#22 Should I TIME the Property Market | PropertyLimBrothers | Melvin Lim | NOTG | Nuggets on the GO E22

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♪ Lady Gaga – Telephone ft. Beyoncé ♪

2[Melvin Lim]
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– All right, welcome back to our next episode of Nuggets On The Go.

3[Melvin Lim]
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So today we’re going to talk

4[Melvin Lim]
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about two main topics in this episode.

5[Melvin Lim]
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Thank you for staying in tune with us.

6[Melvin Lim]
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If you are watching this on YouTube

7[Melvin Lim]
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or you’re listening on the go on Spotify and Apple Podcast,

8[Melvin Lim]
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we want to thank you for your support.

9[Melvin Lim]
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Now we’re entering into Q2 of 2022.

10[Melvin Lim]
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And of course, a lot of things has happened in the world.

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And right now, at the point of recording,

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of course the war is ongoing in Ukraine.

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Our hearts go out to the citizens of Ukraine.

14[Melvin Lim]
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And 2022 seems to be a year of turmoil.

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We’re off to, of course a start of the year

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with a depressed stock market,

17[Melvin Lim]
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cryptocurrency depressed as well.

18[Melvin Lim]
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And of course, in terms of the property market in Singapore,

19[Melvin Lim]
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a lot of our audiences might be thinking,

20[Melvin Lim]
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“Hey, what might be the outlook of 2022?”

21[Melvin Lim]
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So in this episode,

22[Melvin Lim]
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the first part we’re going to answer one age-old question,

23[Melvin Lim]
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which is very usable in the current context in 2022,

24[Melvin Lim]
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which is timing the market.

25[Melvin Lim]
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And then the second part of this video,

26[Melvin Lim]
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we’re going to touch on some of the developments

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in terms of government land sales, en bloc,

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as well as an exhaustive list of new launches

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that might come out in 2022.

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And what might be the trend moving on

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in view of all these different kinds of situations.

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And of course,

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all these events only start to develop

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in the midpoint of Q1 of 2022.

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And that’s in combination to the latest cooling measures

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that came out on 16 December 2021.

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So I believe a lot of you

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might be a little bit worried about the market.

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Some of you might not be

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because you have already made your purchase

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in the last one to two years.

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So we’re going to cover that

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on the market trends in this year ahead.

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Let’s go.

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All right, so first part is to answer the age-old question

46[Melvin Lim]
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of should I time the market

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in view of all these current events

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that are happening right now in 2022?

49[Melvin Lim]
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Should I wait for the market

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to have a little bit more insights and developments,

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and allowing me

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to observe what are some of the key market trends?

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Because let’s just lay out the series of events.

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Of course, last year towards the last quarter of 2021,

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the news of US Federal Reserve

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coming out with the tapering kind of sequences

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and plans for the next three to four quarters,

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worries a lot of consumers about thinking,

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“Hey, will the interest rates start to inch up

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and thereby affecting the local mortgage interest rate?”

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And the key reason is because, if we look

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at whether is it SOR rates, SIBOR rate,

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and of course, the latest SORA rate,

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which will take over SIBOR by the year 2024,

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in terms of its base rates

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for Singapore mortgage interest rates,

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in terms of housing loans.

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Whether we are looking at these three rates,

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and by the way, right now as we’re speaking,

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SOR rates is already not in use for housing loans,

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it’s still used for commercial loans

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and other kind of corporate loans.

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However right now,

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whatever package that you get in the market,

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you can only get SIBOR or SORA rates.

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In the next two to three years,

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SIBOR will be gradually phased out.

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SORA will be the main point of rates going forward

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in terms of mortgage interest rate for home loans.

80[Melvin Lim]
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So why is that so?

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It’s because SORA is being monitored and managed by MAS

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and SIBOR is from ABS,

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which is the Association of Banks in Singapore.

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So two different kinds of governance

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and of course, two different kinds of calculation.

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However,

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MAS has decided that SORA rates will be more stable.

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And of course,

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in protection and benefit of homeowners in Singapore,

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which largely a lot of home buyers

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are buying properties for own stay,

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they felt that SORA rates will be more stable

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in terms of outlook and in terms of fluctuation.

94[Melvin Lim]
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And that allows families

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to predict the amount of monthly mortgage

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that they have to set aside month after month

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in a more stable fashion.

98[Melvin Lim]
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So it’s a good thing for the market

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in terms of moving towards SORA.

100[Melvin Lim]
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However, both SORA and SIBOR rate,

101[Melvin Lim]
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they are in very close relation

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to the currency relationship of Singapore and US dollars.

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And thus, definitely

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when there are any changes in the US interest rate,

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it will affect Singapore

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in terms of our monthly mortgage as well.

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So we have come up with this chart

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in our PLB data analytics,

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and you can have a look at this chart.

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Basically, what this chart is going to show

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is that, we’re going to look at the relation

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of our residential price index, vis-a-vis

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the mortgage interest rates over the past many years.

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If we look at one of the Morgan Stanley reports

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that came out just about two years back or three years back,

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it has shown that out of five times

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of mortgage rates fluctuation,

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four out of five times where interest rates actually increased

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in terms of mortgage interest rate,

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the property price index

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actually increased in tandem as well.

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And only one round when mortgage interest rates increase,

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do we see a dip in the residential property price index.

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So we had one episode on Nuggets On The Go

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talking about the correlation between interest rate

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and residential price index.

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I will leave it to you to understand that a little bit more.

