Property price is coming down fast

[Leeds]

Yup. When was that? Checked-April this year. There u go. Everyone will be happy.

It was reported here.

http://forum.channelnewsasia.com/sho...t-a-little-bit.

Responding to a question on housing prices, Deputy Prime Minister Tharman Shanmugaratnam (picture) acknowledged that "we are not in a very happy part of the cycle ... because prices have risen faster than income in the last four years".

But Mr Tharman reiterated that, compared to other countries, Singapore has done more to intervene in the market. Apart from cooling measures, the Government is also ramping up the supply of Build-to-Order flats. "It takes a bit of time ... My advice to you is, wait a little bit," Mr Tharman told the undergraduates.

[Rysk]

I think only DPM Therman dared to advise that we should "wait a bit more". I remembered he did that during a dialogue session with some students not too long ago.

Yup! If I could remember.. his advise to wait was when Luxus Hills $1.6m.... wait & wait & wait.. wait till Luxus Hills now $2.8m..

Now again come back to advise ppl to wait..

Last time end 2008 talked BIG BIG worst is yet to come.. asked ppl to wait..
Till today.. no sound no shadow.. only act blur & come back again & saying "wait a bit more"

[Leeds]

Yup! If I could remember.. his advise to wait was when Luxus Hills $1.6m.... wait & wait & wait.. wait till Luxus Hills now $2.8m..

Now again come back to advise ppl to wait..

Last time end 2008 talked BIG BIG worst is yet to come.. asked ppl to wait..
Till today.. no sound no shadow.. only act blur & come back again & saying "wait a bit more"

I think DPM's advice was in April 2012 and not in year 2008.

Today Newspaper
Undergraduates concerned about bread-and-butter issues
by Tan Weizhen
04:46 AM Apr 05, 2012

Bread-and-butter issues - jobs, the prices of property and car ownership - were also on the minds of the undergraduates at the ministerial forum.

Responding to a question on housing prices, Deputy Prime Minister Tharman Shanmugaratnam (picture) acknowledged that "we are not in a very happy part of the cycle ... because prices have risen faster than income in the last four years".

But Mr Tharman reiterated that, compared to other countries, Singapore has done more to intervene in the market. Apart from cooling measures, the Government is also ramping up the supply of Build-to-Order flats. "It takes a bit of time ... My advice to you is, wait a little bit," Mr Tharman told the undergraduates.

[seletar]

Seletar waited. Are u advising him to wait some more?

Do you know me ? If you do, you would know that I already owned a home and some commerical properties for my business. All my properties are fully paid up. My deep concern are my kids, looks like I have to help them buy homes when they are older.

[DKSG]

But 2008, wait is correct ... wait until Lehman collapse.

Do give them some credit la!

What do you expect them to tell the poor undergraduates ?

"Once you get your job, you better start saving up for your first house. Because everyday you wait, prices will go up!" Like that tell them ?

Since they cannot afford anything at this point in time, the best advice is wait. Right ?

When Office Boy is undergrad, I also waited.

DKSG

[chestnut]

Do you know me ? If you do, you would know that I already owned a home and some commerical properties for my business. All my properties are fully paid up. My deep concern are my kids, looks like I have to help them buy homes when they are older.

Bro, I don't know u but only thru this forum. U have every rites in concern for your kids.
I mistook u for someone else who didn't get in. At least u did. Phew....

[price]

Do you know me ? If you do, you would know that I already owned a home and some commerical properties for my business. All my properties are fully paid up. My deep concern are my kids, looks like I have to help them buy homes when they are older.

why worry? kids not capable enough they could ballot for HDB? no money for 5 rooms buy a 3 or even 2 / studio. all the Grants are out there for them if they are really making so little income.


No one owe ur kids a Condo

[focus]

Yup! If I could remember.. his advise to wait was when Luxus Hills $1.6m.... wait & wait & wait.. wait till Luxus Hills now $2.8m..

Now again come back to advise ppl to wait..

Last time end 2008 talked BIG BIG worst is yet to come.. asked ppl to wait..
Till today.. no sound no shadow.. only act blur & come back again & saying "wait a bit more"

lol.. ya... DPM sabo-ed people...
Imagine if you are the normal homeowners, when you hear DPM says that.. you will stop..and hesistate and might even reversed your decision...

Come to think of it.. it was a piece of biased advice..
The govt. do not want prices to increase and do not want to be seen as an advocate of properties buying when everyone is complaining of high prices.

So , the only rationale thing to do is for them to keep telling you not to buy, wait a while, i am doing CM , I am bluilding more flats blah blah..
This gives you the impression they are doing things.. but if prices go up (they cannot control it since it's the sentiments driving it), they got excuses to say they have done stuff. aND If prices do correct, they can also say ..there i have already advise you not to do it.. but you insists on buying.. don't blame me..

