Singapore - Housing 17 (Feb 16 - Mar 19)

Re: Singapore - Housing 17 (Feb 16 - Dec 18)

Postby winston » Fri Jul 06, 2018 9:09 am

Singapore developer stocks seen falling after surprise property curbs

SINGAPORE, July 6 (Reuters) - Shares of Singaporean real estate developers are expected to fall on Friday, a day after a surprise government move to tighten curbs on property in a bid to cool the market.

On Thursday, Singapore authorities raised an additional stamp duty on property purchases by five percentage points forsome home buyers and tightened housing loans limits.

[nL4N1U13VB] The city-state's housing market has been recovering since the third quarter of 2017 after nearly four years of price declines. Private homes prices have risen by 9.1 percent over the past year.

"To me, it is quite shocking," said Christine Li, seniordirector of research at real estate services firm Cushman and Wakefield in Singapore. "There will be a knee-jerk reaction in property stocks.

Property companies, including City Developments and Keppel Corp's property division, have been buying land in government sales or in collective sales, where they purchase existing apartment blocks for re-building.

Based on the land parcels that were sold in the past two years, there are some 28,000 to 30,000 private residential housing units that could be developed for launched in the next two years, said Nicholas Mak, executive director at ZACD Group.

"Private residential price growth will slow down and may even start to stagnate by the end of this year," he added.

Source: Reuters
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
User avatar
winston
Billionaire Boss
 
Posts: 118528
Joined: Wed May 07, 2008 9:28 am

Re: Singapore - Housing 17 (Feb 16 - Dec 18)

Postby winston » Fri Jul 06, 2018 9:41 am

Singapore Residential Sector: Sledgehammer to kill a fly

Last evening, the Singapore Government announced that it would raise ABSD and tighten LTV limits, with developers also having to pay an additional non-remittable ABSD on residential properties for housing development.

These cooling measures were not in our base case, given that private residential prices have only started to increase by less than 10% since the 2Q17 trough, while the smaller rate of QoQ increase in 2Q18 appeared to have dispelled concerns about a tighter regulatory environment.

While we previously argued that the positive outlook presented a buying opportunity in the midst of the sector correction, we no longer believe this to be the case.

Referencing the previous comprehensive package of cooling measures introduced in Jan 2013, we note that the FSTREH declined by up to ~28% after approximately 37 months (Feb 2016), with the next day following the announcement closing at -3.0%.

Coupled with the current macro uncertainties, near-term sentiment would be highly likely to sour. We expect shares prices of local property developers to see an immediate negative knee-jerk reaction.

We downgrade our Singapore residential sector rating from Overweight to NEUTRAL, and will be reviewing our recommendations of the developers under our coverage.


Source: OCBC
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
User avatar
winston
Billionaire Boss
 
Posts: 118528
Joined: Wed May 07, 2008 9:28 am

Re: Singapore - Housing 17 (Feb 16 - Dec 18)

Postby winston » Sat Jul 07, 2018 11:58 am

Singapore Developers Attack Cooling Measures, Straits Times Says

By Joyce Koh

Group says there’s ‘no rationale’ for curbs, newspaper reports
Developers’ shares tumble on Friday after clampdown announced

Source: Bloomberg

https://www.bloomberg.com/news/articles ... times-says
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
User avatar
winston
Billionaire Boss
 
Posts: 118528
Joined: Wed May 07, 2008 9:28 am

Re: Singapore - Housing 17 (Feb 16 - Dec 18)

Postby behappyalways » Tue Jul 17, 2018 3:41 pm

Fall in June private new home sales due to new high prices: analysts
https://www.edgeprop.sg/property-news/f ... s-analysts
血要热 头脑要冷 骨头要硬
behappyalways
Millionaire Boss
 
Posts: 39914
Joined: Wed Oct 15, 2008 4:43 pm

Re: Singapore - Housing 17 (Feb 16 - Dec 18)

Postby behappyalways » Thu Jul 19, 2018 1:31 pm

(Those with a large landbank might be facing a perfect storm ahead.....)

On Tuesday, Mr Tan cautioned that the oversupply situation could be exacerbated. The current unsold inventory and new supply totalling more than 59,500 units are sufficient to meet demand for about six to seven years, he estimated. This is on the assumption that the 6,500 displaced owners from successful collective sales from last year till the first half of this year do not downgrade to public housing, he said.


Property cooling measures scuppered ‘long awaited’ recovery, could worsen supply glut: Redas
https://www.todayonline.com/singapore/p ... glut-redas
血要热 头脑要冷 骨头要硬
behappyalways
Millionaire Boss
 
Posts: 39914
Joined: Wed Oct 15, 2008 4:43 pm

Re: Singapore - Housing 17 (Feb 16 - Dec 18)

Postby winston » Thu Jul 19, 2018 3:23 pm

If that's the case, why so Kiasu to implement new property curbs?
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
User avatar
winston
Billionaire Boss
 
Posts: 118528
Joined: Wed May 07, 2008 9:28 am

Re: Singapore - Housing 17 (Feb 16 - Dec 18)

Postby behappyalways » Thu Jul 19, 2018 3:45 pm

Runaway prices....


Government can do more to increase housing choices
https://www.straitstimes.com/opinion/go ... ng-choices
血要热 头脑要冷 骨头要硬
behappyalways
Millionaire Boss
 
Posts: 39914
Joined: Wed Oct 15, 2008 4:43 pm

Singapore - Market Direction 11 (Nov 14 - Dec 18)

Postby behappyalways » Fri Jul 20, 2018 2:17 pm

Wheelock Deal Spurs Singapore Property Stocks Buyout Speculation
https://www.edgeprop.sg/property-news/w ... peculation
血要热 头脑要冷 骨头要硬
behappyalways
Millionaire Boss
 
Posts: 39914
Joined: Wed Oct 15, 2008 4:43 pm

Re: Singapore - Housing 17 (Feb 16 - Dec 18)

Postby behappyalways » Fri Jul 20, 2018 2:49 pm

Chart of the Day: Number of unsold homes hit three-month high at 1,590 units in June
https://sbr.com.sg/residential-property ... ts-in-june
血要热 头脑要冷 骨头要硬
behappyalways
Millionaire Boss
 
Posts: 39914
Joined: Wed Oct 15, 2008 4:43 pm

PreviousNext

Return to Archives

Who is online

Users browsing this forum: No registered users and 11 guests

cron