Nov 24, 2009
274 precincts upgraded from 1993 to 2006
A DETAILED list of HDB precincts whose estates were improved with such features as covered linkways, barbecue pits and community gardens was given in Parliament yesterday.
National Development Minister Mah Bow Tan gave them in a written reply to opposition MP Low Thia Khiang (Hougang) who had asked, among other things, for the precincts that were upgraded.
Between 1993 and 2001, a total of 190 precincts were selected for the Interim Upgrading Programme (IUP).
It cost the Government $4,000 per flat.
In 2002, the IUP for flats built between 1981 and 1986 was replaced by a combination of the IUP and the Lift Upgrading Programme (LUP).
Known as IUP Plus, the budget was $2,400 per flat, excluding the cost for lift upgrading.
In all, 84 precincts were picked for IUP Plus from 2002 to 2006.
However, in 2007, the IUP Plus was replaced by the Neighbourhood Renewal Programme, which groups a few precincts together for upgrading.
Targeted at blocks built in 1989 or earlier, the renewal programme, with its bigger budget, makes it possible to consider such features as tennis courts and skating parks.
No opposition precincts were selected for these upgrading programmes.
However, in July this year, the two opposition wards of Hougang and Potong Pasir were told the LUP would be offered to them.
Last month, one precinct of roughly 10 blocks in each of the two wards was selected for the LUP, which puts a lift landing on every floor.
It was a shift in position by the Government, which had said after the 2006 General Election that opposition wards would be placed 'at the end of the queue' for the LUP.
Tuesday, November 24, 2009
ST : Be realistic, Mah tells home buyers
Nov 24, 2009
Be realistic, Mah tells home buyers
HDB cannot build flats only in mature estates, or only on high floors
By Jessica Cheam
ST PHOTO: MALCOLM MCLEOD
THE Housing Board (HDB) cannot meet all expectations of home buyers even though the standard of housing has increased over the years, said National Development Minister Mah Bow Tan.
Addressing Parliament yesterday, he said some buyers seemed to have unrealistic expectations.
Mr Mah, who is 61, recalled his childhood days living in Kim Keat Avenue.
His then three-room HDB flat 'was like a palace' - even though there was just one toilet and bathroom in a flat with eight people.
'It was basic but it was like a palace to us because I had just come from a one-room (flat) with 10 people in Chinatown. So I think that reflects our expectations at that time and how things have changed,' he said.
Although new HDB flats are 'going to be even nicer over time... certain expectations, we cannot meet', he said.
HDB cannot build flats only in mature estates, or flats that are only on high floors, he pointed out.
'I need to have flats on the second floor and third floor as well. And who is going to live on these floors?
'So I think our commitment is that we will build and make available flats to young couples at affordable prices.'
The minister was responding to Nominated MP Viswa Sadasivan, who had wondered why - despite the measures for adequate and affordable housing - 'there appears to be a groundswell of discontent that first-time buyers are not able to buy the flats'.
Replying, Mr Mah shrugged off the suggestion that there is a groundswell of discontent.
However, feedback from the ground has shown that home buyers 'would like HDB to provide ready-made flats in good locations at cheaper prices, faster, better... and this is the reason why I think we have to better communicate our policies', said Mr Mah.
'But I dare say that there is also a mismatch of expectations, that there is an element of unrealistic expectations.'
He urged young Singaporeans to be realistic in their expectations. Even flats on the second floor will grow in value, he said. 'These flats will increase in value over time. The non-mature estates today will become the mature estates of tomorrow.'
Be realistic, Mah tells home buyers
HDB cannot build flats only in mature estates, or only on high floors
By Jessica Cheam
ST PHOTO: MALCOLM MCLEOD
THE Housing Board (HDB) cannot meet all expectations of home buyers even though the standard of housing has increased over the years, said National Development Minister Mah Bow Tan.
Addressing Parliament yesterday, he said some buyers seemed to have unrealistic expectations.
Mr Mah, who is 61, recalled his childhood days living in Kim Keat Avenue.