[sunrise]

Do you know me ? If you do, you would know that I already owned a home and some commerical properties for my business. All my properties are fully paid up. My deep concern are my kids, looks like I have to help them buy homes when they are older.

papa ah B?

[DKSG]

papa ah B?

Confirm!

Now change stance say got commercial properties. Haha!

No more 50% by 2015!

DKSG

[sunrise]

Confirm!

Now change stance say got commercial properties. Haha!

No more 50% by 2015!

DKSG

poor son struggling at CNA.

[blackapple]

It was reported here.

http://forum.channelnewsasia.com/sho...t-a-little-bit.

Wait a little bit mean
1) wait a little bit longer for a new BTO or
2) wait a little bit for price to drop

[seletar]

http://www.businesstimes.com.sg/prem...er-q3-20121114

Business Times
Published November 14, 2012

Business outlook gloomier in Q3

59% of firms see poorer prospects in the 6 months till March: survey

By Teh Shi Ning


[SINGAPORE] Business pessimism continues to spread among companies in Singapore although the contagion has slowed. Sentiment worsened even as business activity weakened further in the third quarter, says the latest Business Times-UniSIM Business Climate Survey.

More firms experienced a contraction in sales and new orders last quarter. And though fewer firms' profits fell in Q3, more suffered larger profit declines, the quarterly survey shows ahead of final GDP figures for Q3 due for release this Friday.

Business conditions reported by the 165 firms polled in October deteriorated from Q2, as the economy shrank 1.5 per cent in Q3 on a quarter-on-quarter annualised basis, according to the official advance estimate. This meant that GDP grew 1.3 per cent year-on-year last quarter.

But economists think that the advance estimate may be revised downwards this Friday, given poorer than expected trade and industrial production data for September.

With that backdrop, 59 per cent of the firms polled are expecting gloomier business prospects in the next six months till MArch 2013 - with 10 per cent saying things could get "much worse".

[seletar]

http://sbr.com.sg/economy/news/chart...ess-optimistic

Singapore Business Review
ECONOMY | Staff Reporter, Singapore
Published: 13 Nov 12

Chart of the Day: Singaporean traders turn less optimistic


Sellers fear the risk of buyers defaulting on payments.

The HSBC Global Connections report said:

According to the HSBC Trade Confidence Index, Singaporean traders are less optimistic today than they were six months ago with scores dropping from their second highest level of 115 to 104.

Even with this, the general viewpoint remains positive as 74% of businesses surveyed say they expect trade volumes to remain at current levels or increase over the course of the next six months.

This is not the case in terms of the global economy, where 70% anticipate a decrease and only 5% foresee an upswing.

Importers and exporters appear to be split on their outlooks, however. Buyers in Singapore have confidence that their overseas suppliers will deliver, with only 13% indicating they expect an increase in trade agreements not being honoured.

Twenty-one percent of Singaporean sellers, on the other hand, believe the risk of their buyers defaulting on payments will increase in the next six month.

This is up from 13% in H1 2012, and to protect themselves they are becoming less flexible by limiting credit amounts and requesting advance payment. In addition, they intend to use traditional trade finance products to further minimise risk.

International businesses in Singapore cite their main barriers to growth as fluctuating exchange rates (54%), insufficient margins (46%) and lack of demand (49%).

The various sub-regions in Asia remain Singapore’s top trading partners and close to one-third of respondents say they will continue looking to one or more parts of Asia for future growth.

The US and the UK have both become less significant in recent months with nearly 50% fewer Singaporean traders doing business in the two countries.

[seletar]

http://www.businesstimes.com.sg/prem...dence-20121114

Business Times
Published November 14, 2012

Surprise drop in German investor confidence

This shows eurozone debt crisis is finally taking its toll


[BERLIN] German investor confidence unexpectedly declined in November as the sovereign debt crisis curbs growth in Europe's largest economy.

The ZEW Center for European Economic Research in Mannheim said its index of investor and analyst expectations, which aims to predict economic developments six months in advance, fell to minus 15.7 from minus 11.5 in October. That's the first drop since August.

Yesterday's report is the latest to suggest that the debt crisis is finally taking its toll on Germany. Exports, factory orders and industrial production all fell more than forecast in September.

"In a nutshell, the ZEW survey started to incorporate the bad news coming from the German economy," said Annalisa Piazza, a strategist at Newedge Group in London.

“We don’t expect the German economy to collapse anytime soon, but weakness is certainly likely to prevail in the second half of 2012.”

ZEW said its gauge of current economic conditions in Germany eased to 5.4 -- the lowest since June 2010 -- from 10 in October.

Growth slowed to 0.3 percent in the second quarter from 0.5 percent in the first as budget cuts and recessions in Germany’s euro-area trading partners eroded demand for its exports.

Third-quarter growth data will be released tomorrow.

Siemens AG (SIE), the biggest engineering company in Europe, on Nov. 8 unveiled a 6 billion-euro ($7.6 billion) savings plan to restore profitability, acknowledging it was slow to react to shrinking demand.

Chief Executive Officer Peter Loescher said some job losses will be inevitable.

Commerzbank AG, which is forgoing its dividend, on Nov. 8 reported profit that missed analysts’ expectations on losses from non-core assets and a decline in consumer banking earnings.

Some companies are compensating for lower demand within the euro area with exports to faster growing regions. Germany’s shipments to non-European Union countries were up 10.4 percent in the nine months through September from the year-ago period.

Bayerische Motoren Werke AG stands by its plans to increase 2012 profit, Chief Financial Officer Friedrich Eichiner said on Nov. 6.

The world’s biggest maker of luxury cars posted third- quarter earnings that beat analyst expectations, helped by growth in the U.S. and Asia.

Still, “Germany cannot decouple from the recessions around it,” said Marcus Kappler, an economist at ZEW in Mannheim. “A likely scenario is that the German economy will do slightly worse than expected, but without turning into negative growth.” - Bloomberg

[Rysk]

Confirm!

Now change stance say got commercial properties. Haha!

No more 50% by 2015!

DKSG

TWIST & TURN cum DIVERT ATTENTION SELETAR airbase (aka MR B)?!..

[seletar]

http://www.cnbc.com/id/49816942

German Steelmaker Provides Warning on German Economy


Published: Wednesday, 14 Nov 2012 | 3:16 AM ET
By: Reuters


Steelmaker Salzgitter [SZG-DE 32.64 -1.215 (-3.59%) ] warned that demand from Germany's car and engineering sectors was slowing, adding to signs that a downturn in the euro zone is catching up with Europe's biggest economy.




"During the third quarter, these sectors were exposed to significant braking effects," the company said on Wednesday as it posted a quarterly loss.

The steel sector has been hit by a slowdown in demand for cars, appliances and new buildings, and hopes for a recovery this year have been fading as euro zone manufacturing has been shrinking for 15 months straight.

Salzgitter earlier this month already cut its full-year outlook, saying it saw its pretax result coming in around breakeven, because it was unable to push through price increases in the current economic environment.

Germany initially held up better in the crisis than many others in the region, but recent data has fanned concern that Europe's top economy may soon slip into recession.

Domestic engineering orders slumped by 17 percent in the third quarter, causing a decline in demand for steel products.

"The loss of momentum (in Germany's steel processing sector) has been notable since the start of the second half year, especially in mechanical engineering," Salzgitter said.

Salzgitter posted a third-quarter pretax loss of 24.6 million euros ($31.27 million) as its steel business was hurt by volatile prices in the uncertain economic environment, compared with a year-earlier profit of 39.2 million.

[seletar]

http://www.cnbc.com/id/49817635

Euro Zone Factory Output Falls by Most in Nearly 4 Years


Published: Wednesday, 14 Nov 2012 | 5:45 AM ET
By: CNBC


Output from euro zone factories in September fell by the most since January 2009, dragged down by Germany's spluttering industry that is succumbing to the impact of three years of crisis.





Industrial production in the 17 countries sharing the euro fell 2.5 percent in September from August, the EU's statistics office Eurostat said on Wednesday, worse than expectations of a 1.9 percent fall forecast by economists in a Reuters poll.

The performance was the worst on a monthly basis since January 2009, when factory output fell 4.0 percent as the global financial crisis drove major world economies into recession.

The disappointing data adds to expectations that the euro zone will end 2012 with at least a 0.4 percent economic contraction, the second recession in three years, as the debt crisis that began in Greece three years ago sucks business confidence and pushes the number of unemployed to a record level.

Euro zone industrial production fell 2.3 percent in September compared to a year ago, as expected by economists.

[seletar]

http://www.cnbc.com/id/49816322

European Parliament Boycotts EU 2013 Budget Talks


Published: Wednesday, 14 Nov 2012 | 1:42 AM ET
By: Reuters


The European Parliament boycotted talks with EU governments on Tuesday to finalize the bloc's budget for 2013 in a row over an extra 9-billion-euro ($11.44 billion) spending request for this year.





Negotiators from both sides had been due to meet on Tuesday night to try to reach a deal before a midnight deadline, after a first round of talks foundered on the parliament's refusal to discuss the 2013 budget before agreement on the extra funds.

