Page 1 of 3 123 LastLast
Results 1 to 30 of 66

Thread: Terrace prices are king among landed homes

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

    Default Terrace prices are king among landed homes

    http://www.businesstimes.com.sg/sub/...65701,00.html?

    Published December 29, 2009

    Terrace prices are king among landed homes

    For 4 years running their prices have been most resilient, Credo study finds

    By KALPANA RASHIWALA


    (SINGAPORE) Landed home prices have largely continued to rise this year in the five most popular districts despite price fatigue setting in for condominiums and apartments.

    A caveats analysis by Credo Real Estate, covering a four-year period from when the residential property market first stirred to life in 2006, shows that prices of terrace houses have been the most resilient over the past four years, rising by over 50 per cent in some areas.

    More than semi-detached houses and bungalows, the average per square foot price of terrace houses has risen consistently between 2006 and 2009 in the five most popular districts.

    The most sought-after landed housing location is District 19, followed by Districts 15, 28, 20 and 10.

    Credo's study does not include the Good Class Bungalow Areas (GCBAs) and Sentosa Cove (which are the more exclusive landed housing locations in Singapore), and strata landed homes. The latter are a hybrid housing form with shared condo-type facilities like swimming pool and tennis courts, and are usually built more intensively than conventional landed housing.

    While terrace home prices have fared relatively better than semi-Ds and bungalows, landed home prices on the whole have also appreciated steadily between 2006 and 2009 in the five districts. 'For most districts and sub-classifications of landed, we are at the all-time peak in terms of prices,' says Credo's managing director Karamjit Singh.

    In most instances, price gains were achieved last year despite the general property downturn.

    Agents attribute this resilience to the relatively limited supply and stock of landed homes.

    'There's a very strong desire on the part of many Singaporean households to upgrade to landed property, which is regarded as an emotionally satisfying form of housing to own because you actually own something very tangible on the ground rather than in the air,' says Credo's Mr Singh.

    The government's promotion of larger families - with three or more children - has also set more parents thinking about the need for bigger homes with at least four bedrooms.

    'Many times you'll find terrace houses offer better value than large apartments and condos. A 2,000 sq ft 4-plus-1, brand-new freehold condo in Katong might cost $2.4 million. But you can probably buy an intermediate terrace for about $2 million and have a bigger gross floor area of 2,500 sq ft, with saleable area inclusive of car porches possibly exceeding 3,000 sq ft. And you could have as many as five bedrooms,' Mr Singh says.

    He also points out that landed housing is an asset class that is predominantly bought and sold by Singaporeans rather than foreigners - which accounts for why landed 'has always been like a steady ship, less volatile than high-end condos in particular'.

    Knight Frank chairman Tan Tiong Cheng reckons, however, that new citizens could also be potential buyers. 'A lot of new citizens also like landed homes, once they realise security is not an issue in Singapore,' he said.

    Terrace houses, which form the bulk of landed housing stock here, made up the lion's share or nearly 60 per cent of the total 1,552 caveats lodged for landed homes in 2009 in the five hot spots.

    In the most popular location of District 19 (which includes Serangoon Gardens and Yio Chu Kang), the average price of terrace houses has risen from $409 psf of land area in 2006 to $586 psf this year - an increase of 43.3 per cent.

    In the second most sought after locale, District 15 (covering Katong, Opera Estate, Mountbatten and Joo Chiat), the average terrace home price has appreciated 51.8 per cent, from $475 psf in 2006 to $721 psf this year. Average terrace house prices in 2009 are at an all-time high in four of the five districts, and close to the record level in the fifth district.

    Bucking the overall uptrend in bungalow and semi-detached home prices last year, the average detached home price in District 15 fell 23.1 per cent to $635 psf in 2008 from $826 psf in 2007. 'District 15 detached houses benefited from that wave of buying we saw for luxury condos in 2007. But they also shared a similar fate when prices later fell in 2008,' says Mr Singh.

    District 28 includes Seletar Hills Estate, Luxus Hill and the Mimosa and Saraca areas; District 20 covers Jalan Pemimpin, Sembawang Hills Estate, Thomson Ridge Estate and Soo Chow Gardens; while District 10 includes the Bukit Timah and Holland Road areas.

    The five hot spots account for 54.2 per cent of total caveats lodged this year for landed homes in Singapore, excluding GCBAs, Sentosa Cove and strata landed properties.

    Overall, the 1,552 caveats lodged for landed homes in the five districts this year is about 65 per cent higher than last year's figure, but still below the 2,516 caveats lodged in 2007.

    More than 90 per cent of landed homes transacted this year in Singapore (excluding GCBAs, Sentosa Cove and strata landed homes) were in the secondary market - which is not surprising given the dearth of new project launches in the primary market.

    For the year ahead, Knight Frank's Mr Tan reckons the outlook for landed home prices remains strong, 'just like the recovery in 2009 - and more so than condos'.

    He reasoned: 'Not only is supply limited but also static. It's more difficult to create landed housing stock; when government sells land, it wants to maximise value especially if it's near MRT stations. Hence the tendency to award higher plot ratios and these can't be maximised by doing landed housing.'