His then three-room HDB flat 'was like a palace' - even though there was just one toilet and bathroom in a flat with eight people.
'It was basic but it was like a palace to us because I had just come from a one-room (flat) with 10 people in Chinatown. So I think that reflects our expectations at that time and how things have changed,' he said.
Although new HDB flats are 'going to be even nicer over time... certain expectations, we cannot meet', he said.
HDB cannot build flats only in mature estates, or flats that are only on high floors, he pointed out.
'I need to have flats on the second floor and third floor as well. And who is going to live on these floors?
'So I think our commitment is that we will build and make available flats to young couples at affordable prices.'
The minister was responding to Nominated MP Viswa Sadasivan, who had wondered why - despite the measures for adequate and affordable housing - 'there appears to be a groundswell of discontent that first-time buyers are not able to buy the flats'.
Replying, Mr Mah shrugged off the suggestion that there is a groundswell of discontent.
However, feedback from the ground has shown that home buyers 'would like HDB to provide ready-made flats in good locations at cheaper prices, faster, better... and this is the reason why I think we have to better communicate our policies', said Mr Mah.
'But I dare say that there is also a mismatch of expectations, that there is an element of unrealistic expectations.'
He urged young Singaporeans to be realistic in their expectations. Even flats on the second floor will grow in value, he said. 'These flats will increase in value over time. The non-mature estates today will become the mature estates of tomorrow.'
ST : 'Ease rental rules' for divorced mums
Nov 24, 2009
'Ease rental rules' for divorced mums
By Cai Haoxiang
THE Housing Board needs to be more flexible when renting flats to divorced women with children, said Madam Halimah Yacob (Jurong GRC) yesterday.
She was speaking to The Straits Times after statistics released yesterday showed the HDB waived the eligibility criteria for renting flats for only a handful of divorced women with children last year.
In all, 649 had registered for homes but only 28 among them had the eligibility criteria waived.
Eventually, 200 were allocated rental flats, said National Development Minister Mah Bow Tan in a written reply to Parliament.
However, owing to the limited supply of rental flats, not all of them are due for allocation yet, said Mr Mah.
He gave the response to Madam Halimah who had asked earlier, among other things, how many of these women had applied to rent flats and were successful.
Her beef is with an existing rule which states that rental flat-seekers must not have sold an HDB flat or private property in the last 30 months.
However, in a divorce, the jointly owned flat is usually sold when the man and woman go their separate ways, a move that disqualifies them from applying for a rental home.
At the same time, these women often cannot afford to buy another flat. They can stay with family members, like a married brother or sister, but living in crowded conditions often causes conflict.
'One told me that she and her three children live in the living room of her brother's flat,' said Madam Halimah.
Also, most people do not rent flats to women with children, she added.
'Many of them are very desperate because they have young children to look after,' she said, adding that she had received about 30 requests for help from these women in the last few months.
In a separate written reply, the Minister for Community Development, Youth and Sports Vivian Balakrishnan said 57 per cent of the 6,328 civil divorce suits filed last year involved children younger than 21.
Detailed statistics on their ages and which parent had custody are unavailable, he added.
For Muslim divorces, 66 per cent of the 1,696 divorce suits involved children under the age of 21.
And in 62 per cent or 703 of the cases, the women get custody. For the rest, custody either went to the father or to both parents.
On average, the cases involve two children and the average age of each child is 11 years.
'Ease rental rules' for divorced mums
By Cai Haoxiang
THE Housing Board needs to be more flexible when renting flats to divorced women with children, said Madam Halimah Yacob (Jurong GRC) yesterday.
She was speaking to The Straits Times after statistics released yesterday showed the HDB waived the eligibility criteria for renting flats for only a handful of divorced women with children last year.
In all, 649 had registered for homes but only 28 among them had the eligibility criteria waived.
Eventually, 200 were allocated rental flats, said National Development Minister Mah Bow Tan in a written reply to Parliament.
However, owing to the limited supply of rental flats, not all of them are due for allocation yet, said Mr Mah.
He gave the response to Madam Halimah who had asked earlier, among other things, how many of these women had applied to rent flats and were successful.
