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Showing posts with label compare singapore housing loans. Show all posts
Showing posts with label compare singapore housing loans. Show all posts
Sunday, March 2, 2014
Sunday, December 1, 2013
Should You Avoid Frivolous And Multiple AIP Home Loan Applications?
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Wednesday, November 9, 2011
BUYING A HDB SHOPHOUSE WITH RESIDENTIAL QUARTERS TO STAY IN?
BUYING A HDB SHOPHOUSE WITH RESIDENTIAL QUARTERS TO STAY IN?
With so many new regulations coming up in short spans of time, many people are confused.
You would normally associate HDB with residential flats. However HDB also has shophouse units which are considered commercial properties. These commercial properties are normally located with town councils or town centres near hawker centres.
Some Of These HDB Shophouses Contains Residential Quarters.
Due to these residential quarters within the HDB shophouses, this has caused a lot of confusion as to where they are considered HDB flats or partial HDB flats (apportioned by the size of the unit).
What if you already own a private property, can you buy a HDB shophouse commercial unit that also happens to have a residential dwelling?
Apparent if we go by the HDB rules that applies on HDB flats, then you cannot buy a HDB shophouse if you already own a Private property.
Say for example the HDB shophouse is 1600 sq feet made up of 2 floors.
— 800 Sq feet on 1st floor and
— 800 sq feet of residential unit on the second floor.
If you have NO outstanding housing loan, then the bank will consider to lend you 80% of the valuation for the property. However, if you have any existing home loan, some banks are considering: -
— Lending you 80% on the commercial portion of the HDB shophouse of 800 sq feet
— Lending you 60% on the residential portion of the HDB shophouse of 800 sq feet
Apparently some Singapore banks are still checking with MAS with regards to the treatment and classification of such property. As these properties typically have quite a number of regulations attached to it’s ownership and business use, they can be risky both for the property buyer as well as the banks who lends money out on these type of properties.
So we decided to check with HDB on how they Classify HDB shophouses
—————————- Original Message —————————-
Subject: ENQUIRY ON PURCHASE OF COMMERCIAL PROPERTIES
From: ”Yit Hah LEE” >xxxxx@hdb.gov.sg>
Date: Fri, October 21, 2011 6:40 pm
To: Property Buyer Mortgage Consultant
————————————————————————–
HOUSING DEVELOPMENT BOARD
Your Ref :
Our Ref :
Date : 21 Oct 2011
TEL : 1800-8663073
FAX : 63972477/8
EMAIL : pldmail@hdb.gov.sg
xxxxxx
(Email: admin@propertybuyer.com.sg)
Dear xxxxx,
ENQUIRY ON PURCHASE OF COMMERCIAL PROPERTIES
We refer to your email of 19 Oct 2011.
2 Please be informed that although some HDB commercial
properties have living quarters attached to them, these properties are
sold or tenanted out as a commercial property under a single title and
deemed as non-residential. The prevailing policy that persons who buy
non-subsidized flats are not allowed to concurrently own an HDB flat and
private property within the minimum occupation period is applicable only
to private residential property.
3 We have also no restriction for foreigner/ Singapore
Permanent Resident to purchase HDB commercial shops (i.e. shop with living
quarters at 2nd storey or shop without living quarters) provided the
individual(s) are above 21 years of age and is not an undischarged
bankrupt
4 You may visit our website at http://www.hdb.gov.sg>
Commercial Tenants & Lessees > Managing your sold premises. There is
more general information on the procedure; policies for Resale/
Transfer of Shop. Alternatively, you can call our toll-free enquiry
hotline at 1800-8663073
Yours faithfully
LEE YIT HAH (Miss)
SENIOR ADMIN EXECUTIVE
for HEAD, TENANCY; LEASE MANAGEMENT UNIT
PROPERTIES; LAND DEPARTMENT
CLARIFICATION FROM HDB REGARDING HDB SHOPHOUSE
We are thankful to Ms. Lee of HDB for her fast response to clarify the issue of HDB shophouses.
Even though this property is treated as Commercial, many of these properties have maybe between 40 plus years to 70 plus years of remaining leases as most HDB shophouses were older designs built in the 1970s onwards.
Will There Be Racial Quota?
We can’t help but wonder what would be the racial quota of these shophouses on the residential units?
How many people can stay in it?
