Results 1 to 23 of 23

Thread: Collective sales to trickle back into market, says Credo

  1. #1
    mr funny is offline Any complaints please PM me
    Join Date
    May 2006
    Posts
    8,129

    Default Collective sales to trickle back into market, says Credo

    http://www.businesstimes.com.sg/sub/...42168,00.html?

    Published July 17, 2009

    Collective sales to trickle back into market, says Credo

    By EMILYN YAP


    PROPERTY consultancy firm Credo Real Estate expects collective sales to resurface this year or next, but not with the same intensity as in the boom years of 2006 and 2007.

    Some 5-10 collective sales may happen this year, said Credo's managing director Karamjit Singh. But they will probably involve small to mid-sized sites, as these tend to reach the market faster, he added.

    This week, 72-unit Dragon Mansion became the first property launched for collective sale this year. There were more than 100 such transactions in 2007.

    The outlook for 2010 is brighter, when some 30-40 estates may be sold en bloc, said Mr Singh. A collective sale is financially feasible when the land value exceeds the total value of individual units in the open market. Right now, this situation has yet to occur for most estates, he explained.

    But even when the collective sale market picks up, it is unlikely to rebound to earlier levels. Owners may also have to trim their price expectations 20-25 per cent from peak levels, according to Mr Singh.

    Owners may start asking for more if recovery in the property market accelerates, he said. Since February, private home sales have been buoyant, leading to greater optimism in the industry. Developers sold 1,825 new units in June - more than double the number sold a year ago.

    As more stock is cleared, developers will want to replenish their land banks and that will drive collective sales, said Mr Singh. According to him, small developers in particular have started looking for smaller sites.

    Calmer markets today are less likely to create contention in collective sales, much of which arose because of steep increases in land values, he said.

    But new challenges have emerged. For instance, new legislation governing such deals may make it costlier and more time-consuming for estates to reach the market. Also, fewer owners may volunteer to join sale committees now that the law has spelt out their responsibilities clearly.

  2. #2
    mr funny is offline Any complaints please PM me
    Join Date
    May 2006
    Posts
    8,129

    Default Experts expect 5 to 10 en-bloc deals in second half of year

    http://www.channelnewsasia.com/stori...442866/1/.html

    Experts expect 5 to 10 en-bloc deals in second half of year

    By Wong Siew Ying, Channel NewsAsia | Posted: 16 July 2009 2354 hrs


    SINGAPORE: Observers say more en-bloc sales are on the cards as a result of improved sentiment and rising demand for land.

    One market player, Credo Real Estate - a leader in the collective sales market - said at a seminar on Thursday that it expects five to 10 cases in the next few months, with more to follow in 2010.

    The seminar on en-bloc property sale was Credo's second in a week on the back of rising enquiries. Representatives from about 18 residential developments attended the seminar.

    In the last two months, Credo received 10 calls about potential collective sales. There were also existing clients hoping to re-initiate the sales process.

    Among them was the 528-unit Laguna Park in the east, which could be launched for collective sale next month.

    Observers say the project is likely to attract consortiums rather than individual developers, given the scale of the development and its S$1.2 billion price tag.

    Credo said that with the current conditions, owners should lower their asking price by 20 to 25 per cent, compared to prices during the boom time in 2007.

    Karamjit Singh, managing director of Credo Real Estate, said: "But that gap can also quickly narrow if the pace of recovery picks up because where the outlook remains positive and end unit prices move up 10 per cent, land values move up even more than 10 per cent - there is an exponential effect at the pace which land values rise."

    The company said it expects 30 to 40 en-bloc transactions next year, comprising mainly small and medium sized projects. For 2011, it projects about 18 collective sales deal will go through. This pales in comparison to the 87 residential property transactions done in 2007.

    The failed sale of Horizon Towers and new rules on the conduct of sales committees and transparency of sale process will also affect transaction volume.

    Industry players say the additional requirements will mean that potential en-bloc projects will take a longer time to hit the market.

    The cost of putting a project on sale will also increase, given higher administrative costs and legal fees.