Her beef is with an existing rule which states that rental flat-seekers must not have sold an HDB flat or private property in the last 30 months.
However, in a divorce, the jointly owned flat is usually sold when the man and woman go their separate ways, a move that disqualifies them from applying for a rental home.
At the same time, these women often cannot afford to buy another flat. They can stay with family members, like a married brother or sister, but living in crowded conditions often causes conflict.
'One told me that she and her three children live in the living room of her brother's flat,' said Madam Halimah.
Also, most people do not rent flats to women with children, she added.
'Many of them are very desperate because they have young children to look after,' she said, adding that she had received about 30 requests for help from these women in the last few months.
In a separate written reply, the Minister for Community Development, Youth and Sports Vivian Balakrishnan said 57 per cent of the 6,328 civil divorce suits filed last year involved children younger than 21.
Detailed statistics on their ages and which parent had custody are unavailable, he added.
For Muslim divorces, 66 per cent of the 1,696 divorce suits involved children under the age of 21.
And in 62 per cent or 703 of the cases, the women get custody. For the rest, custody either went to the father or to both parents.
On average, the cases involve two children and the average age of each child is 11 years.
ST Online Forum : Implement two systems of property taxation
Nov 24, 2009
Implement two systems of property taxation
I APPLAUD the Government for using the property tax system to regulate tax collection from homes in accordance with economic conditions.
For example, the upward revision of annual values (AVs) of HDB flats was delayed from Jan 1 this year. According to a press statement on its website, the Inland Revenue Authority of Singapore (Iras) reviews annually the AVs of all properties, including HDB flats, to ensure they reflect prevailing market rental values for the purpose of determining property tax.
The current reaction to the HDB rent increases was delayed and now the Government will give a one-off rebate to cushion the impact of the taxman's actions.
However, the announcement is silent on AVs of other properties. I suggest Iras segregate the imposition of property tax according to property type since it tackles a specific group at any one time, even after it has reviewed all properties.
Let me explain. Iras uses an assessment system to determine the property tax payable by homes which are mostly owner-occupied (that is, no rental evidence) and even grants a 4 per cent owner-occupier concession to residential homes.
However, such an assessment system is not efficient for properties that are rented out. Rented-out properties should be taxed on their actual income rather than reply on an assessment which can be prone to error of judgment.
I therefore urge the authorities to have two systems of property taxation - one based on assessment of the property if it is owner-occupied and another based on actual rent if it is leased out.
Patrick Sio
Implement two systems of property taxation
I APPLAUD the Government for using the property tax system to regulate tax collection from homes in accordance with economic conditions.
For example, the upward revision of annual values (AVs) of HDB flats was delayed from Jan 1 this year. According to a press statement on its website, the Inland Revenue Authority of Singapore (Iras) reviews annually the AVs of all properties, including HDB flats, to ensure they reflect prevailing market rental values for the purpose of determining property tax.
The current reaction to the HDB rent increases was delayed and now the Government will give a one-off rebate to cushion the impact of the taxman's actions.
However, the announcement is silent on AVs of other properties. I suggest Iras segregate the imposition of property tax according to property type since it tackles a specific group at any one time, even after it has reviewed all properties.
Let me explain. Iras uses an assessment system to determine the property tax payable by homes which are mostly owner-occupied (that is, no rental evidence) and even grants a 4 per cent owner-occupier concession to residential homes.
However, such an assessment system is not efficient for properties that are rented out. Rented-out properties should be taxed on their actual income rather than reply on an assessment which can be prone to error of judgment.
I therefore urge the authorities to have two systems of property taxation - one based on assessment of the property if it is owner-occupied and another based on actual rent if it is leased out.
Patrick Sio
BT : All set for the future
Business Times - 24 Nov 2009
INDUSTRIAL SPACE
All set for the future
Despite the downturn, JTC is forging ahead with its new blueprint for an innovative industrial landscape
THE economic downturn curbed many organisation's appetite for growth and risk in the past year. But taking a step back was not an option for JTC Corporation, the agency responsible for spearheading Singapore's industrial development.