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So coming back, that was the first event that happened.

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And that was a tapering of QE, quantitative easing,

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thereby, as well as federal reserve

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that’s trying to manage the high inflation rate

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that has been experienced in US in Q4 of 2021.

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Thus, the prediction is that interest rate

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might see a graduate increment, even in Singapore.

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Second event, of course,

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will be the cooling measures during 16 December 2021.

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And of course, right now in Q1,

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it’ll be the war Ukraine.

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Plus the US stock market, as well as the crypto market,

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having a more depressed season right now in Q1 of 2022.

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So everybody might be wondering,

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“Hey, does all these events affect the price movement

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and the price behaviour

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plus outlook for the next three to four quarters

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as we move towards the tail end of 2022?

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And should I enter into the market?

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Should I buy into the market?”

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I think, let’s have a look at this.

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So this chart shows the entire characteristics

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of what are the key factors internally,

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as well as externally, that affects Singapore’s real estate.

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And why is it that Singapore real estate is vastly different

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as an extreme safe haven.

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And of course, as a great store of value

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in the eyes of a lot of home buyers.

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And of course, when we say extreme safe haven,

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it’s because there are so many things

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that is governing the real estate market right here,

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that technically has made it more illiquid

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and something that is more illiquid

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is more stable in the sense.

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And one key thing that we have talked about a lot of times

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is that the Seller’s Stamp Duty

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has technically made our real estate extremely stable.

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Give you an example, in 2020, 2021,

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anybody that bought a home,

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they will not sell it within three years.

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If somebody bought a property in 2020,

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the earliest time they can sell is 2023.

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If somebody were buy in 2021,

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the earliest time they can sell is 2024.

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And will they be in the rush to sell?

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Bear in mind

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that they have already pumped in 25% down payment.

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They have 75% of mortgage,

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which is not high compared to 10, 15 years back

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where you can take up to 85%,

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90% mortgage loan.

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Right now, anybody that purchases a property,

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they have at least a quarter of holding power

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in terms of their equity that is locked into the property,

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be it their CPF funds or be it their cash outlay.

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Bear in mind as well,

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in Singapore,

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we have a lot of dual income families

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where husband and wife are both working,

187[Melvin Lim]
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and husband and wife both have CPF contribution.

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And thus, CPF also is another bedrock

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that is sustaining the monthly mortgage as well.

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Third, another reason is also that a lot of families

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bought property for their own stay,

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for their own children, for their own needs,

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buying near the schools, near the parents. And thus,

194[Melvin Lim]
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why is it that they will be in a rush to sell?

195[Melvin Lim]
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Should there be any kind of economic turmoil?

196[Melvin Lim]
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Unless of course, if both person lost their jobs,

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or if the high income earner lost their job,

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and if provided that they’re on a very high mortgage level

199[Melvin Lim]
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that their current balance in their CPF account

200[Melvin Lim]
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are not able to sustain.

201[Melvin Lim]
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Then of course, that might be some of the reasons

202[Melvin Lim]
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that they might want to downsize.

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But however, we are not even going to recession now.

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And of course, the latest data just last week

205[Melvin Lim]
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was that our GDP is set to rise for the year 2022 as well.

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So when we look at all these different factors,

207[Melvin Lim]
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and bear in mind also

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that we have so many cooling measures,

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that’s already locked into our price index.

210[Melvin Lim]
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And anytime our government

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can actually release some of the pricing indexes

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to resuscitate the market.

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So back to the question.

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Should I time the market? Bearing in mind, external factors,

215[Melvin Lim]
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is that Singapore not only depends on external factors,

216[Melvin Lim]
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because internally we have more factors

217[Melvin Lim]
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that forms the entire benchmark, and the stability,

218[Melvin Lim]
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and the foundation of our real estate market,

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compared to external factors.

220[Melvin Lim]
00:08:26,320 –> 00:08:28,160
Of course, external factors are very important

221[Melvin Lim]
00:08:28,160 –> 00:08:30,600
in terms of interest rate, quantitative easing.

222[Melvin Lim]
00:08:30,600 –> 00:08:33,080
Of course, foreign tensions, developments in the world.

223[Melvin Lim]
00:08:33,080 –> 00:08:34,840
However in Singapore, as a base,

224[Melvin Lim]
00:08:34,840 –> 00:08:37,800
we are technically called a real estate nation

225[Melvin Lim]
00:08:37,800 –> 00:08:40,240
because all of us are brought up, since young,

226[Melvin Lim]
00:08:40,240 –> 00:08:41,560
our parents the first thing they tell us

227[Melvin Lim]
00:08:41,560 –> 00:08:42,560
is that when you grow up,

228[Melvin Lim]
00:08:42,560 –> 00:08:45,160
get a stable job, buy your first property quick.

229[Melvin Lim]
00:08:45,160 –> 00:08:46,640
And somehow our parents just know

230[Melvin Lim]
00:08:46,640 –> 00:08:48,360
that we should all buy our own property.

231[Melvin Lim]
00:08:48,360 –> 00:08:50,120
And because that was the mantra

232[Melvin Lim]
00:08:50,120 –> 00:08:52,360
that has been drilled into us since young.