    Mr Singh, too, is upbeat about prospects for landed homes as long as the economy continues to grow. 'Landed is dependent on Singaporeans at large feeling richer and confident about their earnings prospects. It has also got to do with the other forms of wealth creation taking place, like people becoming IPO-rich, or en bloc-rich,' he says.


  2. #2
    Join Date
    Apr 2008
    Posts
    1,286

    Default

    Landed home owners are shining examples of people who have strong faith in the Propertism religion - the belief that property prices will always go up in the long term, simply because cash will lose its value.

    This is unlike some idiotic condo owners, whose fire sales made me lose my appetite during early 2009.

    Look at the three graphs above posted by mr funny. Landed prices continued to climb steadily throughout the Lehman crisis.

    I wish to congratulate all fellow landed home owners for their strong faith in Propertism. When the market was bad, they just hanged on their properties and did not panic. Look at the sales chart below. Sales almost came to a halt in February 2009 while prices continued to rise!



    This is a shining example of the behaviour of the true believers of Propertism. Landed home owners will go to Property Heaven.

    On the other hand, some idiotic condo owners fire-sold their properties in early 2009, causing my condos' transacted prices to plunge as much as 32% and made me lose my appetite.

    My chicken rice, which was supposed to look nice and delicious like this:



    ended up looking like this:



    It would have looked worse if not for my constant prayers and strong faith in Propertism.

    Today, prices have popped back up again so they must be kicking themselves now. Serve them right!

    For no rhyme or reason, these idiots caused me to lose my appetite for a few months after the Lehman crisis, and what more, brought misery to themselves.

    They have gone to Property Hell, a place they rightly belong.

  3. #3
    Join Date
    Jun 2009
    Posts
    128

    Default

    Quote Originally Posted by jlrx


    Ehhh what is this?

    Anyway, the fire-sales are mainly in the hotly speculative condo developments. Few speculate so wildly with landed properties.

  4. #4
    Join Date
    Apr 2008
    Posts
    1,286

    Default

    Quote Originally Posted by echotrain
    Quote Originally Posted by jlrx
    Ehhh what is this?
    This is the least disgusting image from Google when I searched for "Poo".

  5. #5
    Join Date
    Apr 2009
    Posts
    5,841

    Default

    What is all this nonsense about propertism religion? Have you ever considered that people sell properties because they need to sell it for a million and one reasons? Not everybody buy or sell to make money and neither would people who need to buy or sell want to lose money, so would they care about propertism?


    Quote Originally Posted by jlrx
    Landed home owners are shining examples of people who have strong faith in the Propertism religion - the belief that property prices will always go up in the long term, simply because cash will lose its value.

    This is unlike some idiotic condo owners, whose fire sales made me lose my appetite during early 2009.

    Look at the three graphs above posted by mr funny. Landed prices continued to climb steadily throughout the Lehman crisis.

    I wish to congratulate all fellow landed home owners for their strong faith in Propertism. When the market was bad, they just hanged on their properties and did not panic. Look at the sales chart below. Sales almost came to a halt in February 2009 while prices continued to rise!



    This is a shining example of the behaviour of the true believers of Propertism. Landed home owners will go to Property Heaven.

    On the other hand, some idiotic condo owners fire-sold their properties in early 2009, causing my condos' transacted prices to plunge as much as 32% and made me lose my appetite.

    My chicken rice, which was supposed to look nice and delicious like this:



    ended up looking like this:



    It would have looked worse if not for my constant prayers and strong faith in Propertism.

    Today, prices have popped back up again so they must be kicking themselves now. Serve them right!

    For no rhyme or reason, these idiots caused me to lose my appetite for a few months after the Lehman crisis, and what more, brought misery to themselves.

    They have gone to Property Hell, a place they rightly belong.

  6. #6
    Join Date
    Apr 2008
    Posts
    1,286

    Default

    Quote Originally Posted by Regulators
    What is all this nonsense about propertism religion? Have you ever considered that people sell properties because they need to sell it for a million and one reasons? Not everybody buy or sell to make money and neither would people who need to buy or sell want to lose money, so would they care about propertism?
    It's neither necessary to convince every single person, nor a million and one persons, that property prices will always go up in the long term.

    All that is needed is a critical mass of believers in our Propertism religion.

    We still need a few people to sell their houses to set higher and higher record prices (for Reporter to report ), so that the rest, who are holding on to their properties, can feel good and eat our delicious chicken rice with a good appetite.

    Landed housing and Jakarta, by nature, have a very high percentage of Propertism believers who hold on tightly to their properties. The graphs above which show landed housing prices edging up despite the full force of the Lehman Hurricane, while transactions grinded almost to a halt, demonstrated the extreme calm and prowess of landed home owners, which made me feel very proud.

    Now I am trying to tell all condo owners that, since property prices will always go up in the long term, why should they sell at a low price and make their neighbours lose their appetite? and then later lose their own appetite when property prices bounce back up, as eventually they will, sooner or later.

    Why do they want to hurt their neighbours, and also hurt themselves?

    Imagine a world where every condo owner holds on tightly to his properties and not sell (except maybe one or two sellers to set record prices for Reporter to report), property prices will shoot up through the roof and all property owners (e.g. Property_Owner who has 40+ properties) will feel very good and have a good appetite everyday.

