singapore’s “poorer class of millionaires”.

In a two-storey home, I saw various family members watching cable television on five 37-inch LCD sets in their own rooms. One was attached next to the dining table so that none needed to miss any programme while eating. In front of the house were parked two cars.

When I mentioned it, a cable TV technician laughed: “You’re behind time. It’s quite common now. I just installed a set in a bathroom.”

They send their children to study abroad, own several mobile phones, one for each family member (except possibly grandmum), and invest heavily in the latest high-tech gimmickry.

At one restaurant, a friend of mine saw a family of four eating a meal that included premium New Zealand beef and prime ribs for the children that cost about S$25 (RM61) each.

Some of the kids eat their school lunch at Japanese restaurants, update their mobile and table-top technology regularly — and go on European trips with classmates.

Finance professor Francis Koh of the Singapore Management University was quoted by a newspaper as saying: “The profile of the wealthy is changing; the wealth is filtering to younger people.

“Today’s rich Singaporeans are not only more willing to spend, but want to be seen doing so.”

The really wealthy, estimated at 8-10%, are described as having at least S$1mil (RM2.4mil) in financial assets. In the past few years, Singapore has recorded more new millionaires than any other country in the world.

Next in line is the UMC; some economists estimate some 19-20% of Singaporeans belong to this group, with the broad middle class making another 37-40%.

Estimates differ, sometimes widely, until a proper, detailed survey is carried out.

On average, these high-earning individuals earn S$7,000 (RM17,000) a month, possibly much more.

The third part of today’s Singapore is the lower middle class and the poor, the republic’s biggest potential for social friction. They make up the bottom 30% of society.

In several previous columns, I have written about the widening gap between the rich and the poor and the public discontent that it has stirred.

Class is often a sensitive and subjective matter in every country, including Singapore.

To prevent tensions from simmering, the government wants to avoid (not always succeeding) any excessive flaunting of wealth, especially by well-paid government leaders.

Prime Minister Lee Hsien Loong warned: “If we let the politics of envy drive a wedge between us, our society will be destroyed and all will suffer.

"That must never happen."
Our friend up north watching us?

kali-yuga

30-11-09, 09:32

The reason I found it funny is, who the hell really give a damm about DIFC??? Its has always been a mickey mouse "Financial Centre" since its start in 2004. This is SO mainstream reporting.

And even if funds flow out due to the potential/possible default, shouldn't moey go to QFC (Qatar Financial Centre) which is closer to home and where the sovereign balance sheet is way stronger???

Sigh.....I really rest my case........

quote=bargain hunter]i used to think h88 gave good reviews for its condos. now i am giving it a wide berth after it has become a propaganda station and clearly no longer unbiased.

like you, i found it really hilarious...(i m still laughing now).

apparently, no one cares about how much funds are now stuck/lost in dubai.[/quote]

Reporter

30-11-09, 10:01

jitkiat

30-11-09, 10:18

Since capital flowing into Dubai may now flow to Singapore instead, as predicted by the fund managers and bankers, maybe owners of The Sail @ Marina Bay should consider buying Burj Al Arab (Arab Sail) collectively?

One must admit it is really nice looking, right?

It is all about confidence. Not sure whether funds will shift to Singapore but one thing for sure, gold is going up partly due to insiders knowing about Dubai's crisis.

Reporter

30-11-09, 10:54

http://blog.omy.sg/wbnews/wp-content/themes/Cutline_WBNews/images/header_1.jpg
狗仔偷拍坏好事陶喆移民狮城避狗仔?
王英敏
联合晚报
29-11-2009

http://showbiz.omy.sg/OMYMEDIA/image/Showbiz/ENews/200911/20091129_chenxi_DT_img_main.jpg
陶喆明年将暂别歌坛，去圆导演梦。

曾因港台狗仔偷拍以致恋情胎死腹中，陶喆想换个环境：现在住的环境让我很懊恼、很烦！

..........
..........

陶喆目前大多时间都人在台湾，他表示，确实因饱受狗仔跟拍的困扰，多次考虑换一下居住的环境，“我当然想换环境，但不会只是这个（狗仔）原因，还会有多方面的考量。

他将新加坡列入移居考虑范围之内，苦笑称：“至少新加坡没有狗仔！”
I am quite impressed with David Tao's songwriting and music. Maybe it is because I am too heavily influenced by American music.

Hopefully he will migrate here.

If he quit music, he can always become a policeman in our SPF since he was a former LAPD cop.

bargain hunter

30-11-09, 11:03

Does Abu Dhabi have a financial centre? not yet? Qatar didn't pop up in my mind but i found it hilarious why the report sounded like funds MUST move to sg because dubai has fallen. there are just too many alternatives.

The reason I found it funny is, who the hell really give a damm about DIFC??? Its has always been a mickey mouse "Financial Centre" since its start in 2004. This is SO mainstream reporting.

And even if funds flow out due to the potential/possible default, shouldn't moey go to QFC (Qatar Financial Centre) which is closer to home and where the sovereign balance sheet is way stronger???

Sigh.....I really rest my case........

quote=bargain hunter]i used to think h88 gave good reviews for its condos. now i am giving it a wide berth after it has become a propaganda station and clearly no longer unbiased.

like you, i found it really hilarious...(i m still laughing now).

apparently, no one cares about how much funds are now stuck/lost in dubai.[/quote]

Reporter

30-11-09, 11:54

http://www.avmaroc.com/images/actualite/thumbs/aid-149162_0.jpg
Japan plans US$31 billion stimulus
Agence France-Presse
Tokyo, Japan
Monday, 30 November 2009, 12.51pm JST

http://d.yimg.com/a/p/afp/20091130/capt.photo_1259553287837-1-0.jpg
Dealers at a Tokyo foreign exchange brokerage

Japan plans an extra stimulus of at least US$31 billion (S$42.9 billion) this fiscal year that would include measures to tackle the surging yen and weak share prices, the top government spokesman said on Monday.

The government needs to take 'policy action in view of the strengthening yen and problems surrounding share prices' and plans spending of 'no less than ¥2.7 trillion,' said government spokesman Hirofumi Hirano.

Japanese share prices have been hit in recent weeks by a strong yen which hit a 14-year high against the dollar last week.

A strong yen hurts exporters by making their goods more expensive abroad and eating into their dollar profits when they are converted back into yen.

The yen traded at ¥86.74 to the dollar in Tokyo early on Monday.

Reporter

30-11-09, 12:36

http://www.zaobao.com/images1/zblogo.gif
第三季改写旧纪录私宅租用数目今年有望创新高（set a new high）
联合早报
星期一, 30-11-2009

经济复苏带动租房子住的人（number of tenants）进一步增加（increased）。今年第三季，私宅市场的租用数目创下1万1478个单位的最高水平，不但比第二季的1万零327个增加11%，也改写了一年前1万零923个单位的旧季度纪录。

第一太平戴维斯的数据显示，这带动今年首九个月租出的私人房屋达到3万1384个单位，比2007年多了2444个。

第一太平戴维斯私宅租用主管赖恩庭相信，按照这样的速度下去，今年全年的租用数目应该有望创下新高，改写2008年才创下的3万5125个单位纪录。

他认为，外国人（foreigners）和永久居民（PRs）增加，应该是造成今年租用市场异常活跃的主要原因。截至今年6月，外国人和永久居民已经从去年的167万，增加6.7%至179万。“这虽然比2007年和2008年超过10%的增幅低，不过应该还是会为租用市场提供很好的支持力量。”

他说，由于政府继续吸引生物医药业、石油化学业和医疗保健业的外来投资，因此这些行业仍不断招徕新的外籍专业人才前来，不过，他们大多都是单身人士，房屋津贴也比较低。

根据市建局的数据，整体私宅租金在今年第二季下跌了2.2%，跌幅比第二季的5.2%明显放缓。第一太平戴维斯说，顶尖豪宅的租金跌幅相对小，只有0.9%，由每平方英尺4.70元减少至4.67元。赖恩庭认为，这是今年来最小的季度跌幅，意味豪宅领域的租金正在巩固中。

由于新加坡的经济展望正在改善，他认为，全岛的租金水平应该会在中短期内进一步稳定下来，停止下跌。

jlrx

30-11-09, 15:20

http://www.avmaroc.com/images/actualite/thumbs/aid-149162_0.jpg
Japan plans US$31 billion stimulus
Agence France-Presse
Tokyo, Japan
Monday, 30 November 2009, 12.51pm JST

Dealers at a Tokyo foreign exchange brokerage

Japan plans an extra stimulus of at least US$31 billion (S$42.9 billion) this fiscal year that would include measures to tackle the surging yen and weak share prices, the top government spokesman said on Monday.

The government needs to take 'policy action in view of the strengthening yen and problems surrounding share prices' and plans spending of 'no less than ¥2.7 trillion,' said government spokesman Hirofumi Hirano.

Japanese share prices have been hit in recent weeks by a strong yen which hit a 14-year high against the dollar last week.

A strong yen hurts exporters by making their goods more expensive abroad and eating into their dollar profits when they are converted back into yen.

The yen traded at ¥86.74 to the dollar in Tokyo early on Monday.

Is the Yen really strengthening? or is it the Dollar collapsing?

Politicians never tell the truth about what they are trying to do. Let me reproduce one of my posts above.

From dailyreckoning.com

Fiat Money -Toilet Paper Money

http://www.coupondad.net/Images/Toilet_Paper_Icon.gif

The history of fiat money, to put it kindly, has been one of failure. In fact, EVERY fiat currency since the Romans first began the practice in the first century has ended in devaluation and eventual collapse.

From "The Collapse of the Dollar"

What happens when the dollar collapses?

European and Asian leaders will respond with the only weapon they have left: monetary inflation. The result of these “competitive devaluations” will be a death spiral for all major fiat currencies.

Moral of the story ... don't hold on to toilet paper.

http://www.coupondad.net/Images/Toilet_Paper_Icon.gif
Even if you don't like properties, quickly exchange your toilet paper for something that has a limited supply, like Gold, Silver, Paintings, Antiques, Stamps, Antique Cars, Old Books, even Toilet Paper (I mean the real type of toilet paper).

http://icons.iconseeker.com/png/fullsize/body-care/toilet-paper-1.png

WARNING: All these investments DO NOT have rental returns!

JohnTan

30-11-09, 16:11

Is the Yen really strengthening? or is it the Dollar collapsing?

Politicians never tell the truth about what they are trying to do. Let me reproduce one of my posts above.

WARNING: All these investments DO NOT have rental returns!

Thats why i will borrow 80% or 90% loan from the bank for my property and watch my debts shrink as fiat money evaporates :D

Reporter

30-11-09, 16:57

http://images.forbes.com/media/assets/forbes_home_logo.gif
Asia Benefits From Dubai Turmoil
Stocks rise as emerging markets money flows to Asia
Vivian Wai-yin Kwok
Forbes
Hong Kong
Monday, 30 November 2009, 01:57 PM CCT

Asian stocks rebounded by about 3% on Monday morning as investors brushed off fears of contagion from the Dubai debt crisis.

Analysts said that Asian banks' exposure to Dubai was minimal and that the financial turbulence in the Middle East may even trigger an inflow of funds to Asia from emerging markets elsewhere.

Japan's Nikkei 225 rose 2.9% to 9,345.55 Monday, while the broader Topix Index gained 3.6% to 839.94. Investors re-embraced exporters after their fears abated over Dubai's debt problem and its impact on market confidence, and after the yen descended from its 14-year high against the dollar last week to trade around 86.26 yen to the dollar late Monday afternoon.

Among Japanese exporters, Toyota Motor shot up 4.24%, to ¥3,440 (US$39.88), while Toshiba Corp soared even more, by 6.75%, to ¥458 (US$5.31).

After having toppled by about 7% last Friday, banking stocks in Hong Kong were back on the rise. HSBC rose 4.3% to close at HK$90.70 (US$11.63). Standard Chartered advanced 4.2% to HK$193.20 (US$24.77).

Investor sentiment improved after the central bank of United Arab Emirates (UAE) promised over the weekend that it would back up banks in the region after Dubai World, a state-owned investment company, unveiled last week that it needed a 6-month moratorium on a US$3.5 billion debt repayment coming due.

UAE is the federation of 7 emirates, the best-known of which are Dubai and Abu Dhabi, in the Persian Gulf. Abu Dhabi, Dubai's long-term competitor in the UAE, also said it would provide a liquidity scheme for both foreign and local banks which had been expecting repayments to help them solve short-term liquidity problems.

Dubai World is an investment arm of Dubai's government which manages a wide range of businesses and has extensive real estate investments in the UAE, the United States, England as well as South Africa. The Dubai government shocked global stock markets last week after it said Dubai World intended to ask its creditors to 'standstill' and extend debt maturities to the end of May.

Dubai World's surprise extended repayment request posed concerns that HSBC and Standard Chartered might lose money on loans to projects in Dubai and elsewhere in the UAE, where the two lenders have long had business ties.

Yet market analysts are optimistic that the Dubai turmoil will not blow into Asia. In a research note titled "Time To Go With Strength," BOA Merrill Lynch upgraded HSBC to 'buy' on Monday, saying, "With less than 2% of loans in UAE, HSBC is well placed to deal with the potential fallout from recent developments in Dubai."

HSBC disclosed in August that its loan exposure to the United Arab Emirates, including Dubai, was down to US$15.9 billion, from US$17.5 billion at the end of 2008. Meanwhile, information from Emirates Banks Association showed that the loan exposure of Standard Chartered to the UAE was about US$7.7 billion.

In South Korea, Vice-Finance Minister Hur Kyung-wook pledged this morning that the government was prepared to take pre-emptive measures after an emergency meeting with senior officials from the government and the central bank.

The Kospi stock benchmark closed up 2.04% at 1,555.60. The Kospi rebound was a huge relief to equities and currency investors because South Korean markets have been especially sensitive to external financial instability as a result of the country's highly leveraged banking system.

In a research report released Monday, Citi said there had been an inflow of $975 million in new money sent into offshore Asian funds in the week ended Nov 25, the day when Dubai World announced its financial problems. The sudden surge of inflows to Asian funds beat global and global emerging markets funds for the first time in 7 weeks. "The Dubai World impact could lead to flows out of funds with EMEA (Europe, Middle East and Africa) exposures. Asian funds are likely to benefit," Elaine Chu and Markus Rosgen, strategists of Citi, said in the report.

Analysts from Macquarie said the Dubai repayment extension only struck them as a temporary (and tradable) blip and indeed simply may have been used as an opportune excuse for profit-taking as the year-end looms. "Not only did directly impacted institutions such as European banks take developments relatively in stride Friday, but our assessment of East Asia's own exposure through key sectors such as banks, construction and real estate suggests minimal cause for concern," Macquarie said in a research report.

As the Dubai crisis may only be "sandstorm in a tea cup", Macquarie only expected to see small balance-sheet hits among Asian banks. "Asia's bank sector was beginning to look close to fully valued prior to the Dubai news, so this latest pullback provides an opportunity to get back into some of the better growth prospects, namely large China banks and Standard Chartered," the brokerage added.

jlrx

30-11-09, 20:37

The reason I found it funny is, who the hell really give a damm about DIFC??? Its has always been a mickey mouse "Financial Centre" since its start in 2004. This is SO mainstream reporting.

That I must agree with you. Dubai had never been in direct competition with Singapore, as we are in a totally different time zone.

Our direct competitors are Tokyo, Hong Kong and Shanghai.

But I am confident we will win, simply because we speak the least rotten English amongst the four Asian cities.

When the dust settles, it will be New York, London and Singapore.

And a certain Mr. John Tan will see his debt evaporate and, perhaps, even forgiven.

Thats why i will borrow 80% or 90% loan from the bank for my property and watch my debts shrink as fiat money evaporates :D

Reporter

30-11-09, 20:51

That I must agree with you. Dubai had never been in direct competition with Singapore, as we are in a totally different time zone.

Our direct competitors are Tokyo, Hong Kong and Shanghai.

But I am confident we will win, simply because we speak the least rotten English amongst the four Asian cities.

When the dust settles, it will be New York, London and Singapore.

And a certain Mr. John Tan will see his debt evaporate and, perhaps, even forgiven.
Sir, London is in the top 3 but don't look down on Dubai hor. Dubai was mentioned in the news below a month ago leh.

http://www.businesstimes.com.sg/mnt/static/image/images/bt_wkend_masthead.jpg
Singapore pips London as No 2 financial hub
New York stays clear favourite in global survey of investor choice
The Business Times Weekend
Saturday, 31 October 2009

Singapore has emerged as the second leading global financial centre after New York.

While New York has withstood the worst economic crisis in seven decades, London slipped behind Singapore as investors’ preferred place for doing business, according to a global survey.

Some 29% of respondents in the quarterly Bloomberg Global Poll of investors, traders and analysts say that New York will be the best place for financial services two years from now. ‘Despite the carnage of 2008, I still expect the ‘new new’ thing in financial services to be developed and nurtured here (New York), and ultimately exported to the world,’ says Peter Rup, a fund manager at Artemis Wealth Advisors in New York.

Singapore is chosen by 17% of the respondents and London is the pick of 16%. Shanghai has 11%. Tokyo, once considered a global hub, gets the nod from just 1%.

On a separate question, respondents say that China, Brazil and India offer investors the best opportunities for making money. The US, Europe and Japan are seen to have less potential.

The ascent of Singapore and the decline of London reflect the rise of specialised financial centres that cater to specific segments of the industry.

Many hedge funds have left London because of a new top income-tax rate of 50% for higher earnings and regulations planned by the European Union that restrict the amount they can borrow.

Consulting firm Kinetic Partners says that it had helped 23 hedge-fund firms move to Switzerland from London in the past 18 months and is looking to relocate another 15 since the UK announced a higher tax rate in April.

‘About 20% of the hedge-fund community could leave the UK in the next two or three years,’ says London-based David Butler, a founder of Kinetic. ‘The feeling among the hedge-fund community is there is a better place to be.’

Singapore and Shanghai are growing in popularity as firms look for ways to tap the wealth that has accumulated in China and the rest of Asia. Private wealth management, in particular, is growing in Singapore, which has no capital-gains tax.

‘Everything in Singapore is so well organised. Everything is so efficient. Everything works,’ says Gary Addison, a partner at the private-equity firm Actis Capital, which has US$2.9 billion under management. Mr Addison worked in London, then Tokyo, before moving to Singapore two years ago.

The investment climate attracts firms seeking high returns. ‘I perceive Singapore to be a little more of the tawdry wild west, or I guess tawdry wild ‘east’,’ says Pacific Income Advisors in Santa Monica, California.

Shanghai isn’t as well established as Singapore. Some 11% of those polled see the city as the top financial centre because of the huge growth potential in China. As credit remains tight in the US, China will try to unleash the excess savings of its citizens, says Anthony Comorat at Lydian Trust Co in Palm Beach, Florida.

Dubai remains a popular regional financial centre for investors who want to take advantage of the oil wealth in the Middle East. The sheikdom is the preferred locale of 5% of those polled.

‘No one can compete with Dubai in terms of a place to live and work,’ says Paul Reynolds, head of debt and equity advisory for the Middle East at NM Rothschild & Sons, in Dubai.

teddybear

30-11-09, 21:14

If Dubai World is not going pay up on time and default with their Dubai Govt not doing anything, then it will definitely bite the dust and kiss goodbye to be top financial centre.
If the other UAE countries as an united organization don't step in to help if necessary, then they can also kiss goodbye as competitors to be top financial centres. They have some obligations under UAE.

Sir, London is in the top 3 but don't look down on Dubai hor. Dubai was mentioned in the news below a month ago leh.

Reporter

30-11-09, 22:14

http://sg.yimg.com/i/sg/providers/cnalogo4.gif
Impact of Dubai debt crisis limited to certain firms: analysts
Rachel Kelly
Channel NewsAsia
Monday, 30 November 2009, 2229 hrs

http://www.channelnewsasia.com/imagegallery/store/phpHNmGFH.jpg

Singapore shares fell 1.09% on Monday, in reaction to news that a Dubai government investment company had asked for more time to repay its debt of nearly US$60 billion.

But the fall is not as bad as the initial expectations of a 2 to 3% decline. In the meantime, the Monetary Authority of Singapore (MAS) said it does not expect developments in Dubai to affect Singapore's financial stability.

It said Singapore's banking sector's gross exposure to the United Arab Emirates (UAE), of which Dubai is one of 7 emirates, is well below 1% of total banking assets.

Apart from a brief rally early in the session on Monday, the benchmark Straits Times Index traded mostly in a tight range and closed at 2,732.12. Market players said the local market was able to limit the slide, thanks to broad rallies across Asia.

Wong Sui Jau, general manager, Fundsupermart.com, said: "There was a fall, but it wasn't really the kind of huge drop or crash that the other markets on Friday went through.

"I think a lot of Asian markets, as well as Singapore investors, are probably realising that the impact will not be as big as what they feared because ultimately, Dubai is far from Singapore. The total debt exposure, even for Dubai World, is US$59 billion – small compared to the debt the caused the financial crisis last year."

Overall, some analysts said the impact of the Dubai debt crisis will be limited to companies with exposure to the emirate, particularly the property sector. Others said Singapore's Islamic finance industry may well benefit.

Bernard Lee, deputy director, Sim Kee Boon Institute for Financial Economics, Singapore Management University, said: "Dubai, as an international banking sector, has certainly suffered an amount of damage to its reputation and the fact that Abu Dhabi is bailing but not unconditionally backing it (is contributing to the damage).

"On a comparative basis, it certainly puts Singapore in a very positive light at this point, in the sense that the government here has a huge amount of reserves and also a very aggressive strategy to Islamic banking."

DBS has disclosed that its total exposure to Dubai is about S$1.8 billion. The bank said it believes the situation is manageable as a substantial part of this is in Dubai-owned companies operating in Asia, which are sound.

As of Monday, the only credit that is captured under the standstill notice is a S$558 million bilateral loan to Dubai World Finance, which represents 0.2% of DBS' total balance sheet.

The bank has no exposure to Nakheel, the Dubai World property unit which is building the iconic Palm Jumeirah artificial island. DBS said its exposure to the entire Middle East region accounts for around 2% of its balance sheet.

OCBC, for its part, said it has no exposure to Dubai World and Nakheel, and its exposure to the Dubai government, government-linked corporations and other institutions is not material.

UOB said its exposure is insignificant.

Reporter

01-12-09, 13:05

http://www.businesstimes.com.sg/mnt/static/image/images/topMasthead_small.gif
Real estate attracts rich investors
They see better long-term returns from property than from stocks: survey
The Business Times
Edinburgh, U.K.
Tuesday, 1 December 2009

Individuals with more than US$800,000 to invest plan to increase their property holdings because they foresee better long-term returns than from stocks and bonds, according to a Barclays plc global survey.

Twice as many people plan to raise their investment in commercial and residential property as intend to reduce it, the Barclays Wealth unit said in a statement yesterday.

The richer the individual, the greater the proportion of wealth is placed in real estate, the survey found.

‘I was surprised how big a share of their wealth property represents,’ Mike Dicks, the London-based head of research at Barclays Wealth, said in an interview. ‘It’s not what I would tell grandma. None of our data suggests that would be a good allocation.’

The global recession pushed down commercial and residential real estate prices in every region except Asia. The value of US shops, offices and warehouses fell 21% in the first three quarters of this year, following a 12% decline in 2008.

Belief that properties are now undervalued was the second most common reason cited for increasing investment.

Real estate investment among wealthy individuals is set to rise to 30% of the average portfolio for the next few years from 28% now, according to the survey. That excludes properties used as a principal residence.

Most rich people, other than the extremely wealthy, should have no more than 10% of their assets in property, said Mr Dicks.

‘An emotional attachment to bricks and mortar’ can mean that rich investors are often unwilling to sell real estate at short notice and may be less rigorous in measuring its performance as an asset, according to the report.

Investors from Canada and the Persian Gulf were the most likely to increase their property allocations, with an average rise of 4%, the report said.

Spain was the only country in the survey where more individuals said they would reduce the proportion of real estate investment, said the wealth management division of London-based Barclays. About 60% of rich individuals in that country have more than half their assets in property.

Almost 30% of British and Indian investors have more than half their wealth tied up in real estate.

About 40% of the total respondents worth more than £30 million (S$68.4 million) have a similar allocation, Barclays Wealth said.

Three out of four investors surveyed said residential property is looking attractive and two-thirds are keen to explore investing in commercial real estate, the survey said. About 75% said they feel hampered by borrowing costs.

The US was the most attractive real estate market for investors outside their home country, the survey showed. The country was seen as having the highest potential for return on investment.

Barclays Wealth surveyed 2,000 people. 40% were worth £500,000 to £1 million.

An additional 40% were worth between £1 million and £10 million. 10% had assets of as much as £30 million and the rest were wealthier than that.

jlrx

01-12-09, 16:16

http://www.businesstimes.com.sg/mnt/static/image/images/topMasthead_small.gif
Real estate attracts rich investors
They see better long-term returns from property than from stocks: survey

They are just stating the obvious.

After Obama and Japan, the latest country to join in the money-printing party is ...

http://d.yimg.com/gg/laocongge/avatars/f338c9ee4d8aef99d9647e1a104e2ee56a750666.jpeg

The Dear Leader does not even need a money printing machine! :scared-4: See how he does it ...

Straits Times

Dec 1, 2009

N.Korea cuts 2 zeros off bills

SEOUL - NORTH Korea will re-denominate its won currency to knock two zeros off the nominal value of bills in an attempt to fight inflation and clamp down on black-market trading, South Korea's main news agency reported on Tuesday.

Yonhap news agency quoted multiple North Korean foreign trading officials based in China as saying that the reform measure was implemented from 11 am (10am Singapore time on Tuesday) on Monday and made people rush to convert their won currency into yuan or US dollar on the black markets.

'The conversion rate was set at 100 to 1 and accordingly every 1,000 won bill is now being exchanged into a 10 won note,' one of them said.

'Black markets in Pyongyang have turned into chaos because residents rushed to convert the local currency into (Chinese) yuan or US dollar,' the person said, referring to the capital city of the communist state.

North Korean won, although called the same as South Korea's currency , is not officially traded for or quoted against foreign currencies.

Impoverished North Korea has connived at foreign-trading officials smuggling foreign currencies they earned abroad into the country in return for 'donating' part of the hard currencies to the central government, Yonhap said.

This practice, amid the lack of a modern financial and monetary system, has sharply increased money supply in circulation and has recently contributed to lifting some asset prices such as luxury apartment flats, it said. -- THOMSON REUTERS

http://jennwhiteside.com/photos/d/536-2/apartments.jpg

Reporter

01-12-09, 17:33

They are just stating the obvious.

After Obama and Japan, the latest country to join in the money-printing party is ...

http://d.yimg.com/gg/laocongge/avatars/f338c9ee4d8aef99d9647e1a104e2ee56a750666.jpeg

The Dear Leader does not even need a money printing machine! :scared-4: See how he does it ...

