{"id":123853,"date":"2021-12-17T03:59:03","date_gmt":"2021-12-16T20:59:03","guid":{"rendered":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/singapore-property-stocks-fall-amid-new-cooling-measures\/"},"modified":"2021-12-17T12:07:14","modified_gmt":"2021-12-17T05:07:14","slug":"singapore-property-stocks-fall-amid-new-cooling-measures","status":"publish","type":"post","link":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/singapore-property-stocks-fall-amid-new-cooling-measures\/","title":{"rendered":"Singapore property stocks fall amid new cooling measures"},"content":{"rendered":"


\nThe latest round of cooling measures, which saw higher ABSD rates, a tighter TDSR threshold and a lower LTV limit for HDB-granted loans, impacted Singapore property stocks negatively.
\nSingapore\u2019s property firms saw their shares drop on Thursday (16 December) following the Government\u2019s unexpected announcement of new property cooling measures, reported Channel News Asia (CNA).
\nCity Developments fell by over 3% in early trade before recovering at $6.89 as of 2.49pm, down 2.6% or $0.18 lower.
\nUOL lost 1.1%, or $0.08, to $7.02, while Oxley Holdings fell 2.1% to $0.18.
\nPropNex retreated 4.5% to $1.70, after falling by as much as 11% in early trade. APAC Realty fell 8.5% to $0.70, trimming its earlier losses of over 10%.
\nThe latest cooling measures included higher Additional Buyer\u2019s Stamp Duty (ABSD), tighter Total Debt Servicing Ratio (TDSR) threshold and lower the Loan-to-Value (LTV) limits for HDB loans.
\nCGS-CIMB analyst Lock Mun Yee believes the measures are aimed at \u201ccooling investment\u201d instead of owner-occupier demand and dampen market demand as well as volume demand in the near term.
\nExpecting some \u201cknee-jerk reaction\u201d, Christine Sun, Senior Vice-President of Research and Analytics at OrangeTee & Tie sees sales volumes slowing down for around six months.
\nPrivate home prices, on the other hand, may stabilise and increase at a much slower pace in 2022, she said. In fact, OrangeTee & Tie has trimmed its earlier price forecast of between 6% and 9% growth to between 0% and 3%.
\nOCBC Investment Research Head Carmen Lee said the latest measures directly affect two types of property stocks \u2013 the property agencies and the developers.
\nShe believes that the initial impact on developers was more measured, while real estate agencies have taken a bigger hit considering how their share prices registered significant gains in 2021.
\n\u201cIt is our view that the sales and transactional nature of the agencies\u2019 operations are perceived to be affected more directly by the cooling measures, as opposed to the developers who are \u2018shielded\u2019 to a certain extent by diversified portfolios of assets,\u201d she added.
\nHowever, RHB Analyst Vijay Natarajan does not expect the downward trend in property stock prices to persist following the initial knee-jerk sell-off.
\n\u201cWe believe the market has been anticipating this for some time and pricing it in, although the measures in our view are slightly more harsher than anticipated,\u201d he told CNA.
\nMeanwhile, Lee believes the latest cooling measures did not come as a great shock to the Singapore market considering the familiarity of property buyers and investors to the additional duties and taxes.
\n\u201cUnless buyers are purchasing more than one property for investment, they remain relatively unaffected,\u201d she said as quoted by CNA.
\n\u201cOverall, we assess that the latest measures are fundamentally meant to ensure that there continues to be enough supply of affordable homes for citizens or PRs who truly need a first home, and that they have enough funds to purchase it.\u201d
\nLooking for a property in Singapore? Visit PropertyGuru\u2019s\u00a0Listings,\u00a0Project Reviews\u00a0and\u00a0Guides.
\nCheryl Chiew, Digital Content Specialist at PropertyGuru, edited this story. To contact her about this story, email:\u00a0cheryl@propertyguru.com.sg.
\n
\nSource : proppertyguru.com.sg\/Property Market
\nRead more…Singapore property stocks fall amid new cooling measures<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

The latest round of cooling measures, which saw higher ABSD rates, a tighter TDSR threshold...<\/p>\n","protected":false},"author":1,"featured_media":123854,"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-123853","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-property-news"],"jetpack_featured_media_url":"https:\/\/i1.wp.com\/www.siamlandbank.com\/propertynews\/wp-content\/uploads\/2021\/12\/singapore-city.jpg?fit=820%2C410&ssl=1","jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p75ss1-wdD","jetpack-related-posts":[{"id":100382,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/sentiment-among-property-developers-down-on-july-cooling-measures\/","url_meta":{"origin":123853,"position":0},"title":"Sentiment among property developers down on July cooling measures","date":"October 23, 2018","format":false,"excerpt":"\r The latest round of cooling measures were described as unexpected and surprising, as well as extremely disruptive. Property cooling measures announced in July have dampened sentiment in the property market, with the Real Estate Sentiment Index (RESI) falling sharply to 4.0 in Q3 from 6.6 in Q2, reported the\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":123853,"position":1},"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":123833,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/singapore-unveils-new-property-cooling-measures\/","url_meta":{"origin":123853,"position":2},"title":"Singapore unveils new property cooling measures","date":"December 16, 2021","format":false,"excerpt":"\r Singapore unveils new property cooling measuresThe new Singapore property cooling measures, which include a higher ABSD, lower TDSR, and tighter LTV, will take effect from today, 16 December 2021. The Government on Wednesday (15 December) unveiled a package of measures to cool the private residential and HDB resale markets.\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.siamlandbank.com\/propertynews\/wp-content\/uploads\/2021\/12\/Buildings-singapore.jpg?fit=820%2C410&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":123859,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/govt-carefully-considered-scope-timing-of-new-cooling-measures\/","url_meta":{"origin":123853,"position":3},"title":"Gov\u2019t carefully considered scope, timing of new cooling measures","date":"December 17, 2021","format":false,"excerpt":"\r Gov\u2019t carefully considered scope, timing of new cooling measuresThe higher ABSD aims to moderate the demand from those who wish to purchase investment properties, while tighter loan limits aim to encourage \u201cgreater financial prudence\u201d among home buyers. The Government has \u201ccarefully considered\u201d the scope and timing of the new\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"https:\/\/i2.wp.com\/www.siamlandbank.com\/propertynews\/wp-content\/uploads\/2021\/12\/singapore-marina.jpg?fit=820%2C411&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":98473,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/investors-eschew-property-developers-post-cooling-measures\/","url_meta":{"origin":123853,"position":4},"title":"Investors eschew property developers post cooling measures","date":"September 25, 2018","format":false,"excerpt":"\r Weak interest seen for developer shares in Singapore.\u00a0 Stock pickers are shunning home builders in favour of Singapore real estate investment trusts (S-REITs) following the imposition of new real estate curbs in July, reported Bloomberg. \u201cThe market had not expected the severity of the measures announced,\u201d said Vijay Natarajan,\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":94189,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/new-property-curbs-to-erode-market-confidence-says-redas\/","url_meta":{"origin":123853,"position":5},"title":"New property curbs to erode market confidence, says REDAS","date":"July 18, 2018","format":false,"excerpt":"\r The new property curbs are a \u201cbig setback\u201d for Singapore\u2019s property sector, according to the Real Estate Developers\u2019 Association of Singapore (REDAS) in a report by the Business Times. These new cooling measures will impact the confidence of property developers, investors and home buyers, said REDAS President Augustine Tan.\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/123853"}],"collection":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/comments?post=123853"}],"version-history":[{"count":0,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/123853\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/media\/123854"}],"wp:attachment":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/media?parent=123853"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/categories?post=123853"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/tags?post=123853"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}