15th March, Friday
Residential
Any fresh HDB curbs will affect new buyers only: Khaw Source: Business Times National Development Minister Khaw Boon Wan Thursday gave the assurance that any fresh curbs that would be introduced to make public housing more affordable - including disallowing the reselling of HDB flats on the open market - would apply only to new buyers, not existing flat owners. The clarification came after earlier mention of such possible curbs last week unnerved the market and drove property stocks down, as many buyers of private homes are HDB upgraders. Keppel Land, Wing Tai Holdings and City Developments have fallen 2-3.8 per cent while CapitaLand has lost 4.8 per cent. The clarification was welcomed by analysts, who said it put things in perspective and ensured fairness for prior flat buyers and existing owners. Still, for those that could be affected, the loss of the option of selling one's flat on the open market amounts to the loss of its status as a tradable asset. As one analyst put it, buying such homes would almost be like "renting from HDB". He said: "Buyers will no longer view HDB flats as a store of wealth, which is a fundamental shift from now, when people view their homes as an asset." DWG's senior manager Lee Sze Teck pointed out that two groups of home owners may also emerge from such a situation: those who can benefit from the property market cycle to earn a profit tidy enough to upgrade; and those who find themselves stuck midway up the housing ladder, unable to take part in the same wealth creation because of their restriction- laden homes. "This is not healthy because of the wealth gap it creates," he said. Many other questions about the proposed restrictions remain, such as the proportion of upcoming flats which could be affected; the impact of shorter leases on the availability of bank financing; and by how much monthly instalments could rise. But nothing appears to be cast in stone. Mr Khaw said he intends to invite flat owners to join in "Our Singapore Conversation" sessions to voice their concerns on housing policies. If flat owners who form the vast majority remain silent, discussion on housing policies may get wrongly skewed."
Links to the story: http://www.businesstimes.com.sg/print/495453 http://www.straitstimes.com/st/print/908427 http://www.todayonline.com/print/87926 http://www.channelnewsasia.com/stories/singaporelocalnews/print/1259887/1/.html
D'Nest condo to launch preview sales Source: Channelnewsasia A new condominium, D'Nest, located at Pasir Ris Grove will be launched for preview sales on Friday. The 912-unit project is jointly developed by City Development Limited (CDL), Hong Leong Holdings and Hong Realty. In a statement, CDL said it is planning to sell the units at an average price of S$990 per sq ft. However, it will be offering an early bird discount of 7 per cent on the launch price in view of the Additional Buyer's Stamp Duty which some buyers have to pay. That will bring the selling price down to S$920 per square foot. Some analysts said it appears that the latest set of cooling measures, which kicked in on January 12 this year, has had some effect in moderating launch prices. Lee Sze Teck, senior manager of Research & Consultancy at Dennis Wee Group, said: "Price-wise, compared to some other launches in the Pasir Ris area, it seems quite attractive... I think there could be strong demand, mostly from HDB upgraders." Another analyst said: "Prices of uncompleted condo projects in Pasir Ris range between S$956 psf and S$1,000 psf. So S$920 psf for D'Nest appears reasonable. "At S$920 psf, I believe the developer will be able to move units. But if the price moves closer to S$1,000, then demand might taper. The developer also has to bear in mind that there are likely to be two new condo developments coming up in Pasir Ris in the second quarter of the year, so there could be some competition." D'Nest, a 99-year leasehold development, is located near the Pasir Ris MRT station.
Link to the story: http://www.channelnewsasia.com/stories/singaporebusinessnews/print/1259992/1/.html
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