STRICTER MEASURES TO CURB FOREIGN PROPERTY SPECULATORS
Nov 24, 2010
Members of Parliament have approved harsher penalties for foreign property speculators, but asked the government to crack down even more.
MPs noted that home ownership is a big issue for many Singaporeans, and further measures to restrict foreigners in the local market should be implemented.
This issue came up during a debate over the proposed changes involving foreign ownership of landed homes. Only citizens and permanent residents (PRs) who make significant contributions to the economy can own landed property. PRs can only own one such property and must live in it for at least three years before looking to sell it.
As for foreign developers, they can acquire land to build residential projects, but it must be completed in 5 years. To prevent hoarding, all units must be sold within two years after receiving the temporary occupancy permit.
If the conditions are not met, the government will forfeit their banker's guarantee pegged at 10 percent of the land price. However, with the new law, an extension charge will also be imposed for the extended time taken in the project’s completion period.
Info courtesy: Propertyguru
SINGAPORE UNLIKELY TO INTRODUCE CAPITAL CONTROLS
SINGAPORE UNLIKELY TO INTRODUCE CAPITAL CONTROLS
Nov 23, 2010
Singapore will not turn to capital controls but is ready to take additional measures to ensure sustainable asset markets and financial stability amid an increase in capital inflows to the region for higher returns, said Finance Minister Mr Tharman Shanmugaratnam.
Capital inflows to the city-state were “intermediated efficiently” through the domestic financial markets and banking system, said Mr. Tharman in Parliament, adding that the effect on asset prices had been controlled by current policy tools.
“We are not contemplating introducing capital controls, but will continue to rely on a range of policy tools to ensure that capital inflows do not threaten its financial stability or cause a property market bubble,” said Mr. Tharman, in response to questions by lawmakers on the effect of the US$600 billion “quantitative easing” plan of the US Federal Reserve on asset prices and inflation in Singapore.
Asian home prices have climbed in recent months, driven by ultra-low interest rates and fast economic recovery in the region.
On August 30, Singapore announced restrictions to cool the residential market, including the extension of a stamp duty on those selling property within three years of acquisition and a reduction in the amount that can be borrowed by those with existing mortgages looking to buy second properties.
The measures had some “calming effect” on the real estate market, and the government would take further necessary steps while monitoring the situation closely, said Mr. Tharman.
In October, Singapore extended the trading band for the Singapore dollar for the first time since the September 11 attacks in the US, highlighting the depth of its concern on volatility in the worldwide financial markets.
The government also said inflation was likely to speed up over the next few months, reaching 4 percent at the end of the year, considering Singapore’s tightening labour market and the number of global weather-related supply disruptions.
However, the full year inflation this year would stay in the official range of 2.5 percent to 3.0 percent and 2 percent to 3 percent next year, said Mr S. Iswaran, Senior Minister of State, Ministry of Trade and Industry.
Info courtesy: Propertyguru
Nov 23, 2010
Singapore will not turn to capital controls but is ready to take additional measures to ensure sustainable asset markets and financial stability amid an increase in capital inflows to the region for higher returns, said Finance Minister Mr Tharman Shanmugaratnam.
Capital inflows to the city-state were “intermediated efficiently” through the domestic financial markets and banking system, said Mr. Tharman in Parliament, adding that the effect on asset prices had been controlled by current policy tools.
“We are not contemplating introducing capital controls, but will continue to rely on a range of policy tools to ensure that capital inflows do not threaten its financial stability or cause a property market bubble,” said Mr. Tharman, in response to questions by lawmakers on the effect of the US$600 billion “quantitative easing” plan of the US Federal Reserve on asset prices and inflation in Singapore.
Asian home prices have climbed in recent months, driven by ultra-low interest rates and fast economic recovery in the region.
On August 30, Singapore announced restrictions to cool the residential market, including the extension of a stamp duty on those selling property within three years of acquisition and a reduction in the amount that can be borrowed by those with existing mortgages looking to buy second properties.