233[Melvin Lim]
00:08:52,360 –> 00:08:55,520
It is to own our first property as early as possible,

234[Melvin Lim]
00:08:55,520 –> 00:08:57,960
compared to, of course in the West or in Japan,

235[Melvin Lim]
00:08:57,960 –> 00:09:00,760
where a huge percentage of residents there,

236[Melvin Lim]
00:09:00,760 –> 00:09:02,720
they rent their properties year after year,

237[Melvin Lim]
00:09:02,720 –> 00:09:04,520
because they’re on a different market right there.

238[Melvin Lim]
00:09:04,520 –> 00:09:06,360
But in Singapore, it’s vastly different.

239[Melvin Lim]
00:09:06,360 –> 00:09:08,120
Our government has policies in place

240[Melvin Lim]
00:09:08,120 –> 00:09:11,320
to help everybody own their first BTO or resale HDB.

241[Melvin Lim]
00:09:11,320 –> 00:09:13,720
And that forms a new base as well.

242[Melvin Lim]
00:09:13,720 –> 00:09:16,600
If we do well in our work, have a stable income and savings.

243[Melvin Lim]
00:09:16,600 –> 00:09:19,200
And of course, moving on, if your HDB appreciates

244[Melvin Lim]
00:09:19,200 –> 00:09:21,040
that also gives you an extra push

245[Melvin Lim]
00:09:21,040 –> 00:09:22,840
to upgrade to the next private property.

246[Melvin Lim]
00:09:22,840 –> 00:09:27,200
So our internal factors are actually stronger in the sense

247[Melvin Lim]
00:09:27,200 –> 00:09:29,920
compared to external influence.

248[Melvin Lim]
00:09:29,920 –> 00:09:33,280
And also for the fact that external foreign investors,

249[Melvin Lim]
00:09:33,280 –> 00:09:36,440
they love to position their funds in Singapore.

250[Melvin Lim]
00:09:36,440 –> 00:09:38,800
And that also gave rise to the wealth tax.

251[Melvin Lim]
00:09:38,800 –> 00:09:40,600
And of course, the rationale having a wealth tax

252[Melvin Lim]
00:09:40,600 –> 00:09:42,840
is because definitely in terms of data,

253[Melvin Lim]
00:09:42,840 –> 00:09:46,120
we have seen a rise in the amount of foreign investors

254[Melvin Lim]
00:09:46,120 –> 00:09:48,320
pumping in their money right here in Singapore

255[Melvin Lim]
00:09:48,320 –> 00:09:49,840
as a store of value.

256[Melvin Lim]
00:09:49,840 –> 00:09:52,000
And the natural instinct is firstly,

257[Melvin Lim]
00:09:52,000 –> 00:09:53,160
to set up family office,

258[Melvin Lim]
00:09:53,160 –> 00:09:55,840
secondly, is to start to own assets right here.

259[Melvin Lim]
00:09:55,840 –> 00:09:57,840
And in the world, everybody knows that real estate

260[Melvin Lim]
00:09:57,840 –> 00:10:01,240
is one of the most stable forms of store of value right here.

261[Melvin Lim]
00:10:01,240 –> 00:10:03,520
And whether it can appreciation on real estate year-on-year,

262[Melvin Lim]
00:10:03,520 –> 00:10:05,280
win different types of asset class,

263[Melvin Lim]
00:10:05,280 –> 00:10:06,520
there’s a whole different topic,

264[Melvin Lim]
00:10:06,520 –> 00:10:07,840
but in terms of stability,

265[Melvin Lim]
00:10:07,840 –> 00:10:10,400
you will not see like an overnight tech stocks

266[Melvin Lim]
00:10:10,400 –> 00:10:12,600
dropping by more than 20 or 30%.

267[Melvin Lim]
00:10:12,600 –> 00:10:15,200
Like what we’ve seen on the Q3 of 2021,

268[Melvin Lim]
00:10:15,200 –> 00:10:16,800
where all our favourite tech stocks,

269[Melvin Lim]
00:10:16,800 –> 00:10:19,960
technically dipped by close to 20, 30%.

270[Melvin Lim]
00:10:19,960 –> 00:10:22,960
And of course recently, up to 40% in the Q1 of 2022.

271[Melvin Lim]
00:10:22,960 –> 00:10:25,520
So naturally speaking, if somebody has already bought,

272[Melvin Lim]
00:10:25,520 –> 00:10:26,720
let’s say a landed property

273[Melvin Lim]
00:10:26,720 –> 00:10:29,960
or a condominium in 2020 or 2021.

274[Melvin Lim]
00:10:29,960 –> 00:10:31,440
Firstly, they have no need to sell.

275[Melvin Lim]
00:10:31,440 –> 00:10:34,360
Secondly, they are already sitting on paper gain.

276[Melvin Lim]
00:10:34,360 –> 00:10:36,640
And the psychology is that if somebody

277[Melvin Lim]
00:10:36,640 –> 00:10:38,840
is already sitting on paper gain on their property,

278[Melvin Lim]
00:10:38,840 –> 00:10:39,880
just take for example,

279[Melvin Lim]
00:10:39,880 –> 00:10:43,240
if somebody were to purchase an inter-terrace in 2020,

280[Melvin Lim]
00:10:43,240 –> 00:10:44,160
we’re talking about inter-terrace

281[Melvin Lim]
00:10:44,160 –> 00:10:45,920
that is in a move-in condition.

282[Melvin Lim]
00:10:45,920 –> 00:10:47,640
You can easily get an inter-terrace

283[Melvin Lim]
00:10:47,640 –> 00:10:50,440
that is in the range of $2.5 mil to $2.8 mil

284[Melvin Lim]
00:10:50,440 –> 00:10:53,640
in the OCR region, let’s say in D19 or D28.