"[European Parliament] negotiators will not attend the meeting with Council on the budget 2013 scheduled for tonight, because there is no agreement among the member states about a supplementary budget for the current year," European Parliament President Martin Schulz said in a statement.

The boycott reflects frustration within the parliament at governments' attempts to cut EU spending proposals to mirror austerity cuts at home, and augurs badly for talks between the two sides later this year on the bloc's more contentious long-term budget.

The only way Tuesday's talks could go ahead would be if EU member states came up with a "constructive proposal" at the last minute to address the funding shortfall for this year, a parliamentary source said.

But the British government immediately rejected any compromise that would increase EU spending this year.

"It is senseless that the only budget deal the European Parliament is interested in is one that massively increases EU spending - raiding Europe's taxpayers," British junior finance minister Greg Clark said in a statement.

"At today's Council meeting I will not approve any more money for the EU." The Commission - backed by the Parliament - says the extra money is needed to avoid cutting off EU funds for education, infrastructure and research projects.

The row has also held up 670 million euros in EU aid for the Italian region of Emilia Romagna, which was hit by earthquakes earlier this year.

Governments insist they will honour their pledge, despite a lack of agreement on how to pay for it.

If no deal is reached on the 2013 budget before the midnight deadline, the Commission will be forced to draft a new budget proposal in a final bid for a deal before the end of the year.

The Commission and parliament are demanding a budget of 138 billion euros in 2013, representing a way-above-inflation 6.8 percent rise from this year's level.

Most national governments want to limit any increase to 2.8 percent.

[seletar]

http://www.cnbc.com/id/49815329

Anti-Austerity Strikes Sweep Europe


Published: Wednesday, 14 Nov 2012 | 10:00 AM ET
By: Reuters


Police and protesters clashed in Spain and Italy on Wednesday as millions of workers went on strike across Europe to protest against spending cuts they say have made the economic crisis worse.




Hundreds of flights were cancelled, car factories and ports were at a standstill and trains barely ran in Spain and Portugal where unions held their first coordinated general strike.

In Spain, 81 people were arrested after scuffles at picket lines and damage to storefronts. Riot police in Madrid fired rubber bullets at protesters.

In central Rome, students stoned police in a protest over money-saving plans for the school system. A few dozen protesters, hurling bottles and large firecrackers, clashed with riot police, who fired tear gas and dragged away at least one bleeding protester into a police van, a Reuters witness said.

International rail services were disrupted by strikes in Belgium and workers in Greece, Italy and France demonstrated as part of a "European Day of Action and Solidarity".

It was the biggest Europe-wide challenge by organized labor to austerity policies that have aggravated recessions and mass unemployment in nearly three years since the start of the euro zone's debt crisis. But it seemed unlikely to force hard-pressed governments to change their cost-cutting strategies.

In Portugal and Greece — both rescued with European funds and under strict austerity programmes — the economic downturn sharpened in the third quarter, data showed in Wednesday.

Portuguese unemployment jumped to a record 15.8 percent while next door, in Spain, one in four of the workforce is jobless. Greece's economic output shrank by 7.2 percent on an annual basis in the third quarter as the debt-laden country staggers towards its sixth year of depression.

Close to 26 million people are unemployed in the European Union while governments take aim at spending on treasured universal health care and public schools.

"Everybody has to do something to call attention to what's happening," said Esteban Quesada, 58, a hardware store owner in Barcelona who closed his shop to join the protests in Spain's second city.

"Things have to change... Money has ended up with all the power and people none. How could this happen?"





Spain, Portugal and Greece have all slashed spending on pensions, public sector wages, hospitals and schools. But frustration has mounted as the cuts aggravate the economic downturn. In Spain, most of the savings have been gobbled up to meet higher interest payments on the national debt, swollen by the cost of rescuing banks after a real estate bubble burst.

The tax rises and spending cuts are aimed at putting public finances back on a healthy track after years of overspending.

In Spain, a decade-long building boom collapsed, leaving airports, highways and high-rise buildings disused around the country.

Germany's central bank, the Bundesbank, said in a report on Wednesday that the euro zone debt crisis is still the number one risk to German banks and insurers, and the situation had not improved from last year.

Pledges from the European Central Bank to support sovereign bond prices for countries that seek aid have brought some relief to Spain and Italy in the capital markets.

On Wednesday Italy sold 3-year bonds at the lowest borrowing cost in two years.


Spain to Stay The Course

While several southern European countries have seen bursts of violence, a coordinated and effective regional protest to the austerity has yet to gain enough traction to significantly shift policy.

Spanish Economy Minister Luis de Guindos told reporters on Wednesday the government would stay the course with spending cuts to meet ambitious deficit cutting targets, despite the strike.