The measures had some “calming effect” on the real estate market, and the government would take further necessary steps while monitoring the situation closely, said Mr. Tharman.
In October, Singapore extended the trading band for the Singapore dollar for the first time since the September 11 attacks in the US, highlighting the depth of its concern on volatility in the worldwide financial markets.
The government also said inflation was likely to speed up over the next few months, reaching 4 percent at the end of the year, considering Singapore’s tightening labour market and the number of global weather-related supply disruptions.
However, the full year inflation this year would stay in the official range of 2.5 percent to 3.0 percent and 2 percent to 3 percent next year, said Mr S. Iswaran, Senior Minister of State, Ministry of Trade and Industry.
Info courtesy: Propertyguru
INSTITUTE OF ESTATE AGENTS GETS GLOBAL ACHIEVEMENT AWARD
INSTITUTE OF ESTATE AGENTS GETS GLOBAL ACHIEVEMENT AWARD
Nov 22, 2010
Singapore’s Institute of Estate Agents (IEA) has received the Global Outreach Award of the Year from the National Association of REALTORS (NAR).
The award was presented on the sidelines of a convention, held from November 4 to 8 at the New Orleans Convention Centre in Louisiana. It was attended by more than 24,000 realtors and representatives from various realtors associations around the world.
This year, the NAR gave out six Global Achievement Awards, with the Global Outreach Award of the Year going to IEA, Singapore. The award was received by Mr. Jeff Foo, immediate past president of IEA and Ms. Tracey Wong, general manager of IEA.
In his acceptance speech, Mr. Foo said the award was a surprise and an honour for IEA and Singapore. He also said he did not expect IEA to win the award especially with the strong competition from over 45 countries.
Ms. Wong said she believes the award is in recognition of the work done by IEA in advancing the goals and objectives of organised global real estate enhancement for realtors in Singapore and the other ASEAN countries.
Nov 22, 2010
Singapore’s Institute of Estate Agents (IEA) has received the Global Outreach Award of the Year from the National Association of REALTORS (NAR).
The award was presented on the sidelines of a convention, held from November 4 to 8 at the New Orleans Convention Centre in Louisiana. It was attended by more than 24,000 realtors and representatives from various realtors associations around the world.
This year, the NAR gave out six Global Achievement Awards, with the Global Outreach Award of the Year going to IEA, Singapore. The award was received by Mr. Jeff Foo, immediate past president of IEA and Ms. Tracey Wong, general manager of IEA.
In his acceptance speech, Mr. Foo said the award was a surprise and an honour for IEA and Singapore. He also said he did not expect IEA to win the award especially with the strong competition from over 45 countries.
Ms. Wong said she believes the award is in recognition of the work done by IEA in advancing the goals and objectives of organised global real estate enhancement for realtors in Singapore and the other ASEAN countries.
BUNGALOW SALES GATHER MOMENTUM
BUNGALOW SALES GATHER MOMENTUM
Nov 22, 2010
A bungalow located at 6 Coronation Road West, in the Oei Tiong Ham Park Good Class Bungalow (GCB) area, was recently sold at a Colliers International auction, fetching a price of $26.6 million.
The one-storey bungalow, which is said to be over 30 years old, has an outhouse, a guesthouse and a swimming pool.
Meanwhile, a tender by Knight Frank on behalf of the Japanese government for No. 18 Astrid Hill is understood to have drawn more than a dozen bids when it closed on Thursday.
Offers are said to have surpassed the $1,350 psf level, exceeding the expected pricing of $1,056 psf to $1,320 psf indicated in October for the 18,939 sq ft site.
Both Singaporeans and Singapore firms are said to have submitted bids, which are being evaluated by the Japanese Embassy.
There are only approximately 2,400 bungalows in the 39 gazetted GCB areas in Singapore. The minimum land area of a GCB – an exclusive form of housing on mainland Singapore governed by strict planning requirements – is 1,400 sq m or about 15,169.50 sq ft.