Banks are generally only lending to HDB shophouses with a minimum of 60 years of remaining lease. The maximum tenor of the loan is capped by (Remaining lease – 30 years). This is not a rule set in concrete or by regulation, but a rule that banks normally apply.
Property Buyer’s Advice
If for any reason HDB shophouses come in at the cheaper range of the price range, this can best be explained by the possible ambiguity of investing in such category of properties. Investors fear uncertainty and generally apply a discount to uncertainty. Banks similarly may impose either a longer processing time or some conditions on lending on such property, or stay away completely.
The value of this investment will very much depend on the Singapore regulatory environment governing this type of housing as well as credit availability or restrictions at the point of sale. Else this asset will be purely a yield play without too much excitement on capital gains.
As trading volume is rather thin, you could very easily pick a gem as well as a lemon.
Sunday, October 9, 2011
Sentosa cove - Seascape Condominium
Sentosa cove - Seascape Condominium
by Property Buyer Mortgage Consultants
What is it like to live in Seascape Condominium. All I can say is, it is very exclusive, very snob, very beautiful. Previously when people have arrived, they want to stay in District 9, 10, 11. These days, when people have arrived, they want to stay in Sentosa cove. A lot of Wannabe developments have sprouted up in Singapore's district 9, 10 and 11. And there are also many so called Sea view condominiums in East coast.
They are not the same. You can see the sea, but you cannot touch it. When you take the lift downstairs and walk out of your condominium, you see heavy traffic, you see a mess, disorderly shops and so on. Where is the sea? It's one underpass away to get to the sea at east coast park. And the underpass is 200 to 300 meters away. Once you reach the underpass, it's another 100 to 200 meters to the sea.
How's that for Seaside living? Not a chance!
Seascape is right by the sea. The only thing against it is, there is no beach. For the beach, you have to take a drive to the Siloso beach.
Nonetheless, this is a beautiful place and it's not exorbitant on a per square feet basis. You can get something for around 4 to 5 million singapore dollars.
Not to worry if you do not have $4 to $5 million, as long as you have20 to 40% of downpayment, we can help you with your sentosa cove home loan financing, alternatively you can sms us at +65-9782-8606 for a chat on financing options for your investment in Sentosa Cove properties.
As we are NOT property agents, if you want to view any properties, we can introduce you to property agents who can take care of your needs, just let us know at +65-9782-8606.
Friday, April 16, 2010
Invest in Singapore property: SINGAPORE BANK WITHDRAWS SOR SIBOR PROMO RATES
Invest in Singapore property: SINGAPORE BANK WITHDRAWS SOR SIBOR PROMO RATES
Contributed by www.PropertyBUYER.com.sg
In the last issue, 1st week of April we spoke of 2 Singapore banks withdrawing promotional rates. See last article (http://www.propertybuyer.com.sg/articles/compare-singapore-home-loans-/singapore-banks-raise-sibor-margins-on-housing-loan-rates/)
By today 16 April 2010, 1 more Singapore bank has removed their promotional rates. The choices of promotional rates SIBOR or SOR packages are shrinking, at least in April, 2010, until better rates comes about in May or if some banks choose to break ranks with the others.
Shortly after the last article which we posted, the tradionally media published a report saying that banks are lowering rates and competing to acquire home loans. And more are about to follow.
This lead some of our customers to come and ask us, "Why are you saying Sibor Sor margins are rising when the traditional media has just mentioned that the banks are reducing rates to compete?"
We found that article and we read it. It was factually correct and in that article it did mention that banks are revising rates in April 2010. However the headline title said banks are reducing rates to compete. The article was probably written early march and only approved for posting in 1st Week of April, 2010.
So we concluded and explained to our customers that the traditional media is at least 2 to 3 weeks behind the internet media.
For Singapore property buyers wanting to buy completed or Building-under-construction (BUC) properties, the cost is potentially getting higher.
Contributed by www.PropertyBUYER.com.sg
In the last issue, 1st week of April we spoke of 2 Singapore banks withdrawing promotional rates. See last article (http://www.propertybuyer.com.sg/articles/compare-singapore-home-loans-/singapore-banks-raise-sibor-margins-on-housing-loan-rates/)
By today 16 April 2010, 1 more Singapore bank has removed their promotional rates. The choices of promotional rates SIBOR or SOR packages are shrinking, at least in April, 2010, until better rates comes about in May or if some banks choose to break ranks with the others.