    Speaking of Property_Owner, haven't seen him in this forum ever since he said he was going on holiday. Wonder who is helping him to manage his 40+ properties? Did he engage Reporter, who offered his services?

  7. #7
    Join Date
    Feb 2009
    Posts
    5,837

    Default

    Quote Originally Posted by jlrx
    It's neither necessary to convince every single person, nor a million and one persons, that property prices will always go up in the long term.

    All that is needed is a critical mass of believers in our Propertism religion.

    We still need a few people to sell their houses to set higher and higher record prices (for Reporter to report ), so that the rest, who are holding on to their properties, can feel good and eat our delicious chicken rice with a good appetite.

    Landed housing and Jakarta, by nature, have a very high percentage of Propertism believers who hold on tightly to their properties. The graphs above which show landed housing prices edging up despite the full force of the Lehman Hurricane, while transactions grinded almost to a halt, demonstrated the extreme calm and prowess of landed home owners, which made me feel very proud.

    Now I am trying to tell all condo owners that, since property prices will always go up in the long term, why should they sell at a low price and make their neighbours lose their appetite? and then later lose their own appetite when property prices bounce back up, as eventually they will, sooner or later.

    Why do they want to hurt their neighbours, and also hurt themselves?

    Imagine a world where every condo owner holds on tightly to his properties and not sell (except maybe one or two sellers to set record prices for Reporter to report), property prices will shoot up through the roof and all property owners (e.g. Property_Owner who has 40+ properties) will feel very good and have a good appetite everyday.

    Speaking of Property_Owner, haven't seen him in this forum ever since he said he was going on holiday. Wonder who is helping him to manage his 40+ properties? Did he engage Reporter, who offered his services?
    just a question :

    If everyone believes in propertism .. and hold their portfolio till they go heaven ..

    and if no one sells ? how do we 'realise' new high ?

    if no one sells, price will stagnate at the last transacted price ..
    then how to even 'mark to market' when there is no market ?

  8. #8
    Join Date
    Apr 2008
    Posts
    1,286

    Default

    Quote Originally Posted by proud owner
    just a question :

    If everyone believes in propertism .. and hold their portfolio till they go heaven ..

    and if no one sells ? how do we 'realise' new high ?

    if no one sells, price will stagnate at the last transacted price ..
    then how to even 'mark to market' when there is no market ?
    For the answer to your question, please refer to my previous posts, which are reproduced below (see the highlighted words):

    Quote Originally Posted by jlrx
    It's neither necessary to convince every single person, nor a million and one persons, that property prices will always go up in the long term.

    All that is needed is a critical mass of believers in our Propertism religion.

    We still need a few people to sell their houses to set higher and higher record prices (for Reporter to report ), so that the rest, who are holding on to their properties, can feel good and eat our delicious chicken rice with a good appetite.
    Quote Originally Posted by jlrx
    Quote Originally Posted by Reporter
    Sell flat for $300,000 profit? No way!
    Out of 60 residents polled, 58 say they are staying put in popular HDB estate
    Desmond Ng
    The New Paper
    Thursday, 7 January 2010
    Propertism has spread to the heartland!

    Now everyone is beginning to believe in the Propertism religion and realises that properties should only be bought, and not sold.

    58 out of 60 is 97% !!!

    It would be good if the number is 59 out of 60.

    The target of Propertism is not 100%. We need one person to sell, so as to set a benchmark.

    The one who sells will have no competitive sellers, but lots of buyers.

    All we need is to close one HDB flat at $ 1.88 million, and immediately evey HDB dweller in Singapore will feel very rich.

    Everyone else just hangs on to his flat forever, and feel rich.

    That is the Nirvana of Propertism Heaven.

  9. #9
    Join Date
    Apr 2009
    Posts
    5,841

    Default

    I think jlrx is saying that with no one selling and supply shrinks, prices will be forced upwards due to lack of supply. This theory is only applicable if market prices are not erratic and 99yr properties have the most erratic prices. 99yr ptys fluctuate the most in prices and the window to make money is in the first 1 to 9 years and after that, prices depreciate with age. If 99yr pty owners subscribe to propertism, they would have missed the boat many times over in the crucial years. I dont see 99yr condo prices appreciating with time unless the location is superb and there are only 2 or 3 developments in that prime location.

    Quote Originally Posted by proud owner
    just a question :

    If everyone believes in propertism .. and hold their portfolio till they go heaven ..

    and if no one sells ? how do we 'realise' new high ?

    if no one sells, price will stagnate at the last transacted price ..
    then how to even 'mark to market' when there is no market ?

  10. #10
    Join Date
    Jul 2009
    Posts
    1,036

    Default

    Quote Originally Posted by jlrx
    For the answer to your question, please refer to my previous posts, which are reproduced below (see the highlighted words):
    Just a question.....Does your propertism mean that buying property is irregardless of what price? what location? freehold or leasehold? Since property will appreciate in value in long term, there is no such thing as "miss the boat" right? So buying property must be........ you see it you like it you buy!! don wait!!

