singapore property weekly issue 166

8/12/2019 Singapore Property Weekly Issue 166

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Issue 166Copyright 2011-2014 www.Propwise.sg. All Rights Reserved.
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CONTENTS

p2 Top 5 Factors that Constitute a

"Good Location" Property

p5 Singapore Property News This Week

p12 Resale Property Transactions

(July 9 July 15 )

Welcome to the 166th edition of the

Singapore Property Weekly.

Hope you like it!

Mr. Propwise

FROM THE

EDITOR
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SINGAPORE PROPERTY WEEKLY Issue 166

Page | 2Back to Contents

By SG Proptalk (guest contributor)

Someone asked us what we consider as

good locations when buying property in

Singapore. Below is our list of the top 5

factors that make a good location.

1. Located in Districts 9, 10 and possibly11

Although prices are rather stagnant right now,

properties in these districts tend to maintain

their values better especially during the down

cycle.

2. Within 1 km of popular primary schools

This is a tried and tested formula, especially

for those without any affiliation with the school

Top 5 Factors that Constitute a "Good Location" Property


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if you have to depend on the shuttle bus.

Should you decide to walk the distance out to

the main road, you will probably be drenched

(either with sweat or rain) by the time you get

there.

The above are just our humble opinion as

always we can all agree to disagree (if

necessary). Please feel free to add to our list!

By The Folks @ SG Proptalk, a blog and

forum on buying Singapore property.
http://sgproptalk.blogspot.sg/http://propertymarketinsights.com/http://sgproptalk.blogspot.sg/http://sgproptalk.blogspot.sg/http://sgproptalk.blogspot.sg/http://sgproptalk.blogspot.sg/http://sgproptalk.blogspot.sg/http://sgproptalk.blogspot.sg/http://sgproptalk.blogspot.sg/http://sgproptalk.blogspot.sg/http://sgproptalk.blogspot.sg/


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Singapore Property This Week


Residential

N ew r u li n g: H DB f lat s el ler s w i ll h av e

m o r e t i m e t o m o v e o u t o f f l a t s

To provide HDB flat sellers more time to

move out of their sold flats, the Housing &

Development Board (HDB) has eased current

rules. Previously, flat sellers need to vacate

their sold flats once the resale transaction

was completed. However, with the revised

ruling, flat sellers may stay in their sold flats

for up to three months. Under the new ruling,

flat sellers may request for a temporary

extension of their stay if they have already

been committed to buy a completed house.

Since a temporary extension will affect the

flat buyersminimum occupation period, any

request for an extension have to be

submitted to HDB. Nonetheless, flat buyers

and sellers may privately negotiate the details

of the extension. According to HDB, this will

help about 2,700 household a year to transit

into their new homes. Khaw Boon Wan,

Ministry for National Development said that

this may encourage more flat owners to sell

their flats. However, Mohd Ismail CEO of

PropNex Realty believes that this ruling is

unlikely to affect HDB resale prices.

(Source: Business Times)


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N u m b e r o f p r i v a t e h o m e s s o l d i n Q 2 u p b y

37.1%

According to DTZ, data from URA Realis

caveats database showed that 3,369 private

homes were transacted in Q2. This was a

37.1 per cent quarter-on-quarter jump in the

total number of private homes that were sold

in Q2 2014. Besides that, the resale market

for private homes has also perked up as the

number of private home units sold increasedfrom 386 units to 1,328 units in Q2. New

sales made by developers also increased by

36.8 per cent to 1,898 units. Up by 11.3 per

cent from Q1, 143 units were also transacted

in the subsale market in Q2. The data also

showed that buyers interest in the propertymarket has been increasing. In Q2, there was

a 45 per cent quarter-on-quarter increase in

the number of homes purchased by

Singaporeans. The number of homes

purchased by Singapore permanent residents

have also rose by 24 per cent and non-PR

foreigners have purchased 260 units in Q2.

Nonetheless, Lee Lay Keng from DTZ said

that due to the Total Debt Servicing Ratio

(TDSR) scheme, the overall transactions

made in H1 this year, compared to H1 last

year, is still lower.


Q2 URAs p r iv at e h o m e p r ic e i n d ex s l ip s

1%

Following a 1.3 per cent dip in the private

home price index in Q1, the price index has

fallen by another 1 per cent in Q2, according

to the Urban Redevelopment Authority (URA).