Straits Times

Dec 1, 2009

N.Korea cuts 2 zeros off bills

SEOUL - NORTH Korea will re-denominate its won currency to knock two zeros off the nominal value of bills in an attempt to fight inflation and clamp down on black-market trading, South Korea's main news agency reported on Tuesday.

Yonhap news agency quoted multiple North Korean foreign trading officials based in China as saying that the reform measure was implemented from 11 am (10am Singapore time on Tuesday) on Monday and made people rush to convert their won currency into yuan or US dollar on the black markets.

'The conversion rate was set at 100 to 1 and accordingly every 1,000 won bill is now being exchanged into a 10 won note,' one of them said.

'Black markets in Pyongyang have turned into chaos because residents rushed to convert the local currency into (Chinese) yuan or US dollar,' the person said, referring to the capital city of the communist state.

North Korean won, although called the same as South Korea's currency , is not officially traded for or quoted against foreign currencies.

Impoverished North Korea has connived at foreign-trading officials smuggling foreign currencies they earned abroad into the country in return for 'donating' part of the hard currencies to the central government, Yonhap said.

This practice, amid the lack of a modern financial and monetary system, has sharply increased money supply in circulation and has recently contributed to lifting some asset prices such as luxury apartment flats, it said. -- THOMSON
http://jennwhiteside.com/photos/d/536-2/apartments.jpg
Dunno wat to say ... maybe to Mr Kim just "Mr Kim JongIl, you win!" ... and to the people just "You folks should have bought that apartment earlier. Now you need to work 100 times harder."

Property_Owner

01-12-09, 18:28

jlrx

01-12-09, 21:53

Dunno wat to say ... maybe to Mr Kim just "Mr Kim JongIl, you win!" ... and to the people just "You folks should have bought that apartment earlier. Now you need to work 100 times harder."

Don't laugh at North Korea.

Right here in Singapore, we now also have to work 100 times harder.

Read this:

Goh Swee Fang and Others v Tiah Juah Kim
[1994] 3 SLR 881; [1994] SGCA 118

The dispute centred on an undivided half share of the property, known as 101, Jalan Mastuli, Singapore (the property).

One day in 1964 or thereabouts, the first appellant approached the respondent and suggested that they should purchase a house in the housing estate. Prior to that she had approached her husband but the latter declined. The respondent agreed to the first appellant’s suggestions. Accordingly, both of them proceeded to the site office where the respondent selected the property, which was the cheapest two-storey terrace house available and was priced at $24,500.

http://www.haskell-dowland.com/content/binary/ROFLMAO.gif

kali-yuga

01-12-09, 22:31

Some highlights from SocGen's latest

We have just had the worst decade’s performance for equity investors on record. Relative to government bonds, equities have been an even bigger disaster. Surely after such a terrible decade for equity investors things can only get better?
On a ten year view, equities may indeed prove to be a good investment. On a 1-2 year view, however, we still see much pain to come. After what we have been though so far, where the bulls? optimism has been crushed in 2001/2 and in 2007/8 surely there must be a heavy weight of self-doubt yoked onto the shoulders of the bulls ? but apparently not!

The lesson from Japan is that while de-leveraging plays itself out, the global economy will remain extremely vulnerable. The Great Moderation is dead. It was built on a super-cycle of private sector debt. We know from Japan, we now return to what was before, i.e. highly volatile and unpredictable cycles. Recession will quickly follow recovery.
US equity valuations did not reach revulsion levels in March this year. After some 15 years of gross overvaluation do we really believe that this valuation bear market that has been in place since 2000 will finish with equities looking cheap for only three months? Long term-valuation measures suggest equities will fall substantially below March lows.
Government bonds are now an extremely poor investment. On a 10-year view, the insolvency of government finances will surely end in substantially higher inflation. Yet on a 1-2 year view, we believe the key threat remains deflation. Markets will react aggressively to this as the cycle stalls in 2010. Expect sub-2% bond yields to accompany new lows on the equity market next year. Thinking the unthinkable has paid off over the last decade and should continue to do so.

Reporter

02-12-09, 10:47

http://www.ocbcresearch.com/image/oir_logo.jpg
Singapore Property
Residential market to retain its shine in 2010
Foo SzeMing
OCBC Investment Research
Wednesday, 2 December 2009, 10:33:17

http://www.ocbcresearch.com/image/Bottom%20Table/Cbd%20offices.gif

Outlook for the property segment has improved significantly in comparison to a year ago but uncertainties remain in the office and industrial segments. Among the different subsector of the property market, we are positive on the residential segment, neutral on the retail segment and negative on the office and industrial segments. Given the still mixed outlook, we prefer to stay NEUTRAL on the property sector for the year ahead. Keppel Land (BUY; FV: S$3.61) and UOL Group (BUY; FV: S$4.55) have emerged as our top pick for the property sector in 2010. For Keppel Land, we have identified several positive catalysts ahead in 2010 – the opening of the IRs, completion of the Marina Bay Financial Centre and launch of MBS. For UOL Group, we like the foresight of the management and strong earnings visibility over the medium term. In addition, both counters offer compelling value to investors.

Positive outlook on residential market. The private property market is likely to find some support from the resilient HDB resale market and the extended period of low interest rates. We think that property prices are likely to stay firm for the year ahead. While we had stayed bearish on the high-end segment since the onset of the crisis, we think that this segment could outperform the others in 2010 due to the opening of the 2 IRs.

Another challenging year for the office market. 2010 will be another challenging year for office landlords due to the large supply of office space coming from MBFC and the possible acceleration of negative rental reversions. In our forecasts, we estimate that office rents could fall by 15% YoY in 2010. Nevertheless, the situation could improve if economic recovery drives business expansion and employment and office conversion takes off.

Neutral view on the retail property segment. We continue to like this segment for its defensive traits and downside risk to rents looks limited with the improvement in consumer sentiments and the balanced supplydemand dynamics in this segment. However, we think upside to rents could still be capped unless global economic growth and consumer spending surprise on the upside in 2010.

Staying cautious on the industrial properties. Our negative view comes from supply-side concerns (for factory space) and weak demand recovery led by the uncertainty in global economic recovery. While a portion of the upcoming supply may have been pre-committed, take-up rate of the remaining uncommitted space could still be a concern. Nevertheless, rents of warehousing space are expected to fair better than factory space.

Top picks for 2010: Keppel Land and UOL Group. Given the still mixed outlook, we prefer to stay NEUTRAL on the property sector for the year ahead. Keppel Land (BUY; FV: S$3.61) and UOL Group (BUY; FV: S$4.55) have emerged as our top pick for the property sector in 2010. For Keppel Land, we have identified several positive catalysts ahead in 2010 - the opening of the IRs, completion of the Marina Bay Financial Centre and
launch of MBS. For UOL Group, we like the foresight of the management
and strong earnings visibility over the medium term. In addition, both counters offer compelling value to investors.

http://www.ocbcresearch.com/image/Bottom%20Table/property%20091202.GIF

Reporter

02-12-09, 11:11

http://www.ocbcresearch.com/image/oir_logo.jpg
Keppel Land Ltd
Exceptional demand at MBS
Foo SzeMing
OCBC Investment Research
Monday, 30 November 2009, 08:48:37

http://www.ocbcresearch.com/image/Bottom%20Table/Keppel%20Land%20logo.gif

The Marina Bay Suites (MBS) was finally previewed last week and saw exceptional demand from buyers on the first day. The pricing achieved for MBS is impressive compared to other properties in the vicinity and we have now raised our average selling price assumption for MBS to S$2,500 psf. Among the developers, Keppel Land (KepLand) is best positioned to benefit from the opening of the IRs. KepLand still holds three pieces of land at the Keppel Bay area and these could appreciate in value over the long term. As we are now more optimistic on the high-end property segment, we have removed the 20% discount that had been previously ascribed in our valuation and thus derive a fair value of S$3.61 on KepLand. With a slew of positive catalysts ahead in 2010 – the opening of the IRs, completion of the Marina Bay Financial Centre and the launch of MBS, we are now upgrading KepLand from HOLD to BUY.

Strong response at the MBS preview. The Marina Bay Suites (MBS) was finally previewed last week and saw exceptional demand from buyers on the first day of the preview. Only units up to 45th floor were released for preview and at least 81 units of the 90 units previewed were sold during the first day at average prices ranging from S$2,200 psf to S$2,500 psf. Sizes of the three and four-bedroom units range from 1,572 sqft to 2,691 sqft and prices start from S$3m and S$4.3M, respectively. At least one-third of the buyers were foreigners and companies.

Raising our ASP assumption for MBS to S$2,500 psf. The success of the preview provides more evidence that genuine buying interests from locals and foreigners have returned to the high-end property market. The pricing achieved for MBS is on par with recently transacted prices at The Sail and Marina Bay Residences, which have better frontages. We are now raising our average selling price assumption for MBS to S$2,500, which is a comfortable estimate as the higher floor units can achieve better pricing when released for sale next year.

A key beneficiary of the opening of IRs. The two integrated resorts – Resorts World at Sentosa (RWS) and Marina Bay Sands – are expected to open in early 2010. Among the developers, Keppel Land (KepLand) is best positioned to benefit from the opening of the IRs. We expect the pricing of the remaining unlaunched units at Reflections at Keppel Bay and MBS to increase upon the completion of the two IRs. In addition, KepLand still holds three pieces of land at the Keppel Bay area and these could appreciate in value over the long term due to its close proximity to the RWS. We have now raised our achievable selling price for these three plots of land to S$1,800 psf.

Time is ripe for an upgrade. With the adjustments in our selling price assumptions, our RNAV estimate has now been raised to S$3.61 per share (previously S$3.39). As we are now more optimistic on the high-end property segment, we have removed the 20% discount that had been previously ascribed in our valuation and thus derive a fair value of S$3.61 on KepLand (previously S$2.92). With a slew of positive catalysts ahead in 2010 – the opening of the IRs, completion of the Marina Bay Financial Centre and launch of MBS, we are now upgrading KepLand from HOLD to BUY.

http://www.ocbcresearch.com/image/Bottom%20Table/Keppel%20Land%20091130.GIF

Reporter

02-12-09, 11:53

http://blogs.freshminds.co.uk/talent/wp-content/uploads/2009/07/bloomberg_logo.jpg
亚洲股市未来一年估计再涨29%
彭博
新加坡
星期三, 2-12-2009

券商看涨亚洲股市后市，高盛，瑞信最乐观，后者看好明年再涨29%。

瑞信集团预估，亚洲股市将在未来12个月再涨29%，因为亚股仍遭低估，企业获利将继续复苏。

瑞信在报告中表示，摩根士丹利资本国际（MSCI）日本以外亚股指数届时料将升至600点。投资人应加码韩国、印尼、印度及在香港挂牌的中国企业股票，并看好景气循环类股的表现优于防御性类股。

在本周发表MSCI亚股指数预测的各家券商中，瑞信的乐观度排名第二高，仅次于高盛。倘若瑞信预测成真，亚股将登上2008年1月以来的高点。

Tony Blair

02-12-09, 12:18

Now everybank singing a different tune from one year ago.

jlrx

02-12-09, 18:02

Now everybank singing a different tune from one year ago.

Given that these analysts can be totally off the mark, I'm getting a bit nervous ... now that they have become so optimistic. :scared-3:

End of last year, this OCBC was forecasting firesales!!! :scared-4: Now they are forecasting sunshine!!! :scared-4:

Business Times

30 Dec 2008

OCBC analysts also believe that high-end property prices could decline by 15-20 per cent in 2009 due to weak sentiment, unsold inventories and potential risks of buyers’ default and fire-sales.

http://science.nasa.gov/headlines/y2008/images/solarflaresurprise/flare_sxi2_strip.jpg

http://www.ocbcresearch.com/image/oir_logo.jpg
Foo SzeMing
OCBC Investment Research
Wednesday, 2 December 2009, 10:33:17

Singapore Property
Residential market to retain its shine in 2010
http://science.nasa.gov/headlines/y2008/images/solarflaresurprise/flare_sxi2_strip.jpg

tanumy

02-12-09, 18:56

better buy double bay residence at simei with low PSF and great to invest due to upcoming new university and shopping mall / hotels. Great rental yield too.

Reporter

02-12-09, 20:01

Given that these analysts can be totally off the mark, I'm getting a bit nervous ... now that they have become so optimistic. :scared-3:

End of last year, this OCBC was forecasting firesales!!! :scared-4: Now they are forecasting sunshine!!! :scared-4:
They have already admitted their mistake. Can you please be so kind as to forgive them?

"While we had stayed bearish on the high-end segment since the onset of the crisis, we think that this segment could outperform the others in 2010 due to the opening of the 2 IRs."

"Hard to say I'm sorry": Chicago
http://www.youtube.com/watch?v=sLVKd1lhgOQ
Peter Cetera and David Foster
Chicago 16
1982

jlrx

02-12-09, 21:26

They have already admitted their mistake. Can you please be so kind as to forgive them?

"While we had stayed bearish on the high-end segment since the onset of the crisis, we think that this segment could outperform the others in 2010 due to the opening of the 2 IRs."

proud owner doesn't seem to agree that the opening of the IRs will have an impact on high-end properties, because he thinks that IR workers are too lowly paid to afford rental at either Marina Bay or Orchard Road.

Hmmm ...

Let me see if I can convince him using the following animation ...

http://bugman123.com/Fractals/SpiralTrap-large.gif

The two whirlpools are like the two IRs, sucking gamblers (and their money) from around the world.

Those who lose all their money disappear into the dark realms; while those who win will turn into colourful rainbow stripes, perhaps buying themselves a Marina Bay Suite or Orchard Residence apartment.

The reason why casinos are such powerful entities is because they are gateways to alternate worlds ... all on the throw of the dice.

http://lh4.ggpht.com/_PK0EOWvC8YI/SUsNSu3SR1I/AAAAAAAACoE/44iJY6oZwQk/beggar1_thumb%5B1%5D.jpg
http://www.online-casino.org/images/casino_dice_1219377.jpg
http://vietnambranding.com/news/img4/1222652989_li_ka-shing_f.jpg

Reporter

02-12-09, 22:03

proud owner doesn't seem to agree that the opening of the IRs will have an impact on high-end properties, because he thinks that IR workers are too lowly paid to afford rental at either Marina Bay or Orchard Road.

Hmmm ...

Let me see if I can convince him using the following animation ...

http://bugman123.com/Fractals/SpiralTrap-large.gif

The two whirlpools are like the two IRs, sucking gamblers (and their money) from around the world.

Those who lose all their money disappear into the dark realms; while those who win will turn into colourful rainbow stripes, perhaps buying themselves a Marina Bay Suite or Orchard Residence apartment.

The reason why casinos are such powerful entities is because they are gateways to alternate worlds ... all on the throw of the dice.

..........
..........
Err ... can you help convince him that the way the high-end segment would benefit from the opening of the IRs is not through rental or purchase from the employees of the IRs?

jlrx

02-12-09, 22:28

Err ... can you help convince him that the way the high-end segment would benefit from the opening of the IRs is not through rental or purchase from the employees of the IRs?

That's what I was trying to do with this animation ...

http://bugman123.com/Fractals/SpiralTrap-large.gif

proud owner

02-12-09, 23:51

better buy double bay residence at simei with low PSF and great to invest due to upcoming new university and shopping mall / hotels. Great rental yield too.

how do you know the rental yield is going to be good ?

Look at Hillcrest villa .. no taker ... super prime district with prime schools .. also L L

whats your basis that whatever bay ? is a great investment ? taking away the university ...

NUS still consider near town .. look at NTU ..the rental arund there good ???

proud owner

02-12-09, 23:56

proud owner doesn't seem to agree that the opening of the IRs will have an impact on high-end properties, because he thinks that IR workers are too lowly paid to afford rental at either Marina Bay or Orchard Road.

Hmmm ...

Let me see if I can convince him using the following animation ...

http://bugman123.com/Fractals/SpiralTrap-large.gif

The two whirlpools are like the two IRs, sucking gamblers (and their money) from around the world.

Those who lose all their money disappear into the dark realms; while those who win will turn into colourful rainbow stripes, perhaps buying themselves a Marina Bay Suite or Orchard Residence apartment.

The reason why casinos are such powerful entities is because they are gateways to alternate worlds ... all on the throw of the dice.

http://lh4.ggpht.com/_PK0EOWvC8YI/SUsNSu3SR1I/AAAAAAAACoE/44iJY6oZwQk/beggar1_thumb%5B1%5D.jpg
http://www.online-casino.org/images/casino_dice_1219377.jpg
http://vietnambranding.com/news/img4/1222652989_li_ka-shing_f.jpg

WRONG WRONG WRONG

i did not say IRs will have no impact on high end properties ..

i said IRs will not spark demand for studios ..

gfoo

03-12-09, 00:13

hans

03-12-09, 01:53

One thing I learn about investing the hard way (lose money), is when everyone turns optimistic, it is time sell. When everyone turns pessimistic, it is time to buy.

Given that these analysts can be totally off the mark, I'm getting a bit nervous ... now that they have become so optimistic. :scared-3:

End of last year, this OCBC was forecasting firesales!!! :scared-4: Now they are forecasting sunshine!!! :scared-4:

new2mondrian

03-12-09, 09:01

it's not the IRs themselves that will drive high end properties around the area - at the end of the day it's just a casino.

No. what drives it is the entire lifestyle package of gardens, bay, parks, shopping, theatres, museum, F1 - $60b worth of infrastructural investments to make the area a playground for the rich.

Proud Owner is right - the IRs alone will not drive studio rentals in fringe or suburban condos - at the very most it will benefit HDB flats with easy access to the locality.

well said... analysts who point out to possible downside risks in the SGP property segment due to over-optimistic real estate expectations being aligned to the opening of IRs, without assessing the whole infrastructural investments, are short-sighted. Singapore is positioning itself to attract high net worth individuals, and it is the whole transformation and not the IRs that will drive up the property segment.

i said in one of my posts earlier this year that the bay area is tremendously underpriced, and that there will be a separation on how it'll be valued vs other areas. this is not based on anything other than the fact that $60b is being spent in the immediate vicinity.

and this is just the start of things to come. Once the Marina South Residential District starts land sales and construction, the whole area will make D9 seem passe

I will agree with this statement to a limited extent. Over the long run, ceteris paribus, Sentosa Cove shows much more promise than the Marina Bay area. Both sites are 99-year leasehold (hence will only face depreciating land lease over time; unlike most of the land tracts in D9 and D10 which are freehold and can withstand multiple property cycles); but the biggest problem with the Marina Bay area is that the whole infrastural investment is made with public consumption in mind. Not all the rich wish to stay next to towering office blocks and traffic congestion in the financial district, not all the rich wish to share the same public space as the man in the street. Whereas Sentosa Cove is a rich enclave, with private pools, private lift wells, private gardens, and even the entire surroundings are gated. This is the greatest difference. With this difference, it poses a long term risk to properties in the Bay area. With their rarefied entry prices and 99-year lease term, whether upside risks balance out the gains is another story. Let's all wait and see how this segment pans out.

Reporter

03-12-09, 09:14

http://www.businesstimes.com.sg/mnt/html/bto5/images/topMasthead_small.gif
6 whole floors sold at Marina Bay Suites preview
Buyers include Indonesians, Singaporeans and other Asians
Kalpana Rashiwala
The Business Times
Thursday, 3 December 2009

http://asiaarchitecture.com/wp-content/uploads/2008/10/1876_marina.jpg
Marina Bay Suites

About half a dozen floors at Marina Bay Suites changed hands at last week's preview of the project, BT understands.

The buyers of the whole floors are understood to be Indonesians, Singaporeans and other Asians.

Some of them bought through companies. The foreigners are believed to be Singapore permanent residents.

In absolute terms, the biggest transaction was close to $45 million, involving at least 2 floors. The buyer is understood to be an Indonesian party.

Market watchers estimate that it could have cost buyers between $17 million and $18 million to purchase a whole floor at the 99-year leasehold condo based on prices at last week's preview.

Each floor has four apartments - two 3-bedroom units and two 4 bedders. The total saleable area per floor is slightly under 8,000 sqft.

Thomas Tan, head of marketing (residential) at Raffles Quay Asset Management (RQAM), told BT yesterday that 87 of the 90 units released for the preview have been sold.

The 87 units fetched close to $400 million, he added.

Two thirds of the units were sold to Singapore residents (including PRs). The remaining one third was sold to non-PR foreigners, including Indonesians, Malaysians, mainland Chinese, Australians and Americans.

'We do have multiple-unit buyers, but due to client confidentiality and privacy reasons, we are unable to reveal such information,' Mr Tan said when asked about purchases of entire floors.

RQAM is the asset manager for Marina Bay Suites, which is being developed by a joint venture involving Hongkong Land, Keppel Land and Cheung Kong Holdings.

Mr Tan declined to give details about pricing except to reiterate that 'the average price range was between $2,200 psf and $2,500 psf'. BT understands that on an average basis, the 90 units were priced at close to $2,300 psf.

However, the range at which the apartments were sold could be about $1,800 psf to slightly over $2,600 psf.

Mr Tan said that the apartments released were from the 7th to the 40th-plus floors of the 66-storey development.

The 221-unit project comprises 218 3- or 4-bedroom apartments and three penthouses. Currently, the plan is to begin construction of the project sometime in the first half of next year, Mr Tan said.

'We have no immediate plans to release more units for the rest of this year but we'll continue to register interested buyers. We'll monitor the market and determine the price at the time of launch.'

Property_Owner

03-12-09, 09:21

how do you know the rental yield is going to be good ?

Look at Hillcrest villa .. no taker ... super prime district with prime schools .. also L L

whats your basis that whatever bay ? is a great investment ? taking away the university ...

NUS still consider near town .. look at NTU ..the rental arund there good ???

Haha. One of my neighbour bought Hillcrest Villa. When he got it yaya papaya with me everyday tell me how good is tat location plus all e good schools there. Now don't even dare to face me. I had introduced him some agents and yet non even had an offer for his unit.

Fault is?

proud owner

03-12-09, 09:26

Haha. One of my neighbour bought Hillcrest Villa. When he got it yaya papaya with me everyday tell me how good is tat location plus all e good schools there. Now don't even dare to face me. I had introduced him some agents and yet non even had an offer for his unit.

Fault is?

ihiihi Mr Property-owner
your mail box super full leow

Property_Owner

03-12-09, 09:29

[/QUOTE]

'We do have multiple-unit buyers, but due to client confidentiality and privacy reasons, we are unable to reveal such information,' Mr Tan said when asked about purchases of entire floors.

[/QUOTE]

At least they hold this informations.

bargain hunter

03-12-09, 09:30

best part is the 99 year lease starts in 1992 and MCL din top up the lease to sell to your neighbour. :D So far almost all of the 5 or 6 subsales are either at break even or loss.

wait till the duchess residences one TOP, lagi underwater. 1 fella even bought at 2300psf in 07. so far 2 cut loss sellers this year at 14xxpsf.

Haha. One of my neighbour bought Hillcrest Villa. When he got it yaya papaya with me everyday tell me how good is tat location plus all e good schools there. Now don't even dare to face me. I had introduced him some agents and yet non even had an offer for his unit.

Fault is?

Reporter

03-12-09, 09:31

http://www.asiaone.com/a1media/site/common/top_a1_home.gif
Singaporeans spending more nowadays
Sharan Kaur
AsiaOne
Thursday, 3 December 2009

Singaporeans across all income groups are spending an average of 2.7% more each year across 5 years - from 2002 until 2008.

There's no cause for worry yet, as Singaporeans across all income groups are also earning more now than we used to, with the average monthly household income growing 6.1% per year from $5,540 in 2002/03 to $7,440 in 2007/08.

However, the income gap between the rich and poor in Singapore is widening. The average increase in income for the top 20% households in Singapore over 5 years was 6.8% while the figure for the lowest 20% of households in Singapore was significantly lower at 2.9%.

In 2007/08, those living in private housing spent an average of $7,090 per month on household expenditure. This figure is more than twice of the average monthly household expenditure of those living in HDB flats, according to the latest Household Expenditure Survey released today.

Interestingly, more than 60% of our money was spent on food, food serving services and transport. According to the survey, this is due to rising food and petrol prices as well as households' preference for dining out.

The survey, conducted once every 5 years by the Department of Statistics, also showed home ownership rates remained at the same level that from 2002 to 2008, but there was greater access to consumer items.

For example, almost all households owned television sets in '08, a 1% increase in the figure from 2002/03. The percentage of households with Pay-TV subscriptions also increased 10% to 45% in 2002/03.

Here's what else the survey revealed:
Household expenditure

Increases in household expenditure among the top 80% of households ranged from 2.6 to 3.4% each year while the increase among the lowest 20% of households was 1.1%.
The average monthly household expenditure increased by 2 to 3% per annum among households in private housing and HDB 5-room and bigger flats. Households in HDB three- and four-room flats experienced a slower growth rate of 1.5 to 1.9% while the growth rate of households in HDB 1- and 2-room flats declined slightly by 0.7%.
Spending on healthcare grew by 5.8% per annum with increases in expenditure on hospitalization, specialized medical treatment, dental services and pharmaceutical products.
The proportion of household expenditure spent on food and nonalcoholic beverages decreased as household income increased. Among the lowest 20% of households, it accounted for 12% of household expenditure while it only accounted for 5.6 per cent for the top 20% households.
Those living in HDB spent 16% more on food than those living in private housing.Household income

On average, employment income contributed 83% of total household income from all sources. Business income contributed 12% while the remaining 4.7% of total household income was from non-work sources such as rental, investment, cash contribution from relatives/friends, social welfare grants, etc.The lowest 20% of households were more reliant on income from non-work sources than other income groups.Ownership of property and consumer items

The proportion of households with air-conditioners increased from 4% to 75%.
The proportion of households with cars increased slightly from 35% in 2002/03 to 38 per cent in 2007/09.
The percentage of households with internet subscriptions increased 15% to 70%.
The average monthly household expenditure on communication also increased by 4.1% per annum due to the higher spending on mobile phone subscriptions and call charges as well as internet subscriptions.
In contrast, the average household expenditure on residential telephone fixed-line subscriptions and call charges declined, showing households preferred to use mobile phones and internet instead.

proud owner

03-12-09, 09:32

best part is the 99 year lease starts in 1992 and MCL din top up the lease to sell to your neighbour. :D So far almost all of the 5 or 6 subsales are either at break even or loss.

wait till the duchess residences one TOP, lagi underwater. 1 fella even bought at 2300psf in 07. so far 2 cut loss sellers this year at 14xxpsf.

Duchess residences is the one inside Rebecca area ?

sold out in 1 day ... aunties all queue up to buy that one ? heehehe

Reporter

03-12-09, 09:35

'We do have multiple-unit buyers, but due to client confidentiality and privacy reasons, we are unable to reveal such information,' Mr Tan said when asked about purchases of entire floors.
At least they hold this informations.
MBS developer have to hold this information. Otherwise, the forumers here will know the true identity of Property_Owner.

