Curbs will likely be eased soon

The chart below shows that, historically, the government had reversed their policy stance after the property prices dropped between 8.3% to 16.4%. For the current cycle, the price has already dropped 6.9% from the peak. All these are pointing towards an eminent easing of curbs soon.

Chart is courtesy of Singapore Business Review

Singapore must plan for 10 million population: Ex-HDB chief

It's about survival and economics. Having a population of 6.9 million as proposed by the authority in 2013 is not unreasonable. Singapore is looking at a population of 10 million beyond 2030 for survival.

Full article here

Data as of Sep 2014

Gateway to Singapore

Picture courtesy of URA

A picture says it all.

Jurong Country Club will be redeveloped into High Speed Rail Terminus. When completed, Jurong will be the Gateway to Singapore. Jurong is dubbed the 2nd CBD of Singapore. It will be the only CBD outside the current CBD.

Vision Exchange, a Sim Lian commercial project, is strategically located at Jurong Gateway.

View high resolution picture here.

Core Central Region

The property market in Singapore is divided into 3 segments.



3 Market Segments

     1. Core Central Region

     2. Rest of Central Region

     3. Outside Central Region

The boundary of the Central Region is as shown in the map below. The breakdown of the Core Central Region is also shown in the map below.



Core Central Region

Let's look at numbers



 

 

 

Let's look at the sales and rental transactions over the last 4 years. Here are some observations from the past transactions.

1. The sales to rental ratio of the 60/40 has shifted to 80/20 over the years. While the sales transaction has dropped, the rental transaction has gone up.
2. The sales transaction has fell from 32,000 to 12,000. Despite the drop in sales volume, the property prices remain elevated. The answer lies in Singapore sound economic fundamentals and sellers’ power to hold the price in spite of the drop in sales volume.
3. If the rental transaction is up, why is the rental market facing price pressure and also takes a longer time to rent out? One of the reasons is because the market is receiving a lot of newly completed units in 2014.
4. The ratio of 80/20 is artificially suppressed due to the countermeasures. It shall return to the healthy ratio of 60/40 in time to come.

The resale market shall return!

Sim Lian tops bids for EC site, beating market expectations

Located about 550 metres from Choa Chu Kang MRT Station and Bus Interchange and Lot One Shoppers' Mall, the 1.9-hectare plot drew eight bids, with the highest at S$361.08 psf ppr from Sim Lian Land - slightly above market expectations.

The breakeven cost could be around S$700-720 psf. This still leaves the bidder with some cushion for a potential price softening from current levels. In the first half of this year, developers' sales of EC units averaged around S$790 psf going by caveats data, shows JLL's analysis.

Full news article

From the north to the East

Singapore's sixth rail line will start at Woodlands before heading towards the East Coast, and will have 31 stations spanning about 43km, New stations include Marine Parade, Siglap and Tanjong Rhu.

News

Thomson East Coast Line (TEL)