285[Melvin Lim]
00:10:53,640 –> 00:10:56,360
And if somebody has bought in at a $2.5 mil,

286[Melvin Lim]
00:10:56,360 –> 00:10:57,280
just two years back,

287[Melvin Lim]
00:10:57,280 –> 00:10:58,440
right now in the market,

288[Melvin Lim]
00:10:58,440 –> 00:11:01,320
you can technically not find any inter-terrace

289[Melvin Lim]
00:11:01,320 –> 00:11:03,120
that is freehold or 999-year in nature,

290[Melvin Lim]
00:11:03,120 –> 00:11:05,240
that is below $3 mil.

291[Melvin Lim]
00:11:05,240 –> 00:11:08,080
And those properties right now at $3 mil,

292[Melvin Lim]
00:11:08,080 –> 00:11:11,120
in either D19 or D28 in the OCR region,

293[Melvin Lim]
00:11:11,120 –> 00:11:14,680
they are the inter-terraces that needs to be fully rebuilt.

294[Melvin Lim]
00:11:14,680 –> 00:11:16,800
They are definitely the single-storey ones.

295[Melvin Lim]
00:11:16,800 –> 00:11:20,760
You need to tear down, rebuild, pump in $350 PSF,

296[Melvin Lim]
00:11:20,760 –> 00:11:23,320
pump in close to about $1.4 mil to $1.6 mil.

297[Melvin Lim]
00:11:23,320 –> 00:11:25,920
Your total cost will amount to $4.6 mil

298[Melvin Lim]
00:11:25,920 –> 00:11:27,400
after 80 months of construction.

299[Melvin Lim]
00:11:27,400 –> 00:11:29,680
This is now the new price of landed homes,

300[Melvin Lim]
00:11:29,680 –> 00:11:31,960
just a short two years later in the year 2022.

301[Melvin Lim]
00:11:31,960 –> 00:11:34,360
In fact, last year, we released a video

302[Melvin Lim]
00:11:34,360 –> 00:11:36,640
and shared that in 2022 onwards,

303[Melvin Lim]
00:11:36,640 –> 00:11:38,240
if you’re hunting for a landed property,

304[Melvin Lim]
00:11:38,240 –> 00:11:41,280
one of the key types of landed properties that you can look at,

305[Melvin Lim]
00:11:41,280 –> 00:11:43,200
if let’s say you’re considering and contemplating

306[Melvin Lim]
00:11:43,200 –> 00:11:44,680
between an inter-terrace or semi-D,

307[Melvin Lim]
00:11:44,680 –> 00:11:48,120
is to go for a semi-D in the range of $4 mil~.

308[Melvin Lim]
00:11:48,120 –> 00:11:48,960
Why is that?

309[Melvin Lim]
00:11:48,960 –> 00:11:49,920
So it’s because $4 mil

310[Melvin Lim]
00:11:49,920 –> 00:11:51,960
can only get you an older type of semi-D

311[Melvin Lim]
00:11:51,960 –> 00:11:54,280
but that’s fine, because you’re buying the land.

312[Melvin Lim]
00:11:54,280 –> 00:11:56,360
And to sidetrack a little bit, just for our landed lovers,

313[Melvin Lim]
00:11:56,360 –> 00:11:59,080
is that the land size is extremely important

314[Melvin Lim]
00:11:59,080 –> 00:12:00,240
in this next season.

315[Melvin Lim]
00:12:00,240 –> 00:12:01,760
Now, we always talk about quantum effect.

316[Melvin Lim]
00:12:01,760 –> 00:12:04,040
And of course, if you are new to the landed market,

317[Melvin Lim]
00:12:04,040 –> 00:12:06,040
maybe you should start off with the inter-terrace first.

318[Melvin Lim]
00:12:06,040 –> 00:12:06,880
However,

319[Melvin Lim]
00:12:06,880 –> 00:12:08,880
when we look at the price growth of inter-terraces

320[Melvin Lim]
00:12:08,880 –> 00:12:12,040
over the past two years, vis-a-vis the semi-D price growth,

321[Melvin Lim]
00:12:12,040 –> 00:12:13,360
if you can find something

322[Melvin Lim]
00:12:13,360 –> 00:12:14,680
in the $4+ mil range,

323[Melvin Lim]
00:12:14,680 –> 00:12:16,640
even if it is an older semi-D,

324[Melvin Lim]
00:12:16,640 –> 00:12:19,000
sitting on, let’s say a 3,000-odd sqft of land,

325[Melvin Lim]
00:12:19,000 –> 00:12:20,080
you should go for it,

326[Melvin Lim]
00:12:20,080 –> 00:12:23,720
because any $100 PSF or $200 PSF price appreciation

327[Melvin Lim]
00:12:23,720 –> 00:12:24,960
on the land price

328[Melvin Lim]
00:12:24,960 –> 00:12:27,920
is going to see a higher quantum gain for you.

329[Melvin Lim]
00:12:27,920 –> 00:12:28,960
So let’s say for example,

330[Melvin Lim]
00:12:28,960 –> 00:12:31,880
comparing these two land sizes, one is at 2,200 sqft,

331[Melvin Lim]
00:12:31,880 –> 00:12:34,080
the other one is at 3,800 sqft.