Shortly after the last article which we posted, the tradionally media published a report saying that banks are lowering rates and competing to acquire home loans. And more are about to follow.
This lead some of our customers to come and ask us, "Why are you saying Sibor Sor margins are rising when the traditional media has just mentioned that the banks are reducing rates to compete?"
We found that article and we read it. It was factually correct and in that article it did mention that banks are revising rates in April 2010. However the headline title said banks are reducing rates to compete. The article was probably written early march and only approved for posting in 1st Week of April, 2010.
So we concluded and explained to our customers that the traditional media is at least 2 to 3 weeks behind the internet media.
For Singapore property buyers wanting to buy completed or Building-under-construction (BUC) properties, the cost is potentially getting higher.
Wednesday, January 27, 2010
Invest in The Shore residence and Greenwood terrace
Invest in THE SHORE residence and Greenwood terrace
Singapore Property Buyer
6100 0608
9782 8606 (SMS)
www.propertyBUYER.com.sg Singapore Mortgage Consultants
In view of the recent few launches such as that of “The Shore residence” and the “Greenwood terraces”, both of which are bought as Free hold land, redeveloped and sold as 103 years lease hold strata title. These are 2 Far East developments which have been launched recently.
Singapore government can release land in various forms, but more likely than not, most land parcels being released are 99 years leasehold land, while very few are freehold or 999 lease hold land. This means that the supply of perpetual land (FH, 999 lease hold) are diminishing all the time.
In land scarce Singapore, this means that in the coming years, Freehold land may become even more scarce.
The recent developments where developers who bought Free Hold land, develop and then subsequently sell it as 99 years lease hold could further accelerate the depletion of Free Hold land to the public.
We look at the implications of such developments
IMPLICATIONS OF DEVELOPERS RETAINING A REVERSIONARY LEASE
Developers may now bid for many Freehold land parcels or take over existing free hold property through en-bloc sales. The Singapore economy is still weak, if you look at the salary census, Singapore’s salary growth has been slower than that of growth of property prices.
In other words, affordability is an issue. Say for instance a couple earning a combined income of $10,000 a month with no financial commitment on a 30 years loan repayment tenure can only afford a $987,000 Singapore property loan with a threshold interest rate of 4.5%.
At 20% downpayment, and a loan of $987,000, the property price that such a property buyer can afford is $1,233,750.
If the property developer who wants to market his property at $1300 psf for a 1,100 sq feet property, the Singapore property developer would need to either reduce prices or reduce size to meet that affordability figure.
Singapore property developer's goal
The developer’s goal is always to maximize profit (There is nothing wrong with it).
Trend of Smaller singapore condominium units
In this scenario, the property developer can choose to reduce the size of unit, thereby meeting the affordability price quantum and achieve superior price per sq feet per plot ratio (psfppr). This could lead to a trend of smaller size condominium units in the future.
FH land becomes Leasehold 99 years land
In another scenario, the property developer opt to maintain the size of the unit, but converts the Free hold land to a 99 years leasehold land. The developer owns the Free Hold land title. This could lead to the gradual disappearance of the Free Hold land titles available to the public.
Overtime, if the law permits, developers could even sell properties on 70 years lease, 50 years and lesser.
Singapore hands power over to the large property developers?
If developers are allowed to hold on to the free hold land titles while developing properties and selling it as a 99 years lease, then this will over a period of time dilute the effectiveness of Singapore Land authority to regulate the market.
Say for instance when the building is 20 years old and run down, the residents opt for selling en-bloc, they can sell en-bloc for the remaining lease of 79 years. Whoever buys this piece of land en-bloc would find it hard to redevelop and sell it again as there is not much lease remaining.
Supposedly in any potential en-bloc deals, the residents are only selling the remainder 79 years lease of the land to another developer.
In order to make this development attractive, a top up of the lease by 20 to 30 years would be required. In the case of topping up of this lease, the property developer that owns the land has the final say on setting the rates. (Not SLA’s Development charge).
So whether you can en-bloc or not depends solely on the goodwill of the property developer. If the property developer sets a high price for the top-up, then that would mean that no other developer would want to bid for it, leading to lower market value for that property.
The final rights then remains in the hands of the developer who owns the master title of the free hold land.
In this case, Far east wold retain the rights and option to develop the land should the residents want to go en-bloc. Far East having a right to set development charges or extract additional fees, will have the first right of refusal in any land parcel development.