"We're on strike to stop these suicidal policies," said Candido Mendez, head of Spain's second-biggest labor federation, the General Workers' Union, or UGT.

Mendez said turnout for the strike — the second one this year — was massive, with turnout in the public sector well above 50 percent. The government minimized the impact, saying many services were functioning normally.

Passions were inflamed when a Spanish woman jumped to her death last week as bailiffs tried to evict her from her home. Spaniards are furious at banks being rescued with public cash while ordinary people suffer.

In Portugal, which took an EU bailout last year, the streets have been quieter than in Greece or Spain but public and political opposition to austerity is mounting, threatening to derail measures sought by Prime Minister Pedro Passos Coelho. His center-right government was forced by protests to abandon a planned increase in employee payroll charges, but replaced it by higher taxes.

Passos Coelho's policies were held up this week as a model by German Chancellor Angela Merkel, who is despised in much of southern Europe for insisting on austerity as a condition of her support for EU aid.

"I'm on strike because those who work are basically being blackmailed into sacrificing more and more in the name of debt reduction, which is a big lie," said Daniel Santos de Jesus, 43, who teaches architecture at the Lisbon Technical University.

Some 5 million people, or 22 percent of the workforce, are union members in Spain. In Portugal about a quarter of the 5.5 million strong workforce is unionized. Major demonstrations were planned for the evening in Madrid, Lisbon, Barcelon and other cities.



Arrests, Flights Cancelled

Protesters jammed cash machines with glue and coins and plastered anti-government stickers on shop windows around Spain. Power consumption dropped 16 percent with factories idled.

More than 600 flights were cancelled in Spain alone, mainly by flagship airline Iberia, owned by UK-based International Airlines Group , and budget carrier Vueling . Portugal's flag carrier TAP cancelled roughly 45 percent of flights. Trains, subways and buses in both countries were severely curtailed, but many retail shops were open as normal.

(Read More: More Pain for Spain: 4,500 Iberia Workers Dismissed)

Italy's biggest union, CGIL, called for a work stoppage of several hours across the country. The transport ministry expected trains and ferries to stop for four hours. Students and teachers were set to march.

In Greece, which saw a big two-day strike last week as parliament voted to approve new cuts, hundreds of strikers rallied peacefully in central Athens, holding aloft giant Italian, Portuguese and Spanish flags and banners proclaiming "Enough is enough."

In France, five trade unions organized marches in more than 100 cities but did not call for a strike.

Left-wing critics of Socialist President Francois Hollande said he has failed to address the concerns of French workers who have the same fears as their counterparts in southern Europe.

"It's an unconditional surrender," hard left leader Jean-Luc Melenchon said on France 2 television.

Every week brings news of fresh job cuts. Spain's Iberia said last week it will cut 4,500 jobs. The prestigious El Pais newspaper just laid off almost a quarter of its staff.

"We have to leave something better for our children," said Rocio Blanco, 47, a railway worker on the picket line at Madrid's main rail station, Atocha.

[seletar]

http://www.bloomberg.com/news/2012-1...east-asia.html

Singapore’s Casinos Lose Luster as Gaming Revenue Decline


Bloomberg.com
By Pooja Thakur - Nov 14, 2012 7:57 PM GMT+0800


Genting Singapore Plc (GENS) and Las VegasSands Corp. reported the lowest gaming revenue in at least 18 months at their Singapore casinos, signaling slower economic growth and tighter rules are restricting spending by gamblers.

“We have been waiting for the novelty factor of Singapore’s casinos to finally wear off, and that time may have finally come,” said Jonathan Galaviz, managing director of Galaviz & Co., a Las Vegas-based tourism industry analyst.“Gaming revenues are sometimes a leading indicator of overall macroeconomic activity in a region. This may be a sign of things to come economically for Southeast Asia.”









The decline in revenue from gaming coincides with a slowdown in the island-state’s economy, which the government forecasts will expand as little as 1.5 percent this year, from 4.9 percent last year. Efforts to lure gamblers with discounts and giveaways including free concert tickets have been stifled by the industry’s regulator, which charges local residents S$100 ($82) each time they enter one of the casinos.

Genting Singapore’s gaming revenue dropped 20 percent to S$528.4 million in the third quarter and profit slid 47 percent, the company said Nov. 12. Billionaire Sheldon Adelson’s Las Vegas Sands (LVS) said Nov. 1 gaming revenue in Singapore slumped 28 percent to $470.8 million. Its Marina Bay Sands resort was the only one of its seven locations to post a decline in the period.

Genting Singapore shares slumped 2 percent to S$1.21 at the close in Singapore, the lowest since July 23, 2010. The stock slid 20 percent this year, the second-worst performer on Singapore’s Straits Times Index (FSSTI), which gained 13 percent. Las Vegas Sands rose 1.7 percent in 2012, while the S&P 500 Index’s advanced 9.7 percent.