332[Melvin Lim]
00:12:34,080 –> 00:12:35,440
What is potentially going to happen

333[Melvin Lim]
00:12:35,440 –> 00:12:37,400
is that if there’s a $100 PSF,

334[Melvin Lim]
00:12:37,400 –> 00:12:40,720
or maybe let’s say for example, $200 PSF increment.

335[Melvin Lim]
00:12:40,720 –> 00:12:42,640
And when we look at pure landed properties,

336[Melvin Lim]
00:12:42,640 –> 00:12:45,040
we always look at the land PSF.

337[Melvin Lim]
00:12:45,040 –> 00:12:46,640
We don’t talk about the build-up PSF,

338[Melvin Lim]
00:12:46,640 –> 00:12:49,240
because build-up PSF are being reserved for strata property.

339[Melvin Lim]
00:12:49,240 –> 00:12:51,200
So when there’s a $200 PSF price increment,

340[Melvin Lim]
00:12:51,200 –> 00:12:52,360
what’s going to happen

341[Melvin Lim]
00:12:52,360 –> 00:12:55,760
is that this 2,200 sqft land that you own

342[Melvin Lim]
00:12:55,760 –> 00:12:58,000
is going to appreciate by $440K.

343[Melvin Lim]
00:12:58,000 –> 00:13:01,480
And the 3,800 sqft land that you own

344[Melvin Lim]
00:13:01,480 –> 00:13:04,080
is going to appreciate by $760K.

345[Melvin Lim]
00:13:04,080 –> 00:13:07,080
Although the PSF increment is $200 PSF each

346[Melvin Lim]
00:13:07,080 –> 00:13:08,280
in terms of the land PSF,

347[Melvin Lim]
00:13:08,280 –> 00:13:11,000
let’s say in the same landed enclave, in the same district.

348[Melvin Lim]
00:13:11,000 –> 00:13:11,920
When you look at that,

349[Melvin Lim]
00:13:11,920 –> 00:13:13,520
the quantum difference is huge

350[Melvin Lim]
00:13:13,520 –> 00:13:17,040
because there’s close to about $300K quantum appreciation

351[Melvin Lim]
00:13:17,040 –> 00:13:19,240
that has benefited the owner

352[Melvin Lim]
00:13:19,240 –> 00:13:21,000
sitting on the larger land plot.

353[Melvin Lim]
00:13:21,000 –> 00:13:22,840
Of course, there are various other factors

354[Melvin Lim]
00:13:22,840 –> 00:13:24,640
like the exact position on the land plot,

355[Melvin Lim]
00:13:24,640 –> 00:13:26,200
whether it is near to the substation,

356[Melvin Lim]
00:13:26,200 –> 00:13:27,720
whether it is facing a T road,

357[Melvin Lim]
00:13:27,720 –> 00:13:29,280
whether what was the condition of the age,

358[Melvin Lim]
00:13:29,280 –> 00:13:30,560
and the landed home

359[Melvin Lim]
00:13:30,560 –> 00:13:32,240
in terms of its building and construction age,

360[Melvin Lim]
00:13:32,240 –> 00:13:33,080
that’s sitting on the land itself.

361[Melvin Lim]
00:13:33,080 –> 00:13:35,480
But of course, if we compare apple to apple,

362[Melvin Lim]
00:13:35,480 –> 00:13:38,640
let’s say both are 10 years old, a small and a larger land.

363[Melvin Lim]
00:13:38,640 –> 00:13:39,440
Definitely you’ll be able

364[Melvin Lim]
00:13:39,440 –> 00:13:42,280
to see that larger and higher quantum appreciation.

365[Melvin Lim]
00:13:42,280 –> 00:13:43,880
Now, what does that mean for you

366[Melvin Lim]
00:13:43,880 –> 00:13:46,040
is that if let’s say for example,

367[Melvin Lim]
00:13:46,040 –> 00:13:49,480
if you’re looking for a price gain in terms of equity,

368[Melvin Lim]
00:13:49,480 –> 00:13:52,240
the larger land is going to give you that higher price gain.

369[Melvin Lim]
00:13:52,240 –> 00:13:54,720
Of course, then after that you can do equity term loan.

370[Melvin Lim]
00:13:54,720 –> 00:13:57,520
You can extract equity, do other stuff with it,

371[Melvin Lim]
00:13:57,520 –> 00:13:59,440
maybe pump into the business for your own personal use

372[Melvin Lim]
00:13:59,440 –> 00:14:00,320
and things like that.

373[Melvin Lim]
00:14:00,320 –> 00:14:01,160
All right, so coming back

374[Melvin Lim]
00:14:01,160 –> 00:14:03,520
from a sidetrack question on landed properties and semi-D.

375[Melvin Lim]
00:14:03,520 –> 00:14:05,120
That segment is very suitable

376[Melvin Lim]
00:14:05,120 –> 00:14:07,040
if you’re trying to enter into landed market

377[Melvin Lim]
00:14:07,040 –> 00:14:09,200
and you’re contemplating inter-terrace or semi-D.

378[Melvin Lim]
00:14:09,200 –> 00:14:11,400
All right, so let’s come back to this segment again,

379[Melvin Lim]
00:14:11,400 –> 00:14:12,760
which is about timing the market.

380[Melvin Lim]
00:14:12,760 –> 00:14:14,480
One more thing to notice about the market

381[Melvin Lim]
00:14:14,480 –> 00:14:16,480
is that the amount of inventory

382[Melvin Lim]
00:14:16,480 –> 00:14:18,600
that’s available in the general market.