JTC is forging ahead with its blueprint for the future - and has a new chief executive to lead.
'For most, staying resilient in the wake of an economic crisis would mean taking measures to reduce costs and holding out until the storm blows over,' JTC said in its fifth Periscope magazine for 2009.
'JTC has done that and beyond. We charted new business territories targeted as future growth industries, while maintaining focus on investing in land infrastructure so Singapore will be ready to ride the next wave when the upturn comes.'
The agency's new chief executive Manohar Khiatani took the helm on Oct 1 - and is ready to take JTC to the next level. Mr Khiatani, who was previously deputy managing director at the Economic Development Board, has more than 20 years' experience in industrial development.
One of his priorities at JTC is to ensure the organisation stays close to its customers and understands their needs, he says in the foreword to Periscope. JTC is now better-positioned for this, having gone through an internal reorganisation recently.
Its business units used to be grouped according to development types, such as industrial parks and specialised parks. But since April, they have been arranged around key clusters such as electronics, info-communication, media, aerospace, marine, clean technology, bio-medicine, chemicals, engineering and logistics.
The reorganisation came after a strategic review, which began last year, to position JTC for the future. The review identified three strategic thrusts, one of which is to focus on economic clusters.
'This allows us to better support you through targeted planning and infrastructural solutions customised for the individual clusters,' Mr Khiatani said, addressing JTC's customers. 'You will have a single point of contact for all your needs and JTC officers will be in a better position to appreciate cluster trends and customer requirements.'
Besides internal restructuring, JTC continued to develop various large-scale cutting-edge projects. The strategic review also highlighted the need for the agency to continue investing in innovation and to optimise long-term land resources.
Projects include Seletar Aero+sPace (SAP), a 300 hectare centre for aerospace maintenance, repair and overhaul services; aircraft systems and components design and production; business and general aviation activity; and aviation research and education. Several aerospace players have signed up for space at SAP, which is expected to create more than 10,000 jobs when it is completed in 2018.
Catering to the budding digital media industry, JTC is also involved in developing the 19 ha Mediapolis at one-north. Collaborating with the Media Development Authority, Infocomm Development Authority and EDB, JTC will help build a centre with interactive digital media research labs, sound stages, media schools and other facilities.
Work on the Jurong Rock Cavern is also progressing. The underground cavern, measuring 27 metres high, 20 metres wide and 300 metres long, will provide secure storage for liquid hydrocarbons such as crude oil and naphtha when it is ready. The first phase will create 1.47 million cubic metres of storage when completed in 2014, and the planned second phase could generate another 1.32 million cubic metres of space.
Underground caverns are particularly functional in land-scarce Singapore - and JTC is coming up with more uses for them. It is exploring the possibility of building an underground science city at Kent Ridge and an underground warehouse-cum-logistics facility at Tanjong Kling.
Out at sea even, JTC is studying the creation of Very Large Floating Structures to provide storage capacity offshore.
'We are looking at creating solutions that will not only help us optimise land use, but also create a unique and differentiating advantage for industry clusters in Singapore,' Mr Khiatani told JTC's customers. 'We look forward to closely working with you to jointly generate and develop new ideas which will ensure that we are 'future-ready'.'
Mr Khiatani added that JTC is working on creating a 'borderless culture' internally and with other government agencies. 'This will enable us better understand and provide seamless solutions for you,' he said.
With its blueprint for the future laid out, JTC is all set for better performance ahead. 'With a strong foundation, we are confident of accelerated growth once global demand builds up again,' it said.
Cluster approach: Catering to the budding digital media industry, JTC is involved in developing the 19 ha Mediapolis (above) at one-north
Out at sea, it is studying the creation of Very Large Floating Structures to provide storage capacity offshore
On strong foundation: One of Mr Khiatani's priorities at JTC is to ensure the organisation stays close to its customers and understands their needs
Artist's impression of the component manufacturing & MRO facility at Seletar Aero+sPace
Underground caverns are particularly functional in land-scarce Singapore - and JTC is coming up with more uses for them
INDUSTRIAL SPACE
All set for the future
Despite the downturn, JTC is forging ahead with its new blueprint for an innovative industrial landscape
THE economic downturn curbed many organisation's appetite for growth and risk in the past year. But taking a step back was not an option for JTC Corporation, the agency responsible for spearheading Singapore's industrial development.
