Punggol East By-Election coming ? MP steps down

[Harlequin]

JannettLee:

pirate:

[quote=\"3Boys\"]
Not yet..... :evil:

Don't worry. There is not enough local liquidity to support current prices. The :censored: foreign funds will find an excuse to suddenly yank the liquidity out of the local market. They always do.

Let's see for the next 6 months![/quote]6 months is too short, my dear savvy investor!

[JannettLee]

pirate:

JannettLee:

You don't seem to understand the illustration I qouted don't you? The illustration I quoted refers to a person who has enough money to pay 50% of the property by cash even after the latest cooling measures (while still able to loan 50%). But does the cooling measures help in making this buyer more stable and safer from financial disaster in the future if property prices drop? Isn't the purpose of any cooling measure is to ensure new property buyers are financially stronger to endure bigger property price drop? The answer is NO, big NO. In fact, the latest cooling measures makes him from a previously STRONG property owner to become a VERY WEAK MARGINALIZED property owner even though he is still able to buy a property after the latest cooling measures. So, the latest cooling measures will exacerbate more property buyers into financial disaster in the future (since it leaves them with little cash buffer on hand).

In theory you are right. In practice, what happens given the current market exuberance is that the guy with $500,000 cash will not buy a $1m property, take a $800k loan and keep the $300k in the bank. What most will do is to buy a $2.5m property, take a $2m loan and have $0 in the bank.

That bank letter will not help. Because there is no telling what the guy is going to do with the money in the bank after he gets the mortgage. Of course, it's possible to require the bank to tie up that $300k by requiring it to be placed on FD with the bank and cannot be withdrawn. But then, you will be getting 0.5% interest on a 12 month FD on that $300k and paying 1.5% interest on that mortgage. Does that work for you?

And what happens to that 'prudent' investor if the value of that property drop from $1m to $500k? Maybe you haven't seen that happen before in Singapore, but I have. No, we don't need that systemic risk. Thank you very much.

If people die die want to buy, you can't prevent them. Even 0% LTV, you still can't prevent them from buying the property. But there will have side effect, you are driving these people to buy mickey mouse properties because of small quantum and deprive those people who really need it such as retiring people, young couple etc..

[JannettLee]

Harlequin:

JannettLee:

[quote=\"pirate\"]
Don't worry. There is not enough local liquidity to support current prices. The :censored: foreign funds will find an excuse to suddenly yank the liquidity out of the local market. They always do.

Let's see for the next 6 months!

6 months is too short, my dear savvy investor![/quote]6 months can tell you the trend of this current CM. why introduce the latest CM? if 6 months is too short might as well wait for 2 years to see the effect of the previous CM? you are contradicting yourself. Why they introduce every CM almost every 6 moths on average?

[JannettLee]

Harlequin:

JannettLee:

Pirate already answered himself but just need to see the whole situation clearly . Next, he has to ask himself why there are CM7 altogether! It's a genuine demand and none of the previous CMs had managed to curb and you still can see the restrictions have very little impact on the private property prices. To the point that you are giving a lot of discounts to rich foreigners now as most Singaporeans are no longer able to afford and and free up the demand to foreigners and foreigners can now pick up good deals. The ABSD is no longer material to them.

Cannot compared to Hong Kong la, Hong Kong has 80% private property so they are addressing the correct market (80% market!). Whereas, Singapore is now addressing the 20% of the market, you think they can solve by addressing 20% market?

:? Giving a lot of discount? Foreigner pay higher ABSD leh!

Call your banker lar, it's a good day to view some distressed properties for your portfolio. You can start with D'Leedon, I sincerely think that's a good buy.

ABSD is nothing as compared to the cheap property price. Get it?

[Harlequin]

JannettLee:

Pirate already answered himself but just need to see the whole situation clearly . Next, he has to ask himself why there are CM7 altogether! It's a genuine demand and none of the previous CMs had managed to curb and you still can see the restrictions have very little impact on the private property prices. To the point that you are giving a lot of discounts to rich foreigners now as most Singaporeans are no longer able to afford and and free up the demand to foreigners and foreigners can now pick up good deals. The ABSD is no longer material to them.

Cannot compared to Hong Kong la, Hong Kong has 80% private property so they are addressing the correct market (80% market!). Whereas, Singapore is now addressing the 20% of the market, you think they can solve by addressing 20% market?

Free up the demand for foreigners, now they can pick up good deals?? You think foreign investors are a bunch of spongy-brains mei? Their portfolio is never looking at how to save $$ nor how much to save, they are looking for the potential growth, kill their hope for potential growth, their interest would be killed.

[Harlequin]

JannettLee:

Harlequin:

[quote=\"JannettLee\"]
Pirate already answered himself but just need to see the whole situation clearly . Next, he has to ask himself why there are CM7 altogether! It's a genuine demand and none of the previous CMs had managed to curb and you still can see the restrictions have very little impact on the private property prices. To the point that you are giving a lot of discounts to rich foreigners now as most Singaporeans are no longer able to afford and and free up the demand to foreigners and foreigners can now pick up good deals. The ABSD is no longer material to them.

Cannot compared to Hong Kong la, Hong Kong has 80% private property so they are addressing the correct market (80% market!). Whereas, Singapore is now addressing the 20% of the market, you think they can solve by addressing 20% market?

:? Giving a lot of discount? Foreigner pay higher ABSD leh!

Call your banker lar, it's a good day to view some distressed properties for your portfolio. You can start with D'Leedon, I sincerely think that's a good buy.

ABSD is nothing as compared to the cheap property price. Get it?[/quote]No! I don't! :rotflmao:

[Harlequin]

Cheap is not good enough, must have the potential to grow!


Many many other places property price cheaper than a car park lot in SG.

[JannettLee]

I have said enough on properties! Let’s agree to disagree.


I will not response anymore on this topic.

Good luck to those who are still waiting to buy!

[Irrelevant]

Actually, I see nothing wrong being a speculator. If our dear Janette believes that she is well positioned to profit from the property market, I guess we don't have to worry for her. She just have to be upfront about it without beating around the bush and appear to be on the side of the common man.


In fact, the average person who owns just 1 property or would like to own 1 property has nothing to worry about. The cooling measures do not affect him at all. He does not have to pay ABSD or worry about LTV.

At the same time, I also believe that the govt should not interfere too much in the property market. They should let the bubble grow big, burst and let the speculators get burnt. Otherwise, nobody will learn a lesson, e.g. the Greenspan put, see where it got the Americans. Unfortunately, we are a nanny state and we are used to be in a nanny state, and the govt knows it will almost certainly get blamed....

P.S. I'm a speculator too, but in stuff other than property.

[Harlequin]

Seriously, this is the first time I encounter such a \"lucky\" property investor like her; knows peanuts and yet gets the monkeys. So envy!!


Edit:

:rotflmao: