EC penthouse sold for record S$2.05m

[straffan23]

Well, according to the article

1. The unit was bought in proxy of a sibling living and working in the US.
2. The father will pay for most of the cost.
3. The father has several other properties in SG.

Here’s what I think. The government should tweak its grant system to include fine prints like these:
1. If you take the grant (hence eligible to purchase), you MUST take between a min % (to max %) of loan to qualify - you you didn’t even need the min loan amount, you obviously don’t need the gov. grant!
2. Cannot refinance or pay up on the principal sum during the MOQ. So, even for those that can pay up, they will have to deal with the interest during the MOP.

I see so many young couples, well to do, purposely purchasing a BTO or EC just "because they can". It is a god-given right for Singapore citizen. Nevermind they are living in a condo, or landed property, or they own a thriving business… and to make it worse, some has absolutely no intention of moving in for the MOP!!

[Mawar]

This is just the way it is. We know of a few couples who are living in landed properties with their parents and keeping their flats vacant. Just waiting to offload come maturity. Like FD.

[MMM]

HVR:

Income ceiling $12k. Let's say loan 80% then need to borrow 1.6 millions how to make monthly payment? Definitely have to pay cash and will any bank approves such loan? This being a 'public' and hence, 'subsidized' project, if the buyers have so much cash to pay upfront then shouldn't enjoy any grant at all.

Precisely. Had the same thought as well. For the target income group, how can they afford to pay for a $2.05MM property if not family support. If some is buying without family support, that sounds like a stretch. Only can afford to pay for the instalment??? I still find that EC positioning doesn't make sense...

[3Boys]

MMM:

HVR:

Income ceiling $12k. Let's say loan 80% then need to borrow 1.6 millions how to make monthly payment? Definitely have to pay cash and will any bank approves such loan? This being a 'public' and hence, 'subsidized' project, if the buyers have so much cash to pay upfront then shouldn't enjoy any grant at all.

Precisely. Had the same thought as well. For the target income group, how can they afford to pay for a $2.05MM property if not family support. If some is buying without family support, that sounds like a stretch. Only can afford to pay for the instalment??? I still find that EC positioning doesn't make sense...

It did make sense....in the beginning.

Now its completely perverted.

[AC_Power]

EC will just be like a private condo at the end of 10 years. So if you are buying for own stay, buying an EC is much better than buying a private. CityLife@Tampinese is at PRIME location. At the end of 10 years, there is a good chance that you can sell at 100% appreciation if the market is kind to you.


The only issue is the 12k salary cap and yes, those selling at millions will require you to put down a huge amount in the downpayment. 12k combine salary would at most get you 1m bank loan if I am not wrong.

[Musings]

3Boys:

MMM:

[quote=\"HVR\"]Income ceiling $12k. Let's say loan 80% then need to borrow 1.6 millions how to make monthly payment? Definitely have to pay cash and will any bank approves such loan? This being a 'public' and hence, 'subsidized' project, if the buyers have so much cash to pay upfront then shouldn't enjoy any grant at all.

Precisely. Had the same thought as well. For the target income group, how can they afford to pay for a $2.05MM property if not family support. If some is buying without family support, that sounds like a stretch. Only can afford to pay for the instalment??? I still find that EC positioning doesn't make sense...

It did make sense....in the beginning.

Now its completely perverted.[/quote]I think our policy makers have failed to recognise and respond swiftly to economic changes. The property boom in recent years have made many cash rich and also makes people think property will definitely appreciate. Hence, the exploitation of the loopholes in the older policies to profit from this.

[pirate]

Musings:

I think our policy makers have failed to recognise and respond swiftly to economic changes. The property boom in recent years have made many cash rich and also makes people think property will definitely appreciate. Hence, the exploitation of the loopholes in the older policies to profit from this.

That's because our policy makers have absolutely no idea what to do in the face of massive QE from the US, Europe and now apparently Japan. What do our policy makers expect Singaporeans to do with their savings in the face of 4-5% inflation and practically 0% interest rates on deposits?

I bet you if some developer comes up with a 10,000 sf EC penthouse priced at $4.5-5m, it will be snapped up in next to no time.

Yah, yah. Minister is telling developers to bear in mind the spirit and intention of ECs. But isn't the spirit and intention asset enhancement? :razz:

[3Boys]

pirate:

Musings:

I think our policy makers have failed to recognise and respond swiftly to economic changes. The property boom in recent years have made many cash rich and also makes people think property will definitely appreciate. Hence, the exploitation of the loopholes in the older policies to profit from this.

That's because our policy makers have absolutely no idea what to do in the face of massive QE from the US, Europe and now apparently Japan. What do our policy makers expect Singaporeans to do with their savings in the face of 4-5% inflation and practically 0% interest rates on deposits?

I bet you if some developer comes up with a 10,000 sf EC penthouse priced at $4.5-5m, it will be snapped up in next to no time.

Yah, yah. Minister is telling developers to bear in mind the spirit and intention of ECs. But isn't the spirit and intention asset enhancement? :razz:

Asset enhancement and affordability are somewhat in conflict with each other, and the g'ment are trying to do both with public housing. At some point someone's got to make a decision about which is the more important objective with public housing.

My opinion on property policies have swung around in light of the massive rise in property prices in Singapore. Yes, QE and US printing of dollars, Asian economic boom have a lot to do with it. At the same time, Singapore is a small place with limited land. If central areas are expensive you can't just move to the rural areas and have cheap housing.

I feel even more draconian measures need to be in place to dampen foreign inflows. Yes it will impact me as I am vested in property myself, but there has to be common sense and fairness in all of this, and I really fear for my kids.

[MMM]

Mawar:

This is just the way it is. We know of a few couples who are living in landed properties with their parents and keeping their flats vacant. Just waiting to offload come maturity. Like FD.

Hopefully I will not get for saying this.

Dh always felt regretful that we didn't get to \"earn\" from the 1st HDB flat (as from what we observed from the peers around us, everyone made $ from their 1st HDB and subsequently upgraded to private). Due to certain circumstances, our 1st property is private. His advice to the kiddos is to make sure they buy their 1st HDB.... But seriously I wonder at what kind of price during their era....

[Busymom]

MMM:

Mawar:

This is just the way it is. We know of a few couples who are living in landed properties with their parents and keeping their flats vacant. Just waiting to offload come maturity. Like FD.

Hopefully I will not get for saying this.

Dh always felt regretful that we didn't get to \"earn\" from the 1st HDB flat (as from what we observed from the peers around us, everyone made $ from their 1st HDB and subsequently upgraded to private). Due to certain circumstances, our 1st property is private. His advice to the kiddos is to make sure they buy their 1st HDB.... But seriously I wonder at what kind of price during their era....

Me too.. I am regretting as well. :stupid:

But seriously, whoever that buys a HDB or EC, it should be made mandatory for the owner to stay in the unit during the MOP.