  11. #11
    Join Date
    Apr 2008
    Posts
    1,286

    Default

    Quote Originally Posted by Regulators
    99yr ptys fluctuate the most in prices and the window to make money is in the first 1 to 9 years and after that, prices depreciate with age. If 99yr pty owners subscribe to propertism, they would have missed the boat many times over in the crucial years. I dont see 99yr condo prices appreciating with time unless the location is superb and there are only 2 or 3 developments in that prime location.
    I also used to look down on 99-years properties.

    However, my view has changed completely over the past few years when Farrer Court (HUDC Yucks!!!), The Sail (land so small how to enbloc?) and Sentosa Cove (isn't that a children's playground?) overtook my portfolio of freehold properties, percentage wise.

    99-years properties also appreciate with time. HDB flats are good examples.

    It couldn't be such that HDB flats appreciate with time, while 99-years condos don't. If such a situation were to happen, then over the past 40 years, we would have seen 99-years condos becoming cheaper than HDB flats island wide!

    Quote Originally Posted by jlrx
    The Straits Times

    Scenic drive

    HDB flats with great views are in hot demand.

    Tay Suan Chiang

    Sat, Jun 23, 2007



    Madam Yeo Wee Geck on her 20th-storey Marine Parade unit. She can catch the sunrise as well as enjoy the sea view from her flat.

    Mr Chris Koh, director of Dennis Wee Properties, says prices for private properties have soared over the past year due to the influx of investment from foreigners and buyers' confidence in the Singapore economy.

    And that has also boosted the demand for HDB flats in good locations and on higher floors.

    He cites the example of a five-room HDB flat in Marine Parade that has unblocked views of the sea. He says that, three years ago, it would have fetched about $350,000.

    "A year ago, it could sell for $400,000. Today, buyers are willing to pay $500,000," he says.

    But even though their flat may now fetch a higher price, some home owners are unwilling to sell.

    Housewife Yeo Wee Geck, 85, is one. The grandmother of six lives with her only daughter and their maid in a five-room HDB flat in Marine Parade. She bought the 20th-storey unit in the early 1970s for $30,000.

    She gets to watch the sun rise from her flat, as well as enjoy views of East Coast Park and the sea. "It is so breezy here. I won't move out," she says.



    Block 29 Marine Crescent. RETIREE P.R. Sharma, 81, has a view from his 20th-storey flat that many Singaporeans would envy.

    His five-room HDB point-block flat overlooks East Coast Park and the city skyline in the distance. He can even see the sea from a side window and from the bedroom and living room.

    He gets to enjoy the sunrise from his flat, watch planes land and take off from nearby Changi airport and count the number of tankers dotting the sea off East Coast Park.

    He paid $35,500 for the flat in 1974, and says he was offered about $900,000 for it nearly 20 years ago. Property agents say the current selling rate for such a flat is $500,000.

    He adds that even if he was offered $1million today, he would not sell it. He gets about three flyers a day from agents looking for sellers but he throws them in the bin without even looking at them.

  12. #12
    Join Date
    Apr 2008
    Posts
    1,286

    Default

    Quote Originally Posted by ay123
    Just a question.....Does your propertism mean that buying property is irregardless of what price? what location? freehold or leasehold? Since property will appreciate in value in long term, there is no such thing as "miss the boat" right? So buying property must be........ you see it you like it you buy!! don wait!!
    WOW ... You are a very promising Propertist!!!

    You have summed up the tenets of the Propertism religion so well!

    Yes, Propertism means:

    1. Buying property is regardless of price (as long it's the market price prevailing at that point in time).

    2. Regardless of location (the premiums have already been priced in).

    3. Freehold or leasehold (except for leaseholds where the lease is held by the developer, and not the Government, because then you are just a 99-year tenant of the developer, you are not buying a property!).

    4. Property will appreciate in value in the long term.

    5. There is no such thing as "miss the boat".

    6. Buying property must be........ you see it you like it you buy!!

    7. Don't wait!!

  13. #13
    Join Date
    Apr 2009
    Posts
    5,841

    Default

    Are you stuck with your property/properties now to preach propertism?

    Quote Originally Posted by jlrx
    WOW ... You are a very promising Propertist!!!

    You have summed up the tenets of the Propertism religion so well!

    Yes, Propertism means:

    1. Buying property is regardless of price (as long it's the market price prevailing at that point in time).

    2. Regardless of location (the premiums have already been priced in).

    3. Freehold or leasehold (except for leaseholds where the lease is held by the developer, and not the Government, because then you are just a 99-year tenant of the developer, you are not buying a property!).

    4. Property will appreciate in value in the long term.

    5. There is no such thing as "miss the boat".

    6. Buying property must be........ you see it you like it you buy!!

    7. Don't wait!!

  14. #14
    Join Date
    Apr 2009
    Posts
    5,841

    Default

    people who become propertiists are those who have no choice but to wait for a chance to offload their property at a good price which seems like never coz they keep telling themselves property is for buying and not for selling to console themselves...

  15. #15
    Join Date
    Apr 2008
    Posts
    1,286

    Default

    Quote Originally Posted by Regulators
    Are you stuck with your property/properties now to preach propertism?

    people who become propertiists are those who have no choice but to wait for a chance to offload their property at a good price which seems like never coz they keep telling themselves property is for buying and not for selling to console themselves...
    Actually, properties are good things to be "stuck with". Frankly I won't know what to do with all the cash if I were to, so called, "offload my properties".

