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Just a quick hello...

- July 25, 2016 7 Comments
Greetings from The Folks @SG PropTalk!

Just a quick note to let our readers know that the wife and I are still alive and kicking! And no, we did not stop writing because we got burnt by the property market. But given a significant change to our work commitments and the need to focus on our son whose taking his PSLE this year, we are unable to devote time to the happenings in the property market.

The wife and I do not know at this juncture when we will resume update of our blog but we do look forward to penning our next article as soon as we are ready to. Meantime, please take care and stay safe... property investment and otherwise - the world's getting crazier by the day.

Private resale up 0.1% in September: SRPI

- October 28, 2015 3 Comments

Resale prices of private homes rose last month, according to Singapore Residential Price Index (SRPI) estimates, which were released on Wednesday (Oct 28).

The SRPI, compiled by the National University of Singapore's Institute of Real Estate Studies, showed overall prices increased 0.1% in September from the previous month, when prices fell 0.7% from a month earlier.

Prices of small units, which have a floor area of 506sqf or below, led the rise with a 0.4% increase.

Prices of homes in the non-central region, excluding small units, were up 0.3% in September. Prices of home in the central region, excluding small units, declined 0.4%.
Source: CNA

September private resale volume down 10.6%: SRX

- October 13, 2015 2 Comments

The private housing market remained in the doldrums in September, with sales of non-landed units continuing to decline, according to flash estimates from SRX Property released on Tuesday (Oct 13).

A total of 446 non-landed private homes were resold last month, down 10.6% compared to the 499 units resold in August. On a year-on-year basis, resale volume was down 4.7% from the 468 units resold in September 2014.

Resale prices inched down 0.1% from August, with the fall led by units in the Rest of Central Region and Outside of Central Region, which posted price declines of 1.4% and 0.9%, respectively. In contrast, prices of units in the Core Central Region rose 2.8%  from the previous month, SRX Property said.

The median Transaction Over X-Value (TOX) for private property, which measures whether people are overpaying or underpaying SRX Property’s estimated market value, rose for the first time in six months to $1,000.

For districts with more than 10 resale transactions, District 15 (Katong, Joo Chiat, Amber Road) posted the highest median TOX of $20,000. The lowest median TOX was in District 19 (Serangoon, Hougang, Punggol), with -$5,000.
Source: CNA

Private home prices continue to slide for 8th straight quarter: URA

- October 4, 2015 1 Comment

The overall private residential property index fell for an eighth straight quarter, with prices down by 1.3% in the July to September period, compared to the 0.9% decline in the previous quarter, according to Urban Redevelopment Authority (URA) flash estimates released on Oct 1.

Prices of non-landed private residential properties declined in all market segments, the URA said. In the Core Central Region, prices fell 1.3%, higher than the 0.6% decline in the previous quarter. Prices in the Rest of Central Region fell 1.5%, compared to the 0.6% decline in the previous quarter. In the Outside Central Region, prices fell 1.6%, higher than the 1.1% decline in the previous quarter.

The flash estimates are compiled based on transaction prices given in contracts submitted for stamp duty payment and survey data on new units sold by developers during the first 10 weeks of the quarter. The statistics will be updated four weeks later when URA releases the full real estate statistics for the third quarter of 2015, which captures more data from the stamp duty records and the take-up of new projects.

"Past data have shown that the difference between the quarterly price changes indicated by the flash estimate and the actual price changes could be significant when the change is small. The public is advised to interpret the flash estimates with caution," the URA added.
Source: CNA

Everything seems to be falling these days... private home prices, the stock market and even COE. Only thing that keeps going up is the darn PSI!

Resale prices of private homes down 0.6% in August: SRPI

- September 28, 2015 No Comments

Prices of completed private apartments appear to be stabilising after months of decline, despite some ambiguous data out yesterday.
The new numbers point to a 0.6% dip in values from July to last month following stagnant pricing in June and July, according to flash estimates for the NUS Singapore Residential Price Index.
Such marginal price changes are expected and should be the case for a while, said PropNex key executive officer Lim Yong Hock.
"Many home owners are not pressured into selling as interest rates are still relatively low. There won't be many distressed sales for the time being, barring other market forces - such as expectations of an interest rate hike, or a recession, which could force some owners to sell their properties at lower prices."
Last month's dip in prices was probably due to lower volumes, given the Hungry Ghost Festival, said R'ST Research director Ong Kah Seng.
"It was also just before the general election and potential buyers may have put their decisions on hold in case there were any changes to cooling measures, or incentives to encourage home buying."
Resale transactions of central units, excluding small units, were down 23% to 114 last month, while non-central unit sales fell 23.6% to 272, he noted.
The slight price decline last month was led by completed units in the central region - Districts 1 to 4 and 9 to 11, which posted a 0.7% month-on-month drop.
But prices for this segment rose in June and July and are up about 0.2% from May.
Sale volumes also seem to be rising, said OrangeTee research manager Wong Xian Yang.
There were 986 resale apartments in the central region shifted in the first eight months of the year, up 41.3 per cent over the same period last year. "While it is a bit too early to say if prices for central units are bottoming out, there is a higher chance prices will move sideways," said Mr Wong.
He believes prices of non-central units are more likely to decline. They fell 0.5% last month, after dropping 0.7% in July.
The increasing supply of units in this area is putting pressure on rents, and vacancy rates are on the rise, said Mr Ong.
Yesterday's flash estimates also indicate that the market has some ground to make up.
The overall index is down 4%, compared with August last year, and is 10.5% below July 2013, when prices were at their highest in recent years.
Small units - up to 506sqft - are one of the brighter spots. Prices were flat last month after rising 0.5% from June to July.
The index indicates that this segment seems in better health than the three other price categories, said SLP International executive director Nicholas Mak.
It contracted 2.7% year on year - the smallest rate of decline among the four - and fell in only four out of the past 12 months, the lowest number of months of decline.
"However, the strength of the small-apartment market segment will be tested in the next two years as an increasing number of shoebox units are completed," Mr Mak said, noting that most of these homes are bought for investment.
If the inflow of foreign labour continues to be tight, the leasing market will stay soft.
"In a tenants' market where the tenants are spoilt for choice, shoebox units may not be as attractive to some tenants as housing units with two or more bedrooms," Mr Mak said.
Lower rental returns will likely hit unit prices as well.