However, the total transactions for private

homes has risen 46.4 per cent from Q1 to

Q2. Nonetheless, the price index in Q2 this

year is still 2.8 per cent lower than the price

SINGAPORE PROPERTY WEEKLY I 166


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index in Q2 2013.On the other hand, HDB

resale flat price index has slipped 4 per cent

in Q2 while the number of resale applications

made for HDB flats rose by 16.1 per cent in

Q2, from the previous quarter. Market expertsbelieve that the release of more Build-To-

Order flats and the Sale of Balance Flats will

continue to shrink the market for resale HDB

flats. Eugene Lim from ERA Realty believes

that property prices are likely to fall as the

Total Debt Servicing Ratio framework is not

lifted. He also predicts that transaction

volumes will remain low. Property experts

have predicted that the full-year drop for the

HDB index to be between 4 to 8 per cent, and

they expect the URA index to fall between 5

to 8 per cent.


M A S n o t r e ad y t o e a s e c o o l i n g m e as u r e s

While property prices are softening, the

Monetary Authority of Singapore (MAS) said

that it will not ease property cooling measures

as property prices are still high. According to

Ravi Menon, MAS managing director, over

the last three quarters, property prices have

fallen by 3.3 per cent. However, over the last

four years, prices have also climbed by 60

per cent. Ravi Menon said that if the coolingmeasures are relaxed, property prices may

shoot up once again as the global interest

rates have been kept low. According to MAS,

the number over-leveraged households, who

have total debt servicing payments that

exceed 60 per cent of their monthly income,to the number of property purchases has not

changed since last year.

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Thus in order for the market to stabilise, MAS

believes that it is too premature to relax

current cooling measures.


K h eam H oc k G ar d en s l au n c hed f or en

b l o c s a l e

A 41,245 square feet private residential

development located at Kheam Hock Road

has been put up for en bloc sale at $1,430

per square foot or $59 million. The freehold

site which comprises of 19 apartments has a

gross plot ratio of 1.05 and a gross floor area

of 43,300 square feet. The site, which is

within walking distance from Botanic Gardens

MRT Station, can yield up to 25 strata terrace

units. The tender for Kheam Hock Gardens

will close on September 15.


Commercial

URAs Q 2 g r o w t h i n o f f ic e r e n t al s h i g h e s t

in 3 y ears

Among all commercial property rentals, themarket for office rentals has been the most

optimistic. To date, this years office rents

have been up 5.2 per cent, which is higher

than last years1.3 per cent full-year growth.

URA data showed that office rentals have

risen 2.8 per cent in Q2 this year, which is thehighest quarterly growth in three years.

Furthermore, market experts expect the

market for office rentals to continue

increasing. As office space supply remains

limited, market experts predict that Grade A

office rents at the Central Business Districtwill increase by another 7 to 15 per cent for

the rest of the year. Office rentals in the

Downtown Core and the Orchard Planning



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Area have also jumped by 3.2 per cent

quarter-on-quarter in Q2 this year to a

median price of $10.03 per square foot a

month. Yet, prices of office space have

remained unchanged in Q2. Desmond Simfrom CBRE said that the sale of office space

is not as affected by land supply as it is

affected by the level of investments. As such,

office prices may have remained unchanged

as transactions in Q2 were made at market

value. On the other hand, Chia Siew Chuin

believes that the Total Debt Servicing Ratio

could have affected the market for office

space and hence its price.


Telok Ayer shophouse asking f or $20-22m

Located at No. 25 Boon Tat Street, near Telok

Ayer MRT station, a 999-year leasehold

shophouse is on sale for $20-22 million. The

shophouse, which is within the Chinatown-

Telok Ayer Conservation Area, is currently

undergoing renovation works and will be

completed in September this year. The 1,774

square feet land area has a gross floor areaof 4,555 square feet and an internal lift. Its

first and second storeys, along with its roof

terrace, have been approved for restaurant

use while its third storey has been zoned for

office use. The expression of interest for this

shophouse will cease on August 21.


J T C I nd u s t ri al l an d p r ic es u p b y 0.7 p er

c e n t

According to JTC, prices of industrial land

space have increased by 0.7 per cent since

Q1 this year. However, prices rose 3.9 per

cent year-on-year in Q2 this year. This was

lower than the average growth



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of 18.8 per cent over the last four years. On

the other hand, rentals have slipped by 0.1

per cent in Q2, following a 0.4 per cent

increase in Q1. The year-on-year growth in

rentals is also less than the annual averagegrowth of 10.2 per cent in the last four years.

Alan Cheong from Savills Singapore believes

that JTCsprice index is unable to reflect the

price differences between land spaces of

different lengths of tenures. As such Cheong

said that the index may not be the bestreflection of the market. Instead, she believes

that occupancy rates should be used to

determine the robustness of the market.

According to Chia Siew Chuin from Colliers,

multiple-user factories have seen a fall in

occupancy to 87.3 per cent in Q2, which is

the lowest occupancy rate in seven years.

According to Chia, this could be due to more

stringent rules on the permissible use of

factories. Also, JTCsnew policy that restricts

the amount of space that could be sub-let

could also have impacted occupancy rates.


D e v e l o p e r s l e s s o p t i m i s t i c a b o u t p r o p e r t y

m a r k e t

In the next half of the year, developers are

less optimistic about the property market.

According to the NUS-Redas Real Estate

Sentiment Index Survey, there was a fall in

the Future Sentiment Index from 3.9 in Q1 to

3.4 in Q2. The Current Sentiment Index has

also fallen by 0.1 in Q2 from the previous

quarter. According to the survey, developers

may be wary of the rising cost of construction,

inflation and interest rates. Survey

respondents were also cautious of the excess

supply of new property launches.



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Thus, a majority of the developers have

expected unit prices to be moderately less,

especially in the prime and suburban

residential areas. Nonetheless, the survey

showed that developers were most optimisticabout the market for office space.


http://www.moneymatters.sg/


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Non-Landed Residential Resale Property Transactions for the Week of Jul 9 Jul 15

Postal

DistrictProject Name

Area

(sqft)

Transacted

Price ($)

Price

($ psf)Tenure

4 CARIBBEAN AT KEPPEL BAY 1,324 1,880,000 1,420 99

4 THE PEARL @ MOUNT FABER 1,356 1,520,000 1,121 99

5 THE INFINITI 1,561 1,500,000 961 FH

5 BUONA LODGE 1,647 1,580,000 959 FH

5 THE INFINITI 1,259 1,140,000 905 FH

8 CITYLIGHTS 893 1,333,000 1,492 99

9 HELIOS RESIDENCES 1,916 4,900,000 2,557 FH

9 NEWTON EDGE 915 1,450,000 1,585 FH

9 WATERFORD RESIDENCE 1,399 2,050,000 1,465 999

9 EURO-ASIA COURT 1,066 1,530,000 1,436 FH

10 ST MARTIN RESIDENCE 2,142 4,650,000 2 ,171 FH

10 VERDURE 1,421 2,650,000 1,865 FH

10 WATERFALL GARDENS 1,830 2,980,000 1,629 FH

10 MILL POINT 915 1,490,000 1,629 999

10 GLENTREES 1,991 2,757,000 1,384 999

10 QUINTERRA 1,787 2,400,000 1,343 99

11 THOMSON 800 1,421 1,738,000 1,223 FH

11 HILLCREST ARCADIA 915 980,000 1,071 99

12 THE INTERWEAVE 344 580,000 1,684 FH

12 TRELLIS TOWERS 549 850,000 1,548 FH

12 DOMUS 3,111 2,551,020 820 FH

14 LA BRISA 452 640,000 1,416 FH

14 WINDY HEIGHTS 2,476 2,280,000 921 FH

15 THE MAKENA 1,615 2,120,000 1,313 FH

15 DUNMAN VIEW 1,216 1,250,000 1,028 99

Postal

DistrictProject Name

Area

(sqft)

Transacted

Price ($)

Price

($ psf)Tenure

15 BUTTERWORTH VIEW 1,216 1,250,000 1,028 FH

15 THE AZZURO 1,098 1,120,000 1,020 FH

16 PARBURY HILL CONDOMINIUM 1,496 1,680,000 1,123 FH

16 TANAMERA CREST 1,195 1,050,000 879 99

17 FERRARIA PARK CONDOMINIUM 1,324 1,210,000 914 FH

17 CARISSA PARK CONDOMINIUM 1,238 1,040,000 840 FH

18 WATERVIEW 926 1,050,000 1,134 99

18 DOUBLE BAY RESIDENCES 1,313 1 ,480,000 1,127 99

18 TROPICAL SPRING 1,066 990,000 929 99

19 THE SCALA 829 1,240,000 1,496 99

19 REGENTVILLE 1,152 935,000 812 99

20 MARYMOUNT VIEW 883 1,100,000 1,246 FH

21 SYMPHONY HEIGHTS 926 1,100,000 1,188 FH

21 CLEMENTI PARK 2,045 2,200,000 1,076 FH

21 BUKIT REGENCY 1,421 1,520,000 1,070 FH

21 PANDAN VALLEY 3,122 3,150,000 1,009 FH

22 THE LAKEFRONT RESIDENCES 484 745,000 1,538 99

23 THE WARREN 1,227 1,040,000 848 99

23 PALM GARDENS 1,206 916,000 760 99

23 REGENT GROVE 1,163 868,888 747 99

25 PARC ROSEWOOD 431 580,000 1,347 99

25 CASABLANCA 893 800,000 895 99

26 MEADOWS @ PEIRCE 635 8 60,000 1,354 FH

NOTE: This data only covers non-landed residential resale propertytransactions with caveats lodged with the Singapore Land Authority.Typically, caveats are lodged at least 2-3 weeks after a purchasersigns an OTP, hence the lagged nature of the data.

singapore property weekly issue 166

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