    Read the Sunday Times interview below of a devout Propertist, Mr. Jean-Marc Jacot.

    I was very stunned when I read this because all the things he said I would also have said if the reporters had interviewed me instead!

    At first, I thought that the he was me, and I was him! Until I saw his portfolio of properties, which was worth several times mine, that I was convinced that I was not the one being interviewed. Whew!

    Keeping a watch on property deals

    Swiss watch veteran keeps very little in cash, and prefers to invest in real estate.

    By Lorna Tan, Senior Correspondent, The Sunday Times, Dec 27, 2009


    Mr Jean-Marc Jacot, global chief executive of watch maker Parmigiani

    My father advised me that the best long-term investments are in brick and mortar.

    The value of property goes up slowly but it always trends upwards due to limited space and increasing populations. In the short term, it may not be the best investment.

    My best investment to date is my house in St Tropez. I bought it 20 years ago at US$800,000 and it is now worth between US$5 million and US$6 million. The house is divided into two units, on the land area of 6,000 sq m. The kids use one unit and my wife and I, the other. We use the house several times a year.

    I have two homes in France. Besides the family home in St Tropez, I have a three-storey house in a countryside village in the centre of France. The built-up area of the latter is 200 sq m and the land area is 2,000 sq m. I bought it 16 years ago for US$500,000 and it is now worth US$2 million. I use it twice a year.

    In Geneva, Switzerland, I have eight properties that I rent out, besides the condominium that I live in. The largest rental property is a 400 sq m penthouse with a terrace. I bought it in 1997 for US$1.9 million, and it is valued at about US$3 million now. I'm renting it out for US$7,000 a month. The rest of the rental properties were bought in 1988, 2001 and 2002. They average about 150 sq m and they cost about US$7 million in all. My total rental income comes close to US$30,000.

  16. #16
    Join Date
    Oct 2009
    Posts
    81

    Default

    Quote Originally Posted by jlrx
    Actually, properties are good things to be "stuck with". Frankly I won't know what to do with all the cash if I were to, so called, "offload my properties".

    Read the Sunday Times interview below of a devout Propertist, Mr. Jean-Marc Jacot.

    I was very stunned when I read this because all the things he said I would also have said if the reporters had interviewed me instead!

    At first, I thought that the he was me, and I was him! Until I saw his portfolio of properties, which was worth several times mine, that I was convinced that I was not the one being interviewed. Whew!

    Keeping a watch on property deals

    Swiss watch veteran keeps very little in cash, and prefers to invest in real estate.

    By Lorna Tan, Senior Correspondent, The Sunday Times, Dec 27, 2009


    Mr Jean-Marc Jacot, global chief executive of watch maker Parmigiani

    My father advised me that the best long-term investments are in brick and mortar.

    The value of property goes up slowly but it always trends upwards due to limited space and increasing populations. In the short term, it may not be the best investment.

    My best investment to date is my house in St Tropez. I bought it 20 years ago at US$800,000 and it is now worth between US$5 million and US$6 million. The house is divided into two units, on the land area of 6,000 sq m. The kids use one unit and my wife and I, the other. We use the house several times a year.

    I have two homes in France. Besides the family home in St Tropez, I have a three-storey house in a countryside village in the centre of France. The built-up area of the latter is 200 sq m and the land area is 2,000 sq m. I bought it 16 years ago for US$500,000 and it is now worth US$2 million. I use it twice a year.

    In Geneva, Switzerland, I have eight properties that I rent out, besides the condominium that I live in. The largest rental property is a 400 sq m penthouse with a terrace. I bought it in 1997 for US$1.9 million, and it is valued at about US$3 million now. I'm renting it out for US$7,000 a month. The rest of the rental properties were bought in 1988, 2001 and 2002. They average about 150 sq m and they cost about US$7 million in all. My total rental income comes close to US$30,000.
    Jirx- you are a classic example of one dimension thinker , terribly sick oredi - every thing has a value which may change with time dimension.
    What may be valuable today may be valuless tommorrow !!!

    Imagine a war or nuclear holocaust or something terrible like disese occurred in any of his properties, immediately the value may go overnight to zero.

    I only believe in realism with which propertism is a minute subset of it

  17. #17
    Join Date
    Feb 2009
    Posts
    5,837

    Default

    Quote Originally Posted by jlrx
    Actually, properties are good things to be "stuck with". Frankly I won't know what to do with all the cash if I were to, so called, "offload my properties".

    Read the Sunday Times interview below of a devout Propertist, Mr. Jean-Marc Jacot.

    I was very stunned when I read this because all the things he said I would also have said if the reporters had interviewed me instead!

    At first, I thought that the he was me, and I was him! Until I saw his portfolio of properties, which was worth several times mine, that I was convinced that I was not the one being interviewed. Whew!

    Keeping a watch on property deals

    Swiss watch veteran keeps very little in cash, and prefers to invest in real estate.

    By Lorna Tan, Senior Correspondent, The Sunday Times, Dec 27, 2009


    Mr Jean-Marc Jacot, global chief executive of watch maker Parmigiani

    My father advised me that the best long-term investments are in brick and mortar.