Free Tickets

“Singapore is strict on regulations, and recently they have been stricter on the local mass market,” said Hoe Lee Leng, a Kuala Lumpur-based analyst at RHB Capital Bhd. (RHBC), who maintained her underperform rating on Genting Singapore after the earnings.“As long as the economy is uncertain, that could affect your general VIP volumes,” she said, referring to high-stake gamblers.

Genting Singapore’s Resorts World was fined S$600,000 by the regulator in September for illegally reimbursing entry fees through promotions including free concert tickets and passes to its Universal Studios theme park, according to the Casino Regulatory Authority of Singapore.

A month earlier, Marina Bay Sands was fined S$357,500 for offenses including waiving the levy for local gamblers, and Resorts World paid S$140,000 for “breaching social safeguard requirements,” according to the regulator.


‘Customer Loyalty’

Genting Singapore, which opened its casino resort in the city-state at the start of 2010, said in response to queries that it’s focusing on building its gaming customer database during the first two years of operations.

“On a backdrop of a softer Singapore gaming market and increased regional capacity, growing our gaming revenue remained challenging,” Tan Hee Teck, president of Genting Singapore and chief executive officer of Resorts World, said in an e-mailed statement on Nov. 12. “As we enter year three of our operations, our initiatives will focus on customer loyalty and increasing our foreign visitation.”

Singapore’s economy “slowed discernibly” in the past two quarters and will grow at below-potential levels for a second year in 2013, the Monetary Authority of Singapore said Oct. 30.

For Las Vegas Sands, the drop in Singapore revenue led to a larger-than-expected 18 percent slide in third-quarter profit. The Las Vegas-based company is increasing its marketing efforts in Singapore, which accounted for 30 percent of earnings before interest, taxes, depreciation and amortization in the quarter, by adding sales representatives, new shows and aircraft for its biggest-spending customers, it said.

[seletar]

http://www.bloomberg.com/news/2012-1...east-asia.html

Singapore Curbs to Slash Home Sales in 2013: Southeast Asia


Bloomberg.com
By Pooja Thakur - Nov 15, 2012 12:00 AM GMT+0800


Singapore home sales may fall as much as 27 percent in 2013 after climbing to a record this year as six rounds of housing curbs by the government crimps demand, according to Jones Lang LaSalle.

Private home sales next year may drop to 16,000 units from 22,000 units this year, said David Neubronner, the head of the property brokerage’s Singapore residential business. The island state introduced measures including higher down-payments for second home purchases and new taxes for foreign buyers since the start of 2010, he said.




“Like a boxer who gets punched too many times, every measure will chip away at the market,” Neubronner said in an interview yesterday. “This has been a stellar year, an exceptional year. I don’t think after six rounds of measures, the market can escape.”

Singapore home prices climbed to a record in the third quarter, prompting Finance Minister Tharman Shanmugaratnam to say last month that the real estate market may get “bubbly.”The government won’t allow home prices to outstrip gains in incomes, he said.

The Monetary Authority of Singapore or the central bank told banks on Oct. 5 to restrict home-loan maturities “to curb continued upward pressure on residential property prices,” in its latest attempt to avert a housing bubble. The government said in September it plans to cap the number of homes that can be developed in suburban projects as it seeks to curb the increasing trend of so-called shoebox apartments.


More Curbs

In December last year, the government imposed an additional stamp duty on foreigners and corporations buying property, and additional levies on permanent residents buying a second home and citizens purchasing a third residential property.

City Developments Ltd. (CIT), Singapore’s second-biggest developer controlled by billionaire Kwek Leng Beng, said yesterday it “hopes” the government will lift the housing curbs.

“While the outlook for the property market in the medium to long-term is still positive, the group is cognizant that between 2014 and 2015, there could be some oversupply with more residential units being completed,” the company said in its earnings statement. “However, this fear will be unwarranted if the world economy turns around by that time.”

The Singapore economy is forecast by the government to expand 1.5 percent to 2.5 percent in 2012, from 4.9 percent in 2011. The economy “slowed discernibly” in the past two quarters and will grow at below-potential levels for a second year in 2013, the Monetary Authority said Oct. 30.

October private-home sales data is scheduled to be released by the Urban Redevelopment Authority today.

[seletar]

http://sbr.com.sg/economy/news/chart...-drag-down-gdp

Singapore Business Review
ECONOMY | Staff Reporter, Singapore
Published: 15 Nov 2012

Chart of the Day: Disappointing manufacturing figures to drag down GDP


No thanks to the poor performance of both electronics and the pharmaceutical industries.