As more and more developers do this in the near future, the authority of Singapore land authority could become eroded. There is always a worry that such developers will eventually wield too much power.
DEPRECIATION OF THE CONDOMINIUM BUILDING
Let’s say the building is poorly maintained, the condition becomes worse, over time the value of the building drops. So in such a scenario, even if Far east makes an offer for the land that is giving only a slight premium, the residents will have no choice but to accept the offer and sell back the remaining lease to the developer and lose any potential upside.
WHAT IS PROPERTYBUYER.com.sg STAND ON THIS?
PropertyBuyer.com.sg is a Singapore mortgage consultants that is research focused, so what we do are to merely to inform the public of these matters. Whether such deals are good deals or not, it is a matter between the buyer and seller. We only state it as it is, the way we understand it.
We have already got in touch with Singapore land authority to enquire about under what circumstances are developers allowed to buy Free Hold land and release it back as 99 years lease hold land.
We are not against property developers maximizing profit. Ultimately it is a matter of buyer power versus seller power. If the seller has the pricing power, it is very obvious that buyers will have to do so on the seller’s terms and the reverse is true as well. Ultimately all profit seeking enterprises are there to make money, and rightly so.
What does this mean for you if you own a FREE HOLD properties?
We are checking with SLA under what statute or circumstances are such arrangements allowed. If this is allowed, wouldn’t you then be able to offer your Free Hold landed property for sale at a slight discount as a 99 years lease hold property?
Imagine, this is really a unique way of passing money and assets to the next generation while retaining a vested option in the land value of the property.
I would say, it has all the UPSIDE and none of the downside.
Stay tuned while we wait for a reply from Singapore land Authority.
Friday, December 18, 2009
Invest in Singapore and Malacca Resorts
Singapore Property Investors: Malacca Private Villa Retreat By The Sea
FOR SALE
Property Details
• 4 Bedrooms retreat home built on 14,000 sq ft of FreeHold land
• FREE HOLD - Sea Front
• 5 minutes from famous Malacca Portuguese Settlement
• 10 minutes away to Malacca Raya
• 15 minutes from the historical sites in Melaka.
• Spacious dry and wet kitchen area
• Counter kitchen concept
• Generous open concept layout
Breathtaking views, soothing sounds of the calm sea, the
refreshing scent of sea breeze with the tropical garden of over a
generous manicured gerden. Designed by renown Singapore
architectural firm, Comprehensive Design Group (CDG) in 1980
and privately built by the late Senator David Loh as his private
residence with his family. The flexible floor plan works well as a
year round home or as a getaway retreat.
The property is well maintained with loving dedication. A
builder’s private residence, finely crafted with an eye for detail
and a passion for classical luxury. The grand living room sets the
stage for exquisite entertaining, opening out to the dining room
and the sea front garden. A potential gourmet kitchen with dry
and wet area. A tranquil master suite is the perfect place to
relax.
TIMELESS RETREAT HOME
Perched right up to the seafront along the infamous straits of
Malacca, the spacious sanctuary residence is most ideal as a
retreat or an investment.
The Freehold land can also be an asset to be developed into
a cluster of residences with great ROI opportunities.
A classically inspired mansion in the historical town of Melaka
captures the imagination and balances artful expression with
practicality. Gracious living spaces merge to form a delightful
opportunity for relaxed daily living and intimate sanctuary. The
house is designed to boast vast spacious and ease for air flow.
The lush landscape plays host to an environmentally respectful view
home with thought in every detail. A beautiful garden perfectly
sited by the sea is host to a private sanctuary. Serenity is found on
this lush, well manicured plot of greenery. It is also ideal for a private
pool.
A RETREAT MANSION - PRIVATE SALE
999, Taman Aman, Ujung Pasir, Malacca.
Michael Loh
Contact Info: Mobile : +6012 2331408
email: michaelloh62@mac.com
OFFER PRICE : SGD 1,100,000
Viewing by appointment ONLY
You may consider to refinance your home loan for term loan for the above property.
FOR SALE
Property Details
• 4 Bedrooms retreat home built on 14,000 sq ft of FreeHold land
• FREE HOLD - Sea Front
• 5 minutes from famous Malacca Portuguese Settlement
• 10 minutes away to Malacca Raya
• 15 minutes from the historical sites in Melaka.