JTC is forging ahead with its blueprint for the future - and has a new chief executive to lead.
'For most, staying resilient in the wake of an economic crisis would mean taking measures to reduce costs and holding out until the storm blows over,' JTC said in its fifth Periscope magazine for 2009.
'JTC has done that and beyond. We charted new business territories targeted as future growth industries, while maintaining focus on investing in land infrastructure so Singapore will be ready to ride the next wave when the upturn comes.'
The agency's new chief executive Manohar Khiatani took the helm on Oct 1 - and is ready to take JTC to the next level. Mr Khiatani, who was previously deputy managing director at the Economic Development Board, has more than 20 years' experience in industrial development.
One of his priorities at JTC is to ensure the organisation stays close to its customers and understands their needs, he says in the foreword to Periscope. JTC is now better-positioned for this, having gone through an internal reorganisation recently.
Its business units used to be grouped according to development types, such as industrial parks and specialised parks. But since April, they have been arranged around key clusters such as electronics, info-communication, media, aerospace, marine, clean technology, bio-medicine, chemicals, engineering and logistics.
The reorganisation came after a strategic review, which began last year, to position JTC for the future. The review identified three strategic thrusts, one of which is to focus on economic clusters.
'This allows us to better support you through targeted planning and infrastructural solutions customised for the individual clusters,' Mr Khiatani said, addressing JTC's customers. 'You will have a single point of contact for all your needs and JTC officers will be in a better position to appreciate cluster trends and customer requirements.'
Besides internal restructuring, JTC continued to develop various large-scale cutting-edge projects. The strategic review also highlighted the need for the agency to continue investing in innovation and to optimise long-term land resources.
Projects include Seletar Aero+sPace (SAP), a 300 hectare centre for aerospace maintenance, repair and overhaul services; aircraft systems and components design and production; business and general aviation activity; and aviation research and education. Several aerospace players have signed up for space at SAP, which is expected to create more than 10,000 jobs when it is completed in 2018.
Catering to the budding digital media industry, JTC is also involved in developing the 19 ha Mediapolis at one-north. Collaborating with the Media Development Authority, Infocomm Development Authority and EDB, JTC will help build a centre with interactive digital media research labs, sound stages, media schools and other facilities.
Work on the Jurong Rock Cavern is also progressing. The underground cavern, measuring 27 metres high, 20 metres wide and 300 metres long, will provide secure storage for liquid hydrocarbons such as crude oil and naphtha when it is ready. The first phase will create 1.47 million cubic metres of storage when completed in 2014, and the planned second phase could generate another 1.32 million cubic metres of space.
Underground caverns are particularly functional in land-scarce Singapore - and JTC is coming up with more uses for them. It is exploring the possibility of building an underground science city at Kent Ridge and an underground warehouse-cum-logistics facility at Tanjong Kling.
Out at sea even, JTC is studying the creation of Very Large Floating Structures to provide storage capacity offshore.
'We are looking at creating solutions that will not only help us optimise land use, but also create a unique and differentiating advantage for industry clusters in Singapore,' Mr Khiatani told JTC's customers. 'We look forward to closely working with you to jointly generate and develop new ideas which will ensure that we are 'future-ready'.'
Mr Khiatani added that JTC is working on creating a 'borderless culture' internally and with other government agencies. 'This will enable us better understand and provide seamless solutions for you,' he said.
With its blueprint for the future laid out, JTC is all set for better performance ahead. 'With a strong foundation, we are confident of accelerated growth once global demand builds up again,' it said.