DBS Group Research noted:

Final GDP growth figures for the third quarter are expected to be revised lower. Previous official advance estimates expect the economy to contract by 1.5% QoQ saar (1.3% YoY) in the quarter. But the actual figure due to be announced this Friday morning will most likely report a more severe drop of 3.0% QoQ saar (0.9% YoY).

Reason is simple. Production output growth in the manufacturing sector has been disappointing in September and growth momentum in the services is also likely to be more sluggish than earlier anticipated.

Indeed, the manufacturing sector is likely to have contracted by 0.9% YoY in the third quarter, against the advance estimate of a 0.7% expansion. Most of the drag came about from an unexpected decline in output growth in September when both electronics and the pharmaceutical industries performed poorly.

[phantom_opera]

“We have implemented a number of measures but they will take some time to work their way through the market. For example, the huge supply of new housing units will be available only over the next two to three years.” - Obiwan Kenobi

wow ... huge BTO supply available in 2-3y ...

[seletar]

http://www.businesstimes.com.sg/prem...debts-20121115

Business Times
Published November 15, 2012
By zeinab yusuf saiwalla


SMEs taking more time to settle their debts

29% of bills remain unpaid 90 days after due date in Q3, data from DP Information shows


[SINGAPORE] More small and medium-sized enterprises (SMEs) are becoming tardier in settling their long-term debts, according to data released by business information provider DP Information Group.

Almost a third, or 29 per cent, of bills charged to SMEs remained unpaid 90 days after their due date in Q3 this year. This was a rise of five percentage points from the previous quarter and is the second highest percentage since DP began compiling the data in the first quarter of 2008.

The previous high was during the first quarter of 2010 following the global financial crisis.

According to the report, the quantum of unpaid money has grown every quarter this year, after starting at 18 per cent at the beginning of the year. "The level of unpaid severely delinquent debt is not the result of companies being lazy or forgetful. Many companies are slowing payments as a deliberate tactic to improve their cashflow," said DP Information senior general manager Ong Siew Kim.

However, such a tactic can negatively affect samll businesses, Ms Ong warned. "Waiting to get paid more than 90 days can cripple a small business. The best response SMEs can take is to identify companies that engage in slow payment tactics and take caution when doing business with them.

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http://www.businesstimes.com.sg/prem...point-20121115

Business Times
Published November 15, 2012
By cai haoxiang


Singapore Q3 corporate earnings disappoint

Analysts downbeat on outlook; offshore & marine sector draws downgrades


[SINGAPORE] Singapore companies reported weaker profits in the third quarter, with analysts remaining largely negative about earnings prospects.

The offshore and marine sector disappointed and drew some downgrades. Banks turned in better-than-expected results, but these were due to trading and investment gains that analysts felt might not be sustainable.

CIMB research head Kenneth Ng said what lay ahead was a tougher outlook for corporate profit.

"Results were not good with more negative surprises than positives, because of a variety of things mostly associated with higher cost, lower margins, poor trading performance," he said.

"Sembcorp Marine did badly, Noble Group did badly, Genting Singapore did badly, SingTel did badly. NOL was below our expectations," he said.

Striking a similiarly downbeat note, a Morgan Stanley research report on Asean equity strategy dated Nov 11 noted that Singapore firms "continue to disappoint" with 14 out of 23 MSCI Singapore companies having missed their forecasts.

It said that on average, consensus expectations for 23 companies were off target by 4.8 per cent. This excludes OCBC Bank, which booked a $1.13 billion gain on the sale of its stakes in F&N and Asia Pacific Breweries.

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http://www.businesstimes.com.sg/prem...t-imf-20121115

Business Times
Published November 15, 2012


'Nowhere to hide' as Asia is also hit: IMF

Brisk growth in the region could not be taken for granted in 2013, says Lagarde


[KUALA LUMPUR] There is "nowhere to hide" in the global economy as a slowdown in Europe and other advanced countries spreads to Asia and uncertainty lingers over the US "fiscal cliff", International Monetary Fund (IMF) managing director Christine Lagarde said yesterday.

Speaking in Malaysia at the start of an Asian tour, Ms Lagarde said in a speech that brisk growth in the region could not be taken for granted next year, although the IMF expects it to expand two percentage points faster than the global average. "It depends on the actions of global policymakers, especially in the United States and Europe. And 'action' is the operative word."

The IMF last month cut its forecast for global growth in 2012 to 3.3 per cent from 3.5 per cent, and to 3.6 per cent in 2013 from 3.9 per cent previously.

The United States must avoid its so-called fiscal cliff of expiring tax provisions and spending cuts, Ms Lagarde said, adding that the measures risk pushing the world's largest economy into recession and smothering growth elsewhere. "This policy uncertainty must be resolved, and it will require all sides coming together."

