Property Market Are Start Affected By Stock Market Issue

[yenfong 0]

I hear one of my friend tell me that: According to some property agents, the number of cases that the Option to Purchase lapses are getting worst... Especially in those properties that were pushed up recently by investors...

Is anybody or agent also hear the news?

[Phantom 1]

I hear one of my friend tell me that: According to some property agents, the number of cases that the Option to Purchase lapses are getting worst... Especially in those properties that were pushed up recently by investors...

Is anybody or agent also hear the news?

Personally I've advised a couple of my clients who were asking me about buying into the property market to hang on since 3 months ago. I've realized from my agent friends and the overall market sentiment since last 3 months, movements have slowed down considerably. At the same time, burgeoning news on the US subprime market is creating jitters in the markets.

This in term could affect other sectors. On the other hand, while this could be a short term to mid term issue, we can't rule out that the subprime markets which only account for 9% of mortgage debt in US to be a trigger for other events to happen. Especially since the market can't put a price on CDO's debt obligations which the underlying are subprime debt and this is a can of worms slowly finding its way to the surface.

Ironically, we see REITS affected quite badly with global reits and regional reits falling up to 20% in the last 4 months and they shouldn't have because the lease agreements are typically long term and locked in, I believe that market is repricing right now.

Since 2 months ago, I've checked with an agent friend on one particular property in district 9 whcih looked like a good buy for the client, wierdly, there were more than 10 units in the same area for sale. My gut instinct is something isn't very right. same unit today is selling for 100psf lesser.

Liquidity issues are edging from big conglomerates down to the everyday consumer. I personally feel that alot of properties were selling at a future price since late last year. Today's price should be at least 10% cheaper.. then again thats my view.

Whether this issue becomes a global crisis remains very much to be seen.

[korea 0]

I hear one of my friend tell me that: According to some property agents, the number of cases that the Option to Purchase lapses are getting worst... Especially in those properties that were pushed up recently by investors...

Is anybody or agent also hear the news?

yup, i also heard that property in spore started to get affected by the US stock market.

[yoongf 11]

But looking at those recently launched projects.. big ones I mean..

Parc.. fully sold out.. Soleil@Sinaran.. 70+% sold.. the demand is still there. Just that it is not setting record prices only.

There are also many huge enbloc properties who have yet to clear the STB, meaning these ppl have not started to look for replacement homes.

Excluding several high end projects in the pipeline, I do not expect big jumps in prices, but there is also no indication that prices are going to head south. Prices will only fall if ppl have to lelong, such as when buyer can't sufficiently service the bank loans, which usually starts a few months after projects TOP.

[icer 0]

I am waiting lor.

But looking at those recently launched projects.. big ones I mean..

Parc.. fully sold out.. Soleil@Sinaran.. 70+% sold.. the demand is still there. Just that it is not setting record prices only.

There are also many huge enbloc properties who have yet to clear the STB, meaning these ppl have not started to look for replacement homes.

Excluding several high end projects in the pipeline, I do not expect big jumps in prices, but there is also no indication that prices are going to head south. Prices will only fall if ppl have to lelong, such as when buyer can't sufficiently service the bank loans, which usually starts a few months after projects TOP.

[korea 0]

after TOP, the price of the property sure goes up hor.

[korea 0]

i've a question. if the seller already accepted $1000 from the buyer and signed the OTP but suddenly the seller doesnt want to sell the house anymore, so will the seller have to suffer any penalty? does the seller need to give the agent commission?

the above refers to hdb flat.

[korea 0]

erm, no reply from my above posting?

[zirhk3355 1]

i've a question. if the seller already accepted $1000 from the buyer and signed the OTP but suddenly the seller doesnt want to sell the house anymore, so will the seller have to suffer any penalty? does the seller need to give the agent commission?

the above refers to hdb flat.

Between the seller and buyer, yes there is definitely a penalty. How much depends on the agreement; from what I know if the first appt is not done yet, the seller will have to compensate 2x deposit. If first appt done, then it will be higher, eg the difference of the agreed price and the transacted price for similiar units in the area.

For the agent, also have to depend on agreement. Some agreement only stated that the comm is payable upon completion of the transaction, but most of the agencies nowadays very smart liao, they will put in black & white to pay the agent half of the deposit, as per IEA guidelines.

Edited August 21, 2007 by zirhk3355

[stock-investments 0]

I hear one of my friend tell me that: According to some property agents, the number of cases that the Option to Purchase lapses are getting worst... Especially in those properties that were pushed up recently by investors... Penny Stocks Picks Buy Penny Stocks Online

Is anybody or agent also hear the news?

hi,

i have heard that news too

Edited July 16, 2009 by stock-investments

[just4this 0]

hi,

i have heard that news too

You replying to a news heard in 2007?