Cluster approach: Catering to the budding digital media industry, JTC is involved in developing the 19 ha Mediapolis (above) at one-north
Out at sea, it is studying the creation of Very Large Floating Structures to provide storage capacity offshore
On strong foundation: One of Mr Khiatani's priorities at JTC is to ensure the organisation stays close to its customers and understands their needs
Artist's impression of the component manufacturing & MRO facility at Seletar Aero+sPace
Underground caverns are particularly functional in land-scarce Singapore - and JTC is coming up with more uses for them
BT : Upgraders sidelined as home prices soar: DTZ
Business Times - 24 Nov 2009
Upgraders sidelined as home prices soar: DTZ
But private home dwellers enjoyed the party in Q3, buying more and paying more
By EMILYN YAP
(SINGAPORE) HDB upgraders account for a shrinking share of private home transactions as property prices rise and mass-market launches taper off.
In contrast, private housing dwellers are buying more property as economic sentiment improves, keeping the real estate market afloat.
According to property consultancy DTZ, buyers with HDB addresses picked up 4,065 private homes in the third quarter. This was 73 units or 1.8 per cent more than in the preceding quarter.
Though still rising in number, these deals are making up a smaller proportion of all sales. They accounted for 37 per cent of private home transactions in Q3, down from 44 per cent in Q2 and the recent peak of 56 per cent in Q1.
This reflects 'the diminishing buying power of HDB upgraders' as property prices rise, DTZ says. It notes that prices of private resale homes have climbed 9-22 per cent from their lows in Q1.
ERA Asia-Pacific associate director Eugene Lim points out that there were fewer mass-market launches in Q3. Encouraged by rising resale flat prices, HDB upgraders had gone for these more affordable projects in the early part of the year, reviving the property market.
But in October, the pricier Core Central Region (CCR) trumped other parts of the island in terms of the number of new private homes launched and sold. Developers pushed out 339 units in CCR, surpassing 40 in the Rest of Central Region (RCR) and 187 in the Outside Central Region (OCR).
Developers also sold 311 units in CCR, compared with 249 in RCR and 251 in OCR.
The buying mood may be wearing thin among HDB upgraders, but it is still strong among private housing dwellers. DTZ found that buyers with private addresses picked up 6,837 units in Q3 - 1,846 units or 37 per cent up from the previous quarter.
These deals accounted for 63 per cent of all transactions in Q3, rising from 56 per cent in Q2 and 44 per cent in Q1.
Buyers with private addresses 'are more excited now', says Jones Lang LaSalle's (JLL) head of South-east Asia research, Chua Yang Liang. This is the result of improving liquidity, buoyant stock markets and rosier economic sentiment, he says.
Not only are private housing dwellers buying more units, they are also paying more. According to DTZ, 66 per cent of them bought units that cost more than $1 million in Q3.
On the other hand, HDB upgraders had smaller budgets. The bulk of them - or 30 per cent - went for homes that cost between $600,001 and $800,000. Just 33 per cent of them paid more than $1 million.
Some 90 per cent of transactions involving buyers with HDB addresses were for homes outside Districts 9, 10 and 11. Many of them were attracted to The Gale in the Upper Changi area, Trevista in Toa Payoh, and Parc Imperial in Pasir Panjang.
Separately, analysing transactions in Q3 according to buyers' nationalities, DTZ found more foreigners were acquiring nests here.
There were 1,069 private home transactions involving foreigners, up 52 per cent from 703 in Q2 and more than six times 174 in Q1.
These deals accounted for 10 per cent of all transactions in Q3, up from 8 per cent in Q2. During the 2007 boom, this figure hit 13 per cent.
Singapore permanent residents (PRs) also became more active in the property market in Q3.
They accounted for 1,404 private home transactions, 27 per cent more than the 1,104 in Q2.
Among foreigners and PRs, Malaysians bought the most homes, accounting for 26 per cent of transactions. Indonesians took second place with a 19 per cent share, followed by mainland Chinese and Indians, with 14 and 12 per cent shares respectively.
Companies are also ramping up property purchases.
DTZ says the number of corporate transactions jumped more than four times to 225 in Q3.
Upgraders sidelined as home prices soar: DTZ
But private home dwellers enjoyed the party in Q3, buying more and paying more
By EMILYN YAP
(SINGAPORE) HDB upgraders account for a shrinking share of private home transactions as property prices rise and mass-market launches taper off.
In contrast, private housing dwellers are buying more property as economic sentiment improves, keeping the real estate market afloat.
According to property consultancy DTZ, buyers with HDB addresses picked up 4,065 private homes in the third quarter. This was 73 units or 1.8 per cent more than in the preceding quarter.
Though still rising in number, these deals are making up a smaller proportion of all sales. They accounted for 37 per cent of private home transactions in Q3, down from 44 per cent in Q2 and the recent peak of 56 per cent in Q1.
This reflects 'the diminishing buying power of HDB upgraders' as property prices rise, DTZ says. It notes that prices of private resale homes have climbed 9-22 per cent from their lows in Q1.
ERA Asia-Pacific associate director Eugene Lim points out that there were fewer mass-market launches in Q3. Encouraged by rising resale flat prices, HDB upgraders had gone for these more affordable projects in the early part of the year, reviving the property market.
But in October, the pricier Core Central Region (CCR) trumped other parts of the island in terms of the number of new private homes launched and sold. Developers pushed out 339 units in CCR, surpassing 40 in the Rest of Central Region (RCR) and 187 in the Outside Central Region (OCR).
Developers also sold 311 units in CCR, compared with 249 in RCR and 251 in OCR.
The buying mood may be wearing thin among HDB upgraders, but it is still strong among private housing dwellers. DTZ found that buyers with private addresses picked up 6,837 units in Q3 - 1,846 units or 37 per cent up from the previous quarter.
These deals accounted for 63 per cent of all transactions in Q3, rising from 56 per cent in Q2 and 44 per cent in Q1.
Buyers with private addresses 'are more excited now', says Jones Lang LaSalle's (JLL) head of South-east Asia research, Chua Yang Liang. This is the result of improving liquidity, buoyant stock markets and rosier economic sentiment, he says.
Not only are private housing dwellers buying more units, they are also paying more. According to DTZ, 66 per cent of them bought units that cost more than $1 million in Q3.
On the other hand, HDB upgraders had smaller budgets. The bulk of them - or 30 per cent - went for homes that cost between $600,001 and $800,000. Just 33 per cent of them paid more than $1 million.
Some 90 per cent of transactions involving buyers with HDB addresses were for homes outside Districts 9, 10 and 11. Many of them were attracted to The Gale in the Upper Changi area, Trevista in Toa Payoh, and Parc Imperial in Pasir Panjang.
Separately, analysing transactions in Q3 according to buyers' nationalities, DTZ found more foreigners were acquiring nests here.
There were 1,069 private home transactions involving foreigners, up 52 per cent from 703 in Q2 and more than six times 174 in Q1.
These deals accounted for 10 per cent of all transactions in Q3, up from 8 per cent in Q2. During the 2007 boom, this figure hit 13 per cent.
Singapore permanent residents (PRs) also became more active in the property market in Q3.
They accounted for 1,404 private home transactions, 27 per cent more than the 1,104 in Q2.
Among foreigners and PRs, Malaysians bought the most homes, accounting for 26 per cent of transactions. Indonesians took second place with a 19 per cent share, followed by mainland Chinese and Indians, with 14 and 12 per cent shares respectively.
Companies are also ramping up property purchases.
DTZ says the number of corporate transactions jumped more than four times to 225 in Q3.
BT : Median resale prices for exec condos soar 63%
Business Times - 24 Nov 2009
Median resale prices for exec condos soar 63%
Caveats lodged for ECs in October 2009 show prices at $519 psf, says CBRE
By UMA SHANKARI
(SINGAPORE) THE median resale prices of executive condominiums (ECs) have increased 63 per cent in the past two years, riding on the bull run in the private residential market, a report says.
Caveats lodged for ECs in the resale market in October 2009 showed prices at $519 per sq ft (psf), says CB Richard Ellis (CBRE). This is 63 per cent higher than at the bottom of the market in Q3 2006, when resale ECs were sold at $319 psf.
CBRE's analysis of caveats lodged between 2004 and early 2007 shows median EC prices in the resale market fluctuated within the $300-400 psf band, bottoming out at $319 psf in Q3 2006.
ECs are a hybrid of private and public housing. They are similar to private condominiums in terms of facilities and amenities, but eligibility requirements are almost similar to those for new HDB flats.
The EC was first introduced in 1996 when the property bull run caused new private condo prices to soar to above $600 psf.
The last EC launched was La Casa in May 2005. It was completed in early 2008. Since then no new EC projects have been launched. Since the second half of 2007, when the private residential market was peaking again, the government has placed up to four EC sites on the reserve list, but there have been no takers.
But in the recently announced government land sales programme for the first half of 2010, the government placed two EC sites on the confirmed list and three others on the reserve list, which is 'a clear signal that the government wants to provide the EC as an alternative housing choice for homebuyers from next year', says CBRE.
Currently, a 14 per cent price gap exists between the median prices of ECs and mass-market non-landed projects in the resale market, CBRE says.
'Our analysis shows that buyers who bought new ECs at various periods from 1996 when EC prices hovered at around $400 psf should benefit from the price appreciation in the past two years,' said Li Hiaw Ho, executive director of CBRE Research. 'The residential market run-up of 2007 lifted new EC prices to above the $500 psf mark.'
Going forward, CBRE says that if the price gap between the next new EC project and a new private non-landed leasehold project in the same location is attractive enough, buyer demand for EC developments will surely return. The firms expects the tender bids for the two EC sites to be offered in January 2010 on the confirmed list - Buangkok Drive/ Compassvale Bow and Yishun Avenue 11 - will be a function of developers' confidence in the EC market and their pricing strategy.
Median resale prices for exec condos soar 63%
Caveats lodged for ECs in October 2009 show prices at $519 psf, says CBRE
By UMA SHANKARI
(SINGAPORE) THE median resale prices of executive condominiums (ECs) have increased 63 per cent in the past two years, riding on the bull run in the private residential market, a report says.
Caveats lodged for ECs in the resale market in October 2009 showed prices at $519 per sq ft (psf), says CB Richard Ellis (CBRE). This is 63 per cent higher than at the bottom of the market in Q3 2006, when resale ECs were sold at $319 psf.
CBRE's analysis of caveats lodged between 2004 and early 2007 shows median EC prices in the resale market fluctuated within the $300-400 psf band, bottoming out at $319 psf in Q3 2006.
ECs are a hybrid of private and public housing. They are similar to private condominiums in terms of facilities and amenities, but eligibility requirements are almost similar to those for new HDB flats.
The EC was first introduced in 1996 when the property bull run caused new private condo prices to soar to above $600 psf.
The last EC launched was La Casa in May 2005. It was completed in early 2008. Since then no new EC projects have been launched. Since the second half of 2007, when the private residential market was peaking again, the government has placed up to four EC sites on the reserve list, but there have been no takers.
But in the recently announced government land sales programme for the first half of 2010, the government placed two EC sites on the confirmed list and three others on the reserve list, which is 'a clear signal that the government wants to provide the EC as an alternative housing choice for homebuyers from next year', says CBRE.
Currently, a 14 per cent price gap exists between the median prices of ECs and mass-market non-landed projects in the resale market, CBRE says.
'Our analysis shows that buyers who bought new ECs at various periods from 1996 when EC prices hovered at around $400 psf should benefit from the price appreciation in the past two years,' said Li Hiaw Ho, executive director of CBRE Research. 'The residential market run-up of 2007 lifted new EC prices to above the $500 psf mark.'
Going forward, CBRE says that if the price gap between the next new EC project and a new private non-landed leasehold project in the same location is attractive enough, buyer demand for EC developments will surely return. The firms expects the tender bids for the two EC sites to be offered in January 2010 on the confirmed list - Buangkok Drive/ Compassvale Bow and Yishun Avenue 11 - will be a function of developers' confidence in the EC market and their pricing strategy.
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