Property_Owner

03-12-09, 09:35

ihiihi Mr Property-owner
your mail box super full leow

Just clear Pal.

Property_Owner

03-12-09, 09:37

Duchess residences is the one inside Rebecca area ?

sold out in 1 day ... aunties all queue up to buy that one ? heehehe

Yup, same group of aunties tat queue for Seafront. keke

bargain hunter

03-12-09, 09:39

not exactly rebecca...rebecca was the showflat haha. its actually deep deep deep inside duchess avenue and behind hwa chong hostel. grabbed in 1 day but not sold out lah, but almost all sold within 2 or 3 weeks. aunties??? either they are very rich or in a lot of trouble lor. smallest unit was a 3 bedder, sold on average more than 2.5m. many penthouses and garden mansionettes sold at more than 5 or 6m. :doh:

Duchess residences is the one inside Rebecca area ?

sold out in 1 day ... aunties all queue up to buy that one ? heehehe

bargain hunter

03-12-09, 10:22

lowest price transacted so far is 2.5+m for a terrace at hillcrest villa. even 2m i also won't buy considering the 81 year lease left.

Haha. One of my neighbour bought Hillcrest Villa. When he got it yaya papaya with me everyday tell me how good is tat location plus all e good schools there. Now don't even dare to face me. I had introduced him some agents and yet non even had an offer for his unit.

Fault is?

HP65

03-12-09, 10:41

ihiihi Mr Property-owner
your mail box super full leow

This is indeed one of those projects that the blind leads the blind. So many people blindly follow colleagues, bosses, relatives etc to buy without assessing the true value (including the costs) of the property. I heard 75% of the development are up for sale or rental.

There are a few other propjects that I went to see which has TOP for awhile and yet its empty. Eg, One-North, Six Ave Residences, Hill-Crest Villias, Suites at Central.

So, these `investors' or rather `speculators' find that its worth their money to just park their money in properties and leave it empty. Can't remember which joker, was it reporter or whoever i can't even be bothered to remember, chided me that buying Gold earns no yield and yet attracts storage costs. Now, unless one pays in full their properties, they still need to pay maintenance monthly. Isn't this akin to buying Gold, haha. Some of you in this forum are just unbelievable. Keep trying so hard with all your stupid colorful reports and searching so hard for something positive out of reports, and posting them here. Con job right? Agents, or people holding multiple units.......seriously I would really like to see all you guys someday, because all you property bulls are doing such a great con job and I'm very curious who are you guys.

And then there is another idiot who keeps asking people to buy DBR, that is the ultimate joker in this forum.

For the rest of you, and i think the majority of forumers here, try to do more home work, do not be mislead by sales talks or speculators. Its not possible for so many singaporeans to have their properties left empty. Sooner or later, weak holders will have to sell their units. I was offered $200k below the purchase price at Hill Crest Villas but I still refused it. Imagine how desperate the seller is. Btw, I wasn't looking for unit at Hill Crest, but rather received a flyer in my mailbox. So I decided to test out the agent and to find out the `market value' of this area since I just stayed across the road and I'm vested here.

Sometimes I wonder if Singapore is heading the way of Australia where property prices has also appreciated a lot but the rental yields, although is slowing climbing, is still very low. I just sold 2 units at Chatswood, Sydney last week. Bought it slightly over 12 months ago at AUD 650k. Sold them at AUD 1.8 mio to, yes, 2 Chinese nationals again. Decided to sell it as interest rate is climbing but rental is not able to keep up even though its easily rented out within 2 weeks of advertisement. And added to that exchange gain of 20%, better packup and leave. So, i also can't wait to see interest rates increase in Singapore and this reagion. Units can still be taken up but monthly servicing of instalments will kill/ bleed the majority of these speculators. Waiting to see the show.....

HP65

03-12-09, 10:46

lowest price transacted so far is 2.5+m for a terrace at hillcrest villa. even 2m i also won't buy considering the 81 year lease left.

Haha, ya, I told the agent who contacted me if I would like to make an offer, I said you will fall off you chair even if its a herman miller, he said `try me', so I offered $1.68 mio.

bargain hunter

03-12-09, 10:57

so is 2.5m already 200k below value or that is now the value and you were offered a unit 200k below it?

Haha, ya, I told the agent who contacted me if I would like to make an offer, I said you will fall off you chair even if its a herman miller, he said `try me', so I offered $1.68 mio.

bargain hunter

03-12-09, 11:00

i think the show won't come until 2011 as these speculators will try to 'dong' through 2010 and as more completions come on stream in 2011 coupled with interest rate increase at around that time then they buay tahan.

This is indeed one of those projects that the blind leads the blind. So many people blindly follow colleagues, bosses, relatives etc to buy without assessing the true value (including the costs) of the property. I heard 75% of the development are up for sale or rental.

There are a few other propjects that I went to see which has TOP for awhile and yet its empty. Eg, One-North, Six Ave Residences, Hill-Crest Villias, Suites at Central.

So, these `investors' or rather `speculators' find that its worth their money to just park their money in properties and leave it empty. Can't remember which joker, was it reporter or whoever i can't even be bothered to remember, chided me that buying Gold earns no yield and yet attracts storage costs. Now, unless one pays in full their properties, they still need to pay maintenance monthly. Isn't this akin to buying Gold, haha. Some of you in this forum are just unbelievable. Keep trying so hard with all your stupid colorful reports and searching so hard for something positive out of reports, and posting them here. Con job right? Agents, or people holding multiple units.......seriously I would really like to see all you guys someday, because all you property bulls are doing such a great con job and I'm very curious who are you guys.

And then there is another idiot who keeps asking people to buy DBR, that is the ultimate joker in this forum.

For the rest of you, and i think the majority of forumers here, try to do more home work, do not be mislead by sales talks or speculators. Its not possible for so many singaporeans to have their properties left empty. Sooner or later, weak holders will have to sell their units. I was offered $200k below the purchase price at Hill Crest Villas but I still refused it. Imagine how desperate the seller is. Btw, I wasn't looking for unit at Hill Crest, but rather received a flyer in my mailbox. So I decided to test out the agent and to find out the `market value' of this area since I just stayed across the road and I'm vested here.

Sometimes I wonder if Singapore is heading the way of Australia where property prices has also appreciated a lot but the rental yields, although is slowing climbing, is still very low. I just sold 2 units at Chatswood, Sydney last week. Bought it slightly over 12 months ago at AUD 650k. Sold them at AUD 1.8 mio to, yes, 2 Chinese nationals again. Decided to sell it as interest rate is climbing but rental is not able to keep up even though its easily rented out within 2 weeks of advertisement. And added to that exchange gain of 20%, better packup and leave. So, i also can't wait to see interest rates increase in Singapore and this reagion. Units can still be taken up but monthly servicing of instalments will kill/ bleed the majority of these speculators. Waiting to see the show.....

bargain hunter

03-12-09, 11:10

actually i can already feel it for the caveats of Hillcrest villlas. since all so gung-ho take up loan except for 2 units which defaulted. i think the caveats will slowly trend down 2.5m, 2.3m, ... then mortgagee firesales coming in a year or 2. :doh: Where got so many buyers willing to fork out more than 2m for this project?

This is indeed one of those projects that the blind leads the blind. So many people blindly follow colleagues, bosses, relatives etc to buy without assessing the true value (including the costs) of the property. I heard 75% of the development are up for sale or rental.

There are a few other propjects that I went to see which has TOP for awhile and yet its empty. Eg, One-North, Six Ave Residences, Hill-Crest Villias, Suites at Central.

I was offered $200k below the purchase price at Hill Crest Villas but I still refused it. Imagine how desperate the seller is. Btw, I wasn't looking for unit at Hill Crest, but rather received a flyer in my mailbox. So I decided to test out the agent and to find out the `market value' of this area since I just stayed across the road and I'm vested here.

Reporter

03-12-09, 11:26

..........
..........

There are a few other propjects that I went to see which has TOP for awhile and yet its empty. Eg, One-North, Six Ave Residences, Hill-Crest Villias, Suites at Central.

So, these `investors' or rather `speculators' find that its worth their money to just park their money in properties and leave it empty. Can't remember which joker, was it reporter or whoever i can't even be bothered to remember, chided me that buying Gold earns no yield and yet attracts storage costs. ..........

..........
..........

Sometimes I wonder if Singapore is heading the way of Australia where property prices has also appreciated a lot but the rental yields, although is slowing climbing, is still very low. I just sold 2 units at Chatswood, Sydney last week. Bought it slightly over 12 months ago at AUD 650k. Sold them at AUD 1.8 mio to, yes, 2 Chinese nationals again. Decided to sell it as interest rate is climbing but rental is not able to keep up even though its easily rented out within 2 weeks of advertisement. And added to that exchange gain of 20%, better packup and leave. So, i also can't wait to see interest rates increase in Singapore and this reagion. Units can still be taken up but monthly servicing of instalments will kill/ bleed the majority of these speculators. Waiting to see the show.....
One-North? Why mentioned Reporter? Cos' Reporter sold his unit to a foreigner family for a profit a few months back? The family is enjoying their stay there so far. This is no con job.

You buy properties too. Maybe Reporter is just copying you.
When you buy, you are smart. Other can't cristise you for buying.
But when others buy, you will cristise them for being stupid.
Reporter don't practise that. Reporter is no hypocrite. That's the difference in the characters.

Property_Owner

03-12-09, 11:35

proud owner

03-12-09, 11:44

One-North? Why mentioned Reporter? Cos' Reporter sold his unit to a foreigner family for a profit a few months back? The family is enjoying their stay there so far. This is no con job.

You buy properties too. Maybe Reporter is just copying you.
When you buy, you are smart. Other can't cristise you for buying.
But when others buy, you will cristise them for being stupid.
Reporter don't practise that. Reporter is no hypocrite. That's the difference in the characters.

by the way guys ... most of you know i am not in spore ...

below is what my friend told me ...is it true ?

i heard from a friend who rented a unit at One North ...said she has empty units as neighbours, so the lift is like her own private lift ..agents as friends cos everyday agents walk around the estate .. waiting for buyers, renters to turn up ... they even bring stool to sit ..

she said her real neighbour is in the opposite block ... very very quiet ...not environment quiet but NOBODY there ...

is that true ?

Reporter

03-12-09, 11:59

Relax Pal,

Teddy will be back soon
It's OK to have different opinions but I think it is not nice to be a hypocrite. Should I go around condemning Southbank, D7, One-North, D5, etc. now that I am no longer vested in them? I still post news on D7 and D5 although they are none of my business.

HP65 thinks he is a great fortune teller in late October by saying I am trying to drive up the market. The fact is I bought that D9 unit 2 weeks after his fortune-telling. Maybe I am trying to drive up the price so that I can buy high?

Or trying to drum up sentiments. Reporter could be one of those who bought at a high in 2007 or bought one recently in Jul 2009. So now trying to drive the market up further single-handedly :scared-4: , just to breakeven.

If have holding power, no need to worry, no need to read so many analyst reports and post here to justify purchase. In 7 years time sure can sell at a profit. But be prepared for a roller-coaster ride :spliff:
We have gurus here which I can learn from.

Now we have fortune teller here that can tell a person's background and what he has invested in. Cool!

Can you teach me how you can tell I bought high in 2007 and am desperately trying to breakeven?
To be honest, I am desperate. I am desperate to learn from you on fortune-telling. I can make more wealth with this skill.

I feel sorry for you HP65!

I sold my 31st level in 2007 at $1,200psf.
He beats me by $50psf.
Cool!

gfoo

03-12-09, 12:06

I will agree with this statement to a limited extent. Over the long run, ceteris paribus, Sentosa Cove shows much more promise than the Marina Bay area. Both sites are 99-year leasehold (hence will only face depreciating land lease over time; unlike most of the land tracts in D9 and D10 which are freehold and can withstand multiple property cycles); but the biggest problem with the Marina Bay area is that the whole infrastural investment is made with public consumption in mind. Not all the rich wish to stay next to towering office blocks and traffic congestion in the financial district, not all the rich wish to share the same public space as the man in the street. Whereas Sentosa Cove is a rich enclave, with private pools, private lift wells, private gardens, and even the entire surroundings are gated. This is the greatest difference. With this difference, it poses a long term risk to properties in the Bay area. With their rarefied entry prices and 99-year lease term, whether upside risks balance out the gains is another story. Let's all wait and see how this segment pans out.

Spot on dude. I'm starting to dread the major events like ndp, F1 and the yearend fireworks - people from i dunno where will congregate and jam traffic here - i wish there was some mechanism to control inflow of the masses in the area

proud owner

03-12-09, 12:19

Spot on dude. I'm starting to dread the major events like ndp, F1 and the yearend fireworks - people from i dunno where will congregate and jam traffic here - i wish there was some mechanism to control inflow of the masses in the area

hey pal

i know exactly what you mean .. i just experienced it ...

was coming home from work .. walking thru Rockefeller where theres a huge 10 storey Live Xmas Tree Light up ceremony ...

3 streets were closed .. imagine the residents + tourists all jam up the streets, and between 5th Ave and Avenues of Americas ... i couldnt even get home ... i have no interest in the xmas light up but it has created inconvenience to me ...

and you know how the NYPD does it ..very efficiently closed aves and streets for such events ..

even in the morning, to work, walking past CBS studios ... all the fans + tourists crowding outside ... very often i cant even walk smoothly on the walkway without being stopped(blocked) by tourists taking pictures ..

gfoo

03-12-09, 13:00

i dun mind the human traffic - its the stupid cars/trucks/vans that they arrive in and block the whole street. add to this, many of them will be like monkeys, climbing on top of of construction worker quarters, trampling over branchlings, clumbing on trailer backs with the prefab blocks still on it - banglas and hamsters are much more well behaved than this lot.

one of the neighbours is stocking up on balloons and a super soaker

new2mondrian

03-12-09, 13:11

Spot on dude. I'm starting to dread the major events like ndp, F1 and the yearend fireworks - people from i dunno where will congregate and jam traffic here - i wish there was some mechanism to control inflow of the masses in the area

Let's put it this way. If Bt Timah floods tomorrow (again), there will be immediate action and more press releases on Govt stepping in to widen canals, step up on flood prevention investments etc etc.... after all, the landed gentry there are to be reckoned with. Similarly, Oxley Road is inaccessible to the public unless one is a proven resident of that stretch, for reasons known to most Singaporeans.

But Marina Bay area??? I honestly doubt so.... That has never been an enclave of the old wealth nor the old guards.... And there are too many entry/exit points (above-ground and underground) to that area that crowd control is virtually difficult and next to impossible.

But then again, I might be wrong. The next decade belongs to Asia. The new wealth in Asia might just simply prefer to go where the crowd goes, and to live where the skyscrappers are. Hence the wait and see approach.

gfoo

03-12-09, 13:19

lol e perennial 'old money vs nouveau riche' debate.

stalingrad

03-12-09, 13:53

It is raining cats and dogs again outside. Bukit Timah residents are going to get a chance to see their cars swim and take pictures again.

All of a sudden multi-story carparks are in vogue again.

gfoo

03-12-09, 14:02

like mr brown says - bukit timah will be the next waterfront prime district

HP65

03-12-09, 14:04

so is 2.5m already 200k below value or that is now the value and you were offered a unit 200k below it?

I checked, the unit was bought for $2.6 mio. Seller offered $2.4 mio to me.

bargain hunter

03-12-09, 14:06

as though our discussion on hillcrest villas earlier is not bad enough...the rain pours on them once more. now their true selling point becomes waterfront villas.

like mr brown says - bukit timah will be the next waterfront prime district

bargain hunter

03-12-09, 14:07

ok, so its coming down already. already below the 2.5m+ lowest lodged caveat price.

I checked, the unit was bought for $2.6 mio. Seller offered $2.4 mio to me.

HP65

03-12-09, 14:38

It's OK to have different opinions but I think it is not nice to be a hypocrite. Should I go around condemning Southbank, D7, One-North, D5, etc. now that I am no longer vested in them? I still post news on D7 and D5 although they are none of my business.

HP65 thinks he is a great fortune teller in late October by saying I am trying to drive up the market. The fact is I bought that D9 unit 2 weeks after his fortune-telling. Maybe I am trying to drive up the price so that I can buy high?

I see, no wonder you were so dilligent to source the world for reports to justify your purchase and also to drum up even more good news so that you will not be under-water. Well, I dun expect you to start posting negative news right, can I? :D

Actually I dun believe in fortune telling, its just common sense. I have always maintained that its important to stay invested, and there are tons of investments out there which offers greater risks/ reward than Sg properties. Maybe I'm blessed to be able to travel and see for myself what's in the world and not just Singapore. But the world is getting smaller and info flows rapidly. In the past, its easy to trade on abritage info, but its not as easy anymore, and certainly not in Singapore. Of coz, unless like one of my staff told me, he just need to find that 1 foreign sucker to buy, Singaporeans are getting smarter, alhtough there are still many too lazy or ignorant. And this is why I keep coming back like a pest every once in awhile....

Investment properties, sure can buy, in fact its a must to have investment properties. But its definitely not the right time now to buy Singapore properties, and unless one is looking to diversfy from more risky regions, then by buying Singapore properties help to lower that risk, yes, maybe. Otherwise, the way i see so many singaporeans rushing to buy properties now when its going to be a significant component of their assets (liabilities??) or even their ONLY asset, I strongly believe its a risky road for the people to head towards and like I also said before, I would hate to see my 2 boys having to work their socks off for 35-50 years just to pay off their mortgage. And because I'm afraid there are really enough suckers out there who believe in con stories, I'm tightly keeping my 3 properties in Singapore and will refuse to sell unless repossessed by the govt or enblocked.

Reporter

03-12-09, 15:04

I see, no wonder you were so dilligent to source the world for reports to justify your purchase and also to drum up even more good news so that you will not be under-water. Well, I dun expect you to start posting negative news right, can I? :D

Actually I dun believe in fortune telling, its just common sense. ..........

..........
..........
Good that you know you ain't a fortune teller. By the way, your common sense has malfunctioned too. I have been posting before and after buying and posting before and after selling.

While you may be narrow minded, I am not you. I did post news both "positive" and "negative". "Check before you comment."

I also make it a point not to post news related to the properties I have purchased. Please show us a posting where I justify my purchase. "Check before you comment."

I don't argue with forumers with different opinion. However, when there is a narrow-minded hypocrite, who think he know it all, it will be different. The 1st paragraph of your latest posting is a good example of a posting from one who only knows baseless assumption and personal attack.

While I disagree with the 3rd/last paragraph of your latest posting, I will not argue with you. You have the right to post your opinion, no matter how much I disagree. It benefits the forum too.

bargain hunter

03-12-09, 15:16

err, u got post negative reports meh? how come i don't remember reading any? :)

Good that you know you ain't a fortune teller. By the way, your common sense has malfunctioned too. I have been posting before and after buying and posting before and after selling.

While you may be narrow minded, I am not you. I did post news both "positive" and "negative". "Check before you comment."

I also make it a point not to post news related to the properties I have purchased. Please show us a posting where I justify my purchase. "Check before you comment."

I don't argue with forumers with different opinion. However, when there is a narrow-minded hypocrite, who think he know it all, it will be different. The 1st paragraph of your latest posting is a good example of a posting from one who only knows baseless assumption and personal attack.

While I disagree with the 3rd/last paragraph of your latest posting, I will not argue with you. You have the right to post your opinion, no matter how much I disagree. It benefits the forum too.

patricia

03-12-09, 15:22

err, u got post negative reports meh? how come i don't remember reading any? :)
me too. Didn't read any negative news from reporter.

Reporter

03-12-09, 15:42

err, u got post negative reports meh? how come i don't remember reading any? :)

me too. Didn't read any negative news from reporter.

I also and love to post "neutral" news. Anyway, none of these postings will affect the market in any way. I am not afraid to post any kind of news.

http://www.straitstimes.com/STI/STIMEDIA/common/mast_home.gif
Private home sales slow
Joyce Teo
Property Reporter
The Straits Times
Monday, 16 November 2009, 4.05 pm

http://www.straitstimes.com/STI/STIMEDIA/image/20091116/privatehomess-stfile.jpg

The buying frenzy in the property market has cooled, with property developers selling just 811 units of new, private homes in October.

This is down 29% from 1,143 units sold in September and 1,805 units in August, falling below the 1,000 unit level for the first time since January as government measures to cool the property market took effect.

The quieter market is due to fewer launches in October. According to data released by the the Urban Redevelopment Authority on Monday, developers launched only 566 units, a far cry from the 1,413 units launched in September. There were no major suburban launch.

One of the best sellers was the 278-unit Cyan in Bukit Timah Road. It launched 90 units, of which 81 were sold at a median price of $1,821 psf.

The October data marked the third consecutive monthly drop since sales hit a high of 2,772 units in July, but volumes were still well above the 211 units that changed hands in October 2008 during the worst of the global financial crisis.

The Government moved to curb speculation in the housing market in September, and pledged to release more land for residential development and make it harder for home buyers to defer payments.

http://www.businesstimes.com.sg/mnt/static/image/images/topMasthead_small.gif
Oct home sales dip, but prime area defies mood of caution
Kalpana Rashiwala
The Business Times
Tuesday, 17 November 2009

The number of private homes that developers launched and sold in October slowed to their lowest levels since housing sales began their revival in February, according to latest official figures. While the outcome was expected, the big question is how long it will take for home sales to rev up again.

Buyers, especially in the price-sensitive mass-market segment, had begun to be fatigued by price increases in the third quarter - even before the government acted on Sept 14 to cool the market. Developers are also running out of mass-market projects which are launch-ready.

'Everybody's more cautious now,' said Knight Frank chairman Tan Tiong Cheng, summing up the current mood among buyers and developers.

DTZ executive director (consulting) Ong Choon Fah said: 'Buying is likely to continue to be slow for the rest of the year. There's not much to launch; and people are away. Activity will probably return after Chinese New Year.'

While developers of a few projects are expected to proceed with launches soon - including Marina Bay Suites and City Developments's new condo on Thomson Road - others have decided to postpone their launches until Q1 next year or even later, when they hope there will be clearer signs confirming the recovery in the Singapore economy that will see buyers emerging from the sidelines again.

Data released by Urban Redevelopment Authority yesterday showed that developers sold 811 private homes in October, down 29% from September's sales of 1,143 homes. This is the third consecutive monthly decline after home sales peaked at 2,772 units in July.

In the first 10 months of this year, developers have sold 13,639 units. Views in the market are mixed whether developers will manage to sell another 1,172 units in the final two months of 2009 to match the record of 14,811 units in 2007.

The 566 units developers launched in October was 60% lower than in the previous month.

The Core Central Region (CCR) - where higher-priced homes are located - fared relatively better in October than the Rest of Central Region (RCR) and Outside Central Region (OCR).

CCR saw a doubling in sales from 152 units in September to 311 units in October; the number of private homes launched in the region also increased 67% over the same period.

In contrast, the number of units launched as well as sold by developers fell in the other two regions. For instance, the number of homes sold in OCR fell 55.2% month on month to 251 units in October. And the number of homes launched in RCR declined to just 40 units in October from 631 in September.

Last month, a total of 250 units were sold in the $1,500 psf to $2,000 psf range, accounting for 31% of total sales in October and representing a big jump from the 92 units sold in this price range in September, Colliers International research director Tay Huey Ying noted. 'This shows that as of October, filtering-up of demand from the mass-market to the high-end has not been derailed by the September cooling measures,' she added.

CB Richard Ellis executive director Li Hiaw Ho noted that interest in luxury projects continued in October despite the slowdown felt in the rest of the market. ' A unit at Boulevard Vue sold at $4,150 psf; a unit of Seven Palms fetched $3,429 psf in October after 6 units were sold in September at $3,091 to $3,353 psf. Over at Nassim Park Residences, 5 units were sold last month at a median price of $3,089 psf following the sales of 9 units in Q3 at $2,800 to $3,450 psf,' he added.

Jones Lang LaSalle's head of SE Asia research Chua Yang Liang said the impact of the September announcement was felt most in OCR and RCR as these markets were driven mostly by HDB upgraders who are more sentiment driven.

October's top-selling project was Far East Organization's Cyan at Bukit Timah (81 units transacted at a median price of $1,821). Other chart toppers in CCR last month included Trilight (58 units) and Lincoln Suites (53 units) - both in the Newton area.

In RCR, the top sellers included Suites @ Guillemard (66 units) and City Loft (40 units). Both projects featured shoebox units. In OCR, sales were contributed mainly by Hundred Trees in West Coast (52 units) and Mi Casa in Choa Chu Kang (43 units), noted Savills Singapore.

jlrx

03-12-09, 16:29

tightly keeping my 3 properties in Singapore and will refuse to sell unless repossessed by the govt or enblocked.

These are the wisest statements I've ever read in this forum (other than those posted by myself). :ashamed1:

Finally I've found someone who thinks like me!

I have been saying all the time, but some people just don't listen, that properties are meant to be bought. Not sold.

Unless repossessed by the govt :doh: or enblocked. :cheers1:

Reporter

03-12-09, 16:36

That's what I was trying to do with this animation ...

http://bugman123.com/Fractals/SpiralTrap-large.gif
Can your animation work on STI?

I know you like number 8.
Here are some 8s for you: 2,808.18.

jlrx

03-12-09, 17:22

Can your animation work on STI?

I know you like number 8.
Here are some 8s for you: 2,808.18.

Wow ... really looks like an '8' sideways. :scared-4:

http://bugman123.com/Fractals/SpiralTrap-large.gif

Must be because of my animation that causes the STI to end at 2808.18 !!! :ashamed1:

new2mondrian

03-12-09, 17:35

There are a few other propjects that I went to see which has TOP for awhile and yet its empty. Eg, One-North, Six Ave Residences, Hill-Crest Villias, Suites at Central.

So, these `investors' or rather `speculators' find that its worth their money to just park their money in properties and leave it empty. Can't remember which joker, was it reporter or whoever i can't even be bothered to remember, chided me that buying Gold earns no yield and yet attracts storage costs. Now, unless one pays in full their properties, they still need to pay maintenance monthly. Isn't this akin to buying Gold, haha. Some of you in this forum are just unbelievable. Keep trying so hard with all your stupid colorful reports and searching so hard for something positive out of reports, and posting them here. Con job right? Agents, or people holding multiple units.......seriously I would really like to see all you guys someday, because all you property bulls are doing such a great con job and I'm very curious who are you guys.

For the rest of you, and i think the majority of forumers here, try to do more home work, do not be mislead by sales talks or speculators. Its not possible for so many singaporeans to have their properties left empty.

Sometimes I wonder if Singapore is heading the way of Australia where property prices has also appreciated a lot but the rental yields, although is slowing climbing, is still very low. I just sold 2 units at Chatswood, Sydney last week. Bought it slightly over 12 months ago at AUD 650k. Sold them at AUD 1.8 mio to, yes, 2 Chinese nationals again. Decided to sell it as interest rate is climbing but rental is not able to keep up even though its easily rented out within 2 weeks of advertisement. And added to that exchange gain of 20%, better packup and leave. So, i also can't wait to see interest rates increase in Singapore and this reagion. Units can still be taken up but monthly servicing of instalments will kill/ bleed the majority of these speculators. Waiting to see the show.....

tightly keeping my 3 properties in Singapore and will refuse to sell unless repossessed by the govt or enblocked.

