‘Tweaks' To Property Cooling Measures Worth Exploring Say Industry Players

While real estate industry practitioners understand the Government’s intention in keeping the property cooling measures intact, it is still worth reviewing the curbs as some may have become “redundant” given how effective the Total Debt Servicing Ratio (TDSR) has been in keeping prices in check. That was the takeaway from a discussion at the annual National Real Estate Congress today (Aug 12), where the panelists singled out the Seller’s Stamp Duty (SSD) and Additional Buyer’s Stamp Duty (ABSD) as measures worth reviewing. ERA’s key executive officer Eugene Lim singled out the SSD as a measure that has become unnecessary given that speculative activity in the local property market has declined. The panelists also suggested that ABSD for local buyers be either lowered or removed to allow Singaporeans to own their second properties. “Since TDSR is already preventing people from over-gearing, I don’t think tweaking ABSD for local buyers will cause prices to shoot up again. Developers also have a lot of stock to clear, so prices can’t shoot up,” said Mr Lim. Source: Today â€" 13 August 2014
View original post: ‘Tweaks' To Property Cooling Measures Worth Exploring Say Industry Players

Time To Review Cooling Steps Say Property Players

Even though the government has reiterated that it is not yet time to lift the property cooling measures, some real estate consultants are calling for a review of the earlier taxes imposed to rein in speculators, which they claim have an inflationary effect. Consultants felt that with the implementation of total debt servicing ratio (TDSR) to cap total borrowings at 60 per cent of gross monthly income, the additional buyer's stamp duty (ABSD) and the seller's stamp duty (SSD) have become less relevant. Speaking at the National Real Estate Congress yesterday, ERA Realty key executive officer Eugene Lim, , felt that it was "safe to remove SSD now" given that sub-sales, which serve as an indication of speculative activity, are low across all property types. Currently, the SSD kicks in if a residential property is sold within four years of acquisition. "Perhaps, it is an opportune time to review the measures that were implemented to tackle speculative buying and selling and whether the holding period under SSD is necessary at this point now," he added. While acknowledging that economists have flagged ample Asian liquidity waiting to enter the market, Mr Lim felt that the ABSD, while imposing a higher tax on foreigners, still penalises Singaporeans who wish to own a property for owner-occupation and another for investment. Sing Tien Foo, deputy head of the department of real estate at the National University of Singapore, also touched on the government's supply-side policy. He noted that the impact of the ramp-up in residential supply - be it on prices or buyers' behaviour - is "yet to be fully understood at this moment". Given that it has become more costly to buy properties in Singapore, consultants said that there is greater interest than before in overseas properties among Singaporeans. Consumers Association of Singapore (Case) executive director Seah Seng Choon said that he had once come across an advertisement on the Internet touting returns of 100 per cent for an overseas property. He urged real estate agents not to "over-sell" or confuse buyers where overseas properties are concerned. Source: Business Times â€" 13 August 2014
View original post: Time To Review Cooling Steps Say Property Players

Time To Review Cooling Steps Say Property Players

Even though the government has reiterated that it is not yet time to lift the property cooling measures, some real estate consultants are calling for a review of the earlier taxes imposed to rein in speculators, which they claim have an inflationary effect. Consultants felt that with the implementation of total debt servicing ratio (TDSR) to cap total borrowings at 60 per cent of gross monthly income, the additional buyer's stamp duty (ABSD) and the seller's stamp duty (SSD) have become less relevant. Speaking at the National Real Estate Congress yesterday, ERA Realty key executive officer Eugene Lim, , felt that it was "safe to remove SSD now" given that sub-sales, which serve as an indication of speculative activity, are low across all property types. Currently, the SSD kicks in if a residential property is sold within four years of acquisition. "Perhaps, it is an opportune time to review the measures that were implemented to tackle speculative buying and selling and whether the holding period under SSD is necessary at this point now," he added. While acknowledging that economists have flagged ample Asian liquidity waiting to enter the market, Mr Lim felt that the ABSD, while imposing a higher tax on foreigners, still penalises Singaporeans who wish to own a property for owner-occupation and another for investment. Sing Tien Foo, deputy head of the department of real estate at the National University of Singapore, also touched on the government's supply-side policy. He noted that the impact of the ramp-up in residential supply - be it on prices or buyers' behaviour - is "yet to be fully understood at this moment". Given that it has become more costly to buy properties in Singapore, consultants said that there is greater interest than before in overseas properties among Singaporeans. Consumers Association of Singapore (Case) executive director Seah Seng Choon said that he had once come across an advertisement on the Internet touting returns of 100 per cent for an overseas property. He urged real estate agents not to "over-sell" or confuse buyers where overseas properties are concerned. Source: Business Times â€" 13 August 2014
View original post: Time To Review Cooling Steps Say Property Players