383[Melvin Lim]
00:14:18,600 –> 00:14:20,440
So for example, if you’re hunting for condominium,

384[Melvin Lim]
00:14:20,440 –> 00:14:21,440
let’s say, it’s a 4-bedder,

385[Melvin Lim]
00:14:21,440 –> 00:14:24,960
try to track how many listings are available month-to-month.

386[Melvin Lim]
00:14:24,960 –> 00:14:25,880
And you’ll start to notice

387[Melvin Lim]
00:14:25,880 –> 00:14:27,480
that in terms of inventory in the market,

388[Melvin Lim]
00:14:27,480 –> 00:14:30,440
the large size units inventory are definitely dropping,

389[Melvin Lim]
00:14:30,440 –> 00:14:32,240
especially in the first quarter of 2022.

390[Melvin Lim]
00:14:32,240 –> 00:14:35,240
So if you’re hunting for like 4-bedders, for penthouse,

391[Melvin Lim]
00:14:35,240 –> 00:14:37,200
for even large size 3-bedders,

392[Melvin Lim]
00:14:37,200 –> 00:14:38,600
or definitely landed properties,

393[Melvin Lim]
00:14:38,600 –> 00:14:40,640
you’ll notice that the amount of listings

394[Melvin Lim]
00:14:40,640 –> 00:14:42,280
and inventory have dipped.

395[Melvin Lim]
00:14:42,280 –> 00:14:43,400
If you are going to like,

396[Melvin Lim]
00:14:43,400 –> 00:14:45,600
one of the most popular websites, on PropertyGuru,

397[Melvin Lim]
00:14:45,600 –> 00:14:48,640
something to note is that if you want to filter away

398[Melvin Lim]
00:14:48,640 –> 00:14:49,480
and you don’t want

399[Melvin Lim]
00:14:49,480 –> 00:14:51,680
to look at new launch kind of advertisements and listings,

400[Melvin Lim]
00:14:51,680 –> 00:14:53,440
you can select a filter button

401[Melvin Lim]
00:14:53,440 –> 00:14:55,240
and go to the completion year.

402[Melvin Lim]
00:14:55,240 –> 00:14:58,080
And you can key in 2022 as the completion year.

403[Melvin Lim]
00:14:58,080 –> 00:14:59,760
And of course, if you want to further segregate,

404[Melvin Lim]
00:14:59,760 –> 00:15:01,680
then you can just key in 2021,

405[Melvin Lim]
00:15:01,680 –> 00:15:03,040
so that this will then,

406[Melvin Lim]
00:15:03,040 –> 00:15:05,720
filter away all the new launches advertisements.

407[Melvin Lim]
00:15:05,720 –> 00:15:06,680
And that will then

408[Melvin Lim]
00:15:06,680 –> 00:15:09,880
give you the correct general health of the market

409[Melvin Lim]
00:15:09,880 –> 00:15:11,520
in terms of the amount listing in the resale market.

410[Melvin Lim]
00:15:11,520 –> 00:15:12,880
Of course, from that total amount,

411[Melvin Lim]
00:15:12,880 –> 00:15:15,200
you need to discount another few percentage points

412[Melvin Lim]
00:15:15,200 –> 00:15:16,960
because sometimes a listing can be marketed

413[Melvin Lim]
00:15:16,960 –> 00:15:18,480
by several different agents.

414[Melvin Lim]
00:15:18,480 –> 00:15:19,320
And of course,

415[Melvin Lim]
00:15:19,320 –> 00:15:21,480
maybe a team of agents is marketing it on the same listing.

416[Melvin Lim]
00:15:21,480 –> 00:15:22,600
So there could be duplicates

417[Melvin Lim]
00:15:22,600 –> 00:15:24,160
in terms of the amount listings available.

418[Melvin Lim]
00:15:24,160 –> 00:15:26,600
And definitely landed listings, compared to two years back,

419[Melvin Lim]
00:15:26,600 –> 00:15:28,280
has a lower inventory right now.

420[Melvin Lim]
00:15:28,280 –> 00:15:30,560
Condominium listings in terms of larger units,

421[Melvin Lim]
00:15:30,560 –> 00:15:32,520
also have a more depleted inventory.

422[Melvin Lim]
00:15:32,520 –> 00:15:34,000
That would then also give you a sense

423[Melvin Lim]
00:15:34,000 –> 00:15:36,440
of what other buyers are hunting out for.

424[Melvin Lim]
00:15:36,440 –> 00:15:39,040
And whether the existing owners of the larger units,

425[Melvin Lim]
00:15:39,040 –> 00:15:40,720
are they putting their properties in the market?

426[Melvin Lim]
00:15:40,720 –> 00:15:43,520
Of course, back to the actual market sentiment.

427[Melvin Lim]
00:15:43,520 –> 00:15:44,360
A lot of owners

428[Melvin Lim]
00:15:44,360 –> 00:15:46,040
that might be putting their properties in the market

429[Melvin Lim]
00:15:46,040 –> 00:15:48,120
might also be hunting for a larger property,

430[Melvin Lim]
00:15:48,120 –> 00:15:51,120
or maybe moving to different parts of Singapore Island.

431[Melvin Lim]
00:15:51,120 –> 00:15:53,480
And thus, everybody has their own different kinds of reasons

432[Melvin Lim]
00:15:53,480 –> 00:15:55,480
and rationales for putting their property in the market.

433[Melvin Lim]
00:15:55,480 –> 00:15:56,440
But most importantly,

434[Melvin Lim]
00:15:56,440 –> 00:15:59,240
the same advice still stands from PLB

435[Melvin Lim]
00:15:59,240 –> 00:16:01,160
is that do not time the market,

436[Melvin Lim]
00:16:01,160 –> 00:16:02,920
especially if it is your first

437[Melvin Lim]
00:16:02,920 –> 00:16:05,240
or it is your current primary residence.

438[Melvin Lim]
00:16:05,240 –> 00:16:07,240
So if you’re holding onto one property,

439[Melvin Lim]
00:16:07,240 –> 00:16:09,720
you want to shift because of several needs,

440[Melvin Lim]
00:16:09,720 –> 00:16:11,480
whether is it changing a location,

441[Melvin Lim]
00:16:11,480 –> 00:16:12,320
because you want to get

442[Melvin Lim]
00:16:12,320 –> 00:16:14,440
into 1km radius of your kid’s school,

443[Melvin Lim]
00:16:14,440 –> 00:16:15,760
when they’re entering into P1.

444[Melvin Lim]
00:16:15,760 –> 00:16:16,600
Or you are switching,

445[Melvin Lim]
00:16:16,600 –> 00:16:18,280
because you have already seen appreciation

446[Melvin Lim]
00:16:18,280 –> 00:16:20,640
in your current property, in this current enclave.

447[Melvin Lim]
00:16:20,640 –> 00:16:22,640
You want to switch and then extract the capital,

448[Melvin Lim]
00:16:22,640 –> 00:16:23,560
get a bigger property,

449[Melvin Lim]
00:16:23,560 –> 00:16:24,560
or maybe get one property,

450[Melvin Lim]
00:16:24,560 –> 00:16:26,160
each other, you and your spouse name,

451[Melvin Lim]
00:16:26,160 –> 00:16:27,600
then do not time the market.

452[Melvin Lim]
00:16:27,600 –> 00:16:30,120
Do not try to go and rent for two years,

453[Melvin Lim]
00:16:30,120 –> 00:16:31,880
wait out and try to see what happens

454[Melvin Lim]
00:16:31,880 –> 00:16:34,880
because the another factor is that you are also paying rent.

455[Melvin Lim]
00:16:34,880 –> 00:16:37,000
And when you pay rent, it’s all hard cash.

456[Melvin Lim]
00:16:37,000 –> 00:16:38,480
You cannot use your CPF to pay.

457[Melvin Lim]
00:16:38,480 –> 00:16:40,120
Just a simple rental of $5K a month

458[Melvin Lim]
00:16:40,120 –> 00:16:43,720
will then equate to $60K in a year, $120K in two years.

459[Melvin Lim]
00:16:43,720 –> 00:16:45,000
Also bearing in mind

460[Melvin Lim]
00:16:45,000 –> 00:16:47,960
that rental rates are increasing surprisingly

461[Melvin Lim]
00:16:47,960 –> 00:16:50,120
over the past one-odd year.

462[Melvin Lim]
00:16:50,120 –> 00:16:52,480
And I think the key rationale is because a lot more people

463[Melvin Lim]
00:16:52,480 –> 00:16:53,400
are coming out to rent.

464[Melvin Lim]
00:16:53,400 –> 00:16:55,720
A lot of expats, they are still in Singapore.

465[Melvin Lim]
00:16:55,720 –> 00:16:58,160
They are unable to head home because of the pandemic.

466[Melvin Lim]
00:16:58,160 –> 00:17:00,280
So vis-a-vis all these reasons,

467[Melvin Lim]
00:17:00,280 –> 00:17:02,360
rental rates are increasing as well.

468[Melvin Lim]
00:17:02,360 –> 00:17:03,200
And of course,

469[Melvin Lim]
00:17:03,200 –> 00:17:04,960
the latest increment in terms of property tax

470[Melvin Lim]
00:17:04,960 –> 00:17:06,680
will also potentially split landlords

471[Melvin Lim]
00:17:06,680 –> 00:17:08,520
to increase their rental rates slightly

472[Melvin Lim]
00:17:08,520 –> 00:17:10,280
to cover the increment

473[Melvin Lim]
00:17:10,280 –> 00:17:12,360
in terms of the cost of holding on to their properties.

474[Melvin Lim]
00:17:12,360 –> 00:17:14,520
And definitely, if it’s your current property

475[Melvin Lim]
00:17:14,520 –> 00:17:15,840
and it’s meant for own stay,

476[Melvin Lim]
00:17:15,840 –> 00:17:18,000
do your best, not to time the market,

477[Melvin Lim]
00:17:18,000 –> 00:17:19,400
try to do it concurrently,

478[Melvin Lim]
00:17:19,400 –> 00:17:22,600
or try to make sure that there’s no huge gap in between.

479[Melvin Lim]
00:17:22,600 –> 00:17:23,880
You can rent for three, six,

480[Melvin Lim]
00:17:23,880 –> 00:17:26,040
or maybe at max nine months or a year.

481[Melvin Lim]
00:17:26,040 –> 00:17:26,880
I think that’s fine.

482[Melvin Lim]
00:17:26,880 –> 00:17:28,800
But if you try to prolong to two, three years,

483[Melvin Lim]
00:17:28,800 –> 00:17:31,200
then I think you have to factor in the different types

484[Melvin Lim]
00:17:31,200 –> 00:17:33,440
of costs that are being involved.