• Spacious dry and wet kitchen area
• Counter kitchen concept
• Generous open concept layout
Breathtaking views, soothing sounds of the calm sea, the
refreshing scent of sea breeze with the tropical garden of over a
generous manicured gerden. Designed by renown Singapore
architectural firm, Comprehensive Design Group (CDG) in 1980
and privately built by the late Senator David Loh as his private
residence with his family. The flexible floor plan works well as a
year round home or as a getaway retreat.
The property is well maintained with loving dedication. A
builder’s private residence, finely crafted with an eye for detail
and a passion for classical luxury. The grand living room sets the
stage for exquisite entertaining, opening out to the dining room
and the sea front garden. A potential gourmet kitchen with dry
and wet area. A tranquil master suite is the perfect place to
relax.
TIMELESS RETREAT HOME
Perched right up to the seafront along the infamous straits of
Malacca, the spacious sanctuary residence is most ideal as a
retreat or an investment.
The Freehold land can also be an asset to be developed into
a cluster of residences with great ROI opportunities.
A classically inspired mansion in the historical town of Melaka
captures the imagination and balances artful expression with
practicality. Gracious living spaces merge to form a delightful
opportunity for relaxed daily living and intimate sanctuary. The
house is designed to boast vast spacious and ease for air flow.
The lush landscape plays host to an environmentally respectful view
home with thought in every detail. A beautiful garden perfectly
sited by the sea is host to a private sanctuary. Serenity is found on
this lush, well manicured plot of greenery. It is also ideal for a private
pool.
A RETREAT MANSION - PRIVATE SALE
999, Taman Aman, Ujung Pasir, Malacca.
Michael Loh
Contact Info: Mobile : +6012 2331408
email: michaelloh62@mac.com
OFFER PRICE : SGD 1,100,000
Viewing by appointment ONLY
You may consider to refinance your home loan for term loan for the above property.
Monday, December 14, 2009
Invest in Singapore properties: 10 things to know for first time private property buyers
10 Important things to know for 1st time Private Property Buyer on sub-sale units
By: Daphne of www.PropertyBUYER.com.sg mortgage consultants
TEL 6100 - 0608
SMS 9782 8606
As a recent property buyer, I started my search for my ideal apartment since November last year. I began my property hunt with absolutely zero knowledge on buying property in Singapore. I do not know the legal procedure involved, I do not know the tricks used by most property agents, and I do not know which area I should start with my property hunt, just to name a few. I missed the boat in making my purchase during the period from Jan- May when the property price was low as I was hoping that the price will go down even further and obviously being a first time inexperience property buyer, I was afraid to take the plunge.
I believe there are many people out there facing the same challenge as I did when I first started my property hunt. I was lucky to have friends who are experience in the property field to provide me with sound advice. I hope that this article can provide some useful insights on things one should take note of when purchasing a private property. The information provided is all base on my own accumulated knowledge and experience when I did my own property purchase.
1) Due Diligence
Buying a property is a big commitment and requires a lot of hard work in doing your own research. Never depend solely on agent’s recommendation as end of the day , the agent’s aim is to close the deal and get the commission. Research includes surfing through various property website to read up on property related articles and checking out the available units sold.
2) Do not depend solely on one agent to look for your apartment. Nothing beats
spreading the eggs into a few baskets and doing your own search. Talk to as many agents to learn and gather insights along the way. Experiencing unprofessional agents is part of the learning curve.
3) As a private property buyer, you do not pay any commission to the agent. And you should not no matter what he or she says. This is because they earn commission from the seller.
4) Stamp duty can be paid using CPF.
Buyer will have to fork out Hard cash first in paying the stamp duty. CPF will only reimburse the stamp duty back to the buyer upon completion of the property sales transaction which will take at least two months.
5) Stamp Duty fee calculation
1st S$180K is 1%
2nd S$180K is 2%
Remaining amount is 3%.
For example: if you are buying a property that cost S$600,000, the stamp duty will be as follow:
1st S$180,000 @ 1%- S$1,800
2nd S$180,000 @ 2%- S$3600
Remaining S$240,000 @ 3%- S$7,200
Total stamp duty is S$12600
6) Bank Valuation
Bank valuation on the property you wish to buy is very important. The bank valuation will help to determine how much cash upfront you need to fork out and whether you are buying an overprice unit or getting a good deal. Never take the Singapore property agent’s claimed valuation as final. Agents do cheat on valuation. Make sure to check with an independent third party such as a Singapore mortgage consultant or your own personal banker who can help you to make sure on getting a proper and correct valuation. Different banks often give different valuation for the same unit.