Time to review cooling steps, say property players

Even though the government has reiterated that it is not yet time to lift the property cooling measures, some real estate consultants are calling for a review of the earlier taxes imposed to rein in speculators, which they claim have an inflationary effect. Consultants felt that with the implementation of total debt servicing ratio (TDSR) to cap total borrowings at 60 per cent of gross monthly income, the additional buyer's stamp duty (ABSD) and the seller's stamp duty (SSD) have become less relevant. Speaking at the National Real Estate Congress yesterday, ERA Realty key executive officer Eugene Lim, , felt that it was "safe to remove SSD now" given that sub-sales, which serve as an indication of speculative activity, are low across all property types. Currently, the SSD kicks in if a residential property is sold within four years of acquisition. "Perhaps, it is an opportune time to review the measures that were implemented to tackle speculative buying and selling and whether the holding period under SSD is necessary at this point now," he added. While acknowledging that economists have flagged ample Asian liquidity waiting to enter the market, Mr Lim felt that the ABSD, while imposing a higher tax on foreigners, still penalises Singaporeans who wish to own a property for owner-occupation and another for investment. Sing Tien Foo, deputy head of the department of real estate at the National University of Singapore, also touched on the government's supply-side policy. He noted that the impact of the ramp-up in residential supply - be it on prices or buyers' behaviour - is "yet to be fully understood at this moment". Given that it has become more costly to buy properties in Singapore, consultants said that there is greater interest than before in overseas properties among Singaporeans. Consumers Association of Singapore (Case) executive director Seah Seng Choon said that he had once come across an advertisement on the Internet touting returns of 100 per cent for an overseas property. He urged real estate agents not to "over-sell" or confuse buyers where overseas properties are concerned. Source: Business Times â€" 13 August 2014
View original post: Time to review cooling steps, say property players

Time to review cooling steps, say property players

Even though the government has reiterated that it is not yet time to lift the property cooling measures, some real estate consultants are calling for a review of the earlier taxes imposed to rein in speculators, which they claim have an inflationary effect. Consultants felt that with the implementation of total debt servicing ratio (TDSR) to cap total borrowings at 60 per cent of gross monthly income, the additional buyer's stamp duty (ABSD) and the seller's stamp duty (SSD) have become less relevant. Speaking at the National Real Estate Congress yesterday, ERA Realty key executive officer Eugene Lim, , felt that it was "safe to remove SSD now" given that sub-sales, which serve as an indication of speculative activity, are low across all property types. Currently, the SSD kicks in if a residential property is sold within four years of acquisition. "Perhaps, it is an opportune time to review the measures that were implemented to tackle speculative buying and selling and whether the holding period under SSD is necessary at this point now," he added. While acknowledging that economists have flagged ample Asian liquidity waiting to enter the market, Mr Lim felt that the ABSD, while imposing a higher tax on foreigners, still penalises Singaporeans who wish to own a property for owner-occupation and another for investment. Sing Tien Foo, deputy head of the department of real estate at the National University of Singapore, also touched on the government's supply-side policy. He noted that the impact of the ramp-up in residential supply - be it on prices or buyers' behaviour - is "yet to be fully understood at this moment". Given that it has become more costly to buy properties in Singapore, consultants said that there is greater interest than before in overseas properties among Singaporeans. Consumers Association of Singapore (Case) executive director Seah Seng Choon said that he had once come across an advertisement on the Internet touting returns of 100 per cent for an overseas property. He urged real estate agents not to "over-sell" or confuse buyers where overseas properties are concerned. Source: Business Times â€" 13 August 2014
View original post: Time to review cooling steps, say property players

Time to review cooling steps, say property players

Even though the government has reiterated that it is not yet time to lift the property cooling measures, some real estate consultants are calling for a review of the earlier taxes imposed to rein in speculators, which they claim have an inflationary effect. Consultants felt that with the implementation of total debt servicing ratio (TDSR) to cap total borrowings at 60 per cent of gross monthly income, the additional buyer's stamp duty (ABSD) and the seller's stamp duty (SSD) have become less relevant. Speaking at the National Real Estate Congress yesterday, ERA Realty key executive officer Eugene Lim, , felt that it was "safe to remove SSD now" given that sub-sales, which serve as an indication of speculative activity, are low across all property types. Currently, the SSD kicks in if a residential property is sold within four years of acquisition. "Perhaps, it is an opportune time to review the measures that were implemented to tackle speculative buying and selling and whether the holding period under SSD is necessary at this point now," he added. While acknowledging that economists have flagged ample Asian liquidity waiting to enter the market, Mr Lim felt that the ABSD, while imposing a higher tax on foreigners, still penalises Singaporeans who wish to own a property for owner-occupation and another for investment. Sing Tien Foo, deputy head of the department of real estate at the National University of Singapore, also touched on the government's supply-side policy. He noted that the impact of the ramp-up in residential supply - be it on prices or buyers' behaviour - is "yet to be fully understood at this moment". Given that it has become more costly to buy properties in Singapore, consultants said that there is greater interest than before in overseas properties among Singaporeans. Consumers Association of Singapore (Case) executive director Seah Seng Choon said that he had once come across an advertisement on the Internet touting returns of 100 per cent for an overseas property. He urged real estate agents not to "over-sell" or confuse buyers where overseas properties are concerned. Source: Business Times â€" 13 August 2014
View original post: Time to review cooling steps, say property players