    The value of property goes up slowly but it always trends upwards due to limited space and increasing populations. In the short term, it may not be the best investment.

    My best investment to date is my house in St Tropez. I bought it 20 years ago at US$800,000 and it is now worth between US$5 million and US$6 million. The house is divided into two units, on the land area of 6,000 sq m. The kids use one unit and my wife and I, the other. We use the house several times a year.

    I have two homes in France. Besides the family home in St Tropez, I have a three-storey house in a countryside village in the centre of France. The built-up area of the latter is 200 sq m and the land area is 2,000 sq m. I bought it 16 years ago for US$500,000 and it is now worth US$2 million. I use it twice a year.

    In Geneva, Switzerland, I have eight properties that I rent out, besides the condominium that I live in. The largest rental property is a 400 sq m penthouse with a terrace. I bought it in 1997 for US$1.9 million, and it is valued at about US$3 million now. I'm renting it out for US$7,000 a month. The rest of the rental properties were bought in 1988, 2001 and 2002. They average about 150 sq m and they cost about US$7 million in all. My total rental income comes close to US$30,000.
    to some degree i agree with your propertism ..
    BUT it is not a religion that everyone can accept faithfully

    how many people can afford to only buy and not sell ?

    all your examples are the RICH people ..

    give me some example of those poor who practise propertism

  18. #18
    Join Date
    Apr 2009
    Posts
    5,841

    Default

    Jean-Marc used the word INVESTMENT and all investments will eventually be realised into profit if not what is the point of investing? Property investors don not speak of sitting on a property forever they speak of exiting at a timne they deem is right. 1st owners of The Sail who sold to those goons at 2-3k psf have already laughed their way to the banks and those who bought at 3kpsf have nothing to talk about except propertism, get my point?


    Quote Originally Posted by jlrx
    Actually, properties are good things to be "stuck with". Frankly I won't know what to do with all the cash if I were to, so called, "offload my properties".

    Read the Sunday Times interview below of a devout Propertist, Mr. Jean-Marc Jacot.

    I was very stunned when I read this because all the things he said I would also have said if the reporters had interviewed me instead!

    At first, I thought that the he was me, and I was him! Until I saw his portfolio of properties, which was worth several times mine, that I was convinced that I was not the one being interviewed. Whew!

    Keeping a watch on property deals

    Swiss watch veteran keeps very little in cash, and prefers to invest in real estate.

    By Lorna Tan, Senior Correspondent, The Sunday Times, Dec 27, 2009


    Mr Jean-Marc Jacot, global chief executive of watch maker Parmigiani

    My father advised me that the best long-term investments are in brick and mortar.

    The value of property goes up slowly but it always trends upwards due to limited space and increasing populations. In the short term, it may not be the best investment.

    My best investment to date is my house in St Tropez. I bought it 20 years ago at US$800,000 and it is now worth between US$5 million and US$6 million. The house is divided into two units, on the land area of 6,000 sq m. The kids use one unit and my wife and I, the other. We use the house several times a year.

    I have two homes in France. Besides the family home in St Tropez, I have a three-storey house in a countryside village in the centre of France. The built-up area of the latter is 200 sq m and the land area is 2,000 sq m. I bought it 16 years ago for US$500,000 and it is now worth US$2 million. I use it twice a year.

    In Geneva, Switzerland, I have eight properties that I rent out, besides the condominium that I live in. The largest rental property is a 400 sq m penthouse with a terrace. I bought it in 1997 for US$1.9 million, and it is valued at about US$3 million now. I'm renting it out for US$7,000 a month. The rest of the rental properties were bought in 1988, 2001 and 2002. They average about 150 sq m and they cost about US$7 million in all. My total rental income comes close to US$30,000.

  19. #19
    Join Date
    Apr 2008
    Posts
    1,286

    Default

    Quote Originally Posted by The_Way_I_See_It
    Imagine a war or nuclear holocaust or something terrible like disese occurred in any of his properties, immediately the value may go overnight to zero.
    I give you an example of the most "suay" (unlucky) person who bought a property just before war broke out.

    Built in the 1920s as the home of entrepreneur and philanthropist Tan Kah Kee, the house was bought by Mr Tan Chin Tuan just before World War II broke out in 1939.




    The Business Times, 1 Jun 2007

    Tan Chin Tuan Mansion has been restored and redeveloped to include a luxury 20-storey condominium. But most of the units will only be for lease.

    Four of the 16 units will be kept by the family of the late Tan Chin Tuan.

    Based on the current benchmark price of about $2,500 psf for Suites @ Cairnhill, the remaining 12 have a market value of about $120 million.

    The property has been redeveloped by a business entity called Cairnhill Rock and Chew Gek Khim, granddaughter of Tan Chin Tuan. 'It has always been the intention of the private company to keep the entire building for sentimental and historical reasons,' she said.

    The units are large at almost 4,000 sq ft each. Rents have not been fixed. Ms Chew said they will be benchmarked to market rates. 'But we will be very selective in our choice of tenants, given the small number of units for lease and the fact that they will be living in close proximity to my family members.'