Source: ST

Private home sales slump 69.3% in August!

- September 15, 2015 No Comments

Sales of private homes by developers slumped 69.3% last month amid a quiet market with few launches.
Excluding executive condominiums (ECs), developers sold 495 new units in August, down from the 1,611 units sold the previous month, data from the Urban Redevelopment Authority (URA) showed on Tuesday (Sep 15). Including ECs, 961 units were sold last month, down from 2,106 units in July.
Excluding ECs, 598 units were launched in August, down from the 1,468 units launched in the previous month. Including ECs, 1,305 units were launched, down from July’s 2,623 units.

Source: CNA

Three-month Sibor has hit 7-year high!

- September 14, 2015 No Comments

Singapore’s key mortgage benchmark jumped to a seven-year high on Monday (Sep 14), ahead of a Federal Reserve meeting later this week that could mark the start of US interest rate hikes.

The three-month Singapore Interbank Offered Rate (Sibor) rose to 1.13100%, up from 1.07483% on Thursday, according to latest data from the Association of Banks in Singapore. Monday’s level was the highest since 2008.

Many variable mortgage plans have interest rates linked to Sibor. For instance, Oversea-Chinese Banking Corporation currently offers home loans at three-month Sibor plus 0.9 percentage points for the first three years. Rising interest rates could put further pressure on residential property investors who are already grappling with falling rents and lower resale values.

A small majority of forecasters are predicting the US Fed will raise interest rates for the first time in nearly a decade when it meets on Wednesday and Thursday this week, according to a Reuters survey. 
Source: CNA

And the downward spiral continues. Get set for higher monthly repayment on your mortgage folks...

Are the Chinese mainly to blame for escalating Australian home prices?


The article below has suggested that all them "Chinese bashing" when comes to the escalating Australian home prices may be misdirected. Then again, the data are more than a year old but still an interesting read nonetheless.

Photo: Sam Mooy/APP

Polling day... with some Thomson Grand "spotting" thrown in!

- September 11, 2015 No Comments

The wife and I were at Peirce Secondary School this morning to perform our once-in-every- four-year citizen duty. 

We always knew that the school is beside Thomson Grand but it was only when we stepped into the school grounds for the first time today that we could fully appreciate the proximity - the two were literally separated by a row of metal fence!

And the bedroom of the apartments looked very small from where we were standing.

After we were done voting, the wife and I walked out to Upper Thomson Road and found that the hoarding boards in front of the strata-houses had been removed. You can now get a clear view of the houses and the lap pool that runs along the back of the row of houses.

You can also see the private jacuzzi in each strata house.

And of course of the much-talked-about "temple view"

And in case you are wondering how the wife and I had voted, we had decided to heed the advise of our good friend Kim Huat to suka suka vote...

Click HERE to read our previous review on Thomson Grand.

August private resale volume rises16%, prices down 1.7% year-on-year: SRX

- September 8, 2015 2 Comments

The resale volume of non-landed private residential units was up 16% year-on-year in August, with 466 units resold, according to latest data from SRX Property released on Tuesday (Sep 8).

However, compared to the previous month, resale volume declined 16.8% from the 560 units resold in July.

Resale prices inched up 0.2% from July, driven by units in the Rest of Central Region, which posted a price increase of 1.8%. In contrast, prices of units in the Core Central Region and Outside of Central Region, were down 0.5% and 0.2% respectively.

Overall resale prices were down 1.7%, however, when compared on a year-on-year basis.

The median Transaction Over X-Value (TOX), which measures whether people are overpaying or underpaying SRX Property’s estimated market value, remained neutral. TOX has remained neutral at zero for the past five months.

For districts with more than 10 resale transactions, District 14 (Geylang, Eunos) posted the highest median TOX of $14,000. The lowest median TOX was in District 21 (Upper Bukit Timah, Ulu Pandan) at -$20,000.
Source: CNA