Profile of the typical Singaporean Property Investor

[carbuncle]

Profile of the typical
Singapore property investor
Property Blog - Fri, 25th May
2012 01:15 AM
Property is a hot topic these
days and it seems like
everyone is jumping onto the
property bandwagon.
In my line of work, I often
come across seminar
participants who ask me
where they can find good
property deals. What many of
them fail to realize is that
finding good deals is only half
of the solution.
The other half is having a
good understanding of their
investment profile (i.e. risk
appetite, investment horizon,
budget, holding power, etc).
Very often, the difference
between a profitable deal and
a non-profitable deal is
determined by an investor's
ability to hold on to the
investment, regardless the
market condition.
To better help my seminar
participants, my company,
Ascendant Assets Pte Ltd, has
developed a proprietary
Property Investor Profile
Survey (PIPS) to help our
clients better understand their
individual investment profile.
After doing the survey, we will
score them based on a scoring
system that ranges between 1
and 50. Investors who score
close to 1 tend to be more
most risk adverse while those
who score closer to 50 are
generally more aggressive.
Based on out PIPS, we were
able to draw many interesting
conclusions on the typical
Singapore property investor.
Profile of the typical
Singapore property investor
The typical Singapore property
investor has an average score
of 27.9. This would put them in
the Balanced Category.
Investors belonging to this
profile are typically long term
investors who are prepared to
hold on to their investments
for more than 10 years.
The typical property investor
has been working for quite a
while and has accumulated
some cash for his/her
property investments. The
average age is 46 and 82% of
the respondent are married.
The typical Singaporean
property investor is fairly cash
rich. Almost 42% are holding
on to between SUSD 100,000-
SUSD 400,000 of cash on hand.
The breakdown of the amount
of cash they have is shown in
Figure 1 below.
Risk appetite
In terms of risk appetite,
typical Singapore property
investor is generally quite risk
averse. This can be inferred as
more than half (56%) feel that
protecting against losses was
more important that earning
high returns (See Figure 2).
The conservative nature of
property investors is
reinforced as 69% of
respondents disagreed with
the following PIP survey
statement, "I am comfortable
with large declines in value if
there is a potential for higher
returns" (See Figure 3). This
indicates that most investors
are unwilling to accept large
declines in value even if it
means the potential for higher
returns and property investors
are generally not the
speculative type.
Our findings are congruent
with the fact that unlike the
more liquid assets (i.e. stocks,
commodities, forex), property
investors are looking for a
secure mechanism to grow
their wealth. For those of you
who would like to know what
your investment profile is,
please drop us an email at
research@
ascendantassets.com. We'd
gladly provide you with a
complimentary analysis so
that you will be able to make
a more informed decision for
your next purchase.
To conclude, let me share a
quotation from Sun Tze, the
military strategist and author
of the Art of War wrote, "If
you know your enemies and
know yourself, you will not be
imperiled in a hundred
battles." Similarly, apart from
knowing the property market,
if you know yourself well, you
would be able to "avoid peril
in a hundred investments".
By Getty Goh, Director of
Ascendant Assets, a real
estate research and
investment consultancy firm.
Posted courtesy of
www.Propwise.sg, a Singapore
property blog dedicated to
helping you understand the
real estate market and make
better decisions.

[Allthepies]

a typical profile of a Singaporean investor tat make money. they typical dont attend seminars, they typically know where and when to buy p

[phantom_opera]

reproduced as below, to aid reading:

Property is a hot topic these days and it seems like everyone is jumping onto the property bandwagon. In my line of work, I often come across seminar participants who ask me where they can find good property deals. What many of them fail to realize is that finding good deals is only half of the solution. The other half is having a good understanding of their investment profile (i.e. risk appetite, investment horizon, budget, holding power, etc). Very often, the difference between a profitable deal and a non-profitable deal is determined by an investor’s ability to hold on to the investment, regardless the market condition.

To better help my seminar participants, my company, Ascendant Assets Pte Ltd, has developed a proprietary Property Investor Profile Survey (PIPS) to help our clients better understand their individual investment profile. After doing the survey, we will score them based on a scoring system that ranges between 1 and 50. Investors who score close to 1 tend to be more most risk adverse while those who score closer to 50 are generally more aggressive. Based on out PIPS, we were able to draw many interesting conclusions on the typical Singapore property investor.

Profile of the typical Singapore property investor

The typical Singapore property investor has an average score of 27.9. This would put them in the Balanced Category. Investors belonging to this profile are typically long terms investors who are prepared to hold on to their investments for more than 10 years.

The typical property investor has been working for quite a while and has accumulated some cash for his/her property investments. The average age is 46 and 82% of the respondent are married.

The typical Singaporean property investor is fairly cash rich. Almost 42% are holding on to between S$100,000 – S$400,000 of cash on hand. The breakdown of the amount of cash they have is shown in Figure 1 below.



Source: Ascendant Assets Pte Ltd

Risk Appetite

In terms of risk appetite, typical Singapore property investor is generally quite risk averse. This can be inferred as more than half (56%) feel that protecting against losses was more important that earning high returns (See Figure 2).



Source: Ascendant Assets Pte Ltd

The conservative nature of property investors is reinforced as 69% of respondents disagreed to the following PIP survey statement, “I am comfortable with large declines in value if there is a potential for higher returns” (See Figure 3). This indicates that most investors are unwilling to accept large declines in value even if it means the potential for higher returns and property investors are generally not the speculative type.



Source: Ascendant Assets Pte Ltd

Our findings are congruent to the fact that unlike the more liquid assets (i.e. stocks, commodities, Forex), property investors are looking for a secure mechanism to grow their wealth. For those of you who would like to know what your investment profile is, please drop us an email at [email protected]. We’d gladly provide you with a complimentary analysis so that you will be able to make a more informed decision for your next purchase.

To conclude, let me share a quotation from Sun Tze, the military strategist and author of the Art of War wrote, “If you know your enemies and know yourself, you will not be imperiled in a hundred battles.” Similarly, apart from knowing the property market, if you know yourself well, you would be able to “avoid peril in a hundred investments”.

By Getty Goh, Director of Ascendant Assets, a real estate research and investment consultancy firm.

[phantom_opera]

S$100,000 – S$400,000 of cash on hand = 1br 5XXsqft or MM liao loh with LTV = 60% or less + ABSD

[rattydrama]

the only 2 types of ppty you can buy with limited cash now is 20 yr old FH if you want it BIG or 5xxsqft FH MM if you want it NEW.

[House]

profiles from the participants who attended his "make yourself rich" seminars?

my toes are giggling

[DC33_2008]

Many of them have left the local playing field. an article in the ST today shows that many Singaporeans have invested in iskandar's properties, landed and condo. An example, 70% of buyers of imperia at puteri harbour facing Singapore and marina are foreigners with 34% of them Singaporean.

[radha08]

Many of them have left the local playing field. an article in the ST today shows that many Singaporeans have invested in iskandar's properties, landed and condo. An example, 70% of buyers of imperia at puteri harbour facing Singapore and marina are foreigners with 34% of them Singaporean.

malaysia...BOLEH

[hyenergix]

Many of them have left the local playing field. an article in the ST today shows that many Singaporeans have invested in iskandar's properties, landed and condo. An example, 70% of buyers of imperia at puteri harbour facing Singapore and marina are foreigners with 34% of them Singaporean.

I feel that the property prices in JB has shot up suddenly due to foreigners' (mainly Singaporeans) investment. Down the road, there could be some local resentment as they can longer afford properties in their own land. Malaysia is known to flip policies very fast when it comes to election time or protecting their own people's interest.