    - CNA/yb

  3. #3
    Join Date
    Feb 2009
    Posts
    5,837

    Default

    Quote Originally Posted by mr funny
    http://www.channelnewsasia.com/stori...442866/1/.html

    Experts expect 5 to 10 en-bloc deals in second half of year

    By Wong Siew Ying, Channel NewsAsia | Posted: 16 July 2009 2354 hrs


    SINGAPORE: Observers say more en-bloc sales are on the cards as a result of improved sentiment and rising demand for land.

    One market player, Credo Real Estate - a leader in the collective sales market - said at a seminar on Thursday that it expects five to 10 cases in the next few months, with more to follow in 2010.

    The seminar on en-bloc property sale was Credo's second in a week on the back of rising enquiries. Representatives from about 18 residential developments attended the seminar.

    In the last two months, Credo received 10 calls about potential collective sales. There were also existing clients hoping to re-initiate the sales process.

    Among them was the 528-unit Laguna Park in the east, which could be launched for collective sale next month.

    Observers say the project is likely to attract consortiums rather than individual developers, given the scale of the development and its S$1.2 billion price tag.

    Credo said that with the current conditions, owners should lower their asking price by 20 to 25 per cent, compared to prices during the boom time in 2007.

    Karamjit Singh, managing director of Credo Real Estate, said: "But that gap can also quickly narrow if the pace of recovery picks up because where the outlook remains positive and end unit prices move up 10 per cent, land values move up even more than 10 per cent - there is an exponential effect at the pace which land values rise."

    The company said it expects 30 to 40 en-bloc transactions next year, comprising mainly small and medium sized projects. For 2011, it projects about 18 collective sales deal will go through. This pales in comparison to the 87 residential property transactions done in 2007.

    The failed sale of Horizon Towers and new rules on the conduct of sales committees and transparency of sale process will also affect transaction volume.

    Industry players say the additional requirements will mean that potential en-bloc projects will take a longer time to hit the market.

    The cost of putting a project on sale will also increase, given higher administrative costs and legal fees.

    - CNA/yb

    got shadow or not ??? 5-10 enbloc second half ?? quickly buy Horizon tower , pacific mansion .... pender court .....

  4. #4
    Join Date
    Apr 2009
    Posts
    335

    Default

    experts say this, say that.

    but saying is free of charge.

    ooops maybe not, maybe get paid $100 per word.

  5. #5
    Join Date
    Jun 2009
    Posts
    187

    Default

    Quote Originally Posted by proud owner
    got shadow or not ??? 5-10 enbloc second half ?? quickly buy Horizon tower , pacific mansion .... pender court .....
    I think most of them base on the current sales of new properties and start to think the developers no more stocks in hand and need to buy more...

    I look at today ST ads for sales of pte properties, there are so many units for sales and some are still unable to sell for a long time. Some are having fire sales and some are under auction sales.

    I personally think there are over supply of properties aleady.

  6. #6
    Join Date
    May 2008
    Posts
    637

    Default

    Quote Originally Posted by proud owner
    got shadow or not ??? 5-10 enbloc second half ?? quickly buy Horizon tower , pacific mansion .... pender court .....
    After the nonsense the Horizon Tower people tried pulling last time round which developer are brave or stupid enough to tangle with those guys again.

  7. #7
    Join Date
    Jun 2009
    Posts
    136

    Default Nato

    those who talk so much and do nothing will miss the boat again and again..

  8. #8
    Join Date
    Feb 2009
    Posts
    5,837

    Default

    Quote Originally Posted by nobrainer32007
    those who talk so much and do nothing will miss the boat again and again..

    there will always be another boat .. smaller, slower .. but will reach the destination somehow ..

    dont forget ..property is cyclical ...

    why rush and stress out ? ...

  9. #9
    Join Date
    Nov 2008
    Posts
    197

    Default Downturn

    Quote Originally Posted by proud owner
    there will always be another boat .. smaller, slower .. but will reach the destination somehow ..

    dont forget ..property is cyclical ...

    why rush and stress out ? ...
    Yes good idea. Wait for the next downturn. Maybe 5-10 years from now.

  10. #10
    Join Date
    Feb 2009
    Posts
    5,837

    Default

    Quote Originally Posted by Localite
    Yes good idea. Wait for the next downturn. Maybe 5-10 years from now.
    need not be 5-10 years .. just have to keep a look out .. non stressful weekend routine .. read the papers ... can find real gems sometimes ..