  20. #20
    Join Date
    Apr 2008
    Posts
    1,286

    Default

    Quote Originally Posted by proud owner
    to some degree i agree with your propertism ..
    BUT it is not a religion that everyone can accept faithfully

    how many people can afford to only buy and not sell ?

    all your examples are the RICH people ..

    give me some example of those poor who practise propertism
    Examples are aplenty. See below.

    The Straits Times

    Scenic drive

    HDB flats with great views are in hot demand.

    Tay Suan Chiang

    Sat, Jun 23, 2007



    Madam Yeo Wee Geck on her 20th-storey Marine Parade unit. She can catch the sunrise as well as enjoy the sea view from her flat.

    Mr Chris Koh, director of Dennis Wee Properties, says prices for private properties have soared over the past year due to the influx of investment from foreigners and buyers' confidence in the Singapore economy.

    And that has also boosted the demand for HDB flats in good locations and on higher floors.

    He cites the example of a five-room HDB flat in Marine Parade that has unblocked views of the sea. He says that, three years ago, it would have fetched about $350,000.

    "A year ago, it could sell for $400,000. Today, buyers are willing to pay $500,000," he says.

    But even though their flat may now fetch a higher price, some home owners are unwilling to sell.

    Housewife Yeo Wee Geck, 85, is one. The grandmother of six lives with her only daughter and their maid in a five-room HDB flat in Marine Parade. She bought the 20th-storey unit in the early 1970s for $30,000.

    She gets to watch the sun rise from her flat, as well as enjoy views of East Coast Park and the sea. "It is so breezy here. I won't move out," she says.



    Block 29 Marine Crescent. RETIREE P.R. Sharma, 81, has a view from his 20th-storey flat that many Singaporeans would envy.

    His five-room HDB point-block flat overlooks East Coast Park and the city skyline in the distance. He can even see the sea from a side window and from the bedroom and living room.

    He gets to enjoy the sunrise from his flat, watch planes land and take off from nearby Changi airport and count the number of tankers dotting the sea off East Coast Park.

    He paid $35,500 for the flat in 1974, and says he was offered about $900,000 for it nearly 20 years ago. Property agents say the current selling rate for such a flat is $500,000.

    He adds that even if he was offered $1million today, he would not sell it. He gets about three flyers a day from agents looking for sellers but he throws them in the bin without even looking at them.

  21. #21
    Join Date
    Apr 2008
    Posts
    1,286

    Default

    Quote Originally Posted by Regulators
    Jean-Marc used the word INVESTMENT and all investments will eventually be realised into profit if not what is the point of investing? Property investors don not speak of sitting on a property forever they speak of exiting at a timne they deem is right.
    Then you should ask Mr. Jean-Marc why he had been continuously buying properties since 22 years ago (1988), 20 years ago, 16 years ago, 13 years ago (in 1997), 2001 and 2002?

    When is he going to start selling his properties and "realise into profits"?

    The hint to this question could perhaps be found from his answer "My father advised me that the best long-term investments are in brick and mortar. "


    Wiki Answers

    best - One that surpasses all others.

  22. #22
    Join Date
    Apr 2009
    Posts
    5,841

    Default

    he will realise his profits when he needs the money, but in his case, he hardly needs it. the rich who buy multiple properties tend to make more from their businesses than selling properties so they wont usually bother selling a property if they like the properties they buy. also the rich tend to attach more feelings to the properties they hold. for normal people like you and me, a few hundred thousand dollars of gain in a property is sufficient to detach our sentiments from the brick and mortar, but that same situation has no effect on the rich who do not regard a few hundred k of gain as anything substantial...

    Quote Originally Posted by jlrx
    Then you should ask Mr. Jean-Marc why he had been continuously buying properties since 22 years ago (1988), 20 years ago, 16 years ago, 13 years ago (in 1997), 2001 and 2002?

    When is he going to start selling his properties and "realise into profits"?

    The hint to this question could perhaps be found from his answer "My father advised me that the best long-term investments are in brick and mortar. "


    Wiki Answers

    best - One that surpasses all others.

  23. #23
    Join Date
    Apr 2008
    Posts
    1,286

    Default

    Quote Originally Posted by Regulators
    he will realise his profits when he needs the money, but in his case, he hardly needs it. the rich who buy multiple properties tend to make more from their businesses than selling properties so they wont usually bother selling a property if they like the properties they buy. also the rich tend to attach more feelings to the properties they hold. for normal people like you and me, a few hundred thousand dollars of gain in a property is sufficient to detach our sentiments from the brick and mortar, but that same situation has no effect on the rich who do not regard a few hundred k of gain as anything substantial...
    This is one of the reasons why the rich get richer.

    Because they don't have the urge to take profits, they are constantly vested in the property market; and since properties have a long-term tendency to appreciate, they will get richer and richer.

    However, ordinary people like you and me do not need to despair.

    We can also behave like the rich and reap the same rewards that they reap, by believing in Propertism!!!

    As long as we have strong faith in the Propertism religion, and resist the urge to sell our properties everytime they appreciate a few hundred thousands, we can also reap the same heavenly rewards that accrue to esteemed families like the Tangs' Orchard Road goldmine; the OG Family's string of prime retail properties; Khoo Teck Puat's Goodwood Park; and Tan Chin Tuan's eponymous mansion.
    Last edited by jlrx; 15-01-10 at 03:25.