Prices of GCBs continue to escalate, said William Wong, managing director of RealStar Premier Property. “Even where buyers are willing to match the sellers' asking prices, it may not necessarily mean a deal will be done.”
“In a number of cases, sellers have either raised their target prices or withdrawn their properties with a view to relaunching them six to 12 months later at higher prices,” added Mr. Wong.
“We're also seeing a wave of new Singapore citizens hailing from mainland China who're buying GCBs. They're eyeing the bigger plots of at least 20,000 sq ft and shopping mostly in the Tanglin and Holland areas for nicely done-up bungalows in a ready- to-move-in condition.”
Mr. Wong revealed that he is now negotiating the sale of some land parcels for development into GCBs in Tanglin, adding that offers by potential buyers have already exceeded $2,000 psf.
A new record will be achieved if a deal materialises, surpassing the $1,899 psf achieved in 2007 for 32H Nassim Road.
Some GCB owners in the Tanglin area are said to be targeting prices of $2,300 psf to $2,500 psf by the middle of 2011, added Mr. Wong.
Info courtesy: PropertyGuru
Nov 22, 2010
A bungalow located at 6 Coronation Road West, in the Oei Tiong Ham Park Good Class Bungalow (GCB) area, was recently sold at a Colliers International auction, fetching a price of $26.6 million.
The one-storey bungalow, which is said to be over 30 years old, has an outhouse, a guesthouse and a swimming pool.
Meanwhile, a tender by Knight Frank on behalf of the Japanese government for No. 18 Astrid Hill is understood to have drawn more than a dozen bids when it closed on Thursday.
Offers are said to have surpassed the $1,350 psf level, exceeding the expected pricing of $1,056 psf to $1,320 psf indicated in October for the 18,939 sq ft site.
Both Singaporeans and Singapore firms are said to have submitted bids, which are being evaluated by the Japanese Embassy.
There are only approximately 2,400 bungalows in the 39 gazetted GCB areas in Singapore. The minimum land area of a GCB – an exclusive form of housing on mainland Singapore governed by strict planning requirements – is 1,400 sq m or about 15,169.50 sq ft.
Prices of GCBs continue to escalate, said William Wong, managing director of RealStar Premier Property. “Even where buyers are willing to match the sellers' asking prices, it may not necessarily mean a deal will be done.”
“In a number of cases, sellers have either raised their target prices or withdrawn their properties with a view to relaunching them six to 12 months later at higher prices,” added Mr. Wong.
“We're also seeing a wave of new Singapore citizens hailing from mainland China who're buying GCBs. They're eyeing the bigger plots of at least 20,000 sq ft and shopping mostly in the Tanglin and Holland areas for nicely done-up bungalows in a ready- to-move-in condition.”
Mr. Wong revealed that he is now negotiating the sale of some land parcels for development into GCBs in Tanglin, adding that offers by potential buyers have already exceeded $2,000 psf.
A new record will be achieved if a deal materialises, surpassing the $1,899 psf achieved in 2007 for 32H Nassim Road.
Some GCB owners in the Tanglin area are said to be targeting prices of $2,300 psf to $2,500 psf by the middle of 2011, added Mr. Wong.
Info courtesy: PropertyGuru
SINGAPORE ECONOMY TO EXPAND 15% THIS YEAR
SINGAPORE ECONOMY TO EXPAND 15% THIS YEAR
Nov 18, 2010
The Singapore economy is likely to see a growth of 15 percent this year and 4 percent to 6 percent next year, said the Ministry of Trade and Industry.
Based on preliminary estimates, the Singapore economy expanded 10.6 percent in Q3 from the previous year, compared to a record growth of 19.5 percent in Q2.
Growth momentum, which is measured on a seasonally adjusted annualised quarter-on-quarter basis, dropped by 18.7 percent, compared to 27.3 percent growth in the previous quarter.