  11. #11
    Join Date
    Jun 2009
    Posts
    187

    Wink

    Quote Originally Posted by proud owner
    need not be 5-10 years .. just have to keep a look out .. non stressful weekend routine .. read the papers ... can find real gems sometimes ..
    Ya, you are right, there are so many units for sales in the newspaper and prices are so much better than the new launches.

    No need to wait so long for price correction, by this year end you can find alot of good buy and be spoiled for choice.

    There will be more than 6,000 new units ready for TOP. Imagine, without this number there are already so many units for sales in the ST, so don't rush.

  12. #12
    Join Date
    Feb 2009
    Posts
    5,837

    Default

    Quote Originally Posted by Honesty
    Ya, you are right, there are so many units for sales in the newspaper and prices are so much better than the new launches.

    No need to wait so long for price correction, by this year end you can find alot of good buy and be spoiled for choice.

    There will be more than 6,000 new units ready for TOP. Imagine, without this number there are already so many units for sales in the ST, so don't rush.

    rental will fall further

  13. #13
    Join Date
    May 2009
    Posts
    402

    Default

    Quote Originally Posted by proud owner
    rental will fall further
    No problem, property prices will continue to soar anyway.

  14. #14
    Join Date
    Nov 2008
    Posts
    197

    Default Rebound

    Quote Originally Posted by Honesty
    Ya, you are right, there are so many units for sales in the newspaper and prices are so much better than the new launches.

    No need to wait so long for price correction, by this year end you can find alot of good buy and be spoiled for choice.

    There will be more than 6,000 new units ready for TOP. Imagine, without this number there are already so many units for sales in the ST, so don't rush.
    Property market is affected much more by sentiments than simple suply/demand analyses. That is why the ppty prices dropped sharply in Q4 2008 and Q1 2009.

    If you want to look at real supply/demand then you must take a longer term view. Look into the next 10 years. I believe we have undersupply. That is my sentiment and if others have the same sentiment, and the economy is rebounded from a low, then ppty prices will go up.

    Population is going up, there are 2 casions imminent. Singapore is profiling to attract foreigners. You heard of the term 'market share'. In this case Singapore is attracting more than it's fair share of market from the upper middle immigrant pool. All these compounded will result in ppty prices appreciating strongly over the next 2 years. It will be dejavu 2006 again.

    Many will jump in and take the risk. Some will stay on the side lines. Some will wait for a year and jump in at higher prices.

    It is dangerous to wait for prices to drop when you are in an economic rebound cycle. If you genuinely need a home to stay then you should buy now and not wait. The prices are still a good 20% off their peak which was in 2006.

  15. #15
    Join Date
    Feb 2009
    Posts
    5,837

    Default

    Quote Originally Posted by sabian
    No problem, property prices will continue to soar anyway.
    unless you buy and move in or leave it empty ..

    once you rent it out ..you could be locking in a low return for 1-2 yrs ..

    prices may continue to soar but hey .. its paper gain ..

    no profit until it is sold..

  16. #16
    Join Date
    Feb 2009
    Posts
    5,837

    Default

    It is dangerous to wait for prices to drop when you are in an economic rebound cycle. If you genuinely need a home to stay then you should buy now and not wait. The prices are still a good 20% off their peak which was in 2006.[/quote]


    are prices really 20 pct off their peak which was in 2006 ???
    what are you talking about ?

    in 2006 i bought a PH at 485 pct ... 2300 sqft and a landed house for 1 mio

    for 1-1.2 mio now can you get anything of that size ??

  17. #17
    Join Date
    Jun 2009
    Posts
    187

    Default

    Quote Originally Posted by proud owner
    It is dangerous to wait for prices to drop when you are in an economic rebound cycle. If you genuinely need a home to stay then you should buy now and not wait. The prices are still a good 20% off their peak which was in 2006.

    are prices really 20 pct off their peak which was in 2006 ???
    what are you talking about ?

    in 2006 i bought a PH at 485 pct ... 2300 sqft and a landed house for 1 mio

    for 1-1.2 mio now can you get anything of that size ??[/quote]

    I think Localite forgotten the date of property peak.

    BTW, I always remind those rush buyers how much can they sell in the near future and can the next buyer afford.

    Please do their actual sum before commit.

