{"id":106676,"date":"2019-04-29T12:46:22","date_gmt":"2019-04-29T05:46:22","guid":{"rendered":"http:\/\/www.siamlandbank.com\/propertynews\/property-news\/home-prices-to-hold-steady-despite-property-cooling-measures\/"},"modified":"2019-04-29T13:03:19","modified_gmt":"2019-04-29T06:03:19","slug":"home-prices-to-hold-steady-despite-property-cooling-measures","status":"publish","type":"post","link":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/home-prices-to-hold-steady-despite-property-cooling-measures\/","title":{"rendered":"Home Prices To Hold Steady Despite Property Cooling Measures"},"content":{"rendered":"


\nDarren Teo, head of research at Edmund Tie and Company, believes that residential property prices will remain firm even with the latest cooling measures in place.
\nDespite last year\u2019s property cooling measures, Edmund Tie and Company expects residential property prices to remain relatively stable.\u00a0
\nPrior to the latest cooling measures that were rolled out in 2018, the last time similar regulations were introduced was in 2013. To moderate the private residential property market, the Total Debt Servicing Ratio (TDSR) framework was introduced that year.
\nAlthough the measures led to a drop in sales and prices in 2014, the market began picking up again in the second quarter of 2017, with the momentum carried over to 2018.
\nWith this, Darren Teo, head of research at Edmund Tie and Company, believes that residential property prices will remain firm even with the latest cooling measures in place.
\nThis comes as most developers launching new projects this year had paid high prices for land during the en bloc fever that commenced at around May 2017, says Teo in his commentary on Channel News Asia.
\nSEE ALSO:\u00a066% Of Singaporeans Say Properties Are \u2018Value For Money\u2019
\nDevelopers will also be more willing to maintain prices and accept a lower sell-down rate rather than resort to discounting, which may devalue the overall project as well as disappoint earlier buyers who forked out higher prices, Teo opines.
\nSome developers may be incentivised to resort to heavy discounting to sell all remaining units within five years of being awarded the land in order to recoup the remissible portions of developer\u2019s Additional Buyer\u2019s Stamp Duty (ABSD), which is sizable at 25 per cent (an increase from the previous 15 per cent). However, Teo shares that the number of developments that will reach the five-year deadline from now till 2020 is relatively low, with less than 200 units in total.
\nInstead of steep offering discounts, he expects developers to position their projects more competitively moving forward, especially in view of the large supply of properties in the pipeline.
\nAside from early bird discounts, developers may offer higher sales commissions to agents as well as deferred payment arrangements for completed project in order to boost sales, Teo adds.
\n\u201cTaken together, I expect potential downward pressure for the resale market of older, less well-located and well-amenitised estates due to stiff competition from new project launches,\u201d he concludes.
\nHome buyers looking for\u00a0Singapore Properties\u00a0may like to visit our\u00a0Listings,\u00a0Project Reviews\u00a0and\u00a0Guides.
\nFiona Ho, Digital Content Manager at PropertyGuru, edited this story. To contact her about this or other stories, email\u00a0fiona@propertyguru.com.sg
\n
\nSource : proppertyguru.com.sg\/Property Market
\nRead more…Home Prices To Hold Steady Despite Property Cooling Measures<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Darren Teo, head of research at Edmund Tie and Company, believes that residential property prices...<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"false","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":"","jetpack_publicize_message":"","jetpack_is_tweetstorm":false,"jetpack_publicize_feature_enabled":true},"categories":[1],"tags":[],"class_list":["post-106676","post","type-post","status-publish","format-standard","hentry","category-property-news"],"jetpack_featured_media_url":"","jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p75ss1-rKA","jetpack-related-posts":[{"id":115814,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/home-buyers-to-remain-cautious-in-the-short-term\/","url_meta":{"origin":106676,"position":0},"title":"Home buyers to remain cautious in the short term","date":"April 23, 2020","format":false,"excerpt":"\r Singapore\u2019s residential property market has been muted in the first quarter of 2020, with private home prices declining 1.2% quarter-on-quarter \u2013 or its first quarterly drop since the first quarter of 2019. This comes even as banks revised their home-loan offerings to attract borrowers, according to Edmund Tie. With\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":101756,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/cooling-measures-dampened-buying-sentiment-in-q3-report\/","url_meta":{"origin":106676,"position":1},"title":"Cooling measures dampened buying sentiment in Q3: report","date":"November 28, 2018","format":false,"excerpt":"\r En bloc sales in Singapore have come to a halt while residential sales have also suffered. The government\u2019s latest round of property cooling measures dampened buying sentiment in the private residential market during the third quarter of 2018, said Edmund Tie & Company (ET&Co) in a report. This comes\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":123856,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/harder-hitting-cooling-measures-to-affect-home-sales-en-bloc-market\/","url_meta":{"origin":106676,"position":2},"title":"\u2018Harder hitting\u2019 cooling measures to affect home sales, en bloc market","date":"December 17, 2021","format":false,"excerpt":"\r \u2018Harder hitting\u2019 cooling measures to affect home sales, en bloc marketThe new Singapore property cooling measures might see a slow down in the new home sales for December and curbed momentum in the en bloc market. Analysts expect the latest property cooling measures, which describe as \u201charder hitting\u201d, to\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"https:\/\/i1.wp.com\/www.siamlandbank.com\/propertynews\/wp-content\/uploads\/2021\/12\/HDB-RESALE-PRICES.jpg?fit=820%2C410&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":100494,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/residential-investment-sales-plunge-63-in-q3\/","url_meta":{"origin":106676,"position":3},"title":"Residential investment sales plunge 63% in Q3","date":"October 25, 2018","format":false,"excerpt":"\r Investment sales in the residential sector plunged to $2.2 billion due to a lackluster en bloc market. Overall property investment sales in Singapore declined from nearly $10 billion in the previous quarter to $6.5 billion in Q3 2018 following the introduction of new property cooling measures in July, according\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":111506,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/hike-in-private-home-prices-does-not-allude-to-a-buoyant-market\/","url_meta":{"origin":106676,"position":4},"title":"Hike in private home prices does not allude to a buoyant market","date":"October 11, 2019","format":false,"excerpt":"\r Experts at Edmund Tie & Company noted that higher land prices, declining average sell-down rates and compressing developer\u2019s margin show that the market isn\u2019t as \u2018buoyant\u2019 like it appears. While private residential prices appeared to have diverged from economic fundamentals as it continued to increase for the second consecutive\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":101328,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/property-cooling-measures-averted-a-10-15-growth-in-home-prices\/","url_meta":{"origin":106676,"position":5},"title":"Property cooling measures averted a 10-15% growth in home prices","date":"November 16, 2018","format":false,"excerpt":"\r National Development Minister Lawrence Wong clarified that the government wants to stabilise the property market so that prices may move broadly in line with income growth. 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