Singaporeans are required to pay a ABSD?

Should a citizen who are able to purchase a second or third property through the Total Debt Servicing Ratio (TDSR) regime even have to pay the Additional Buyer’s Stamp Duty (ABSD)? This was a question presented by Mr Christopher De Souza in Parliament on Monday, reported Channel NewsAsia.

He encouraged the authorities while retaining the ABSD for foreigners and TDSR for Singaporeans to remove the ABSD for Singaporeans.

“By keeping the TDSR, the Singaporean is only going to be allowed a credit line that’s within his means. By retaining the ABSD for foreigners, we help ensure that the foreigners WOn’t enter the Singaporean market in an exceedingly speculative way,” said the MP for Holland-Bukit Timah GRC. (See Cairnhill Nine Condo )

First introduced in December 2011, the ABSD was revised upwards in January 2013 to rein in Singapore’s escalating residential property costs.

Singaporeans are required to pay a ABSD of seven percent for a second property, and 10 percent for a third and following property. However, foreigners have to pay a ABSD of 15 percent for their first and subsequent property purchases.

The TDSR framework restricts the amount borrowers can spend on debt repayments to 60 percent of their gross monthly income.

New launch by Tee Land

183 Long Haus is a mixed-used development by Tee Land Limited.

Dwelling 16,960 sqft of freehold Haus is strategically Long site, 183 situated near to 2 MRT Stations, 500m from the Marymount MRT Station, and about 350m from the forthcoming Upper Thomson Station. 183 Long Haus is also conveniently situated within proximity to the stretch of shopping, dining and amusement facilities along Upper Thomson Road and also Thomson Plaza. Vehicular access to other areas of the isle is enriched by its own close proximity to Pan Island Expressway and Central Expressway. As the space is becoming more accessible with the coming Thomson-East Coast Line, demand for 183 Long Haus is anticipated to be huge.

Luxurious house sales continue to stumble

Luxurious house sales continued to stumble in the 3rd quarter with 188 units in Q3 2013 and 112 high-end flats sold, down from 162 units during the exact same period a year past, reported The Straits Times mentioning evaluation from DTZ Research.

The consultancy said that high end flats also accounted for a smaller percentage of overall secondary non-landed sales.

“Another reason is the cost difference between sellers and buyers. Sellers (of high-end houses) have better holding power compared with those of mass market condominiums. At exactly the same time, buyers have been searching for steep reductions.”

This really is comparable to the 32 houses worth $274.9 million sold during the same span last year and 23 houses worth $244 million finding buyers in 2013.

Top-selling jobs in the primary market this year include d’Leedon Leedon Home and Palms @ Sixth Avenue.

In the secondary sales marketplace, the most popular developments contain St Regis Homes Goodwood Home and Urban Resort Condominium, not forgetting the upcoming new commercial project, Centrium square tong eng brothers 

Dr Lee added that while the variety of foreign purchases of high end flats have usually decreased, purchases by Indian and Malaysian buyers are the most bouncy.

37 percent fell from a couple of years back to 34 units in Q2, while those by Malaysians dipped to 32 units by 18 percent

New Rules For Property Developers

Property developers are required to declare that showflats correctly represent the units offered for sale, assuring prospective buyers that what they see is what they’ll really get, reported Channel NewsAsia.

Under the new rules, show units assembled after 20 July should accurately represent the actual units offered on the market. Actually, the Controller of Housing will run spot checks to ensure developers comply with the changes, said the Urban Redevelopment Authority (URA).

Those found to be flouting the rules are going to have their licences suspended or revoked.

Meanwhile, property agents are also making it a point to advise buyers of the changes.

“The agents choose a proactive way of tell the consumers where there are indicating signs to say this is actually the layout of the balcony, or for that matter, some of these things can be visualised with regard to the height, the finishings, and they do that. And we’ve done that as part of the training before starting the showflat to the consumers,” said PropNex Realty CEO Mohamed Ismail.

Some prospective buyers have welcomed the new rules, saying that they are a good change.

“Undoubtedly with all these labels, I feel safer knowing that what I see in the showflat will be correctly reflected in my dwelling,” said Joe Sim.

“I have been to other show galleries previously and there is always this wrong impression given. With these indexes, I believe it is a good thing. Now I understand the actual size of the unit I am buying, how it actually feels like and the unit’s total theory,” included Daniel Yeo.

Signature at Yishun ECs and the Criterion, which are establishing around the same time, are among the first jobs to be impacted by the latest URA rules.

Signature at Yishun sold 100 units at an average cost of $750 psf after it opened for bookings on 26 September, while sales will be commenced by The Criterion EC on 10 October.

After GE – 16 town councils formed

The Ministry of National Development (MND) announced on Thursday that 16 town councils are formed after the General Election.

Of these, two (Marsiling and Jalan Besar -Yew Tee) are recently formed, 13 are reconstituted, while Tampines stays unchanged.

Meanwhile, the town councils of Potong Pasir and Moulmein Kallang were broken up.

With effect from yesterday, the Jalan Besar Town Council will assume the managing of places in Potong Pasir SMC and Jalan Besar GRC.

Places in Marsiling-Yew Tee GRC that were formerly managed by Chua Chu Kang and Sembawang town councils, will be managed by Marsiling-Yew Tee Town Council with effect from 1 December 2015.

Notably, Aljunied-Hougang-Punggol East’s town council was renamed Aljunied Hougang, while Jurong and East Coast were renamed East Coast-Fengshan and Jurong-Clementi respectively.

Other include Bishan-Toa Payoh, Holland- Sembawang, Marine Parade, Bukit Panjang, West Coast and Tanjong Pagar.

MND said it “motivates all town councils to work jointly to make sure a smooth transition, so the needs of all residents may continue to be served.”

Check out the latest upcoming new launch, The Andrew Residences