Eurozone leaders must deliver on their policy commitments and forge ahead with fiscal and financial integration as they seek a way out of the region's restering crisis, she said.

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http://www.bloomberg.com/news/2012-1...omy-slows.html

China Banks’ Bad Loans Rise for Fourth Quarter as Economy Slows

By Bloomberg News - Nov 15, 2012 11:17 AM GMT+0800


Chinese banks’ bad loans increased for a fourth straight quarter, the longest streak of deterioration since the data became available in 2004, highlighting pressures on profit growth as the economy weakens.

Non-performing loans rose by 22.4 billion yuan ($3.6 billion) in the three months ended Sept. 30, to 478.8 billion yuan, the China Banking Regulatory Commission said in astatement on its website today. Bad loans gained at all types of banking institutions, including the largest state-owned lenders, rural banks and foreign banks, the regulator said.




Chinese lenders are grappling with rising defaults and weaker loan demand after economic growth decelerated for a seventh quarter. Combined net income growth at the nation’s 3,800 lenders slowed to 14 percent in the third quarter from 23 percent in the second, the regulator said today.

Chinese commercial banks’ delinquent obligations may rise 10 percent this year and accelerate in 2013 if concern that inflation is rebounding leads authorities to tighten monetary policy, according to China Orient Asset Management Corp. The company is one of four state-owned asset managers established in 1999 to take over trillions of yuan of bad loans from the country’s largest lenders.

Non-performing loans, or those overdue for at least three months, accounted for 0.95 percent of banks’ total advances as of September, up from 0.94 percent in June, according to the regulator.

Chinese banks’ net interest margin, a measure of lending profitability, widened to 2.77 percent in the third quarter from 2.73 percent in the second, according to today’s statement. Their capital adequacy ratio rose to 13.03 percent as of Sept 30, from 12.91 percent in June.

To contact Bloomberg News staff for this story: Jun Luo in Shanghai at [email protected]

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http://sbr.com.sg/residential-proper...nding-business

Singapore Business Review
RESIDENTIAL PROPERTY | Staff Reporter, Singapore
Published: 14 Nov 2012

CEA slams a real estate firm for unlicensed money lending business


Two male Chinese Singaporeans are held liable.

Owing to close collaboration between the Singapore Police Force and the Council for Estate Agencies (CEA), one real estate company has been found to have committed offences under the Moneylenders Act. Police will be prosecuting two male Chinese Singaporeans on 2 November 2012 for operating an unlicensed moneylending business.

The first person (male 44 years old) is the director of a real estate company. He will be charged with four counts of operating a business of moneylending without a licence under the Moneylenders Act, (Rev Ed 2010), Chapter 188.

The said person who is the Key Executive Officer and Director of a licensed estate agent, as well as a registered salesperson, was found to have issued loans to sellers of HDB flats with amounts ranging between $5,000 and $15,000. The sellers would then repay the loan with interest from the profits obtained upon completion of the sale of the flats.

The second male Chinese subject (50 years old) who is an ex-property agent, will also be charged in court on the same day for assisting the accused in operating an unlicensed moneylending business.

The Singapore Police Force and the Council for Estate Agencies wish to state that we take a serious view of property agents who engaged in unlicensed moneylending activities by taking advantage of HDB flat sellers. Both agencies will continue to work closely to deal with such occurrences. We will not hesitate to prosecute such offenders in court.

If convicted under the Moneylenders Act, the accused may be fined (for each charge) not less than $30,000 and up to $300,000 with imprisonment up to 4 years and caned not more than 6 strokes.Advisory from Council for Estate Agencies

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http://www.channelnewsasia.com/stori...237357/1/.html

New private home sales decline in October: URA


Channel News Asia
By Wong Siew Ying | Posted: 15 November 2012 1314 hrs


SINGAPORE: Sales of new private homes in Singapore declined by about 25.7 per cent to 1,948 units in October, from 2,621 units in September, according to data released by the Urban Redevelopment Authority (URA).

URA said October's sales were led by the mass market segment which sold a total of 1,482 units.

Meanwhile, 144 new homes in the core central region and 322 new units in the city fringe were sold.

The top three best-selling private condominium projects in October were Skies Miltonia which sold 309 units, followed by Riversails with 271 units sold and eCO with 149 units sold.

Including Executive Condominiums (EC), 2,624 units were sold in October - down from 2,771 units in the previous month.

The star performers in the EC segment included Heron Bay at Upper Serangoon with 354 units sold and Waterbay at Edgefield Plains which moved 221 units.

Developers launched a total of 2,410 units of private homes and ECs in October.

- CNA/xq