HP65, basically I think quite a number of comments made can be contradictory:

1) You went to see a few projects, found them empty, and heigh-ho, many private properties in Singapore are left empty. And with your multiple properties across the globe, well-travelled and well-informed that you are, you will be part of the multitude who leave your properties empty? And probably all forummers would like to see you in person too? :scared-3:

2) What is deemed a con job? Reporter is merely reposting published articles here; so is Kaliyuga. It is neither ethical nor professional to label others as con-men when they are simply posting published articles. If that is a con-job, what about the writers of such articles? Will the Straits Times or Business Times journalists be removed from their posts for misleading the populace soon? If you feel that Reporter's articles might be overly bullish, maybe you would like to post some of the bearish ones to substantiate your claims? If the market heads south, Reporter is doing a con job (by your definition); and IF the market heads north, you will be doing a con job?

3) Since you are waiting for the market to bleed and the party to start, why are you "tightly keeping your 3 properties"? Why are you making further offers for Hillcrest Villa? Why are you going around looking at TOP properties? Doing your part of research for SGP Property forum?

Reporter

03-12-09, 21:14

Reporter

03-12-09, 21:51

http://blogs.freshminds.co.uk/talent/wp-content/uploads/2009/07/bloomberg_logo.jpg
Henderson's Lee Plans $2.6 Billion Bet on Hong Kong Home Prices
Le-Min Lim and Kelvin Wong
Bloomberg
Hong Kong
Thursday, 3 December 2009

http://www.ibtimes.com.hk/data/articleimgs/1014.jpg
Henderson Land's Lee Shau-kee

Lee Shau-kee, the billionaire chairman of Henderson Land Development Co., is planning a $2.6 billion bet that Hong Kong home prices will keep rising.

Lee, 81, said today he plans to spend HK$10 billion ($1.3 billion) on property in the next 2 to 3 months and another HK$10 billion on government land premiums for its Wu Kai Sha project.

Lee predicted that home prices will rise another 10% in 2010, following a 30% jump this year that’s sparked a public outcry and prompted the government to try to rein in the market. The International Monetary Fund has warned of a bubble and said today Hong Kong should tighten lending rules.

http://knows.jongo.com/UserFiles/Image/people%20pic/2/KWOKPingluen.jpg
Sun Hung Kai Properties' Dr Raymond Kwok
Prices of Hong Kong real estate are still “reasonable” at 30% less than their 1997 peak, Sun Hung Kai Properties Ltd. Vice Chairman Raymond Kwok said today. Kwok spoke after the annual shareholders’ meeting of Sun Hung Kai, Hong Kong’s largest developer by market value.

“A bubble does exist, but then the question is when is it going to burst?” said Castor Pang, research director of Cinda International Holdings Ltd. “Unless we see another 20 or 30% increase in property prices, which is unlikely, I don’t think the bubble will burst too quickly, not in the next year.”

Liquidity Driven

“Both the stock and property markets are liquidity driven, so it’s only when the liquidity is being withdrawn that the bubble would burst. There isn’t any sign of such withdrawal yet,” Pang said in a telephone interview.

Henderson shares rose 6% today, the most since Oct. 30, to close at HK$60.55. Sun Hung Kai gained 1.2% to HK$118.50. The benchmark Hang Seng Index advanced 1.2%.

Hong Kong’s government last month clamped down on sales tactics that had been criticized by lawmakers.

The measures require developers selling uncompleted homes to calculate the square footage based on the usable space inside the apartment, moving away from the practice of including a proportion of common area. Developers also will have to provide better information on floor numbering.

China developers have been “very aggressive” in bidding for land at auctions in the mainland, said Alfred So, executive director of Sun Hung Kai’s real estate agency arm.

Lee said after Henderson’s annual meeting he has been selling stocks and bought about HK$5 billion in properties since the Hang Seng Index reached 20,000 points.

Henderson, the city’s third-largest developer by market value, has more than doubled in Hong Kong trading this year, making it the best performer in the Hang Seng Property Index, up 68%. Sun Hung Kai has risen 81%.

Henderson said Oct. 14 it set a global record selling an apartment for HK$88,000 a square foot, on a usable-area basis.

bargain hunter

03-12-09, 21:59

i feel there is nothing wrong with no. 3. Personally, I also feel its too early to buy but I would still go around looking at TOP properties, going to showflats for fun and doing my research to prepare myself for what I feel will be a good price.

If the asking price is 2.4m for hillcrest villa and he is making a 1.68m bid, that's akin to being part of the party if the seller can match already, so no harm trying. I would do the same since i am not prepared to pay current prices. Since HP65 is so rich, why would he need to sell his 3 properties? Expecting market to crash does not equate to sell. It only means hold back buying.

HP65, basically I think quite a number of comments made can be contradictory:

3) Since you are waiting for the market to bleed and the party to start, why are you "tightly keeping your 3 properties"? Why are you making further offers for Hillcrest Villa? Why are you going around looking at TOP properties? Doing your part of research for SGP Property forum?

teddybear

03-12-09, 23:13

Yes, there is a big problem here. If a person is so confident that the market will crash, then he will sell everything and wait to buy back at much much cheaper price. Otherwise, the way he said it is like he is so confident that the property market will definitely crash but yet he won't want to take advantage of it by selling at high price and wait to buy back at much much cheaper price? Contradictory of actions vs words (and that is provided he really have the properties). Nothing to do with rich or not. Even Warren Buffet sell high and buy low, as did Lee Ka Shing, Lee Shau Kee etc. Until you are saying he is richer than the former 3 and he can't be bothered anymore? :banghead:

i feel there is nothing wrong with no. 3. Personally, I also feel its too early to buy but I would still go around looking at TOP properties, going to showflats for fun and doing my research to prepare myself for what I feel will be a good price.

If the asking price is 2.4m for hillcrest villa and he is making a 1.68m bid, that's akin to being part of the party if the seller can match already, so no harm trying. I would do the same since i am not prepared to pay current prices. Since HP65 is so rich, why would he need to sell his 3 properties? Expecting market to crash does not equate to sell. It only means hold back buying.

sabian

04-12-09, 00:29

bargain hunter

04-12-09, 00:54

I agree with Sabian on this point. It's all about portfolio balancing. HP65 had sold his Australian properties. He already has cash. Why would he need to sell his singapore properties?

Investment is not about being gung-ho taking a view and either 100% of funds in properties or 100% sold properties and holding cash. WB does buy and sell but he still held on to Coca-cola for the longest time (just for e.g.). Doesn't mean when he is bearish on the market he sells all his stocks.

You mean when WB/ LKS/ LSK and co. feel bearish/ bullish, they will sell/ buy 100% asset on hand/ use up 100% cash on hand???:doh:

Shouldn't LSK go in with all 17B instead of 2.6B since he is supposedly bullish as per your reasoning?

FYI: LSK is worth abt 17B.

proud owner

04-12-09, 01:20

Yes, there is a big problem here. If a person is so confident that the market will crash, then he will sell everything and wait to buy back at much much cheaper price. Otherwise, the way he said it is like he is so confident that the property market will definitely crash but yet he won't want to take advantage of it by selling at high price and wait to buy back at much much cheaper price? Contradictory of actions vs words (and that is provided he really have the properties). Nothing to do with rich or not. Even Warren Buffet sell high and buy low, as did Lee Ka Shing, Lee Shau Kee etc. Until you are saying he is richer than the former 3 and he can't be bothered anymore? :banghead:

on a trading perspective ...
HP65 has 3 properties on hand .. he said he has 2 sons .. assuming one for own stay and one for each son .. its considered Squared , no more investment.. since he has taken profit on his australian properties.

however confident one can be .. traders never go 100 pct ..
selling all 3 properties would mean they have no roof.. or trading term ..going SHORT

since he has sold his ozzy houses, and keeping 3 for himself + 2 sons ..its squared .. he will start to BUY .. but not at current levels whihc he believes is crazy .. hence he bid 1.68 mio for the Hillcrest villa ...

if he gets it then that will be his ONLY investment.

thats how i read his input in the forum ..

proud owner

04-12-09, 01:28

You mean when WB/ LKS/ LSK and co. feel bearish/ bullish, they will sell/ buy 100% asset on hand/ use up 100% cash on hand???:doh:

Shouldn't LSK go in with all 17B instead of 2.6B since he is supposedly bullish as per your reasoning?

FYI: LSK is worth abt 17B.

agree totally ... if they are so confident .. they would have gone in with more than that .. .

if CDL, Kep , SC Global FEO etc etc are so confident... they would have bought ALL their own shares during the low in the first quarter 2009

if they are confident, why have VIP previews ? when we all know such preview are almost always the cheapest ..

you can say its sales gimmick to show good results during preview .. why would they need such publicity if they have CONFIDENCE in their projects ?

in all honesty ..there is no 100 pct certainty or confidence .. .

new2mondrian

04-12-09, 08:26

i feel there is nothing wrong with no. 3. Personally, I also feel its too early to buy but I would still go around looking at TOP properties, going to showflats for fun and doing my research to prepare myself for what I feel will be a good price.

If the asking price is 2.4m for hillcrest villa and he is making a 1.68m bid, that's akin to being part of the party if the seller can match already, so no harm trying. I would do the same since i am not prepared to pay current prices. Since HP65 is so rich, why would he need to sell his 3 properties? Expecting market to crash does not equate to sell. It only means hold back buying.

Nah, there is nothing wrong with point 3; but it is how his entire post was phrased that really takes the cake.

HP65

04-12-09, 09:13

HP65, basically I think quite a number of comments made can be contradictory:

1) You went to see a few projects, found them empty, and heigh-ho, many private properties in Singapore are left empty. And with your multiple properties across the globe, well-travelled and well-informed that you are, you will be part of the multitude who leave your properties empty? And probably all forummers would like to see you in person too? :scared-3:

2) What is deemed a con job? Reporter is merely reposting published articles here; so is Kaliyuga. It is neither ethical nor professional to label others as con-men when they are simply posting published articles. If that is a con-job, what about the writers of such articles? Will the Straits Times or Business Times journalists be removed from their posts for misleading the populace soon? If you feel that Reporter's articles might be overly bullish, maybe you would like to post some of the bearish ones to substantiate your claims? If the market heads south, Reporter is doing a con job (by your definition); and IF the market heads north, you will be doing a con job?

3) Since you are waiting for the market to bleed and the party to start, why are you "tightly keeping your 3 properties"? Why are you making further offers for Hillcrest Villa? Why are you going around looking at TOP properties? Doing your part of research for SGP Property forum?

The problem is you tried to analyse my post and hope that just by reading my posts you can deduce my investment strategy or the rationale behind my actions etc. Unfortunately it doesn't works that way. There are also many reasons why some people do not want to buy/ sell a certain item, in this case lets say properties since we are in a property forum. Not everything in life has a price or profit driven. Some things in life are just priceless, as Mastercard has said often times.

Contradictory? I'm not sure how you arrive at that conclusion. But my staff has the same question too and asked why do I visit showroom, attend VVIP launches etc. Well, some were invitations from friends to their developments/ launches and others were just my own curiousity. That's what I mean by doing own research and leg work. Many Singaporeans only visit showrooms, open house when they want to buy or ready to buy, and feel its wasting time or afraid to waste agent's time if just look/ see with no intention to buy. To me, any time is a good time to see house, whether you intend to buy or not. Its the best way to know the market yourself. Incidentally, i was attending a bbq organised by my staff who stays there. That's how I know its so empty. And a few of my friends who bought multiple units at One-North during the secret/ vvip launch are still unable to rent them out at a yield justifying their purchase price.

HP65

04-12-09, 09:30

http://blogs.freshminds.co.uk/talent/wp-content/uploads/2009/07/bloomberg_logo.jpg
Singapore’s rich optimistic on property prices, survey finds
Bloomberg
Singapore
Thursday, 3 December 2009, 15:27

Singapore’s rich are among the most optimistic of global investors on real estate, expecting the value of their property holdings to rise in the next two years, according to a survey.

53% of Singapore investors forecast prices to increase, more than the 49% of respondents globally, the survey by Barclays Wealth and the Economist Intelligence Unit found. The survey of 2,000 people with investable assets of more than US$800,000 ($1.1 million) was taken in August and September.

Home prices in Singapore rose 15.8% in the third quarter, the first increase in more than a year, according to the Urban Redevelopment Authority. Transactions declined since peaking in July, and private home sales slowed for a third straight month in October, the authority said.

“While it can be tempting to seek refuge in property as a safe haven, investors must be careful to avoid overexposure to an asset class that has traditionally proven to be susceptible to economic cycles,” said Didier von Daeniken, chief executive of Barclays Wealth Asia Pacific, in a statement released today with the survey.

Singapore has said it will sell more land sites and ban interest-only mortgages for uncompleted homes as part of measures to prevent excessive price swings. Last month, its central bank said it may be “necessary” to implement more measures to counter real-estate market speculation.

Singapore investors said they plan to raise their property investments from the current average of 25% of their portfolio, the survey stated.

Investors from India and Canada were the most optimistic, according to the survey, with 56% and 55%, respectively, expecting price increases.

If you have read the actual/ whole report from barclays to her clients, its actually a warning NOT to place too much bets in properties. And even though Singapore investors expect to raise their property investments, it was not confined to buying Singapore properties. Subtle differences, but makes a lot of difference in the message. That's why I keep saying you are trying very hard to find all sorts of bullish news to justify your stand, to the extent of leaving out important jist of the report, in this case, warning to asian rich not to put too much eggs in the same basket.

Anyway, these reports, well are just reports, and i also just read them during my free time. Just becoz the respondents say they will buy, does it mean I must also follow them? In fact, I think I just did the opposite by reducing my properties investment and probably sold to 1 of the respondents of the report. Herd mentality usually don't get you far.

andy

04-12-09, 10:42

Originally Posted by Reporter
http://blogs.freshminds.co.uk/talent/wp-content/uploads/2009/07/bloomberg_logo.jpg
Singapore’s rich optimistic on property prices, survey finds
Bloomberg
Singapore
Thursday, 3 December 2009, 15:27

Singapore’s rich are among the most optimistic of global investors on real estate, expecting the value of their property holdings to rise in the next two years, according to a survey.

53% of Singapore investors forecast prices to increase, more than the 49% of respondents globally, the survey by Barclays Wealth and the Economist Intelligence Unit found. The survey of 2,000 people with investable assets of more than US$800,000 ($1.1 million) was taken in August and September.

Home prices in Singapore rose 15.8% in the third quarter, the first increase in more than a year, according to the Urban Redevelopment Authority. Transactions declined since peaking in July, and private home sales slowed for a third straight month in October, the authority said.

“While it can be tempting to seek refuge in property as a safe haven, investors must be careful to avoid overexposure to an asset class that has traditionally proven to be susceptible to economic cycles,” said Didier von Daeniken, chief executive of Barclays Wealth Asia Pacific, in a statement released today with the survey.

Singapore has said it will sell more land sites and ban interest-only mortgages for uncompleted homes as part of measures to prevent excessive price swings. Last month, its central bank said it may be “necessary” to implement more measures to counter real-estate market speculation.

Singapore investors said they plan to raise their property investments from the current average of 25% of their portfolio, the survey stated.

Investors from India and Canada were the most optimistic, according to the survey, with 56% and 55%, respectively, expecting price increases.

Since Barclays Wealth serves affluent, high net worth and intermediary clients worldwide, providing international and private banking, investment management I cannot help but wonder if these HNW individuals put more of their investments in properties, it means Barclays Wealth financial advisers get less capital and less bonuses?

Is the report impartial?

bargain hunter

04-12-09, 10:50

actually private bankers can also earn on clients' allocations to property through referral fees. When I sold a property to an indonesian, my trusted agent asked for 2% commission, 0.5% for himself, 0.5% for co-broke and 1% went to private banker. I added the additional 1% to the sales price so it was no issue. Indonesian client did not haggle on price and left it to the discretion of his private banker to decide for him in this instance.

Since Barclays Wealth serves affluent, high net worth and intermediary clients worldwide, providing international and private banking, investment management I cannot help but wonder if these HNW individuals put more of their investments in properties, it means Barclays Wealth financial advisers get less capital and less bonuses?

Is the report impartial?

Reporter

04-12-09, 11:03

If you have read the actual/ whole report from barclays to her clients, its actually a warning NOT to place too much bets in properties. And even though Singapore investors expect to raise their property investments, it was not confined to buying Singapore properties. Subtle differences, but makes a lot of difference in the message. That's why I keep saying you are trying very hard to find all sorts of bullish news to justify your stand, to the extent of leaving out important jist of the report, in this case, warning to asian rich not to put too much eggs in the same basket.

Anyway, these reports, well are just reports, and i also just read them during my free time. Just becoz the respondents say they will buy, does it mean I must also follow them? In fact, I think I just did the opposite by reducing my properties investment and probably sold to 1 of the respondents of the report. Herd mentality usually don't get you far.
You are making baseless assumption and personal attack again.

I have said this before and let me say again: "I post these news so that forumers can comment/attack these news."

I didn't write this news. Did you see me adding comment or my stand on these news? Did you see me attack those comments from forumers that follow? Time to reflect on your character!

bargain hunter

04-12-09, 11:11

LOL, going by your colourful bold words, there is already no need for you to add comment. let's just say, your stand has already been highlighted. :D Sorry, I just couldn't help myself, please just take this as a joke...:ashamed1:

You are making baseless assumption and personal attack again.

I have said this before and let me say again: "I post these news so that forumers can comment/attack these news."

I didn't write this news. Did you see me adding comment or my stand on these news? Did you see me attack those comments from forumers that follow? Time to reflect on your character!

ronyyk76

04-12-09, 11:44

stalingrad

04-12-09, 12:14

Everything bullish from Reporter is printed in bold font, and everything bearish is printed in pale font. And he keeps arguing that he is neutral.

He would've fitted in nicely with the crowd at minibond limited.

Reporter

04-12-09, 12:24

Everything bullish from Reporter is printed bold, and everything bearish is printed pale. And he keeps arguing that he is neutral.

He would've fitted in nicely with the crowd at minibond limited.
Learning to make baseless assumption like HP65?

Did I say I am neutral?
I have already stated my stand as bullish in my comments - not in my news.

Did I argue with anyone who claimed that these news are lies, biased, misleading, etc.?
Did I argue with anyone who post news?

I only reply when someone reply my comments - not news.

Do you expect me to keep quiet when HP65 make baseless personal attack on me just because I post news?
Did you see me reply him when he post his bearish views? I respect his views even though I disagree.

Posting views and making personal attacks are different.
"Check before you post!"

focus

04-12-09, 12:44

actually private bankers can also earn on clients' allocations to property through referral fees. When I sold a property to an indonesian, my trusted agent asked for 2% commission, 0.5% for himself, 0.5% for co-broke and 1% went to private banker. I added the additional 1% to the sales price so it was no issue. Indonesian client did not haggle on price and left it to the discretion of his private banker to decide for him in this instance.

Private banks do lend money to the HNW clients to finance their property purchase even though the clients have more than enough to pay for the properties. So pte banks are earning if the clients choose to use them to finance the properties purchases.

bargain hunter

04-12-09, 12:45

i still think your news has a very bullish tone leh with those colourful bold highlights. Does anyone agree with me? Before you started posting, Mr. funny, the admin, always posted the news and that is what i call real neutral news.

Learning to make baseless assumption like HP65?

Did I say I am neutral?
I have already stated my stand as bullish in my comments - not in my news.

Did I argue with anyone who claimed that these news are lies, biased, misleading, etc.?
Did I argue with anyone who post news?

I only reply when someone reply my comments - not news.

Do you expect me to keep quiet when HP65 make baseless personal attack on me just because I post news?
Did you see me reply him when he post his bearish views? I respect his views even though I disagree.

Posting views and making personal attacks are different.
"Check before you post!"

bargain hunter

04-12-09, 12:49

yup, that's very true as well. HNW also love to use financing to get a higher return. Even though they can pay up an investment property in cash if they want to, why would they want to do that when they can get a better return by financing and investing the cash elsewhere. :)

Private banks do lend money to the HNW clients to finance their property purchase even though the clients have more than enough to pay for the properties. So pte banks are earning if the clients choose to use them to finance the properties purchases.

andy

04-12-09, 13:25

i still think your news has a very bullish tone leh with those colourful bold highlights. Does anyone agree with me? Before you started posting, Mr. funny, the admin, always posted the news and that is what i call real neutral news.

Aiya, one or 2 or a dozen forumers bullish .... so what. It won't impact the market since i don't believe majority buyers/sellers visit this site before transactions.

Reporter

04-12-09, 13:31

i still think your news has a very bullish tone leh with those colourful bold highlights. Does anyone agree with me? Before you started posting, Mr. funny, the admin, always posted the news and that is what i call real neutral news.
A bullish news, with or without highlighting, is a bullish news - not a neutral news. The same for "bearish" news.
To me, a neutral news (I stated it as kapo news before) is one that is not related to market or even property at all. For example, pandas, shopping malls, cars, etc..
Anyway, none of these news can affect the market.

It's a fact that I post alot, alot, alot of "bullish" news and it's a fact that I sometime post "bearish" and "neutral" news too.

I have never say that I am an expert nor asked anyone to follow me. I always maintain that I could be wrong. Did you not remember that when I say I am going to buy, I did mentioned that I could be wrong and walking into big trouble?

Did I say "when I buy 2 Aussie houses, I am right but when you buy, you are wrong"?

It seems to me that you think being a hypocrite and making personal attacks are right but posting news and highlighting are wrong. If that is your stand, I have nothing else to say and will remain silent over your postings.

I am different from you. I have no respect for hypocrite who claimed properties are not for buying/selling and yet he/she buy/sell properties. You mean one's stand can change just to suit one's self interest?

Its is personal because our future generation's survival is at stake. If property px spiral upwards without justification from real economic growth, many singaporeans will suffer.

Foreigners can just pack up and go. In fact, they could even just give up their deposit and not honour the sales contract of a property purchase if they choose too.

Those who argue that its in Govt interests to keep price high so that they can earn more from land sales are just myophic. If that's how the govt think, which i'm sure they don't, singapore is doomed coz no country can advance just by selling land at ever increasing price. A country progresses through production of goods and services. And one of the cost of production of goods and services is occupancy costs. Therefore, occupancy costs should and will always be kept in line with economic growth. And since we are not out of the woods yet, ie economy is still not growing in real terms, property prices has basically run ahead of economic growth. So its just a matter of time before property prices has to correct.

Buy and sell within 6-9 mths? If this is not speculation, I dun know what it is. Property has become a commodity and in fact the govt reads and hears such postings. If its gets more bullish, they might just decide to implement draconian measures like property gain tax etc. So, go and make more bullish noise and you might just get your wishes. And if there is an impasse between sellers and buyers, I hope those con agents who are holding on to multiple units with family, fellow coleagues and friends will lose their pants for being greedy and painting rosy pictures to unsuspecting buyers who lacks transparent information.

stalingrad

04-12-09, 13:40

A bullish news, with or without highlighting, is a bullish news - not a neutral news. The same for "bearish" news.
To me, a neutral news (I stated it as kapo news before) is one that is not related to market or even property at all. For example, pandas, shopping malls, cars, etc..
Anyway, none of these news can affect the market.

It's a fact that I post alot, alot, alot of "bullish" news and it's a fact that I sometime post "bearish" and "neutral" news too.

I have never say that I am an expert nor asked anyone to follow me. I always maintain that I could be wrong. Did you not remember that when I say I am going to buy, I did mentioned that I could be wrong and walking into big trouble?

Did I say "when I buy 2 Aussie houses, I am right but when you buy, you are wrong"?

It seems to me that you think being a hypocrite and making personal attacks are right but posting news and highlighting are wrong. If that is your stand, I have nothing else to say and will remain silent over your postings.

I am different from you. I have no respect for hypocrite who claimed properties are not for buying/selling and yet he/she buy/sell properties. You mean one's stand can change just to suit one's self interest?
there are a lot of bullish news because the world has just stepped back from the abyss. But it is a liquidity driven rally, which may not be sustainable. Liquidity will have to be withdrawn eventually, otherwise there will be hyper inflation. It is a question whether the market can sustain itself once the liquidity is withdrawn. I say no because we know that the pre-2007 boom was driven by the US housing bubble. but that bubble has popped, so where will the catalyst for the next decade come from? it can not come from a housing bubble in the US again, because the subprime-driven demand for housing has turned out to be a mirage and the fuel for that bubble - subprime mortgage-has vanished.

while I am not the smartest guy on earth, but I say that chance of high growth in the next 10 years is quite low, and average growth in the next decade is going to be hovering around 0% to 2% per year. unless we have a lot of chinese immigrants, which many singaporeans don't welcome, we will not go back to the go go era that distinguished the last 10 years.

Alan Shearer

04-12-09, 13:51

I think the posts are great!:tongue3:

Reporter

04-12-09, 13:52

http://www.businesstimes.com.sg/mnt/html/bto5/images/topMasthead_small.gif
Singapore’s rich bullish about property investments
High net worth investors here plan to increase their exposure: survey

Uma Shankari
The Business Times
Friday, 4 December 2009

The study, by Barclays Wealth and the Economist Intelligence Unit, found that 53% of high net worth investors in Singapore expect an increase in the value of their property investments over the next 2 years. This is slightly more than the 49% of respondents who hold the same view globally.

After bottoming in Q2 2009, private home prices in Singapore rose 15.8% quarter on quarter in Q3. Analysts expect property prices to stay firm for the year ahead, and are especially upbeat about the high-end segment.

Wealthy investors here are also planning to allocate a larger proportion of their investment portfolios to property in future. Real estate investment among wealthy individuals in Singapore is set to rise to 28% of the average portfolio over the next two years from 25% now, according to the report. That excludes properties used as a principal residence.

Some 125 high net worth investors were surveyed in Singapore. They were part of the more than 2,000 high net worth individuals – with investable assets ranging from £500,000 (S$1.1 million) to more than £30 million – who were surveyed globally in August and September this year.

The survey showed that the high level of confidence in the potential of real estate was global, with investors in 9 of the 10 markets covered – including the US, UK and Hong Kong – planning to increase their property allocation over the next two years.

‘High net worth investors are picking up on signs of a gradual economic recovery, yet continue to remain cautious of potential dangers, after many have fallen precipitously from earlier heights,’ said Didier von Daeniken, chief executive of Barclays Wealth for Asia-Pacific.

Property has always an asset of choice for Asian and Singaporean investors; and with the current recovery, interest in real estate will pick up, bankers said.

‘Property is an important asset class for Asian high net worth investors,’ said Olivier Denis, head of OCBC Private Bank. ‘The interest in the Singapore property market has always been strong and investors are constantly scanning the market for opportunity. Moving forward, we expect the interest to stay positive provided that the overall economic climate remains stable.’