  18. #18
    Join Date
    Feb 2009
    Posts
    5,837

    Default

    Quote Originally Posted by Honesty
    are prices really 20 pct off their peak which was in 2006 ???
    what are you talking about ?

    in 2006 i bought a PH at 485 pct ... 2300 sqft and a landed house for 1 mio

    for 1-1.2 mio now can you get anything of that size ??
    I think Localite forgotten the date of property peak.

    BTW, I always remind those rush buyers how much can they sell in the near future and can the next buyer afford.

    Please do their actual sum before commit. [/quote]


    true ...

    unfortunately .. you ask any man in the street now why he/she is buying ,. bet they will tell you "bank interest rate so low, leave my money there also earn nothing, " .... they probably heard that from agents ..

    we cant fight the herd instinct thats so deeply rooted in singaporeans ..

  19. #19
    Join Date
    Dec 2008
    Posts
    132

    Default

    Quote Originally Posted by proud owner
    I think Localite forgotten the date of property peak.

    BTW, I always remind those rush buyers how much can they sell in the near future and can the next buyer afford.

    Please do their actual sum before commit.
    true ...

    unfortunately .. you ask any man in the street now why he/she is buying ,. bet they will tell you "bank interest rate so low, leave my money there also earn nothing, " .... they probably heard that from agents ..

    we cant fight the herd instinct thats so deeply rooted in singaporeans ..[/quote]

    This will turn out to be the stupidest reason to buy a property in the not so distance future.

  20. #20
    Join Date
    Jun 2009
    Posts
    187

    Default

    Quote Originally Posted by blackswan
    true ...

    unfortunately .. you ask any man in the street now why he/she is buying ,. bet they will tell you "bank interest rate so low, leave my money there also earn nothing, " .... they probably heard that from agents ..

    we cant fight the herd instinct thats so deeply rooted in singaporeans ..
    This will turn out to be the stupidest reason to buy a property in the not so distance future.[/quote]

    VERY VERY TURE....I rather put the money in bank with little interest than to be a sucker to buy so expensive property now.

    Market Sentiment Vs Real Market.....I will trust Real Market...safer...

  21. #21
    Join Date
    Feb 2009
    Posts
    5,837

    Default

    Quote Originally Posted by Honesty
    This will turn out to be the stupidest reason to buy a property in the not so distance future.
    VERY VERY TURE....I rather put the money in bank with little interest than to be a sucker to buy so expensive property now.

    Market Sentiment Vs Real Market.....I will trust Real Market...safer...[/quote]

    also with so many people buying properties and taking loans .. soon bank rates will be higher ...

  22. #22
    Join Date
    Jun 2009
    Posts
    136

    Default

    indeed very stressed....by whether to cash out at S$500k profit or wait a bit longer...



    Quote Originally Posted by proud owner
    there will always be another boat .. smaller, slower .. but will reach the destination somehow ..

    dont forget ..property is cyclical ...

    why rush and stress out ? ...

  23. #23
    Join Date
    Jun 2009
    Posts
    136

    Default

    a lot of people who think like you are rushing in like mad dogs now...some of these people have been NATOing for close to one year and now suddenly join in the mad rush.

    some of them are also like you...able to see the future...



    Quote Originally Posted by Honesty
    Ya, you are right, there are so many units for sales in the newspaper and prices are so much better than the new launches.

    No need to wait so long for price correction, by this year end you can find alot of good buy and be spoiled for choice.

    There will be more than 6,000 new units ready for TOP. Imagine, without this number there are already so many units for sales in the ST, so don't rush.

Similar Threads

  1. Replies: 0
    -: 12-07-18, 19:34
  2. Govt scales back land sales in tepid market
    By reporter2 in forum Singapore Private Condominium Property Discussion and News
    Replies: 0
    -: 11-12-14, 16:31
  3. Two collective sales hit the market
    By reporter2 in forum En Bloc Discussion and News
    Replies: 2
    -: 02-05-12, 14:46
  4. Slew of collective sales hits the market
    By reporter2 in forum En Bloc Discussion and News
    Replies: 1
    -: 12-01-12, 17:21
  5. Property investment sales slow to a trickle
    By mr funny in forum En Bloc Discussion and News
    Replies: 0
    -: 13-12-08, 20:47

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •