Property industry experts are hoping to see a reduction of some of the previous market cooling measures in the Singapore Budget 2014, which will be revealed by Deputy Prime Minister and Minister for Finance Tharman Shanmugaratnam (pictured) on February 21, 2014
Tweaks, or an entire roll-back of the additional buyers stamp duty (ABSD) and the total debt service ratio (TDSR) would be most welcomed by the sector.
Donald Han, Managing Director at Chesterton Singapore, said: “Our wish is for the government to consider scaling back or loosening certain measures which have yielded the desired results.”
Notably, the introduction of the ABSD as well as the seller’s stamp duty saw sub-sales and foreigners’ participation rates in the Singapore property market hit new lows, while the TDSR framework has successfully slammed the brakes on skyrocketing property prices and transaction volumes.
Han added that reviewing these policies will give foreign investors the “right signal.”
With concerns over the global economy, CDL’s Executive Chairman Kwek Leng Beng has suggested that it is time for the government to tweak the property measures, especially as the real estate market starts to cool.
Speaking at the Real Estate Developers’ Association of Singapore (Redas) Spring Festival lunch on Friday, Mr Kwek said: “Since 2009, the Government has introduced a series of measures to control the real estate prices, to ensure home ownerships to Singaporeans are affordable with sufficient supply especially for first-time homebuyers. This is commendable.”
“As the property market starts to cool, I would like to humbly suggest that this may be the right time to tweak the control measures in the light of concern over the global economy even in the year of the horse. It does take time for the medicine to work. Both the private and public sectors want a soft landing,” he added.
Mr Kwek also took the opportunity to urge property developers to work together with the government to ensure a sustainable property market.
The Iskandar Malaysia just up north, also experienced a cooling of buying fever in the last quarter of 2013 to now in Feb 2014. However the fundamantals in Iskandar Malaysia remain strong and on track in its transformation towards a Metropolis by 2025. A few China big listed developers have entered the market to JV with the Sultan of Johor. Singapore and KL developers, like KL Kepong are still scooping up sites in Iskandar Malaysia. The UEM Sunrise and KL Kepong joined hands to develop Gerbang Nusajaya and Fraser Metropolis in Kulai for a gross development value GDV of RM20 billion!
The long awaiting Avira Wellness Resort would be launching its first phase of terraces in March 2014 in Trader’s Hotel by balloting, with prices from 1.32 Million for 220 sq ft of built in area and a land area of 27×65 feet = 1755 sq ft. The Sunway Medini, the iMedini Walk by the Tang Group, the Medini Lakeside by UM Land, The Media Village by Link THM, Sun Suria Medini, Centurion project in Medini, etc are lining up to launch this year and the excitement would certainly catch up here in Iskandar Malaysia again……Stay tuned here for the latest information and investment!