The manufacturing sector saw a 14.3 percent growth in Q3, from the previous year, a slowdown from the 46.1 percent expansion in Q2. The sector shrank by an annualised rate of 53.6 percent, reflecting a large decline in output in the biomedical manufacturing cluster because of scheduled plant maintenance shutdowns and a switch in the value-mix of products.
The construction sector, on the other hand, recorded 7.1 percent year-on-year growth in Q3, compared to 11.5 percent in Q2. The sector shrank by an annualised rate of 10.4 percent, which was attributed to the completion of major commercial and industrial building projects.
Nov 18, 2010
The Singapore economy is likely to see a growth of 15 percent this year and 4 percent to 6 percent next year, said the Ministry of Trade and Industry.
Based on preliminary estimates, the Singapore economy expanded 10.6 percent in Q3 from the previous year, compared to a record growth of 19.5 percent in Q2.
Growth momentum, which is measured on a seasonally adjusted annualised quarter-on-quarter basis, dropped by 18.7 percent, compared to 27.3 percent growth in the previous quarter.
The manufacturing sector saw a 14.3 percent growth in Q3, from the previous year, a slowdown from the 46.1 percent expansion in Q2. The sector shrank by an annualised rate of 53.6 percent, reflecting a large decline in output in the biomedical manufacturing cluster because of scheduled plant maintenance shutdowns and a switch in the value-mix of products.
The construction sector, on the other hand, recorded 7.1 percent year-on-year growth in Q3, compared to 11.5 percent in Q2. The sector shrank by an annualised rate of 10.4 percent, which was attributed to the completion of major commercial and industrial building projects.
MM warns against selling off HDB flats
MM warns against selling off HDB flats
Nov 15, 2010
Minister Mentor Lee Kuan Yew has advised HDB flat owners not to sell their flats since their value appreciates year after year.
Speaking at the annual Tree Planting Day in Tanjong Pagar GRC, Mr. Lee said: “I urge you not to listen to the estate agents and sell it, and go and rent a flat because that's a stupid thing to do.”
“You sell it, you may not get a rental flat for a long time. And you cannot gain from a rental flat... Please remember that,” he added.
Mr. Lee’s plea comes just after the government implemented measures to deal with the trend of home owners trying to dispose of their flats for a quick profit.
To emphasise the need for financial prudence, HDB introduced a seven-day cooling-off period for those planning to sell their flats.
Nov 15, 2010
Minister Mentor Lee Kuan Yew has advised HDB flat owners not to sell their flats since their value appreciates year after year.
Speaking at the annual Tree Planting Day in Tanjong Pagar GRC, Mr. Lee said: “I urge you not to listen to the estate agents and sell it, and go and rent a flat because that's a stupid thing to do.”
“You sell it, you may not get a rental flat for a long time. And you cannot gain from a rental flat... Please remember that,” he added.
Mr. Lee’s plea comes just after the government implemented measures to deal with the trend of home owners trying to dispose of their flats for a quick profit.
To emphasise the need for financial prudence, HDB introduced a seven-day cooling-off period for those planning to sell their flats.
COMMISSION / STAMP DUTY
COMMISSION / STAMP DUTY
**Important - All Clients Must Read**
All fees are strictly payable directly to the Agent's company.
Note that to avoid a conflict of interest, dual representation is strictly not allowed, and we only serve either the Vendor or Buyer or either the Landlord or the Tenant.
RENTALS (no dual representation allowed)
Landlord -
When the rental price is above S$3,500 pm :
1 month commission for 2 year lease; 1.5 month commission for 3 year lease;
0.5 month commission per year of lease extension if option to renew is exercised.
1 month commission for 2 year lease; 1.5 month commission for 3 year lease;
0.5 month commission per year of lease extension if option to renew is exercised.