Investors are once again eyeing property as prices in many markets have fallen from earlier highs, the survey found. Barclays Wealth’s survey showed that 75% of high net worth investors in Singapore continue to see opportunities in the property sector.

Transactions of high-end homes – generally thought to be the domain of wealthy investors – started to pick up in Q3. The number of units transacted at more than $2,000 psf during the quarter is just below the number of units seen in Q1 2007 prior to the last run-up in the high-end market, noted DBS Group Research analyst Adrian Chua.

And even as the overall property market cooled in October, the high-end segment held up. Some 285 homes with a median price of more than $1,500 psf were sold in October 2009, compared with 115 in September.

‘The high-end investors are coming back but it is not the same volumes of transactions we have seen in the past (during the last boom),’ said Knight Frank chairman Tan Tiong Cheng.

He pointed out that the profile of investors buying high-end apartments in Singapore has changed. The previous boom was driven by financial sector employees flush with cash. This time around, interest is coming mostly from traditional investors who are sinking their funds into real estate as they consider those assets to be safe, Mr Tan said.

The survey also showed that more than half of Singaporean investors – 54% – feel that tight credit conditions are preventing them from capitalising on opportunities. They also expect home prices to climb once credit starts to flow freely through the global economy.

But bankers cautioned against overexposure to property. ‘While it can be tempting to seek refuge in property as a safe haven, investors must be careful to avoid overexposure to an asset class that has traditionally proven to be susceptible to economic cycles,’ said Barclays’ Mr von Daeniken.

Manpreet Gill, Barclays Wealth’s strategist for Asia, called for diversification and said that Singaporean investors’ propensity to invest outside the country is positive as it reduces risk. In the survey, the investors identified the US, India, the UK and China as attractive foreign markets.

Mr Gill also added that wealthy investors here can look at real estate investment trusts (Reits) as alternatives to brick and mortar investments.

http://luxuryasiahome.files.wordpress.com/2009/12/outlook.jpg

Reporter

04-12-09, 14:06

http://www.financeasia.com/images/header-logo-bold.gif
Wealthy investors are hot on property
Barclays Wealth's latest report on high-net-worth individuals shows that wealthy investors are planning to increase property investments.
Lara Wozniak
FinanceAsia
Hong Kong
Thursday, 3 December 2009

Wealthy investors are once again eyeing property markets, according to the latest report by Barclays Wealth and the Economist Intelligence Unit (EIU) titled Prospects for Property: On Solid Foundations?

More than 2,000 global high-net-worth individuals with investable assets ranging from £500,000 (US$826,000) to £30 million were surveyed. The results showed that wealthy investors in 9 out of 10 markets plan to cautiously increase their allocation to real estate during the next two years, by 1% to 4% points, with almost half (49%) expecting to see an increase in the value of their property portfolios within this timeframe.

64% of Hong Kong respondents currently have 5% to 30% of their investment portfolios allocated to property, while 17% have 35% to 50% in property. The latter is expected to rise to 21% during the next 2 years.

"The current environment offers considerable promise to investors and this is reflected in the guarded optimism among high-net-worth investors," said Joanna Chu, managing director and head of North Asia at Barclays Wealth. "As investors add to their property portfolios, they should be highly selectivelywith their choice of property investments. Managing risk will continue to be important. Investors will be wise to maintain a diversified property portfolio and consider options in overseas markets, property funds and even commercial property."

Of all the high-net-worth investors polled, perhaps reflecting the relatively small size of their domestic markets, Hong Kong and Singapore respondents have the most international outlook. Hong Kong investors already have 47% of their most significant property investments committed overseas while Singapore investors have 40% invested overseas. All other investors polled continue to have the majority of their significant property investments within their respective domestic markets.

With property prices in some major developed countries showing signs of stabilising, Hong Kong investors anticipate the US property market to offer the most attractive returns during the next two years (17%), followed by the UK (14%) and China (13%). Other markets cited by Hong Kong investors include Taiwan, Macau, and Canada.

The rationale for property investments is not always rational

According to the report, 35% of global respondents plan to increase their allocations to property over the next two years, 48% will maintain their current investments and 17% will decrease their allocation. The reason most widely cited by high-net-worth investors for the increase in allocation is that property offers better long-term prospects than other asset classes. Similarly, investors across all markets feel that the potential for income through rental is the most attractive factor in having property investments, with 52% of Hong Kong investors holding this view about residential property and 30% about commercial property. Surprisingly, investing in property for capital gains does not seem to be a high priority

Interestingly, close to half (46%) of Hong Kong investors do not believe that real estate investments are likely to outperform equities in the next 10 years and 45% do not think that real estate is less risky than equities. This suggests continuing uncertainty about the trajectory of financial assets and a desire for portfolio diversification, especially after the turmoil of the financial crisis.

The survey and interviews with high-level property experts reveal that while it is tempting to regard property as a straightforward investment as it may not have the financial complexity of derivatives or some hedge funds, it is by no means simple. Emotional attachment can get in the way of sound decision making, particularly with residential property. Some industry experts point out that wealthy investors can often have property portfolios with an unhealthy concentration in one or two prestige properties, which account for a large proportion of their wealth.

"For many, investing in property is much more than a pure financial decision, particularly with residential property," said Chua. "Often, the emotional relationship with a property impacts the way investors deal with the property. When you are investing with financial goals in mind, you must take an objective view."

Of the various property categories, residential property is the most popular and familiar to investors. Commercial property plays an important role with wealthier investors, particularly those possessing investable assets of over £30 million. Seventy percent of wealthy investors in this band have some exposure to direct commercial property investments.

The growth of indirect property investments such as property funds or real estate investment trusts (Reits) allow investors to achieve diversification across multiple types of property and locations with smaller investments and to gain access to the expertise of specialist managers. Surprisingly, the survey found that the wealthiest respondents, who in theory are most able to make direct investments in commercial property, are also the most likely to invest indirectly. Close to 45% of respondents with investable assets in excess of £30 million hold indirect investments, while 26% of respondents with £500,000 to £1 million invest indirectly.

"The survey found that Hong Kong high-net-worth investors are looking for income rather than capital appreciation," said Manpreet Gill, Asia strategist at Barclays Wealth. "This is interesting as it is somewhat different from what property investors elsewhere are looking for from their investments. But it is consistent with the fact that liquidity remains flush in Hong Kong, while interest rates remain low, making property attractive even if only from a simple yield perspective. This is likely to continue as long as rates remain low."

Gill added: "The survey reveals that, much like investors outside of the region, Asian investors are holding a much higher proportion of their wealth in property than we would normally recommend. However, the fact that Hong Kong investors have a greater propensity to invest outside Hong Kong is a positive development because diversifying that risk is very important and helps avoid excessively concentrating risk in one asset class and region together. These findings are also consistent with our view that while we would expect Hong Kong real estate in general to provide reasonable positive returns over a long period of time, evidence suggests that real estate as an asset class tends to provide lower rates of return over a long period of time as compared to an asset class like equities."

bargain hunter

04-12-09, 14:09

jlrx

04-12-09, 14:33

I don't think Reporter is bullish at all.

In fact, he has done something that should never have been done. He sold a property without immediately buying another one. :scared-4:

One-North? Why mentioned Reporter? Cos' Reporter sold his unit to a foreigner family for a profit a few months back? The family is enjoying their stay there so far.

It was not until early November that he bought his replacement property in district 9, if I remember correctly.

In the few months between, he was holding on to toilet paper money ...

Fiat Money -Toilet Paper Money

http://www.coupondad.net/Images/Toilet_Paper_Icon.gif

The history of fiat money, to put it kindly, has been one of failure. In fact, EVERY fiat currency since the Romans first began the practice in the first century has ended in devaluation and eventual collapse.

Properties should never be sold unless repossessed by the govt or enblocked.

Reporter

04-12-09, 14:35

http://static.divaasia.com/diva/img/logo_diva_top_02.gif
Is Vicky Zhao pregnant?
Diva
Friday, 4 December 2009

http://static.divaasia.com/action/PageImage/04122009013850/6394.jpg
Vicki 赵薇

Is Chinese actress Vicki Zhao pregnant and in Singapore to hide from paparazzi?

According to HK publication "Next Magazine", the star was expecting a child with property tycoon Huang Youlong and planning to give birth in Singapore.

Singapore's Lianhe Wanbao said she was seen at a cinema in the country last week, watching her own movie Mulan.

Some months ago, there were rumors that Vicky, 33, secretly registered her marriage with Chinese businessman boyfriend Huang YouLong in Singapore.

The latest issue of Hong Kong, "Next Weekly" report speculates that Vicky came to Singapore after pregnancy to register her marriage in August.

Now Vicky could be at least 5 months pregnant, as her body looks swollen even when she is in loose-fitting clothes, Lianhe Zaobao reported.

The Chinese morning daily also said that early as 19th last month, Vicky flew to Shanghai to promote her new film "Mulan" wearing a loose skirt, the next day in Guangzhou she wore a black skirt with a belt, which revealed a slight bulge in the stomach. But after that she began to take leave, and was absent from all promotional activities.

The same source also suggests that because of pregnancy and Vicky has put on more than 10 pounds (5 kg), and she was also often spotted covering her belly protectively.

Her manager declined to confirm or deny a Next Magazine report that the star was expecting a child.

"Vicki Zhao has kept her work and private life very separate," said her manager in an SMS to Apple Daily. "She has not responded and will not respond to the media, does not talk about things outside of her work and ignores rumours that distort the facts."

andy

04-12-09, 14:36

i totally agree with you. it won't impact the market at all. i am directing it at reporter simply because he said his news is neutral but the colourful bold highlights suggest otherwise. I prefer Mr. Funny's neutral news. More pleasing for the eye, just a personal preference. It has nothing to do with one's stand of being bullish or bearish.

Aiyo... Reporter just augmenting Mr funny in his news reports. Reporter is very prompt. His news reproduction is posted the minute it is published in other media. Mr Funny takes a long time and sometimes it is old news leh....

I think Reporter doing a great job and I really applaud his enthusiam. So what if it is bolded or commented....

At the end of the day we are not 5 year olds and I assume all formers here analyse what they read in this forum. Whether you agree or disagree with what is posted/reported is really up to you. Pls check the Internet for other sources......

Comon, do you think what is printed in ST and BT are unbiased?

Tony Blair

04-12-09, 14:49

stalingrad

04-12-09, 15:01

Irrelevant post.This is a forum about ppty.

No, it is very relevant. to understand why, just take a stroll down orchard road. How many people that you chance upon speak english? very few? How many speak mandarin? many.

The real estate boom in singapore is mostly driven by the influx of immigrants from China. the more of them come, the higher the property values are going to be. They come with deep pockets.

teddybear

04-12-09, 16:54

The issue here is that HP65 is very confident that property market will crash and keep saying that anybody who ask others to buy now is trying to 'con' them (as though he is god and all others with contradictory opinions are definitely wrong & digging their own grave). Since he is so confident, why not sell now and buy back later? The fact that he didn't means he is not as confident as what he tried to 'sell' to others about property market sure crash.

On the other hand, the 3 billionaires cannot buy and sell all because of 2 reasons:
1) they understand that they are not god and hence they won't move 100% in & out and be always right all the time (Warren Buffet actually did that when he was younger and poorer but not now because of reason (2). He also did that with some of the cyclical stocks he invested).
2) With their amount of money, if they try to move 100% in & out, the stock and property prices will move faster before they can even move in or move out. So they don't gain from such big movements (as compared to smaller sum of money).

As >99.999% of people in Singapore don't belong to that 3 billionaires category, so the best way to make big profits is to move in & out.

on a trading perspective ...
HP65 has 3 properties on hand .. he said he has 2 sons .. assuming one for own stay and one for each son .. its considered Squared , no more investment.. since he has taken profit on his australian properties.

however confident one can be .. traders never go 100 pct ..
selling all 3 properties would mean they have no roof.. or trading term ..going SHORT

since he has sold his ozzy houses, and keeping 3 for himself + 2 sons ..its squared .. he will start to BUY .. but not at current levels whihc he believes is crazy .. hence he bid 1.68 mio for the Hillcrest villa ...

if he gets it then that will be his ONLY investment.

thats how i read his input in the forum ..

focus

04-12-09, 19:36

I can only say.. You are not right or wrong because everyone agrees/disagrees with you. You will only know whether your investment thesis is right or wrong only when you exit your investment.

Reporter

04-12-09, 21:16

http://sg.yimg.com/i/sg/providers/cnalogo4.gif
Private home prices may hit new high in 2010
Ng Baoying
Channel NewsAsia
Friday, 4 December 2009, 2123 hrs

http://www.channelnewsasia.com/imagegallery/store/phpJtxMdO.jpg

Private home prices here are expected to hit a new high in 2010 and perhaps rise even further after that, should the economy continue to grow.

But analysts said on Friday that sales volumes in 2010 are likely to fall back to sub-10,000 levels seen in previous years.

Observers are projecting that 15,000 to 16,000 units will be sold in the primary market in 2009 – the highest on record.

The launch of a mass market project in Jurong West – Caspian – broke the dam for new home sales in Singapore earlier in 2009.

Some 10 months later, home sales during the economic downturn are projected to exceed even July 2007's record of 14,811 homes. Data already shows that about 13,905 units have been sold from January to September this year.

Analysts said this performance is driven by pent-up demand, and is unlikely to be repeated in the years ahead.

Donald Han, managing director, Cushman & Wakefield, said: "This has been a spectacular year by virtue of pent-up demand. The second and third quarter probably produced about 60 to 70% of total demand for 2009.

"In the third quarter alone, we sold something like 5,700 new home units. We sold more in the third quarter than in 2008. That kind of demand is not sustainable.

"The fact is that the government put on the brakes by discontinuing the interest absorption scheme. Also, they are making promises to ensure enough supply in the marketplace by introducing more government land sales programmes in 2010."

Mr Han said sales are likely to average around 800 new homes a month, or some 9,000 to 10,000 units for the whole of 2010. However, some analysts said prices will not be falling in tandem with lower sales.

That is because the strong economy and fundamentals of the country will support prices, and may even drive them higher.

Nicholas Mak, real estate lecturer, Ngee Ann Polytechnic, said: "Going forward, average home prices still have some way to grow. They could still expand conservatively at about 10%, while in some segments they could go as high as 20%."

Units in the mid- to high-end segments will see prices rise higher than those in the mass market.

Analysts said this is mainly because prices in the mass market, which accounts for about 45% of all private homes sold to date, started heading upwards earlier, and are close to their peak.

But they are not ruling out factors that could temper price growth such as government measures to cool the market, should speculation get out of hand.

Reporter

04-12-09, 21:41

http://www.ap.org/media/images/logo.gif
U.S. November jobless rate falls to 10%, a lower 11,000 job cuts
Christopher S. Rugaber
Associated Press
Wahington, D.C., U.S.
Friday, 4 December 2009, 9.31 am U.S. EST

http://d.yimg.com/a/p/ap/20091204/capt.b147584f526641288e95df7c0f5155f7.economy_pamr204.jpg
In this Dec. 1, 2009 photo, job seekers wait in line to speak to potential employers at a job fair in Philadelphia. The unemployment rate fell to 10% in November as employers cut the smallest number of jobs since the recession began. - Photo: Matt Rourke, AP

The unemployment rate unexpectedly fell to 10% in November as employers cut the smallest number of jobs since the recession began. The better-than-expected job figures are a rare note of encouraging news for the labor market.

Still, the respite may be temporary. Many economists expect the unemployment rate to climb into next year as the economy struggles to generate enough jobs for the 15.4 million people out of work.

The economy shed 11,000 jobs last month, an improvement from October's revised total of 111,000, the Labor Department said Friday. That's much better than the 130,000 Wall Street economists expected.

The unemployment rate fell to 10% from 10.2% in October, where economists expected it to remain.

If part-time workers who want full time jobs and laid off workers who have given up looking for work are included, the so-called underemployment rate also fell, to 17.2% from 17.5% in October.

There was other positive news in the report. The average work week rose to 33.2 hours, from a record low of 33 hours. Economists expect employers will increase hours for their current workers before hiring new ones. And 159,000 fewer jobs were lost in September and October than first reported.

"Strong, strong, strong," said Carl Riccadonna, senior U.S. economist at Deutsche Bank. "We've still got a long way to go, but the good news in this report provides important positive momentum."

The increase in hours worked also means employees are earning more income, Riccadonna said, which could help boost consumer spending and enable Americans to pay down more debt.

Average weekly earnings jumped $4.08 to $622.17, the report said.

Temporary help services added 52,000 jobs, the fourth straight increase. That's also positive news, as companies are likely to hire temporary workers before adding permanent ones. Total employment usually starts to increase between three and six months after temporary employment, Riccadonna said.

The economy has now lost jobs for 23 straight months, but the small decline in November indicates the nation could begin generating jobs soon. Many economists think it will happen in the first quarter of next year.

Still, economists say job creation will remain too weak in coming months to absorb both the unemployed and discouraged workers who have stopped looking but will eventually return.

The services sector gained 58,000 jobs last month, while manufacturing and construction shed 69,000 positions. Education and health services added 40,000 jobs, and government employment rose 7,000.

The unemployment rate fell because the number of jobless Americans dropped by 325,000 to 15.4 million. The jobless rate is calculated from a survey of households, while the number of jobs lost or gain is calculated from a separate survey of business and government establishments. The two surveys can sometimes vary.

The rate also dropped because fewer people are looking for work. The size of the labor force, which includes the employed and those actively searching for jobs, fell by nearly 100,000, the third straight decline. That indicates more of the unemployed are giving up on looking for work.

The participation rate, or the percentage of the population employed or looking for work, fell to 65%, the lowest since the recession began. Once laid-off people stop hunting for jobs, they are no longer counted in the unemployment rate.

Even as layoffs are easing, the slow pace of hiring is causing headaches for political leaders. The employment report comes a day after President Barack Obama hosted a "jobs summit" at the White House, where he told economists, business executives and union leaders that he is "open to every demonstrably good idea" to create jobs.

Democrats in Congress, meanwhile, are considering legislation that would extend jobless benefits for those who have run out and help the unemployed pay for health care coverage. Those measures could cost up to $100 billion.

Jobs remain scarce even as the economy is growing slowly. The nation's dross domestic grew at a 2.8% pace in the July-September quarter after shrinking for a record four straight quarters. Economists expect it is growing at a similar pace in the current quarter.

Still, that may not be enough to generate large numbers of jobs. Federal Reserve Chairman Ben Bernanke warned on Thursday that "unemployment could remain high for some time even if, as we anticipate, moderate economic growth continues."

jlrx

04-12-09, 23:05

I can only say.. You are not right or wrong because everyone agrees/disagrees with you. You will only know whether your investment thesis is right or wrong only when you exit your investment.

But if you believe in my religion "Propertism", then you will always be right, because you will never need to exit your investment (or let future generations do the exiting, but that's not your problem anymore).

In "Propertism", we believe that property prices will always go up in the long term, because cash always devalues in the long term.

Like I have illustrated before, what do you think Shakespeare's descendants would be worth today if he had (a) bought some small plots of land around Buckingham Palace; versus (b) kept his money in cash.

Any price corrections in properties are just short term fluctuations, and prices will eventually go up. Hence, properties should only be bought. Not sold.

Some people try to time the market, but I feel that is a waste of time and energy.

If we look back in time to 1979 when that Margate Road bungalow was sold for only $195,000, or 1964 when that Jalan Mastuli terrace for $24,500, so what if the price was 10% higher or lower? Isn't it quite irrelevant?

focus

04-12-09, 23:29

jlrx

05-12-09, 00:34

Even for 99LH property?

Anyway, I believed in your religion "Propertism" .

Yes. Even for 99LH property, PROVIDED IT IS SITTING ON STATE LAND and not developer's land.

If it is on state land, there will always be chance of an en bloc in future when the building becomes run-down. The government needs to get their share of the bounty of course, through the development charge and differential premium. However, these are usually quite reasonable because the government has an interest to encourage urban renewal, and does not want your old shabby building to spoil the city landscape. :D

However, if the land belongs to the developer (as discussed in one of the other threads), then it's a totally differnt story. :scared-4:

In that case, it's the developer's descendants who will eventually inherit the land, not yours. :tsk-tsk:

You are nothing more than a tenant, except instead of a 2-year lease, it's a 99-year lease where the entire rental is paid upfront. :scared-5:

That's not buying a property, that's leasing a property. You are just a tenant, albeit a longer-termed one.

I'm most happy to go around converting more and more people to my religion "Propertism". :cheers1:

Actually, anyone who reads the arguments put forth in support of "Propertism" cannot but agree with it, especially in view of the recent decision by Dear Leader to shave two zeros off their currency.

History repeats itself.

1923

Weimar Germany

German Woman Burning the Mark as Fuel

http://s2.hubimg.com/u/38177_f260.jpg

2009

NKoreans burn bills in anger over currency reform

By KWANG-TAE KIM (AP)

SEOUL, South Korea — North Koreans set piles of old bills alight in anger over their government's surprise move to redenominate the national currency, a report said, a sign of growing frustration among citizens left with hoards of worthless bills.

However, those North Koreans who have internet and visited this forum seeing me preach "Propertism" would be saved because then they would have bought one of these "luxury apartments".

http://cache.virtualtourist.com/1333396-Pyongyang_flats-North_Korea.jpg

Read this

12 Nov 2009

"Until last year, the price of 20- and 21-dongs apartment complexes (a top luxury apartment located in Hyesan-dong, Hyesan) cost approximately 20 million won, but this year, it is 40 million won. It is soon expected to climb to 50 million won."

But this report was in Nov 2009.

Now the same luxury apartment will cost 5,000 million won !!! :scared-4:

I am thinking of setting up a mission in North Korea to preach my religion "Propertism" by creating a website CONDOnorthkorea.com to post my thoughts over there.

kalumder

05-12-09, 00:57

rental market situation for prime properties is still unchanged (weak). What recovery?

hans

05-12-09, 01:11

Yes, even for 99LH in a good location, eg farrer court, how much the owners brought back than, and how much they got from the enbloc.

Even for 99LH property?

Anyway, I believed in your religion "Propertism" .

proud owner

05-12-09, 01:23

rental market situation for prime properties is still unchanged (weak). What recovery?

rental will continue to weaken in my opinion ...esp come 2010-2012 alot alot of launches wil TOP ...

i just woinder how many buyers along newton circle/ novena area ..to king albert park ... ( i lost count how many condos, new and old) will be able to rent out their unit at a reasonable price ...enough to cover mortgage, maintenance, tax etc ..

if Hillcrest Villa(near NJC) ..sold between 2.5-3.0 mio .. only managed to rent out at 7k ... does it cover cost? or any profit at all ?

even if it just covers cost .. the opportunity loss, in putting money in that project, tying up cash, CPF, etc ..just not worth it ...

i cannot imagine those who paid more than 3mio(like Duchess residences, near HJC) ... they will be asking for 12-15k rent .. and who is going to pay that amt ?? if they can get 7-8k across the road at Hillcrest ?

just a thought thats boggling my mind

hans

05-12-09, 01:33

I agree with andy, Reporter is doing a great job, it takes time and effort. So what if it is bolded or commented, you decide for yourself, and don't blame others if your investment turns sour.

Aiyo... Reporter just augmenting Mr funny in his news reports. Reporter is very prompt. His news reproduction is posted the minute it is published in other media. Mr Funny takes a long time and sometimes it is old news leh....

I think Reporter doing a great job and I really applaud his enthusiam. So what if it is bolded or commented....

At the end of the day we are not 5 year olds and I assume all formers here analyse what they read in this forum. Whether you agree or disagree with what is posted/reported is really up to you. Pls check the Internet for other sources......

Comon, do you think what is printed in ST and BT are unbiased?

hans

05-12-09, 01:43

That is called leverage

yup, that's very true as well. HNW also love to use financing to get a higher return. Even though they can pay up an investment property in cash if they want to, why would they want to do that when they can get a better return by financing and investing the cash elsewhere. :)

proud owner

05-12-09, 01:50

I agree with andy, Reporter is doing a great job, it takes time and effort. So what if it is bolded or commented, you decide for yourself, and don't blame others if your investment turns sour.

i have nothing against Reporter ... i agree it takes alot of time .. to monitor all the news ..and he post them so quick..its fresh from the oven .. not forgetting he has to enlarge and color the key words ..

good job ..

but for people who are trained to 'speed read' ... they go straight to the colored and enlarged words .. and pick up only certain points ...

take this example :

Private home prices here are expected to hit a new high in 2010 and perhaps rise even further after that, should the economy continue to grow.

many idiot readers ( i believe exists in this forum) will immediately focus on
hit a new high in 2010 and rise even further

what if now we change the high light in the same sentence :

Private home prices here are expected to hit a new high in 2010 and perhaps rise even further after that, should the economy continue to grow.

it does change the emphasis a little ..to one of ' ONLY IF ECONOMY continues to grow .."

then the 'speed reader' will see it as an uncertainty in the economy ...so maybe it will not rise to a new high ...

this i believe is what Bargainhunter was implying .. the high lighting and coloring indeed have an impact on the readers ..

dont get me wrong Reporter ... like i said in the beginning of this post.. i am not complaining .. i praise your efforts...

hans

05-12-09, 02:12

This I agree with you, even from the same report, 2 different people may interpret it differently.

i have nothing against Reporter ... i agree it takes alot of time .. to monitor all the news ..and he post them so quick..its fresh from the oven .. not forgetting he has to enlarge and color the key words ..

good job ..

but for people who are trained to 'speed read' ... they go straight to the colored and enlarged words .. and pick up only certain points ...

take this example :

Private home prices here are expected to hit a new high in 2010 and perhaps rise even further after that, should the economy continue to grow.

many idiot readers ( i believe exists in this forum) will immediately focus on
hit a new high in 2010 and rise even further

what if now we change the high light in the same sentence :

Private home prices here are expected to hit a new high in 2010 and perhaps rise even further after that, should the economy continue to grow.

it does change the emphasis a little ..to one of ' ONLY IF ECONOMY continues to grow .."

then the 'speed reader' will see it as an uncertainty in the economy ...so maybe it will not rise to a new high ...

this i believe is what Bargainhunter was implying .. the high lighting and coloring indeed have an impact on the readers ..

dont get me wrong Reporter ... like i said in the beginning of this post.. i am not complaining .. i praise your efforts...

stalingrad

05-12-09, 08:39

But if you believe in my religion "Propertism", then you will always be right, because you will never need to exit your investment (or let future generations do the exiting, but that's not your problem anymore).

In "Propertism", we believe that property prices will always go up in the long term, because cash always devalues in the long term.

Like I have illustrated before, what do you think Shakespeare's descendants would be worth today if he had (a) bought some small plots of land around Buckingham Palace; versus (b) kept his money in cash.

Any price corrections in properties are just short term fluctuations, and prices will eventually go up. Hence, properties should only be bought. Not sold.

Some people try to time the market, but I feel that is a waste of time and energy.

If we look back in time to 1979 when that Margate Road bungalow was sold for only $195,000, or 1964 when that Jalan Mastuli terrace for $24,500, so what if the price was 10% higher or lower? Isn't it quite irrelevant?

Had Shakespeare bought a 99-LH condo, his descendants would be worth nothing today.

but your argument is fallacy. you can buy anything today and expect it to be worth more 1000 years down the road. It's called inflation. If you buy oil today at 80 per barrel, you can expect to sell it at 800 per barrel in 10 years. commodities are as a sure bet as properties.

teddybear

05-12-09, 10:15

But there is 1 big difference - How to buy physical commodities such as oil and gold and still store in big quantities and safely?

Had Shakespeare bought a 99-LH condo, his descendants would be worth nothing today.

but your argument is fallacy. you can buy anything today and expect it to be worth more 1000 years down the road. It's called inflation. If you buy oil today at 80 per barrel, you can expect to sell it at 800 per barrel in 10 years. commodities are as a sure bet as properties.

Property_Owner

05-12-09, 10:45

But there is 1 big difference - How to buy physical commodities such as oil and gold and still store in big quantities and safely?

True. How to store the oil or sugar? Unless you owns an Oil field or Sugar plantation.

stalingrad

05-12-09, 10:57

True. How to store the oil or sugar? Unless you owns an Oil field or Sugar plantation.

You don't need to physically own oil or sugar. You can own shares of oil companies and plantations. I would buy companies that mine uranium too.

teddybear

05-12-09, 11:44

Problem with that is that in paper you are 1 of the owners, in real life your money may get siphoned away by the management (they are the 'real' owners) [too many cases happened already!]. Then you could still end up with nothing! Basically you don't enjoy the real ownership (and the real benefits from the upside) as with properties.

You don't need to physically own oil or sugar. You can own shares of oil companies and plantations. I would buy companies that mine uranium too.

bargain hunter

05-12-09, 12:54

I think more like 2011 to 2013 (2013 more for mass market), so far statistics don't show too many completions in 2010 but you are right, most definitely a lot of CCR projects still form the bulk for 2010. Some people have said Singaporeans are so rich they don't need to rent out their apartments, can leave empty. We shall see.

Hillcrest Villa at 7k still can 'dong' for now, until interest rates rise. :D Problem is at 7k, only some units are taken up. 100 to go and asking 9 to 12k :banghead: Duchess Residences? different...more high end and 'exclusive' but i don't know what's the target market, seems neither here nor there. Out of 120 units, 24 penthouses and 24 garden mansionettes sold at almost 5m to more than 6m. surely, if you are targeting the 12k budget, they have many better choices nearer to town. 3 bedrooms costing 2.5m to 3m will be competing with Hillcrest Villa's 3000sq ft villas for rental and there are still so many vacant units at hillcrest villas.

quote proud owner

"rental will continue to weaken in my opinion ...esp come 2010-2012 alot alot of launches wil TOP ...

i just woinder how many buyers along newton circle/ novena area ..to king albert park ... ( i lost count how many condos, new and old) will be able to rent out their unit at a reasonable price ...enough to cover mortgage, maintenance, tax etc ..

if Hillcrest Villa(near NJC) ..sold between 2.5-3.0 mio .. only managed to rent out at 7k ... does it cover cost? or any profit at all ?

even if it just covers cost .. the opportunity loss, in putting money in that project, tying up cash, CPF, etc ..just not worth it ...

i cannot imagine those who paid more than 3mio(like Duchess residences, near HJC) ... they will be asking for 12-15k rent .. and who is going to pay that amt ?? if they can get 7-8k across the road at Hillcrest ?

just a thought thats boggling my mind" unquote

bargain hunter

05-12-09, 13:08

thanks for the illustration, was too busy yesterday to try one and there were too many to choose from. :D I don't think it only affects just speed readers. It should affect most readers as the coloured and bigger font would draw your attention to them with a lesser tedency to focus on the smaller words.

i have nothing against Reporter ... i agree it takes alot of time .. to monitor all the news ..and he post them so quick..its fresh from the oven .. not forgetting he has to enlarge and color the key words ..

good job ..

but for people who are trained to 'speed read' ... they go straight to the colored and enlarged words .. and pick up only certain points ...

take this example :

Private home prices here are expected to hit a new high in 2010 and perhaps rise even further after that, should the economy continue to grow.

many idiot readers ( i believe exists in this forum) will immediately focus on
hit a new high in 2010 and rise even further

what if now we change the high light in the same sentence :

Private home prices here are expected to hit a new high in 2010 and perhaps rise even further after that, should the economy continue to grow.

it does change the emphasis a little ..to one of ' ONLY IF ECONOMY continues to grow .."

then the 'speed reader' will see it as an uncertainty in the economy ...so maybe it will not rise to a new high ...

this i believe is what Bargainhunter was implying .. the high lighting and coloring indeed have an impact on the readers ..

dont get me wrong Reporter ... like i said in the beginning of this post.. i am not complaining .. i praise your efforts...

quote Reporter,

"It seems to me that you think being a hypocrite and making personal attacks are right but posting news and highlighting are wrong. If that is your stand, I have nothing else to say and will remain silent over your postings.

I am different from you. I have no respect for hypocrite who claimed properties are not for buying/selling and yet he/she buy/sell properties. You mean one's stand can change just to suit one's self interest?" unquote

Reporter, the above was the only point that i was trying to make. nothing to do with being a hypocrite or personal attacks. Please understand.

Reporter

05-12-09, 17:30

..........
..........

Private home prices here are expected to hit a new high in 2010 and perhaps rise even further after that, should the economy continue to grow.

But analysts said on Friday that sales volumes in 2010 are likely to fall back to sub-10,000 levels seen in previous years.

Observers are projecting that 15,000 to 16,000 units will be sold in the primary market in 2009 – the highest on record.

The launch of a mass market project in Jurong West – Caspian – broke the dam for new home sales in Singapore earlier in 2009.

Some 10 months later, home sales during the economic downturn are projected to exceed even July 2007's record of 14,811 homes. Data already shows that about 13,905 units have been sold from January to September this year.

Analysts said this performance is driven by pent-up demand, and is unlikely to be repeated in the years ahead.

Donald Han, managing director, Cushman & Wakefield, said: "This has been a spectacular year by virtue of pent-up demand. The second and third quarter probably produced about 60 to 70% of total demand for 2009.

"In the third quarter alone, we sold something like 5,700 new home units. We sold more in the third quarter than in 2008. That kind of demand is not sustainable.

"The fact is that the government put on the brakes by discontinuing the interest absorption scheme. Also, they are making promises to ensure enough supply in the marketplace by introducing more government land sales programmes in 2010."

Mr Han said sales are likely to average around 800 new homes a month, or some 9,000 to 10,000 units for the whole of 2010. However, some analysts said prices will not be falling in tandem with lower sales.

That is because the strong economy and fundamentals of the country will support prices, and may even drive them higher.

Nicholas Mak, real estate lecturer, Ngee Ann Polytechnic, said: "Going forward, average home prices still have some way to grow. They could still expand conservatively at about 10%, while in some segments they could go as high as 20%."

Units in the mid- to high-end segments will see prices rise higher than those in the mass market.

Analysts said this is mainly because prices in the mass market, which accounts for about 45% of all private homes sold to date, started heading upwards earlier, and are close to their peak.

But they are not ruling out factors that could temper price growth such as government measures to cool the market, should speculation get out of hand.Perhaps those who support hypocrite are colour-blinded to green colour? Was the green fonts too small for their mind? Perhaps the hypocrite's words are music to their ears? Perhaps it is in their interest to support the hypocrite?

Should we get bother by their selectively-quoting-my-words? For me, it is a big "no" as "noise is part of the system and we should just ignore them".

Reporter

05-12-09, 17:50

http://www.avmaroc.com/images/actualite/thumbs/aid-149162_0.jpg
Cambodia allows foreigners to own property
Agence France-Presse
Phnom Penh, Cambodia
Friday, 4 December 2009

The Cambodian government on Friday approved a draft law allowing foreign ownership of buildings such as apartments and office buildings to boost economic growth, the country's cabinet said.

The draft law approved in a meeting chaired by premier Hun Sen was aimed at "attracting investors, facilitating the growth of real estate market, and pushing the development", a cabinet statement said.

But Information Minister and government spokesman Khieu Kanharith said foreigners will be permitted to own only buildings and apartments, not the land beneath them.

"We will allow foreigners to have ownership of buildings from the first floor up," he told AFP.

The draft law is expected to be approved by Cambodia's parliament and senate, and then will be promulgated by King Norodom Sihamoni.

The move comes after the private sector in recent years urged the government to allow foreign ownership of properties such as apartments or factories, saying a liberalised real estate market would spur the economy.

Under the current rules, foreign property investments can only be made through the name of a Cambodian national, and many are unwilling to risk losing their assets to potentially unscrupulous local partners.

The cash-strapped country's investment law was amended in 2005 to allow foreign ownership of buildings, but the legislation had yet to be implemented and the initiative floundered.

Despite current restrictions, billion-dollar skyscraper projects and sprawling satellite cities promising to radically alter Phnom Penh have bloomed over the past few years.

But many projects have been halted or slowed down as Cambodia has been buffeted by the world financial crisis after several years of double-digit growth fuelled mainly by tourism and garment exports.

The International Monetary Fund in September predicted Cambodia's economy will contract 2.75 percent this year amid the slowdown.
Good news for those who need to force-sell their properties in Malaysia! There is a new avenue to park their money - Cambodia.
Hun Sen welcomes you!

sleek

05-12-09, 18:04

Good news for those who need to force-sell their properties in Malaysia! There is a new avenue to park their money - Cambodia.
Hun Sen welcomes you!

Must be Economic Adviser Thaksin's plans to bring in more FDI into Cambodia. :D

jlrx

05-12-09, 18:47

Had Shakespeare bought a 99-LH condo, his descendants would be worth nothing today.

but your argument is fallacy. you can buy anything today and expect it to be worth more 1000 years down the road. It's called inflation. If you buy oil today at 80 per barrel, you can expect to sell it at 800 per barrel in 10 years. commodities are as a sure bet as properties.

You don't need to physically own oil or sugar. You can own shares of oil companies and plantations. I would buy companies that mine uranium too.

That's why I still think freehold is better, even though 99-LH can also be enbloc-ed if you top up the lease premium.

Other than "Propertism", there are other religions like "Commoditism", "Goldlam", "Antiquity", "Paintinism" etc. which also lead to salvation.

Anything but cash, of limited supply that cannot be arbitrarily increased by the Government.

Of course, like the others have pointed out, there is the issue of storage.

Properties are more thief-proof.

Commodities, gold, antiques and paintings are prone to be stolen.

And even more so for equities, as teddybear has aptly pointed out.

Problem with that is that in paper you are 1 of the owners, in real life your money may get siphoned away by the management (they are the 'real' owners) [too many cases happened already!]. Then you could still end up with nothing! Basically you don't enjoy the real ownership (and the real benefits from the upside) as with properties.

Do you trust this guy to run your mining company in the interest of your progeny?

http://images.businessweek.com/ss/08/01/0131_ceo_losers/image/richard_fuld.jpg

http://i2.tinypic.com/530fok0.jpg

bargain hunter

05-12-09, 19:11

today's classifieds suddenly shows many downward adjustments in rentals. For sixth ave resi, there are 2 bedrooms asking 4k and 3 bedrooms asking 5k. Hillcrest Villas a lot suddenly adjusted to 8.5k standard across the board to try to put a floor. Still unrealistic i feel.

didn't have time to go through in detail but there was a Montview 4 bedder asking for 6.3k rental also.

rental will continue to weaken in my opinion ...esp come 2010-2012 alot alot of launches wil TOP ...

i just woinder how many buyers along newton circle/ novena area ..to king albert park ... ( i lost count how many condos, new and old) will be able to rent out their unit at a reasonable price ...enough to cover mortgage, maintenance, tax etc ..

if Hillcrest Villa(near NJC) ..sold between 2.5-3.0 mio .. only managed to rent out at 7k ... does it cover cost? or any profit at all ?

even if it just covers cost .. the opportunity loss, in putting money in that project, tying up cash, CPF, etc ..just not worth it ...

i cannot imagine those who paid more than 3mio(like Duchess residences, near HJC) ... they will be asking for 12-15k rent .. and who is going to pay that amt ?? if they can get 7-8k across the road at Hillcrest ?

just a thought thats boggling my mind

jlrx

05-12-09, 19:35

if Hillcrest Villa(near NJC) ..sold between 2.5-3.0 mio .. only managed to rent out at 7k ... does it cover cost? or any profit at all ?

even if it just covers cost .. the opportunity loss, in putting money in that project, tying up cash, CPF, etc ..just not worth it ...

i cannot imagine those who paid more than 3mio(like Duchess residences, near HJC) ... they will be asking for 12-15k rent .. and who is going to pay that amt ?? if they can get 7-8k across the road at Hillcrest ?

just a thought thats boggling my mind

You find it mind-boggling because you have not converted to my "Propertism" religion.

Let me introduce you to our Saint Kim. He will help to clear up your mind.

http://letterstoadyingdream.files.wordpress.com/2008/09/kim_jong-il_heart_throb1.jpg

Saint Kim is also known as Saint Double-0, because he has the ability to shift two zeroes in currencies.

When Saint Kim weaves his magic, the $3 million Duchess Residences will turn into $300 million, and the Hillcrest rental across the road will become $700,000 per month. :scared-4:

Now, let's say the buyer of Duchess Residences took out a loan of 80% of $3 million, and that is $2.4 million. Monthly instalment is estimated to be, based on the SIBOR I'm paying now, around $10,000 per month.

With $700,000 of rentals coming in per month, and instalments of only $10,000 per month, the owner pockets $690,000 per month!!!

Alternatively, the owner can sell his Duchess Residences at $300 million and pay off the bank loan of $2.4 million, pocketing the difference of $297.6 million! :cheers1:

That's how one of our devout Propertist Mr. John Tan will soon see his loan evaporate!

Thats why i will borrow 80% or 90% loan from the bank for my property and watch my debts shrink as fiat money evaporates :D

Of course we don't expect the situation here in Singapore to be as drastic as in North Korea, because Saint Lee is a much weaker saint than Saint Kim.

Saint Lee, I predict, has only enough power to shift one zero, rather than two zeroes, because Saint Lee has to take the cue from Saint Obama.

Seriously, you just have to look at the growth in the number of tax payers earning more than a million dollars a year, and you will realise that the zero is shifting.

In 1988, the top earner in Singapore was a lawyer ($880,000 p.a.).

In 1998, the Prime Minister's pay then was $968,000 p.a. and he was ranked 367th in Singapore.

In 2008, there were 3838 taxpayers earning more than $1 million p.a.

Do you seriously think that there are really so many more people creating so much more value-added service over a 20-year period.

Or could it just be the value of the zero shifting?

teddybear

06-12-09, 11:23

This has made my day..:p

You find it mind-boggling because you have not converted to my "Propertism" religion.

Let me introduce you to our Saint Kim. He will help to clear up your mind.

http://letterstoadyingdream.files.wordpress.com/2008/09/kim_jong-il_heart_throb1.jpg

Saint Kim is also known as Saint Double-0, because he has the ability to shift two zeroes in currencies.

When Saint Kim weaves his magic, the $3 million Duchess Residences will turn into $300 million, and the Hillcrest rental across the road will become $700,000 per month. :scared-4:

Now, let's say the buyer of Duchess Residences took out a loan of 80% of $3 million, and that is $2.4 million. Monthly instalment is estimated to be, based on the SIBOR I'm paying now, around $10,000 per month.

With $700,000 of rentals coming in per month, and instalments of only $10,000 per month, the owner pockets $690,000 per month!!!

Alternatively, the owner can sell his Duchess Residences at $300 million and pay off the bank loan of $2.4 million, pocketing the difference of $297.6 million! :cheers1:

That's how one of our devout Propertist Mr. John Tan will soon see his loan evaporate!

Of course we don't expect the situation here in Singapore to be as drastic as in North Korea, because Saint Lee is a much weaker saint than Saint Kim.

Saint Lee, I predict, has only enough power to shift one zero, rather than two zeroes, because Saint Lee has to take the cue from Saint Obama.

Seriously, you just have to look at the growth in the number of tax payers earning more than a million dollars a year, and you will realise that the zero is shifting.

In 1988, the top earner in Singapore was a lawyer ($880,000 p.a.).

In 1998, the Prime Minister's pay then was $968,000 p.a. and he was ranked 367th in Singapore.

In 2008, there were 3838 taxpayers earning more than $1 million p.a.

Do you seriously think that there are really so many more people creating so much more value-added service over a 20-year period.

Or could it just be the value of the zero shifting?

Reporter

07-12-09, 00:28

http://www.straitstimes.com/STI/STIMEDIA/common/mast_home.gif
Global companies wanted in Singapore
Robin Chan
The Straits Times
Monday, 7 December 2009

http://www.straitstimes.com/STI/STIMEDIA/image/20091206/sg-edb.jpg
Mr Leo Yip hopes that companies from around the world will not put just an Asian office and a factory here but the whole works: international head offices, innovation centres and corporate universities.

The Economic Development Board's new chairman has a message for global companies: make Singapore your home.

Mr Leo Yip hopes that companies from around the world will not put just an Asian office and a factory here but the whole works: international head offices, innovation centres and corporate universities.

Giving his first interview since assuming the chairmanship in July, 45-year-old Mr Yip spoke enthusiastically for nearly two hours on a range of issues, including developing new sectors for the economy like clean energy, digital media and lifestyle.

But what he is most excited about is honing - 'moving from the broad concept to the nuts and bolts' - the EDB's 'host-to-home' strategy of making Singapore a long-term base for business, innovation and talent. This concept was revealed in April this year amid Singapore's deepest recession, after the EDB and former chairman Lim Siong Guan met with its international advisory council of business leaders.

Over the past 5 months Mr Yip has been working to translate this idea into concrete proposals to companies. And he believes there is no better time to put this into action as there are dynamic flows shaping the new global economic landscape.

Mr Yip said one trend is that global business and the global economy are becoming increasingly Asian, with Asia continuing to take a larger part of the world's total trade, he explained, not just because of China and India, but emerging economies like Vietnam and Indonesia as well.

Reporter

07-12-09, 09:54

http://www.businesstimes.com.sg/mnt/html/bto5/images/topMasthead_small.gif
It’s getting hotter at Sentosa Cove
More over-$10-million home sales in Jan-Oct than in previous 4 years
Kalpana Rashiwala
The Business Times
Monday, 7 December 2009

http://www.businesstimes.com.sg/mnt/media/image/launched/2009-12-07/krsent7_pg1.jpg

Homes in Sentosa Cove drew strong interest from high-net-worth investors in the first 10 months of this year – more properties costing $10 million and above were transacted during this period than in the preceding 4 years.

Property consultancy Savills Singapore said that its analysis of URA Realis data as at Dec 1, also shows that September and October this year were particularly active months.

In fact, the 3 biggest ever residential transactions in Sentosa Cove – at $20.18 million, $22 million and $30 million respectively – took place during this period. The largest involved a completed bungalow at Ocean Drive which changed hands in the secondary market in October. The $30 million sale price works out to $1,753 psf, based on a land area of 17,115 sqft.

BT understands that the bungalow was purchased by 2 Chinese citizens who are also Singapore permanent residents. The seller is a locally incorporated company.

The 2nd and 3rd largest deals involved subsales of two villas at Paradise Island for $22 million and $20.18 million in September.

Overall, Savills’ analysis shows that the number of caveats lodged for homes in Sentosa Cove costing $10 million and above shot up to 24 in the first 10 months of 2009 – from just 17 between Q4 2004 and Q4 2008.

Over half or 14 of the 24 deals were sealed in September and October. The firm said that a more positive global economic outlook at the time, before the recent news of Dubai World’s debt problems, gave confidence to investors to make big-ticket purchases such as super-luxury homes.

Other above-$10 million homes sold in the 2 months include 4 condo units at SC Global’s Seven Palms Sentosa Cove; a villa at Sandy Island that fetched $16.57 million or $1,950 psf of land area in the resale market; and a bungalow at Treasure Island which sold for $14.25 million or $1,662 psf, also in the resale market.

Savills said that the steady recovery of the Singapore economy in the past few months and the Republic’s renewed prominence on the global financial map have helped fuel optimism among investors to park monies here.

Singapore is also a ‘relatively cheaper’ destination to buy luxury properties compared with, say, Hong Kong. Luxury property prices here are still below their peak levels.

Savills director of investment sales & prestige homes Steven Ming offered another reason for the surge in transactions in October: according to anecdotal evidence, some high-networth mainland Chinese were in Singapore shopping for properties during their National Day Golden Week holiday.

Across all price bands, the total number of caveats lodged for private homes in Sentosa Cove shot up from 72 in the whole of last year to 133 in the first 10 months of 2009. Even so, the latest figure is just 26% of the peak 516 transactions in 2006.

Savills said that the bulk of the 2009 transactions were in the subsale and resale markets. Primary market deals involving developer sales accounted for just 9% of caveats, reflecting the limited release of new projects this year.

A breakdown of 2009 transactions shows that the number of caveats (both primary and secondary markets) lodged rose from 9 in Q1, to 49 in Q2, and 51 in Q3. In October, there were 24 deals – the highest monthly figure for 2009 – bucking the trend of slowing property sales seen generally in Singapore.

Savills credits the approaching opening of the integrated resorts (IRs) with helping to generate a renewal of interest in the super-luxury residential market.

Prices also appreciated with the increase in transactions – the average unit price for landed homes rose from the recent low of $1,150 psf of land area in Q1 this year, to $1,533 psf in Q3 – up 33%. It was up 12.2% from September to $1,647 psf in October. But this figure was still about 38% below the peak figure of $2,643 psf in Q1 2008.

Condominium prices in Sentosa Cove have also firmed. The average price climbed from a low of $1,200 psf in Q4 2008, to $1,804 psf in Q3 this year and $2,117 psf in September before easing to $2,030 psf in October.

The latest figure is 16.5% shy of the $2,431 psf high seen in Q1 last year. Savills said that the October figure was shored up by four caveats lodged for units at Seven Palms Sentosa Cove with prices ranging from $3,091 to $3,353 psf.

Excluding these transactions, the average price for the month would have slipped to $1,658 psf.

DTZ executive director (consulting) Ong Choon Fah reckons that Sentosa Cove prices will continue to appreciate next year, although a lot will depend on the wider property market. ‘Prices in Sentosa Cove could be more volatile than in the prime districts on the mainland because Sentosa Cove buyers are relatively more investment driven than motivated by owner occupation, compared to the prime districts. When markets go up or down markedly, investors may be more inclined to sell than owner-occupiers, whether it is to cut loss or realise a gain,’ she added.

new2mondrian

07-12-09, 11:31

The Chinese (Hong Kongers included) are here... on Sentosa Cove. Good to see how the dynamics pan out.

Reporter, thanks for all the very prompt reporting of news from all sources. It takes time and effort, and I appreciate that sharing. Actually I like the colourful fonts. So what if people speed read? Market info is never wholly accurate as a whole. Financial products put all their caveats in small print and through the use of asterisks, even newspaper reports have sensational head-lines that sometimes do not fully represent the whole picture of the attached report. Do we ever accuse the press for their sensational headlines? It is up to the reader to read and interpret the news, and no two persons interpret the same news in the exact same way anyway. If a person does not read the whole report, or the fine print, then it is to his own detriment.

Reporter

07-12-09, 11:51

The Dragon has landed at Sentosa Cove ...

http://www.designshoot.com/uploads/march-09/dragon-fire.jpg

Business Times - 07 Dec 2009

It's getting hotter at Sentosa Cove

More over-$10m home sales in Jan-Oct than in previous four years

By KALPANA RASHIWALA

(SINGAPORE) Homes in Sentosa Cove drew strong interest from high-net- worth investors in the first 10 months of this year - more properties costing $10 million and above were transacted during this period than in the preceding four years.

Property consultancy Savills Singapore said that its analysis of URA Realis data as at Dec 1, also shows that September and October this year were particularly active months.

In fact, the three biggest ever residential transactions in Sentosa Cove - at $20.18 million, $22 million and $30 million respectively - took place during this period. The largest involved a completed bungalow at Ocean Drive which changed hands in the secondary market in October. The $30 million sale price works out to $1,753 per square foot, based on a land area of 17,115 square feet.

BT understands that the bungalow was purchased by two Chinese citizens who are also Singapore permanent residents. The seller is a locally incorporated company ...
http://www.sjsu.edu/faculty/watkins/jiangqing.gif
__________________
Mickeymousation Has Arrived.

The Chinese (Hong Kongers included) are here... on Sentosa Cove. Good to see how the dynamics pan out.
Err ... Property Liberation Army is made up of Dragon Warriors?

Reporter

07-12-09, 13:56

http://www.h88.com.sg/images/h88_masthead_logo.jpg
Über-rich buyers are coming back
H88
Monday, 7 December 2009, 11:42

http://www.h88.com.sg/images/content/2009-12-07/sentosa_cove02.jpg

Über-rich buyers are coming back, and they are buying bigger, more expensive homes, in Sentosa Cove at least. Is this a signal that 2010 will see a strong recovery in the mid-to-high end property sector, a 'top-down' recovery, so to speak? After all, Singapore's economy looks to be recovering stronger than expected.

According to Savills, there were 14 transactions done in September and October this year which involved homes that cost above $10m. By comparison, there were only 17 such transactions in the period between Q4 2004 to Q4 2008. Prices have also risen, but have not yet reached the peaks of Q1 2008.

And in another Savills report, foreign buyers have also increased their share of homes in Sentosa Cove too. Compared to the period between 2007-2008, which saw 38-30% foreign ownership, the first 10 months of this year saw foreign buyers taking 43% of the homes transacted.

Let's remind you readers once again that Sentosa Cove is the only place in Singapore where foreigners don't have to be PRs to buy homes.

Analysts say the imminent opening of the two casinos, the near completion of the Marina Bay Financial Centre (MBFC)and the fact that prices are still low compared to places like Hong Kong as factors contributing to the increased interest.

Reporter

07-12-09, 14:14

http://www.businesstimes.com.sg/mnt/html/bto5/images/topMasthead_small.gif
Foreign buyers’ share of Sentosa Cove homes on the rise
Proportion hits 43% in first 10 months, from 39% in 2007-2008
The Business Times
Monday, 7 December 2009

http://www.businesstimes.com.sg/mnt/media/image/launched/2009-12-07/krsent7_pg4.jpg

Foreigners, including permanent residents, picked up nearly 43% of the homes transacted in Sentosa Cove in the first 10 months of this year, up from about 38-39% in 2007 and 2008.

A Savills analysis of caveats data captured by URA’s Realis system also showed that buyers from ‘Western’ countries – which it defined as those from Europe, North America, South America, Australia and New Zealand – made up 4 out of every 10 foreign buyers in Sentosa Cove between the 4th quarter of 2004 and Q4 2009.

