09 December 2011

Singapore Property - Another New Measures that Hurts It

The government's latest round of property market cooling measures - imposing a range of additional buyer's stamp duties on private home purchases - helps most genuine owner-occupier buyers, specifically citizens and permanent residents who may be affected by affordability issues.

Wednesday's announcement of an additional buyer's stamp duty of 10 percent for foreigners and 3 percent for Permanent Residents already owning one or more properties and for Singaporeans already owning two or more properties caught the market by surprise.

In my own opinion, this will give a negative impact to Singapore private property market, as well as its HDB resale market. Developers with many unsold units would have to spend more years to clear out it stocks. And to answer whether it is a good time to start accumulating stocks now, I can't give a clear answer but we will see the impact by another next few more quarters.

"Cash Is King" is always a good choice when we can foresee that the market is dropping. Let's wait for the bad time to come and buy it at cheap price. :)

5 comments:

  1. since the property owining market is affected, would it affects property renting market? since more costly to own property, then ppl would prefer to rent 1st, then current houseowners will take this oppo to increase rental?

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  2. In my opinion, this would only reduce the speculation for medium to high end property but not for luxury property in prime location. As there is no additional tax for 1st property purchase by Locals and PRs, so I don't see immediate impact on this. But this will definitely reduce the returns from property transaction by investors. I can foresee the hot money will flow from property market to another market.

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  3. discourage investment from foreigner.. i wait for cheaper share price :P what u think of capital land? the share drop alot due to co plan to develop china market?

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  4. I always believe that buying a good stock is better than buy at the right time. It always depend on how long do you wish to hold for your stock.

    ReplyDelete
  5. Nice article...How to get Facilities Manager / Property Manager Jobs in Singapore property?

    ReplyDelete

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