7) Bank Loan
Not all banks offer up to 90% bank loan. Some bank only offer up to a maximum of 80% of 85%. Thus if you wish to buy a unit with a 85% or 90% bank loan, your choice of bank selection will be limited. Its recommended that you talk to your mortgage consultant or bankers up front on your intention to get more than 80% loan.
8) One should also compare the various bank interest rates to secure the best bank
loan. Some loan package come with lock in period and others use Sor or Sibor rates. Property agents usually ask one of their most frequent use bankers to advise the buyer on the interest rate. Often they do not help the buyer to compare the rates and package from the various banks. It is up to the buyer’s due diligence to do so. The use of independent mortgage consultant will be helpful in this aspect.
9) Ensure that you can secure the bank loan before paying the 1% option to the seller. In the event that your bank loan is not approved, you will have to either top up the differences in cash or to forgo the purchase, end up losing the 1% payment.
10) If you are buying a sub sale unit that is still under construction, you will need to
pay another S$400 to S$428 administrative charges in cash to the developer for the paper work procedure fee.
By: Daphne of www.PropertyBUYER.com.sg mortgage consultants
TEL 6100 - 0608
SMS 9782 8606
As a recent property buyer, I started my search for my ideal apartment since November last year. I began my property hunt with absolutely zero knowledge on buying property in Singapore. I do not know the legal procedure involved, I do not know the tricks used by most property agents, and I do not know which area I should start with my property hunt, just to name a few. I missed the boat in making my purchase during the period from Jan- May when the property price was low as I was hoping that the price will go down even further and obviously being a first time inexperience property buyer, I was afraid to take the plunge.
I believe there are many people out there facing the same challenge as I did when I first started my property hunt. I was lucky to have friends who are experience in the property field to provide me with sound advice. I hope that this article can provide some useful insights on things one should take note of when purchasing a private property. The information provided is all base on my own accumulated knowledge and experience when I did my own property purchase.
1) Due Diligence
Buying a property is a big commitment and requires a lot of hard work in doing your own research. Never depend solely on agent’s recommendation as end of the day , the agent’s aim is to close the deal and get the commission. Research includes surfing through various property website to read up on property related articles and checking out the available units sold.
2) Do not depend solely on one agent to look for your apartment. Nothing beats
spreading the eggs into a few baskets and doing your own search. Talk to as many agents to learn and gather insights along the way. Experiencing unprofessional agents is part of the learning curve.
3) As a private property buyer, you do not pay any commission to the agent. And you should not no matter what he or she says. This is because they earn commission from the seller.
4) Stamp duty can be paid using CPF.
Buyer will have to fork out Hard cash first in paying the stamp duty. CPF will only reimburse the stamp duty back to the buyer upon completion of the property sales transaction which will take at least two months.
5) Stamp Duty fee calculation
1st S$180K is 1%
2nd S$180K is 2%
Remaining amount is 3%.
For example: if you are buying a property that cost S$600,000, the stamp duty will be as follow:
1st S$180,000 @ 1%- S$1,800
2nd S$180,000 @ 2%- S$3600
Remaining S$240,000 @ 3%- S$7,200
Total stamp duty is S$12600
6) Bank Valuation
Bank valuation on the property you wish to buy is very important. The bank valuation will help to determine how much cash upfront you need to fork out and whether you are buying an overprice unit or getting a good deal. Never take the Singapore property agent’s claimed valuation as final. Agents do cheat on valuation. Make sure to check with an independent third party such as a Singapore mortgage consultant or your own personal banker who can help you to make sure on getting a proper and correct valuation. Different banks often give different valuation for the same unit.
7) Bank Loan
Not all banks offer up to 90% bank loan. Some bank only offer up to a maximum of 80% of 85%. Thus if you wish to buy a unit with a 85% or 90% bank loan, your choice of bank selection will be limited. Its recommended that you talk to your mortgage consultant or bankers up front on your intention to get more than 80% loan.
8) One should also compare the various bank interest rates to secure the best bank
loan. Some loan package come with lock in period and others use Sor or Sibor rates. Property agents usually ask one of their most frequent use bankers to advise the buyer on the interest rate. Often they do not help the buyer to compare the rates and package from the various banks. It is up to the buyer’s due diligence to do so. The use of independent mortgage consultant will be helpful in this aspect.
9) Ensure that you can secure the bank loan before paying the 1% option to the seller. In the event that your bank loan is not approved, you will have to either top up the differences in cash or to forgo the purchase, end up losing the 1% payment.
10) If you are buying a sub sale unit that is still under construction, you will need to
pay another S$400 to S$428 administrative charges in cash to the developer for the paper work procedure fee.
Invest in Singapore Ethics framework for Property agents - Not more exams
Head of Property agent need to focus on ethics, not exams
Article by: www.PropertyBUYER.com.sg
We applaud the creation of a regulatory body to regulate the Singapore Property agents.
The below is an excerpt from a news published by the Asiaone.com.sg on 13th Dec 2009.
"MND in October shared some details of the new regulatory framework that it is proposing for the real estate industry, which includes the creation of a new government agency to take on enhanced regulatory powers.
We are a Research-focused Singapore Mortgage Consultant which helps you compare Singapore Home loans either for new home loans or refinance home loans, we balance risks versus rewards for each home loan to match your risk profile and financing needs.
Contact Singapore mortgage Consultants
Tel: 6100 - 0608
SMS: 9782 - 8606
Contact a Singapore mortgage Consultant
...
The move came as property agents here have come under increasing fire over the last few years for not having the right qualifications and for unethical practices. Minister for National Development Mah Bow Tan commented in March this year that the status quo was 'not tenable' and that the whole system was 'not satisfactory'.
Legislative enactment is expected by the second half of next year once the key elements are unveiled.
With the planned changes, agents' activities will be monitored more closely and rules enforced more keenly. For example, real estate agents will no longer be allowed to be freelancers (agents who are not contracted with any accredited agencies). They will also be prevented from representing more than one agency.
Agents must also pass an industry examination and be accredited by a new accreditation body (to be set up next year) before they can practise."
http://business.asiaone.com/Business/News/My%2BMoney/Story/A1Story20091211-185327.html
There seems to be an overly keen focus on Examinations
There is a lot of talk about agents will be monitored more closely and they cannot represent more than one agency. These protect the rights of the Agencies.
The only thing that is mentioned that perhaps have a slight influence on protecting the consumer is Examination and improving professionalism.
What is the real challenge?
Many agents are already very knowledgeable. It is not a matter of full-time or part-time. Did MND know that many of the Singapore property agent cheaters are very professional and have many years of experience?
It's just that some of these people are simply unethical.
Now, examinations will NOT solve the problem. By enforcing more and more examinations which we are afraid MND will impose, would have missed the point completely.
By having examinations, you would remove some agents from the field, this would make long time agents stronger and give them more business. This is a rather stupid and potentially dangerous way of regulating, if it really comes to that. We are hopeful it will not end up this way. Do note that some of the dishonest agents are the experienced ones.
Just like there are wolfs out there. We don't throw sheeps to the wolfs so that these wolfs will become less hungry and tame.
So by feeding a Dishonest Singapore property agent who can also be very senior and very professional (knowledge wise) by eliminating less experienced agents, this is like throwing sheep to wolves.
How can we ever satisfy their greed?
So we urge MND and the new Head of Property agent regulator to focus on creating a framework that monitors ethics and removing conflicts of interests.
Some of these agents even work with rogue mortgage consultants which are tied up with lawyers to charge property buyers more for law fees so as to get a commission.
Some of the unethical Singapore Property agents' behaviours: -
* Cheating on valuation, working with roger valuers who stick their heads out for higher valuation so as to cheat the banks.
* Lying about the property transaction and staging a show to squeeze more commission
* Illegal kick backs from rogue loan consultants which are tied to lawyers.
* Illegal kick backs from lawyers.
* Running away with cheques, giving fake identidy.
* Recommending loans where they are not expert in.
* Cornering property launches and buying them up for sub-sale.
* Cheating the selling into letting go their property cheaply. Buys the Option of purchase and then immediately transfer of nominees (names) for Option to purchase.
o This involves cheating an owner into disposing a property at below the fair value. Then the agent goes into the market to re-sell the option to purchase for easily 50k to 100k more as there will be takers.
* The list goes on.
We are a Research-focused Singapore Mortgage Consultant which helps you compare Singapore Home loans either for new home loans or refinance home loans, we balance risks versus rewards for each home loan to match your risk profile and financing needs.
Buying property is a serious affair, we do NOT advocate a Greed or fear based buying approach, we emphasize that you need to check your property home loan affordability. Check out the mortgage calculators.