In that period, such buyers were more active in Sentosa Cove than in the other sought-after districts of 1, 9, 10 and 11.

DTZ executive director (consulting) Ong Choon Fah observes: ‘Buyers from Western countries appreciate the lifestyle elements in residential developments a lot more. In their home markets, units in a project that face the water or bay can sometimes be priced double that of units that don’t have such a view.’

Savills found a total of 1,297 caveats lodged for purchases of private homes in Sentosa Cove over the 5-year period, of which 487 (or 37.5%) were from foreigners (including permanent residents).

Singaporeans bought 705 units, giving them a 54% share.

In the first 10 months of 2009, 133 caveats were lodged for homes in Sentosa Cove. Of these, 57 were bought by foreign buyers, with Malaysians having the largest share of 25% or 14 caveats, followed by Indonesians, UK citizens, mainland Chinese and Hongkongers.

DTZ’s Mrs Ong said: ‘What Sentosa Cove offers is very unique. It’s as close to waterfront housing as you’ll get in Singapore, plus it’s a gated community, with limited car access to outsiders. Sentosa Cove used to be like a construction yard. Now, however, most of the homes have been developed, and foreigners may be even more inclined to buy.’

The additional draw to Sentosa Cove among foreign buyers is that it is the only location in Singapore where foreigners who are not Singapore permanent residents are allowed to purchase landed property.

However, they must still seek permission from the Land Dealings (Approval) Unit under the Singapore Land Authority.

The approval time for Sentosa Cove has been specially fast-tracked to 48 hours – compared with about 4 weeks for applications by PRs seeking approval to buy landed homes on mainland Singapore.

Mrs Ong reckons that there is scope for the share of foreign buying to increase further next year, with the opening of the two IRs.

Also, the completion of Phase One of Marina Bay Financial Centre (MBFC)will strengthen Singapore’s positioning as a global business centre.

‘When high networths buy, they talk about their investments to their clique of people. That can generate further interest in Sentosa Cove,’ she says.

Steven Ming, Savills director of investment sales & prestige homes, says that foreign buyers’ presence is a critical factor for prices of luxury homes in Singapore, including at Sentosa Cove.

He says: ‘If we look back, in 2006-2007 when foreigners were buying in Singapore, luxury prices ran up quite a bit.

‘At the start of this year, there was very little foreign interest in the Singapore property market and it was mostly the mass and mid-segments that were doing well.

‘In the past few months, however, foreign interest has returned and we’re seeing a pick-up in prices on Sentosa Cove.’

stalingrad

07-12-09, 14:18

Reporter

07-12-09, 14:32

..........
..........

Other than "Propertism", there are other religions like "Commoditism", "Goldlam", "Antiquity", "Paintinism" etc. which also lead to salvation.

Anything but cash, of limited supply that cannot be arbitrarily increased by the Government.

Of course, like the others have pointed out, there is the issue of storage.

Properties are more thief-proof.

Commodities, gold, antiques and paintings are prone to be stolen.

And even more so for equities, as teddybear has aptly pointed out.

..........
..........
You may wanna relook at the way you preach "Propertism".
Is it reaching far enough?

There is a non-believer who is lost here.
I feel sorry for him. Please help him to see the light!

kane

07-12-09, 14:39

ahlahdin

07-12-09, 14:49

Despite the flood of good news from "neutral" reporter, rental yields keep going down. Recently someone offered me a rental unit with 1200 sf in area located in a good area at less than $1,600 per month. the raw rental yield in this case is just slightly above $1 psf.

good sign? When the root (rental situation) is rotten, the leaves (price) cannot remain verdant forever.

i think that prime property prices are hardly based on yield. 2%, 3% yield is the norm, which basically makes prime property prices unsustainable if you base it on yield.

look at the buyer profile of these prime properties. do they look like they give a damn about yield? they have too much money and they dunno what to do with it. mainland chinese bigwigs and businessmen flushed with cash, indonesian commodity buinessmen flushed with cash, do you think they give a damn about a few thousand SGD a month?

look at gold for example. non yield, non edible, no use at all. and people are buying like there is a shortage. do they care about yield? people are simply parking their money. and prime property offers just one more asset class for them to park money in.

if you're merely the type that depends on rental yield to pay installment, i would advise you not to play prime property but to do other forms of speculation.

jlrx

07-12-09, 14:53

Err ... Property Liberation Army is made up of Dragon Warriors?

Of course they're Dragon Warriors. That's why the headline of today's Business Times reads:

http://www.businesstimes.com.sg/mnt/html/bto5/images/topMasthead_small.gif
December 7, 2009
It’s getting hotter at Sentosa Cove

The Property Liberation Army has an Eastern Division and a Western Division.

The one I show in the post above, swimming in Sentosa's Tanjong Beach, is an Eastern Dragon Warrior.

The Western Division's Dragon Warriors look a bit different from those of the Eastern Division.

Western Dragon Warrior's prefer to play golf at Sentosa's Tanjong Course, but the fire they spew is equally hot.

http://www.gilliankirkwood.com/ercn86/Images/BrownGraeme/Graeme-Brown-(Royal-Montros.jpg

http://ps2media.ign.com/ps2/image/article/667/667148/dragon-quest-viii-game-tour-part-2-20051117031306138-000.jpg

ahlahdin

07-12-09, 14:54

DTZ executive director (consulting) Ong Choon Fah observes: ‘Buyers from Western countries appreciate the lifestyle elements in residential developments a lot more. In their home markets, units in a project that face the water or bay can sometimes be priced double that of units that don’t have such a view.’

let's not get carried away. singapore's sea view is nothing like sydney or florida; similarly our singapore river is nowhere like the french riveria.

jlrx

07-12-09, 15:06

You may wanna relook at the way you preach "Propertism".
Is it reaching far enough?

You are right. I'll relook at how I preach my "Propertism" religion.

So far I have emphasised more on the concept of "Heaven" and the rewards of buying properties.

I think I may have to borrow the concept of "Hell" and eternal/ freehold damnation.

Reporter

07-12-09, 19:03

You are right. I'll relook at how I preach my "Propertism" religion.

So far I have emphasised more on the concept of "Heaven" and the rewards of buying properties.

I think I may have to borrow the concept of "Hell" and eternal/ freehold damnation.
What do you mean by "Hell"?

Is "Hell" where soldiers shoot you for being angry after your money had depreciated by 100 times due to a move by Saint Kim (aka Saint Double-0)?

http://www.ap.org/media/images/logo.gif
Report: North Korea orders soldiers to shoot defectors
North Korea orders soldiers to shoot defectors following currency reform, report says
Kwang-Tae Kim
Associated Press
Seoul, South Korea
Saturday, 5 December 2009, 4:48 pm CCT

http://d.yimg.com/a/p/ap/20091204/capt.f2f0198274674ec680f8d388f7e517cb.north_korea_currency__sel802.jpg
In this undate photo released from North Korea's Chosun Shinbo via Yonhap, the front and back designs of North Korea's new paper currency after its recent reform are shown. North Korea Monday, Nov. 31, 2009, informed citizens and foreign embassies that it would redenominate the national currency, the won. But the regime limited the maximum amount of old bills allowed to convert into new ones, telling residents to deposit the rest in government-run banks, according to media reports and diplomats. From top to bottom: 5,000 won, 2,000 won and 1,000 won. - Photo: Chosun Shinbo via Yonhap, AP

North Korea has ordered its border guards to open fire on anyone who crosses its border without permission, in what could be an attempt to thwart defections by people disgruntled over its recent currency reform, a news report said Saturday.

The National Defense Commission -- the top government body headed by North Korean leader Kim Jong Il -- recently instructed soldiers to kill unauthorized border crossers on the spot, South Korea's mass-circulation Chosun Ilbo newspaper said, citing unidentified sources inside the North.

It said the order could be an attempt by the communist government to stop members of North Korea's middle class who are angry over suddenly being deprived of their money from leaving the country.

Officials at South Korea's spy agency were not immediately available for comment Saturday.

Thousands of North Koreans have defected to South Korea in recent years, most of them via China. Last year, about 2,800 North Koreans arrived in the South, up from about 2,500 in 2007.

The reported move came amid signs of growing anger among North Korean citizens left with hoards of worthless bills.

On Monday, the government informed citizens and foreign embassies that it would redenominate the national currency, the won. But it limited the maximum amount of old bills that could be converted into new ones, telling residents to deposit the rest in government-run banks, according to media reports and diplomats.

There are widespread doubts among North Koreans whether they would be able to get their money back, they said.

Angry citizens burned piles of old bills at two separate locations in the eastern coastal city of Hamhung on Monday, the Daily NK, a Seoul-based online news outlet that focuses on North Korean affairs, reported Thursday, citing an unidentified North Korean resident.

It quoted the resident as saying he saw graffiti and leaflets criticizing North Korean leader Kim Jong Il in and around a college in Hamhung -- a rare move in a country where the totalitarian government keeps tight control over its 24 million people.

However, a Tokyo-based newspaper considered a mouthpiece for the North's government claimed Friday that North Koreans were praising the currency reform.

The Choson Sinbo cited the North's central bank as saying the reform was aimed at boosting the country as a "socialist economic power" and that the role of the markets would be gradually weakened as state control over the economy is strengthened.

North Korea set the exchange rate at 100 old won in cash to 1 new won, though it offered a 10-1 exchange rate for personal savings at banks to encourage more savings, the Choson Sinbo said.

Initially, residents were only allowed to exchange 100,000 won per household for the new currency. But the government later increased the amount, allowing each family member to trade an additional 50,000 old won for new ones, according media reports.

The North Korean won was previously officially traded at 145 to the dollar, but more than 3,000 were needed to buy $1 on the black market, according to Dong Yong-sueng, a senior fellow at Samsung Economic Research Institute in Seoul.

The overhaul of the won -- the most drastic in 50 years -- appears aimed at curbing runaway inflation and clamping down on street markets that have sprung up. The government is also retaking control of the economy from the hands of merchants, analysts say.

Unable to feed its people, the government began allowing some markets in 2002, including farmers' markets.

The markets have encouraged trade but have also sold banned goods such as movies and soap operas from rival South Korea, posing a threat to Kim's totalitarian rule, analysts say. The country's largest wholesale market in Pyongyang was reportedly shut down in mid-June.

Reporter

07-12-09, 20:05

http://www.straitstimes.com/STI/STIMEDIA/common/mast_home.gif
Deal to boost Islamic banking
Esther Teo
The Straits Times
Monday, 7 December 2009, 6.54 pm

http://www.straitstimes.com/STI/STIMEDIA/image/20091207/ln-sg-deal.jpg
MAS managing director Heng SweeKeat said at the event that Singapore, as an international financial centre, was looking to develop Islamic finance by leveraging on its existing strengths in banking, insurance, asset management and capital markets.

A new agreement that is set to boost the growth of Islamic banking was inked between Singapore and Bahrain on Monday.

The Monetary Authority of Singapore (MAS) and the Central Bank of Bahrain (CBB) signed a Memorandum of Understanding (MOU) at the 16th World Islamic Banking Conference (WIBC) plenary session in Bahrain on Monday morning, designed to improve supervisory cooperation and information-sharing between the two organisations.

MAS managing director Heng SweeKeat said at the event that Singapore, as an international financial centre, was looking to develop Islamic finance by leveraging on its existing strengths in banking, insurance, asset management and capital markets.

He cited progress already made in this area, such as Singapore's Keppel T&T and Saudi Arabia's Al Rajhi Holding Group's agreement to establish a joint venture asset management company to manage the world's first Shariah-compliant data centre fund. To develop the infrastructure and talent to facilitate the growth of Islamic finance in Singapore, Mr Heng said MAS will continue to work with fellow regulators and the private sector to fine-tune its regulatory approach.

In the wake of the of the Dubai's debt woes, neighbouring Bahrain, Qatar and Saudi Arabia are likely to pick up much of its Islamic banking business. The Islamic financing industry is currently worth an estimated US$1 trillion and, like conventional banking, it is thought to be back on a growth trajectory following the ebbing of the global credit crisis.

At the WIBC session, Mr Heng announced that Singapore will be hosting the first Annual WIBC Asian Summit next year, which will bring together regional leaders in finance and business.

jlrx

07-12-09, 20:48

What do you mean by "Hell"?

Is "Hell" where soldiers shoot you for being angry after your money had depreciated by 100 times due to a move by Saint Kim (aka Saint Double-0)?

You're right!

http://i305.photobucket.com/albums/nn211/jlrx_bucket/kim_jong-il_heart_throb2.jpg

Reporter

07-12-09, 20:51

http://www.reuters.com/resources/images/logo_reuters_media_us.gif
Singapore wants vigilance on asset prices
Reuters
Bahrain
Monday, 7 December 2009, 11:27 am BT

http://www.mas.gov.sg/about_us/annual_reports/annual20042005/Images/BOD7.jpg
Heng SweeKeat, MD of MAS

Asian asset prices have risen sharply, which calls for vigilance, a senior official at the city state’s monetary authority said today.

“I have not said there is an asset bubble ... but we need to be vigilant. I have only said there is a very sharp increase in asset prices in Asia,” Heng SweeKeat, the managing director of the Monetary Authority of Singapore, told Thomson Reuters in Bahrain.

Heng, speaking on the sidelines of a conference in the Gulf Arab kingdom, did not give further details.

Singapore announced several measures in September to cool rising housing prices. Several other Asian countries have also expressed concern about potential asset bubbles as money flows into stock and property markets.

EBD

07-12-09, 21:07

let's not get carried away. singapore's sea view is nothing like sydney or florida; similarly our singapore river is nowhere like the french riveria.

sshhh.... don't ruin i for all the hyper-uber super duper bazillionaires who want to live on "island behind death" er..... I mean "sentosa"

bargain hunter

07-12-09, 21:31

i think we may need to differentiate between prime (as in anything within CCR) and super luxury. I totally agree with you if you are referring to the super luxury segment. The foreigners will buy these with cash and not look at rental. The sentosa, the marina bay, the ardmore, marq, cliveden, Ritz Carlton Resi, Nassim Park etc just to name a few. However, if you are talking about the rest of CCR, then I think there are people who depend on rental to make the monthly payments.

i think that prime property prices are hardly based on yield. 2%, 3% yield is the norm, which basically makes prime property prices unsustainable if you base it on yield.

look at the buyer profile of these prime properties. do they look like they give a damn about yield? they have too much money and they dunno what to do with it. mainland chinese bigwigs and businessmen flushed with cash, indonesian commodity buinessmen flushed with cash, do you think they give a damn about a few thousand SGD a month?

look at gold for example. non yield, non edible, no use at all. and people are buying like there is a shortage. do they care about yield? people are simply parking their money. and prime property offers just one more asset class for them to park money in.

if you're merely the type that depends on rental yield to pay installment, i would advise you not to play prime property but to do other forms of speculation.

Reporter

07-12-09, 22:05

http://www.zaobao.com/images1/zblogo.gif
我国就业市场回春
联合早报
星期一, 7-12-2009, 5:30pm

http://www.myfuture.com.cn/uploads/entries/20090622/105418.jpg

就业市场上出现回春气息，最新人力市场调查显示，不少企业计划在明年初招兵买马、回补人力，就业市场有望在开年后恢复经济萧条前景气。

招聘意愿最强劲的三大行业按秩序排名分别是：金融、保险及房地产业、公共行政及教育业，以及采矿和建筑业。

接受人力资源公司万宝华新加坡（Manpower Singapore）访问的699个雇主中，有超过四分之一（27%）表示有意增聘人手，65%表明将按兵不动，只有6%有意削减人手。

整体来说，经季度调整后的净就业展望呈26%，这是招聘展望连续第三个季度呈正数增长，这显示就业市场景气已止跌并稳健反弹。

kane

07-12-09, 22:19

i think that prime property prices are hardly based on yield. 2%, 3% yield is the norm, which basically makes prime property prices unsustainable if you base it on yield.

look at the buyer profile of these prime properties. do they look like they give a damn about yield? they have too much money and they dunno what to do with it. mainland chinese bigwigs and businessmen flushed with cash, indonesian commodity buinessmen flushed with cash, do you think they give a damn about a few thousand SGD a month?

look at gold for example. non yield, non edible, no use at all. and people are buying like there is a shortage. do they care about yield? people are simply parking their money. and prime property offers just one more asset class for them to park money in.

if you're merely the type that depends on rental yield to pay installment, i would advise you not to play prime property but to do other forms of speculation.

i have seen some units own by rich indo, quantum about $4-5+mio. sitting vacant. it's fully funished. they treat it like their holiday home, like how some singaporeans used to buy an apartment in genting and left it vacant during the haydays. the hard thing to do is to put a number as to many of such units there are, whom the owners don't give two hoots whether it's vacant of tenanted.

there is the group whose investors are reliant on the yield and there is another group who do not require any yield from their holiday homes. millionaire dollar question is what is the proportion.

proud owner

07-12-09, 22:37

i have seen some units own by rich indo, quantum about $4-5+mio. sitting vacant. it's fully funished. they treat it like their holiday home, like how some singaporeans used to buy an apartment in genting and left it vacant during the haydays. the hard thing to do is to put a number as to many of such units there are, whom the owners don't give two hoots whether it's vacant of tenanted.

there is the group whose investors are reliant on the yield and there is another group who do not require any yield from their holiday homes. millionaire dollar question is what is the proportion.

good question

sriously i also dont care if the rich are spending huge moiney and leave their purchase empty, unrented.

unfortuantely, we are all well aware that they are many who buy becos they hear 'trend is up' , 'chinese and indians are coming' .. and these people just follow and buy blindly ..

yes ...the price may have gone up after their purchase, but no one ever told them to take profit .. so they hold and keep ... what next ? can they hold for long ?

i know of someone ..who has bought 5 small MM since jun 09 .. totalling 2.6 mio .. and he spent 520k ( 20pct ) on downpayment..

i asked if he is able to service the loan ... he said so far ok

i cannot imagine what will happen when all 5 starts to ask for payment at the same time

also he bought becos his agent told him 'good buy' ..OMG

and how many of such people are there in spore ?

i dont care about the rich .. but dont forget the mass mkt ..there could be alot of people like him ..

they need to be able to rent these units to cover their mortgage ..

this is the group we need to be careful ...

cos when they are unable to service the loan, and / or cannot rent out, enuff to cover loan .. they will be forced to cut loss .. .

when one start to cut .. others will follow ...

pathetichindsight

07-12-09, 23:09

proud owner

07-12-09, 23:24

Earlier this year when the economy was in a freefall, there was talk that a lot of speculators would have to force sell their units which top this year and next. In fact, someone i know jumped the gun by selling his steven's rd condo at $1200-ish psf 2-3 mths back as he was afraid of the coming wave of selling pressure, but now i m sure he is kicking himself for jumping the gun.

My question is did most of the speculators who bought during the previous bull run escape the recent price plunge cos of holding power/deferred payment scheme? Was the damage limited to only a minority who decided to cut loss while those who had holding power are still sitting pretty? Cos i did not hear many horror stories of cut loss.....

i am not sure either

but theres that constant reminder that there are indeed many people who bought multiple units and they are average income people ... who followed the herd

one example ..could be Hillcrest Villa .. already people lowering their asking price in rental ..so these owners arent those who care less about keeping it empty or not .. also the same project, we see resale done at very close to launch price ... or maybe even slightly lower ..

hans

08-12-09, 00:21

If that is case, there will be firesales, than we can start buying from them

good question

sriously i also dont care if the rich are spending huge moiney and leave their purchase empty, unrented.

unfortuantely, we are all well aware that they are many who buy becos they hear 'trend is up' , 'chinese and indians are coming' .. and these people just follow and buy blindly ..

yes ...the price may have gone up after their purchase, but no one ever told them to take profit .. so they hold and keep ... what next ? can they hold for long ?

i know of someone ..who has bought 5 small MM since jun 09 .. totalling 2.6 mio .. and he spent 520k ( 20pct ) on downpayment..

i asked if he is able to service the loan ... he said so far ok

i cannot imagine what will happen when all 5 starts to ask for payment at the same time

also he bought becos his agent told him 'good buy' ..OMG

and how many of such people are there in spore ?

i dont care about the rich .. but dont forget the mass mkt ..there could be alot of people like him ..

they need to be able to rent these units to cover their mortgage ..

this is the group we need to be careful ...

cos when they are unable to service the loan, and / or cannot rent out, enuff to cover loan .. they will be forced to cut loss .. .

when one start to cut .. others will follow ...

hans

08-12-09, 00:27

Those still holding (top 2010) are hoping the trend will continue upwards, cos of greed or they are still underwater.

Earlier this year when the economy was in a freefall, there was talk that a lot of speculators would have to force sell their units which top this year and next. In fact, someone i know jumped the gun by selling his steven's rd condo at $1200-ish psf 2-3 mths back as he was afraid of the coming wave of selling pressure, but now i m sure he is kicking himself for jumping the gun.

My question is did most of the speculators who bought during the previous bull run escape the recent price plunge cos of holding power/deferred payment scheme? Was the damage limited to only a minority who decided to cut loss while those who had holding power are still sitting pretty? Cos i did not hear many horror stories of cut loss.....

jlrx

08-12-09, 01:12

Earlier this year when the economy was in a freefall, there was talk that a lot of speculators would have to force sell their units which top this year and next. In fact, someone i know jumped the gun by selling his steven's rd condo at $1200-ish psf 2-3 mths back as he was afraid of the coming wave of selling pressure, but now i m sure he is kicking himself for jumping the gun.

If that is case, there will be firesales, than we can start buying from them

There will be no firesale.

Because whoever would sell would have sold during the freefall in early 2009.

Remember, the Subprime Crisis was touted as the "Greatest Crisis Since the Great Depression". What can be more scary than that?

Anyone who would sell would have sold; those who did not sell will not sell.

That's why I say you must have faith in the Propertism religion - that in the long run, property prices can only go up, because fiat money will always lose its value.

The subprime crisis has tested the faith of all Propertism followers. Those who lost their faith, like pathetichindsight's friend, have gone to this fireplace.

http://i305.photobucket.com/albums/nn211/jlrx_bucket/kim_jong-il_heart_throb2.jpg

HP65

08-12-09, 05:54

There will be no firesale.

Because whoever would sell would have sold during the freefall in early 2009.

Remember, the Subprime Crisis was touted as the "Greatest Crisis Since the Great Depression". What can be more scary than that?

Anyone who would sell would have sold; those who did not sell will not sell.

Haha, that statement is so untrue. Few of my friends who bought 1-North who also bought The Rochester could not sell their units at The Rochester because they were underwater since day 1 even though their purchase px was below public prices. Till now, they are still waiting to sell but offer prices are all below their purchase price. So you can imagine how many of the `public launch' units at The Rochester is unable to be unloaded because they are underwater.

This is one of the reasons why I strongly believe prices will only head south since so many of my friends, many are successful people in their own rights, are holding on to properties that are below their purchase prices and unable to sell at a profit. A few of them are prepared to write off their deposit once The Rochester TOP and market doesnt recover by then. Right now its still on Deferred Payment so no issues yet.

I just need to pick up my mobile and before I finish my contacts under `A', I can buy 3 new/ under construction projects at costs or 10-15% below purchase costs.

JuzMe

08-12-09, 07:26

Good discussion :)

I don't understand what factors will push the mass market north in 2010. Quite a number of developments will be TOP, no massive increase in populations and expats are not pouring in, etc. Can't see any reason for substantial increase in price next year :beats-me-man:

ronyyk76

08-12-09, 08:51

Haha, that statement is so untrue. Few of my friends who bought 1-North who also bought The Rochester could not sell their units at The Rochester because they were underwater since day 1 even though their purchase px was below public prices. Till now, they are still waiting to sell but offer prices are all below their purchase price. So you can imagine how many of the `public launch' units at The Rochester is unable to be unloaded because they are underwater.

This is one of the reasons why I strongly believe prices will only head south since so many of my friends, many are successful people in their own rights, are holding on to properties that are below their purchase prices and unable to sell at a profit. A few of them are prepared to write off their deposit once The Rochester TOP and market doesnt recover by then. Right now its still on Deferred Payment so no issues yet.

I just need to pick up my mobile and before I finish my contacts under `A', I can buy 3 new/ under construction projects at costs or 10-15% below purchase costs.

I guess it is not right to follow a faith blindly.;)

stalingrad

08-12-09, 09:11

Earlier this year when the economy was in a freefall, there was talk that a lot of speculators would have to force sell their units which top this year and next. In fact, someone i know jumped the gun by selling his steven's rd condo at $1200-ish psf 2-3 mths back as he was afraid of the coming wave of selling pressure, but now i m sure he is kicking himself for jumping the gun.

My question is did most of the speculators who bought during the previous bull run escape the recent price plunge cos of holding power/deferred payment scheme? Was the damage limited to only a minority who decided to cut loss while those who had holding power are still sitting pretty? Cos i did not hear many horror stories of cut loss.....

When the hurricane hits next year, your friend that sold his steven's condo would look smarter and prescient than any of you propetism faithfuls. Trust me, you ain't seen nothing yet. Just look at rivergate, how many moths have passed after TOP and how many units are occupied. Everyone is hanging on and waiting for the "surge". when they realilze there will be no surge, the day that rivergate sells for less than 1000 psf will come and hit you in the face before you know it.

bargain hunter

08-12-09, 09:52

Trying to compile a list of the more major projects. Focusing more on CCR as that is where the rental/buy and leave vacant debate is centered on. ;) Please feel free to amend if my estimates are wrong or add to the list. :)

Recently completed in late 2009:

Some units may need rental to cover:
One-North Residences
One Jervois
Pavilion 11
Hillcrest Villas
The Sixth Avenue Residences
The Suites @ Central
Vida

Unlikely to need rental to cover:
The Coast
The Tate Residences

TOP in 2010:

Some units may need rental to cover:
The Seafront on Meyer
The Clift
Sky @ Eleven
The Trillium (50:50 as to specuvestors vs rich indos)
Southbank
St Thomas Suites
Tribeca
Montebleu
Waterfall Gardens
The Inspira
Duchess Residences
Waterford Residence
Cairnhill Residences
Wilkie Studio
The Riverine by the Park
M21

Unlikely to need rental to cover:
Marina Bay Residences
The Oceanfront
Belle Vue
The Orchard Residences
Helios
Ardmore II
Cliveden at Grange
Cityvista Residences
The Marq
The Solitaire
Skypark
The Lumos

Good mix of owner occupiers and tenants:
One Amber
The Parc
Clementiwoods
The Arte
The Regency @ Tiong Bahru
Parc Mondrian

TOP in 2011:

Some units may need rental to cover:
The Cascadia
Floridian
The Rochester
Soleil @ Sinaran
One Shenton
Martin Place Residences
Aalto
Lumiere

Unlikely to need rental to cover:
Scotts Square
Hilltops
Turquoise

Good mix of owner occupiers and tenants:
Dakota Residences
The Peak @ Balmeg

Reporter

08-12-09, 10:05

bargain hunter

08-12-09, 10:07

sure can. more new units means more turnover.