** Payment is due on the day of signing of the Tenancy Agreement by the Landlord and the Tenant
Tenant -
None due when the rental price is above S$3,500 pm*
*Unless the Landlord isn't paying the fee / commission, in which case the ** fees above are applicable
EXCLUSIVE HOME SEARCH
To ensure an effective and customized Home Search service, the agent only represents clients who are not using other agents. This avoids duplicating efforts and creating confusion, while increasing focus, time efficiency and motivation
FORFEITED DEPOSIT
In the case of an aborted Tenancy, the commission shall be one half (1/2) of the amount of the deposit forfeited by the party plus GST subject to a maximum sum equivalent to the agreed commission plus GST
STAMP DUTY FEE
The Tenant pays the Stamp Duty fee. The Tenant's can issue a cheque for the amount payable to Agent's company which in turn is then paid to the Inland Revenue Authority of Singapore.
Stamp Fee is calculated based on Annual Rent using the following rules:-
Stamp Fee is calculated based on Annual Rent using the following rules:-
If the lease term does not exceed 1 year - S$1 for every S$250 or part thereof of annual rent
If the lease term exceeds 1 year, but does not exceed 3 years - S$2 for every S$250 or part thereof of annual rent
If the lease term exceeds 3 years, or has any indefinite term - S$4 for every S$250 or part thereof of annual rent.
For more information on Stamp Duty and the calculation formula go to: http://www.iras.gov.sg/irasHome/page04_ektid1832.aspx
SALES (no dual representation allowed)
PRIVATE PROPERTY
Vendor
2-3% of contracted sales price as commission. Payment is due on the day of sales completion and paid through the property conveyancing lawyer
Buyer
0%*
*Unless the Vendor isn't paying the fee / commission, in which case the Buyer pays the 1-3% of contracted sales price as commission
FORFEITED DEPOSIT
In the case of an aborted Sale
STAMP DUTY FEE & OTHER FEES
Please be advised by your property conveyancing lawyer for the current rates
HANDLING OF CLIENTS FUNDS
GOODS & SERVICES TAX (GST)
Non-payment of GST will result in our legal representative seeking recovery.
Other Services
Agencies clients are offered a personalised service to ensure that their experience with them is a very pleasant one. We always strive for client satisfaction and is an established company that consumers can trust. Professional Indemnity Insurance is mandatory for all our agents to protect the clients. Our agents are certified with a recognized real estate salesperson qualification and must also fulfill Continuous Professional Development (CPD) every year
CEA RULES PROHIBIT DUAL REPRESENTATION BY AGENTS
The Council for Estate Agents (CEA ) has set out new rules prohibiting dual representation by salespersons, also known as property agents.
Starting 15 November 2010 , salespersons will no longer be able to represent both the seller or buyer or tenant and landlord in any real estate transaction.
Salespersons, along with estate agents, also known as estate agencies, will also be barred from referring their customers to any moneylender or handling cash in certain transactions.
These are some of the rules stipulated by The Estate Agents (Estate Agency Work) Regulations 2010 (EAW), which comprises two codes in its schedules: the Code of Ethics and Professional Client Care, which is applicable to salespersons and estate agents, and the Code of Practice applicable to estate agents.
These rules will help enhance professionalism within the industry, guide salespersons and estate agents, and encourage ethical behavior and good service to clients.
The EAW also specifies guidelines about advertisements and requires estate agencies to create processes and systems, as well as a proper complaints handling system, for the supervision and management of their salespersons and business.
Starting 1 January 2011 , estate agents are required to use prescribed estate agency agreements with their customers for the purchase, sale or lease of a residential property in Singapore
Those doing estate agency work will also need to have professional indemnity insurance coverage and participate in continuing professional development programmes for at least 6 hours every year from 2011.
Starting March 2 next year, salespersons will also be required to present their estate agent’s card when doing estate agency work.
Application for the license of estate agents and registration of salespersons starts today. Successful registration will be published on CEA ’s website on January 1, 2011 .
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