Not Simply Cheap, but what Fits. We Research, You Save!
Contact Singapore mortgage consultants
Tel: 6100 - 0608
SMS: 9782 - 8606
Article by: www.PropertyBUYER.com.sg
We applaud the creation of a regulatory body to regulate the Singapore Property agents.
The below is an excerpt from a news published by the Asiaone.com.sg on 13th Dec 2009.
"MND in October shared some details of the new regulatory framework that it is proposing for the real estate industry, which includes the creation of a new government agency to take on enhanced regulatory powers.
We are a Research-focused Singapore Mortgage Consultant which helps you compare Singapore Home loans either for new home loans or refinance home loans, we balance risks versus rewards for each home loan to match your risk profile and financing needs.
Contact Singapore mortgage Consultants
Tel: 6100 - 0608
SMS: 9782 - 8606
Contact a Singapore mortgage Consultant
...
The move came as property agents here have come under increasing fire over the last few years for not having the right qualifications and for unethical practices. Minister for National Development Mah Bow Tan commented in March this year that the status quo was 'not tenable' and that the whole system was 'not satisfactory'.
Legislative enactment is expected by the second half of next year once the key elements are unveiled.
With the planned changes, agents' activities will be monitored more closely and rules enforced more keenly. For example, real estate agents will no longer be allowed to be freelancers (agents who are not contracted with any accredited agencies). They will also be prevented from representing more than one agency.
Agents must also pass an industry examination and be accredited by a new accreditation body (to be set up next year) before they can practise."
http://business.asiaone.com/Business/News/My%2BMoney/Story/A1Story20091211-185327.html
There seems to be an overly keen focus on Examinations
There is a lot of talk about agents will be monitored more closely and they cannot represent more than one agency. These protect the rights of the Agencies.
The only thing that is mentioned that perhaps have a slight influence on protecting the consumer is Examination and improving professionalism.
What is the real challenge?
Many agents are already very knowledgeable. It is not a matter of full-time or part-time. Did MND know that many of the Singapore property agent cheaters are very professional and have many years of experience?
It's just that some of these people are simply unethical.
Now, examinations will NOT solve the problem. By enforcing more and more examinations which we are afraid MND will impose, would have missed the point completely.
By having examinations, you would remove some agents from the field, this would make long time agents stronger and give them more business. This is a rather stupid and potentially dangerous way of regulating, if it really comes to that. We are hopeful it will not end up this way. Do note that some of the dishonest agents are the experienced ones.
Just like there are wolfs out there. We don't throw sheeps to the wolfs so that these wolfs will become less hungry and tame.
So by feeding a Dishonest Singapore property agent who can also be very senior and very professional (knowledge wise) by eliminating less experienced agents, this is like throwing sheep to wolves.
How can we ever satisfy their greed?
So we urge MND and the new Head of Property agent regulator to focus on creating a framework that monitors ethics and removing conflicts of interests.
Some of these agents even work with rogue mortgage consultants which are tied up with lawyers to charge property buyers more for law fees so as to get a commission.
Some of the unethical Singapore Property agents' behaviours: -
* Cheating on valuation, working with roger valuers who stick their heads out for higher valuation so as to cheat the banks.
* Lying about the property transaction and staging a show to squeeze more commission
* Illegal kick backs from rogue loan consultants which are tied to lawyers.
* Illegal kick backs from lawyers.
* Running away with cheques, giving fake identidy.
* Recommending loans where they are not expert in.
* Cornering property launches and buying them up for sub-sale.
* Cheating the selling into letting go their property cheaply. Buys the Option of purchase and then immediately transfer of nominees (names) for Option to purchase.
o This involves cheating an owner into disposing a property at below the fair value. Then the agent goes into the market to re-sell the option to purchase for easily 50k to 100k more as there will be takers.
* The list goes on.
We are a Research-focused Singapore Mortgage Consultant which helps you compare Singapore Home loans either for new home loans or refinance home loans, we balance risks versus rewards for each home loan to match your risk profile and financing needs.
Buying property is a serious affair, we do NOT advocate a Greed or fear based buying approach, we emphasize that you need to check your property home loan affordability. Check out the mortgage calculators.
Not Simply Cheap, but what Fits. We Research, You Save!
Contact Singapore mortgage consultants
Tel: 6100 - 0608
SMS: 9782 - 8606
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