Can rental market set a new high in 2010?
The record set in 2009 seems very tough to break.

proud owner

08-12-09, 10:11

Can rental market set a new high in 2010?
The record set in 2009 seems very tough to break.

hihi reporter ...

just wondering .. will this similar piece of news be in Straits times or BT ?

sltc

08-12-09, 10:12

Watch out for the upcoming JLL Auction. There are some Mortgagee's Sales. Sign of owners loosing holding power and banks have to forced sell ?

Jones Lang LaSalle Auction List 15 December 09
Thank you for your interest in Jones Lang LaSalle Auction. I have attached the updated auction list for your reference.
Date: 15 December 09 (Tuesday)
Location: Connection 1, Level 3, Amara Hotel
Time: 2:30pm

PRIVATE TREATY SALE

Location: #23-30 CITYLIGHTS, 90 JELLICOE ROAD - D08
Tenure: 99 years wef 5/1/2004

Sales Type: Mortgagee's Sale (Vacant Possession)

Floor Area: Approx. 926 sq ft

Description: 2 bedroom apartment with seaview/bayview, MRT

Contact: 9387 9668/ 9654 5980

Location: #01-07 CHANTILLY RISE, 82 HILLVIEW AVENUE - D23
Tenure: Freehold

Sales Type: Mortgagee's Sale (Vacant Possession)

Floor Area: Approx. 1,798 sq ft

Description: 4 bedroom apartment with pool view

Contact: 6494 3867/ 9387 9668

Location: #09-05 SOUTHAVEN I, 41 HINDHEDE WALK - D21
Tenure: 99 years wef 1/8/1994

Sales Type: Mortgagee's Sale (Vacant Possession)

Floor Area: Approx. 2,960 sq ft

Description: 2 storey penthouse with roof terrace

Contact: 6494 3867/ 9387 9668

proud owner

08-12-09, 10:13

sure can. more new units means more turnover.

high turn over does not necessarily mean higher rental ..

if alot move out to cheaper units ... can also increase the number of rental ..right ?

bargain hunter

08-12-09, 10:18

err, that's what the article is about mah, higher transactions, not higher $ rental. there will be a lot of downgrading and upgrading so i think no. of transactions can set a new record.

high turn over does not necessarily mean higher rental ..

if alot move out to cheaper units ... can also increase the number of rental ..right ?

proud owner

08-12-09, 10:22

err, that's what the article is about mah, higher transactions, not higher $ rental. there will be a lot of downgrading and upgrading so i think no. of transactions can set a new record.

thats right ...

SLTC just posted a auction list ...

theres a citylight with seaview .. vacant possesion some more ...
hhmmm

doesnt look good to me ...

Citylighters all talk until that project got dragon got tiger ... now see how quickly this unit can be snapped up ...

jlrx

08-12-09, 10:24

I just need to pick up my mobile and before I finish my contacts under `A', I can buy 3 new/ under construction projects at costs or 10-15% below purchase costs.

Then it will be good for you. :cheers1:

http://letterstoadyingdream.files.wordpress.com/2008/09/kim_jong-il_heart_throb1.jpg

Property_Owner

08-12-09, 10:24

proud owner

08-12-09, 10:33

pal, as what I mention in D7 thread, dun go for citylights

i wont ...thanks for reminding me ..

i used to joke with my friend ..

if we have a unit there .. and need to sell ..i can advertise :

Nice Seaview , near amenities like :
immigration,
casket
short walk to cheap lighting shops

ok stop here before i get bashed

dont worry i wont buy there ...

if its so good and have good rental like they say ... why still have a seaview unit out for auction ?

owner should just offer out at 1500 psf ... maybe fellow citylighters will buy

bargain hunter

08-12-09, 10:36

i saw the unit in last month's list already. :D but i didn't want to enquire what is the asking price because its under "Sale by Private Treaty". I also don't want to add to the number of enquiry calls which agents/auctioneers are getting. :rolleyes:

thats right ...

SLTC just posted a auction list ...

theres a citylight with seaview .. vacant possesion some more ...
hhmmm

doesnt look good to me ...

Citylighters all talk until that project got dragon got tiger ... now see how quickly this unit can be snapped up ...

stalingrad

08-12-09, 10:40

Reporter

08-12-09, 10:51

http://blogs.freshminds.co.uk/talent/wp-content/uploads/2009/07/bloomberg_logo.jpg
Singapore employment outlook to recover: Manpower Inc.
Bloomberg
Singapore
Tuesday, 8 December 2009, 08:52

http://www.manpower.com/img/mp_logo.gif

Singapore’s new employment outlook may rebound to the level it was before the global financial crisis, led by the financial, insurance and property industries, the local press said, citing Manpower Inc..

A survey by the consultancy showed that the net employment outlook, or the difference between the number of companies likely to recruit and those expected to cut jobs, rose to a seasonally adjusted 26% for the first quarter, the reports said. That’s 9% points higher than the previous quarter, the reports said.

Singapore’s outlook is the 2nd-most positive after India among 35 territories surveyed by the consultancy, according to the reports.

Tony Blair

08-12-09, 11:09

Elections are coming next year.More good news coming.

Reporter

08-12-09, 11:09

http://www.businesstimes.com.sg/mnt/html/bto5/images/topMasthead_small.gif
No asset bubble yet but HK government is concerned
Government says financial system sound and monitoring situation
The Business Times
Tuesday, 8 December 2009

http://d.yimg.com/ca.yimg.com/p/091020/afp/iphoto_1256051353372-1-0jpg.jpg
39 Conduit Road

Hong Kong’s government is ‘very concerned’ about the risk of an asset bubble developing although a bubble is not apparent yet, Financial Secretary John Tsang told legislators yesterday, referring to a surge in the city’s property prices this year.

Residential property prices have jumped 30% this year, and price gains for luxury property have topped 40%, as the city has drawn massive capital inflows – amounting to a record US$73 billion between October last year and Nov 13 this year – with foreign investors attracted by its low interest rates.

Wealthy mainland Chinese have also been snapping up luxury Hong Kong apartments.

Mr Tsang said that the financial system was sound and the city could cope with capital inflows and outflows but echoed Chief Executive Donald Tsang and central bank chief Norman Chan, who have also warned recently about the risk of an asset bubble developing.

‘We are very concerned about the risk of an asset bubble,’ the financial secretary said. ‘The risk is there but it is not very apparent.’

The Hong Kong Monetary Authority recently reduced the mortgage limit for luxury property to 60% from 70% to try and cool the market, and mortgage demand has eased from a few months ago.

A government economist told legislators that speculation in the property market was not too heated and demand mainly user-oriented, with 90% of transactions for mass-market property. Housing affordability meanwhile was above a 20-year average.

Mr Tsang said that the government would monitor the situation but did not comment on the possibility of further measures to reduce the risk of an asset bubble.

bargain hunter

08-12-09, 11:11

actually i see no reason why the unit cannot be rented out. If he bought at the peak at 1350psf for 926sq ft, even if he owes the bank 1m, surely 4k+ in rental can cover already? has rents dropped so much that a 2 bedder at citylights can't even fetch 4k? i did not think so before.

i wont ...thanks for reminding me ..

i used to joke with my friend ..

if we have a unit there .. and need to sell ..i can advertise :

Nice Seaview , near amenities like :
immigration,
casket
short walk to cheap lighting shops

ok stop here before i get bashed

dont worry i wont buy there ...

if its so good and have good rental like they say ... why still have a seaview unit out for auction ?

owner should just offer out at 1500 psf ... maybe fellow citylighters will buy

HP65

08-12-09, 11:23

thats right ...

SLTC just posted a auction list ...

theres a citylight with seaview .. vacant possesion some more ...
hhmmm

doesnt look good to me ...

Citylighters all talk until that project got dragon got tiger ... now see how quickly this unit can be snapped up ...

With all the hype generated by the sports hub etc, my agent/ friend asked me to view this particular unit. Condition is awfull as previous tenant definitely didnt take care of the unit at all. For a 1 yr old proj, you probably need to spend at least $5-10k to rectify the unit's condition, eg change the bathroom's sink, deck out the planter, coverup the damaged walls etc. Looks like the tenant left in a huff or forced to leave :simmering:

Even though its on the 23rd floor, its extremely noisy from the busy junction, especially when vehicles accelerate when the lights turn green. In other words, its most of the time since its a major junction, one side turn red, the other side turn green.

But the worst turnoff of this unit is the neighbours. When I view this unit, the next door neighbour left the door open and I was appalled to see that there were easily 10-15 pairs of smelly and dirty sneakers at the door. I wonder how many people is staying/ renting the neighbour's unit. I saw similiar situation at my friend's unit at City Sq Residences. Guess the owners need to rent out to many more people to cover the purchase price. I for sure would not want to stay in such environment.

The agent asked me to try $1.1 mio to close with the bank. I didnt bother to offer at all.....

Reporter

08-12-09, 11:51

http://www.zaobao.com/images1/zblogo.gif
我国富裕人士财富增加者比半年前多
在这些财富上升的人士当中，多数(33%)的财富增长幅度在10%或以下、10%的财富增长幅度介于11%到24%、7%的涨幅介于25%到50%，仅有3%的财富增长超过50%。
联合早报
星期二, 08-12-2009

和半年前相比，现在有更多新加坡富裕人士的财富在过去六个月里有所增加。

汇丰银行的一项亚洲财富调查显示，超过半数(53%)的新加坡富裕人士认为，他们的财富在过去六个月里有所增加，但在半年前，只有23%的受访者这么认为。

上述由媒体调查公司尼尔森代表汇丰银行展开的调查，是于今年9月到10月间针对亚洲八个主要市场，年龄介于30到55岁的富裕人士进行的，目的是要了解他们的财富状况，以及在未来六个月里在投资以及消费方面所将作出的改变。

所谓富裕人士指的是流动性资产或收入在前10百分位数(top 10 percentile)的人士。

参与调查的人士总共超过1700名，在新加坡的受访者超过200个。

在这些财富上升的人士当中，多数(33%)的财富增长幅度在10%或以下、10%的财富增长幅度介于11%到24%、7%的涨幅介于25%到50%，仅有3%的财富增长超过50%。

财富不变或下滑比例明显减少

那些财富没有增长的人士，20%表示没有变动，另外27%的财富则出现下滑，但这个比例相对于半年前的56%，明显减少。

尽管财富上扬，绝大部分(68%)的国人在未来六个月里的投资风险承担能力将维持不便、21%将承担更高风险，其余的11%则表示将减少所承担的风险。

52%的受访人士计划提高投资额，有意将投资分散的国人则有34%。多数(62%)表示将在未来六个月里投资于亚太区。

将进行投资的富裕国人当中，68%计划投资于股票、30%将投资于新元或外币存款、29％则将投资于共同基金(mutual funds)和单位信托。

风险指数显示国人稍倾向稳定性

此项调查也包含一个风险指数，测量国人对于稳定性及增长所持的态度。零代表稳定性，200则代表增长，调查所显示的新加坡风险指数为95，显示国人稍微倾向于稳定性。

消费方面，超过半数(60%)的国人将不会在未来的六个月里改变消费习惯。至于最大的消费开支，56%的受访者表示是旅游。

调查也发现，三分之一的富裕国人有落户海外的亲人，而近一半表示有意在未来十年里移居国外。

stalingrad

08-12-09, 12:55

I basically ignore everything that Reporter reports. To gauge the condition of the market, I gather information on vacancy rates. My sample include both high end condos like rivergate and mass condos like botannia. While my statistics may be wrong, my sense is that the true vacancy rate is at least 40% on average across the country. When vacancy is so high, where is the upside potential?

Take botannia for example, six months after TOP, no more than 20 units are sold and another 225 units (out of 400+) are looking for buyers. I don't know how many of the 225 ads are repeats from different agents, the number is numbingly large. Take rivergate, even today there are 150+ units looking for buyers more than one year after TOP.

bargain hunter

08-12-09, 13:06

that's why i think there is a need to differentiate between prime high end and prime super luxury. super luxury won't be hurt because they don't need the rentals but prime high end like rivergate does and when analysts refer to prices of high end going up next year, i think it refers more to super luxury than the likes of rivergate.

I basically ignore everything that Reporter reports. To gauge the condition of the market, I gather information on vacancy rates. My sample include both high end condos like rivergate and mass condos like botannia. While my statistics may be wrong, my sense is that the true vacancy rate is at least 40% on average across the country. When vacancy is so high, where is the upside potential?

Take botannia for example, six months after TOP, no more than 20 units are sold and another 225 units (out of 400+) are looking for buyers. I don't know how many of the 225 ads are repeats from different agents, the number is numbingly large. Take rivergate, even today there are 150+ units looking for buyers more than one year after TOP.

Reporter

08-12-09, 13:40

URA latest data:

398 sqft, S$550,000, 1381 psf, Oct-09

This will set a benchmark for future transactions.

Cheers!

Nothing to cheer for. it just doesn't make any sense to own such chicken coop units. the rich expats will not rent any of these tiny units. the poor ones cannot afford the rent you are charging. they can pay at most 1k or 1.5k per month. At such rates, the net rental yield (after maintenance fee) is very very low, less than 3%.

Don't cheer too early. things that appear to make little sense usually do.

You seem to have a grudge against ppl whose property appreciates or gives good yield (percieved or real).....I sense jealousy.
Wow!
Made up poor rental story due to jealousy?
Like that I better ignore everything stalingrad post.

Reporter

08-12-09, 13:48

jlrx, I think you have failed in preaching your "propertism" again.
Did you manage to reach out to these owners who have just sold for a short-term profit?
No right? What's your action plan?

Rivergate
Address ................................. psf ................. Area ........... Price ............ Contract Date
99 Robertson Quay #22-15 ... $1,616 psf ..... 1,496 sqft ... $2,418,000 ...... 18 Nov 09
99 Robertson Quay #24-12 ... $1,709 psf ..... 1,539 sqft ... $2,630,000 ...... 10 Nov 09
97 Robertson Quay #30-06 ... $1,733 psf ..... 2,077 sqft ... $3,600,000 ..... 29 Oct 09
99 Robertson Quay #16-12.... $1,748 psf ..... 1,539 sqft ... $2,690,000 ....... 14 Oct 09
93 Robertson Quay #14-05.... $1,548 psf ..... 1,550 sqft ... $2,400,000 ....... 12 Oct 09
97 Robertson Quay #34-08 ... $1,901 psf 2,077 sqft ... $3,950,000 ....... 7 Oct 09
99 Robertson Quay #06-12 ... $1,700 psf ..... 1,539 sqft ... $2,616,000 ......... 7 Oct 09
99 Robertson Quay #21-16 ... $1,700 psf ..... 1,044 sqft ... $1,774,000 ...... 28 Sep 09
97 Robertson Quay #33-10 ... $1,800 psf .... 1,970 sqft ... $3,546,000 ...... 16 Sep 09
99 Robertson Quay #23-14 ... $1,711 psf ..... 1,023 sqft ... $1,750,000 ...... 14 Sep 09
99 Robertson Quay #14-13 ... $1,649 psf ..... 1,055 sqft ... $1,740,000 ........ 9 Sep 09
97 Robertson Quay #38-09 ... $1,800 psf .... 3,843 sqft ... $6,917,000 ..4 Sep 09

blackswan

08-12-09, 13:58

Not to forget 2 Fragrance Hotel directly at the back plus 3 Hotel 81 further down.

Also another Hamilton Hotel though dun know whether its budget or not.

i wont ...thanks for reminding me ..

i used to joke with my friend ..

if we have a unit there .. and need to sell ..i can advertise :

Nice Seaview , near amenities like :
immigration,
casket
short walk to cheap lighting shops

ok stop here before i get bashed

dont worry i wont buy there ...

if its so good and have good rental like they say ... why still have a seaview unit out for auction ?

owner should just offer out at 1500 psf ... maybe fellow citylighters will buy

stalingrad

08-12-09, 14:06

Wow!
Made up poor rental story due to jealousy?
Like that I better ignore everything stalingrad post.

Did not make up any story.

Ignore my postings at your own risk. A lot of people have been declared bankrupt for blindly practicing propertism. While the trend is probably up at any period of time, there is always volatility in the short term. When you get caught in one of those hip-cup period, you are dead figuratively and literally.

xebay11

08-12-09, 14:10

Did not make up any story.

Ignore my postings at your own risk. A lot of people have been declared bankrupt for blindly practicing propertism. While the trend is probably up at any period of time, there is always volatility in the short term. When you get caught in one of those hip-cup period, you are dead figuratively and literally.

The bogeyman is coming to get you!

Reporter

08-12-09, 15:49

http://www.avmaroc.com/images/actualite/thumbs/aid-149162_0.jpg
Japan OKs massive US$274 billion stimulus package
Agence France-Presse
Tokyo, Japan
Tuesday, 8 December 2009, 12:22 PM JST

http://d.yimg.com/hb/xp/afp/20091208/13/670411531-japan-to-boost-recovery-with-giant-stimulus-plan.jpg
Japan to boost recovery with giant stimulus plan. - Photo: AFP

Japan's cabinet on Tuesday approved a huge economic stimulus package worth US$274 billion (S$380.88 billion) including more than US$80 billion dollars (S$111.20 billion) in direct spending, the government said.

The package is meant to boost a fragile recovery from Japan's worst post-war recession, which is now threatened by deflation and the strong yen's impact on exporting companies in Asia's biggest economy.

The cabinet of centre-left Prime Minister Yukio Hatoyama agreed on the size of the package, to be financed by an extra budget for the financial year to March 2010, after its announcement was delayed last Friday.

"We made a cabinet decision on the emergency economic measures," chief government spokesman Hirofumi Hirano said. "The scale exceeds 24 trillion yen (S$369.6 billion) in terms of the value of projects."

The new package totals ¥24.4 trillion (S$380.88 billion), the government said in a statement.

It includes direct spending as well as loan guarantees and other measures that do not require actual government outlays.

It would extend a reward programme for energy-efficient appliances and loan guarantees for small and mid-size businesses, and include spending to help companies retain workers, reports have said.

The Hatoyama government, which ousted the long-ruling conservative party in a landslide election in August, froze part of its predecessor's first supplementary budget, which was worth ¥13.9 trillion (S$214.06 billion).

It cited the need to slash government waste in Japan, where public debt is around 180% of gross domestic product, largely due to massive spending during the economic "lost decade" of the 1990s.

Japan's economy grew 4.8% on an annualised basis in the July-September quarter, the fastest growth in 2½ years, according to preliminary data from the finance ministry released last month.

The stimulus package was held up Friday when the financial services minister, Shizuka Kamei, boycotted a ministerial meeting while demanding additional spending, part of which was agreed by the cabinet.

Hatoyama's Democratic Party of Japan needs the support of Kamei's smaller People's New Party to ensure passage of laws in the upper house.

Reporter

08-12-09, 18:04

http://sg.yimg.com/i/sg/providers/cnalogo4.gif
Bernanke signals zerÖ rates ön hold amid weak recovery
Channel NewsAsia
Washington, D.C., U.S.
Tuesday, 8 December 2009, 0223 hrs

http://www.channelnewsasia.com/imagegallery/store/phpOnKU1y.jpg
Federal Reserve chairman Ben Bernanke

Federal Reserve chairman Ben Bernanke said on Monday the US recovery has a "way to go" before it takes root, signalling interest rates will be kept extremely lÖÖse for some time to come.

"Though we have begun to see some improvement in economic activity, we still have some way to go before we can be assured that the recovery will be self-sustaining," Bernanke said in a speech to the Economic Club of Washington.

The economy grew at a 2.8% annual pace in the 3rd quarter after 4 straight quarters of contraction, but high unemployment remains a key obstacle to removing unprecedented public support of the economy.

In the near term, Bernanke said, elevated unemployment and stable inflation expectations should keep inflation "subdued," adding: "Inflation could move lower from here."

Inflation expectations over the long term appear stable, Bernanke said, vowing that the Fed "is committed to keeping inflation low and will be able to do so."

As the economy crawls out of the deep recession that began in December 2007, Bernanke indicated the central bank was in no hurry to raise rates, damping speculation of a rate hike after a stronger-than-expected November jobs report on Friday.

The Fed lowered its federal funds target rate to between Ö% and 0.25% in December 2008 in a bid to revive lending after the Lehman Brothers bankruptcy triggered a global crisis that brought the US financial system to its knees.

Speaking just over a week ahead of the Federal Open Market Committee's policy-setting meeting on December 15 and 16, Bernanke said the recovery faces "some formidable headwinds," particularly the weak jobs market and tight credit conditions.

Although the jobs market was no longer contracting at the pace seen in 2008 and earlier this year, the unemployment rate had spiked to 10% in November, from as low as 4.4% in March 2007.

"Household spending is unlikely to grow rapidly when people remain worried about job security and have limited access to credit," he said.

Consumer spending, which drives two-thirds of US economic activity, is considered critical to a sustainable recovery.

"My best guess at this point is that we will continue to see modest economic growth next year - sufficient to bring down the unemployment rate, but at a pace slower than we would like," he said.

Bernanke's remarks have "put a dent on rate hike expectations," said Samarjit Shankar of Bank of New York Mellon.

Garrett McIntyre of Moody's Economy.com said that Bernanke had talked down the dollar, which had spiked in the wake of the Friday jobs report.

"It's going to take more than a month's worth of solid job data before Bernanke is going to turn his eye to inflation," McIntyre said.

Bernanke addressed concerns that its zerÖ rate policy and a balance sheet that has ballooned to about US$2.2 trillion could unleash inflatiön.

"As the recovery strengthens, the time will come when it is appropriate to begin withdrawing the unprecedented monetary stimulus that is helping to support economic activity," he said.

Bernanke reiterated assurances that the central bank has "all the tools necessary to withdraw monetary stimulus in a timely and effective way."

Thanks to a new authority received from Congress last year, he said, "when the time comes to raise short-term interest rates and thereby tighten policy, we can do so by raising the rate that we offer banks on their balances with us."

Reporter

08-12-09, 20:32

http://www.straitstimes.com/STI/STIMEDIA/common/mast_home.gif
32 bids for Jurong plot
Joyce Teo
Property Correspondent
The Straits Times
Tuesday, 8 December 2009, 6.45 pm

A 99-YEAR leasehold landed plot in Jurong West attracted a whopping 32 bids.

Chappelis put in a higher-than-expected top bid of $38.5 million or $254 psf.

This was followed closely by Hoi Hup Realty and Sunway Developments' bid of $38 million or $250 psf.

Other bidders include EL Development, Soilbuild Group and Frasers Centrepoint.

The top bid for the 14,098.9 sqm site in Westwood Avenue came in higher than expected.

The site was offered for tender last year. But the government did not award it as the bids it attracted were considered too low.

Reporter

08-12-09, 20:44

http://www.straitstimes.com/STI/STIMEDIA/common/mast_home.gif
3rd highest spending power
Fiona Chan
Property Correspondent
The Straits Times
Tuesday, 8 December 2009, 8:51 pm

http://www.straitstimes.com/STI/STIMEDIA/image/20091017/front-ssquit.jpg
Singapore managers

Managers in Singapore have the 3rd-highest spending power in Asia, behind those in Hong Kong and Thailand, according to a new survey released on Tuesday.

Globally, they rank 27th in terms of disposable income, which is the money they have left to spend after taxes.

The study, done by global management consultancy Hay Group, also found that the income gap between managers and clerical staff has widened only slightly over the last three years.

In 2006, Singapore managers earned 4.9 times what their lower-paid clerical staff made. This gap dropped in 2007 to 4.7 times, but grew again this year to 5 times. Still, the pay gap is much smaller and more stable in Singapore than in most other countries in Asia, said Mr Victor Chan, Hay Group Singapore's country manager for reward information services.

China has the largest income gap in this respect, with managers earning 12.6 times the pay of their clerical staff, according to the report. The gap has also grown significantly over the years: in 2006, it was 10.5 times.

On the other end of the spectrum are Japan and Korea, which have smaller pay gaps than Singapore. Japanese managers earn just 3.4 times what their clerical staff do, while the pay of Korean managers is 4.1 times the pay of their clerical employees.

Reporter

08-12-09, 21:42

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Singapore to recover rapidly
The Straits Times
Tuesday, 8 December 2009, 8:47 pm

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In the 2nd and 3rd quarters of the year, GDP rose by nearly 9% in total and has now made up all but 1.8% of the previous fall in output.

A recent report from the world's leading international bank, HSBC, show Singapore's economic recovery is broadening and set to continue at a rapid pace, with the economy growing by a healthy 6.5% in 2010.

The report called 'Primal Knowledge: Still on fire?' was prepared by HSBC's Emerging Markets Research team.

After the Republic's deepest ever recession has come the strongest economic recovery.

In the 2nd and 3rd quarters of the year, GDP rose by nearly 9% in total and has now made up all but 1.8% of the previous fall in output.

The breakdown of third quarter GDP showed manufacturing growing 8.3% from the previous year, with construction up 12.4% and services 2.4%.

Factors working in Singapore's favour include significant domestic policy support and the prospect of a strong regional and world recovery - all of which bodes well for a strong economic recovery in the future.

According to the HSBC report, there are two reasons to be optimistic about Singapore's export prospects.

First the fundamental drivers of an export recovery are now largely in place.

Asian domestic demand is picking up smartly as a result of improved consumer spending and investment.

Domestic demand is expected to continue to improve as the full effects of the hugely powerful and synchronised policy easing in the region filter through.

This will raise the demand for imports/exports which in turn will boost incomes, encouraging further growth in private consumer spending and investment.

In other words, a virtuous circle of economic expansion is getting underway.

Second, HSBC's own lead indicator - which proved accurate in gauging the scale of the export recession - has entered positive territory, pointing to a strong export recovery in the second half of 2009.

The HSBC report concludes that inflation has bottomed out, but it is unlikely the central bank will shift to a policy of currency appreciation until April 2010.

As there seems no need for a 2nd stimulus package, the fiscal deficit is expected to peak in 2009 before the budget returns to its more accustomed position of being in surplus.

Electronics to the rescue

Adding to HSBC's optimism about the Singapore economy is the encouraging signs shown by the global tech cycle.

Recent months have seen strong increases in US and Japanese semiconductor book to bill ratios, as well as a big bounce in German domestic orders for electrical products.

Electronics output in Singapore surged by 40% between March and September 2009, although it is still below its February 2008 peak.

Property market on the mend

According to the HSBC report, property prices have bottomed out as property market transactions have picked up strongly in the last few months.

Indeed the third quarter saw a near 16% rise in private residential prices from the previous quarter - the biggest quarterly rise since the early 1980s.

The Singapore Government has already taken modest steps to cool activity.

The report sees these measures as a pre-emptive attempt to prevent asset bubbles from developing, and if successful, could dampen economic volatility in the property sector.

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HSBC Emerging Markets - Primal Knowledge: Still On Fire?