  24. #24
    Join Date
    Feb 2009
    Posts
    5,837

    Default

    Quote Originally Posted by jlrx
    This is one of the reasons why the rich get richer.

    Because they don't have the urge to take profits, they are constantly vested in the property market; and since properties have a long-term tendency to appreciate, they will get richer and richer.

    However, ordinary people like you and me do not need to despair.

    We can also behave like the rich and reap the same rewards that they reap, by believing in Propertism!!!

    As long as we have strong faith in the Propertism religion, and resist the urge to sell our properties everytime they appreciate a few hundred thousands, we can also reap the same heavenly rewards that accrue to esteemed families like the Tangs' Orchard Road goldmine; the OG Family's string of prime retail properties; Khoo Teck Puat's Goodwood Park; and Tan Chin Tuan's eponymous mansion.
    so for the not rich like us .. how to make more ?
    by holding on .. only means paper gain ..
    needs to sell to realise the profit in order to buy another right ??

  25. #25
    Join Date
    Nov 2008
    Posts
    1,393

    Default

    Quote Originally Posted by proud owner
    so for the not rich like us .. how to make more ?
    by holding on .. only means paper gain ..
    needs to sell to realise the profit in order to buy another right ??
    alternatively grow by income ratio lah - family annual nett salary : amount in property.

    A young couple 25-30 yrs old will make $100k avg, and that moves $1m. in 5 years, they should be making $200k to move $2m. buy according to leverage ratio lor

  26. #26
    xebay11 is offline New Launch Project Specialist
    Join Date
    Aug 2009
    Posts
    1,439

    Default

    Quote Originally Posted by gfoo
    alternatively grow by income ratio lah - family annual nett salary : amount in property.

    A young couple 25-30 yrs old will make $100k avg, and that moves $1m. in 5 years, they should be making $200k to move $2m. buy according to leverage ratio lor
    35 years making $200k pa.....hmm I guess only on this forum. LOL.

    This is the only forum I know where members actually mock HDB property with no impunity

  27. #27
    Join Date
    Nov 2008
    Posts
    1,393

    Default

    Quote Originally Posted by xebay11
    35 years making $200k pa.....hmm I guess only on this forum. LOL.

    This is the only forum I know where members actually mock HDB property with no impunity
    family unit lah ie hubby and wifey working, take home $200k per annum, not per month. virt all my peers in school are drawing at least that so to me that's a good benchmark

  28. #28
    xebay11 is offline New Launch Project Specialist
    Join Date
    Aug 2009
    Posts
    1,439

    Default

    Quote Originally Posted by gfoo
    family unit lah ie hubby and wifey working, take home $200k per annum, not per month. virt all my peers in school are drawing at least that so to me that's a good benchmark
    Just kidding you. LOL!

    Anyway your principle is correct, of buying based on future income is correct, my father taught me that too, but being young and relatively sheltered, I never knew that there were so many poor "I like smaller flats" peasants in Singapore, I had trouble disposing my first HDB which was an Executive Maisionette, all the Singkapooreans could only afford 4-5 room or smaller flats, so I sold below valuation......Damn.

  29. #29
    Join Date
    Jul 2009
    Posts
    1,036

    Default

    Quote Originally Posted by proud owner
    so for the not rich like us .. how to make more ?
    by holding on .. only means paper gain ..
    needs to sell to realise the profit in order to buy another right ??
    i agree......i do believe in propertism but somehow there must have a "cut-off" to realise the gain. thats the purpose of investing. if to buy and hold forever, that is not investment, is weath accumulation. Just like warren buffet who buy shares and hold forever. no doubt he is the 2nd richest man but he does not really enjoy the "rich". if buy and keep forever is the same as a man who earn $2000 per month and live happily and a man who is worth $100 million (paper worth) is also living happily. there is no different in their life.....so is really quite meaningless. so i still believe property will appreciate in long term but one should realise the gain and invest again.

  30. #30
    Join Date
    Apr 2009
    Posts
    5,841

    Default

    and just to sum up, the rich are rich because of the millions they have accumulated in their banks over the years and not in the paper gains they make from their properties. A person needs to realise the profits by selling the property for it to be called an investment (whether long or short term). If a person buys a property and lives in it till the day he dies, even if the property has quadrupled in value, it is not called investment.

Similar Threads

  1. Average psf prices of landed homes at ‘all-time high’
    By reporter2 in forum Landed Property
    Replies: 0
    -: 07-10-21, 18:54
  2. Resale prices of non-landed private homes edge up again
    By reporter2 in forum Singapore Private Condominium Property Discussion and News
    Replies: 1
    -: 18-07-16, 23:07
  3. Replies: 22
    -: 12-06-13, 17:05
  4. Up: Prices of suburban landed homes
    By land118 in forum Landed Property
    Replies: 8
    -: 12-11-12, 18:44
  5. Prices and rentals of landed homes set to rise
    By mr funny in forum Landed Property
    Replies: 1
    -: 27-03-08, 12:02

Posting Permissions

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