485[Melvin Lim]
00:17:33,440 –> 00:17:35,760
Try to use something like a breakeven kind of calculator.

486[Melvin Lim]
00:17:35,760 –> 00:17:38,080
So at PLB you have like a breakeven calculator

487[Melvin Lim]
00:17:38,080 –> 00:17:39,920
to try to see if things make sense.

488[Melvin Lim]
00:17:39,920 –> 00:17:42,440
So for example, we always try to make sense if let’s say,

489[Melvin Lim]
00:17:42,440 –> 00:17:43,520
it makes sense to rent

490[Melvin Lim]
00:17:43,520 –> 00:17:46,040
and what will be the total breakeven price

491[Melvin Lim]
00:17:46,040 –> 00:17:47,160
after two to three years.

492[Melvin Lim]
00:17:47,160 –> 00:17:49,800
And then whether does it make sense for a family to rent?

493[Melvin Lim]
00:17:49,800 –> 00:17:50,880
Because most importantly,

494[Melvin Lim]
00:17:50,880 –> 00:17:51,800
we want to make sure that in terms

495[Melvin Lim]
00:17:51,800 –> 00:17:54,960
of the outgoing cost of rental plus the purchase price,

496[Melvin Lim]
00:17:54,960 –> 00:17:56,640
does it make sense at the end of the day?

497[Melvin Lim]
00:17:56,640 –> 00:17:57,960
And that is, of course very important

498[Melvin Lim]
00:17:57,960 –> 00:17:59,000
when you’re trying to decide

499[Melvin Lim]
00:17:59,000 –> 00:18:01,640
to buy either a new launch project or maybe a resale project,

500[Melvin Lim]
00:18:01,640 –> 00:18:04,120
because all this cost needs to be factored in.

501[Melvin Lim]
00:18:04,120 –> 00:18:05,720
And so I hope you had a better understanding

502[Melvin Lim]
00:18:05,720 –> 00:18:08,480
of whether should you time or not time the market,

503[Melvin Lim]
00:18:08,480 –> 00:18:09,360
because importantly,

504[Melvin Lim]
00:18:09,360 –> 00:18:11,440
Singapore is very different from the rest of the world.

505[Melvin Lim]
00:18:11,440 –> 00:18:14,680
A lot of demand comes from internal residents.

506[Melvin Lim]
00:18:14,680 –> 00:18:16,200
We are a real estate nation.

507[Melvin Lim]
00:18:16,200 –> 00:18:19,520
Everybody wants a roof over their head for own stay.

508[Melvin Lim]
00:18:19,520 –> 00:18:21,040
And we’re of a different demographics

509[Melvin Lim]
00:18:21,040 –> 00:18:23,040
because we have things like CPF,

510[Melvin Lim]
00:18:23,040 –> 00:18:24,880
that’s helping us in terms of monthly mortgage.

511[Melvin Lim]
00:18:24,880 –> 00:18:26,960
We have things like, we have dual income families.

512[Melvin Lim]
00:18:26,960 –> 00:18:28,040
And most importantly,

513[Melvin Lim]
00:18:28,040 –> 00:18:30,360
our land is scarce and supply is limited.

514[Melvin Lim]
00:18:30,360 –> 00:18:32,040
So let’s move on to the second part

515[Melvin Lim]
00:18:32,040 –> 00:18:33,560
of today’s Nuggets On The Go,

516[Melvin Lim]
00:18:33,560 –> 00:18:36,080
which is to talk about this freebie

517[Melvin Lim]
00:18:36,080 –> 00:18:38,720
that we have created for all our audiences.

518[Melvin Lim]
00:18:38,720 –> 00:18:41,760
It’s that we have come up with this exhaustive list for 2022.

519[Melvin Lim]
00:18:41,760 –> 00:18:43,040
And there are few key things

520[Melvin Lim]
00:18:43,040 –> 00:18:44,320
that will be very helpful for you.

521[Melvin Lim]
00:18:44,320 –> 00:18:47,200
So we have a confirmed list of GLS in 2022,

522[Melvin Lim]
00:18:47,200 –> 00:18:48,920
a reserve list of GLS,

523[Melvin Lim]
00:18:48,920 –> 00:18:50,680
which is Government Land Sales in 2022.

524[Melvin Lim]
00:18:50,680 –> 00:18:52,640
So this will help you in terms of knowing the exact location

525[Melvin Lim]
00:18:52,640 –> 00:18:54,160
of the next government land sales.

526[Melvin Lim]
00:18:54,160 –> 00:18:55,200
That can then help you

527[Melvin Lim]
00:18:55,200 –> 00:18:57,400
to forecast a little bit in your decision

528[Melvin Lim]
00:18:57,400 –> 00:18:58,480
on whether should you wait

529[Melvin Lim]
00:18:58,480 –> 00:19:00,240
for this properties to be launched.

530[Melvin Lim]
00:19:00,240 –> 00:19:03,120
Or if you’re hunting for some resale properties

531[Melvin Lim]
00:19:03,120 –> 00:19:05,680
beside these new launches that might be coming up,

532[Melvin Lim]
00:19:05,680 –> 00:19:06,520
then of course,

533[Melvin Lim]
00:19:06,520 –> 00:19:08,960
there’s one key thing that might instill growth

534[Melvin Lim]
00:19:08,960 –> 00:19:10,360
over the next three to five years.

535[Melvin Lim]
00:19:10,360 –> 00:19:11,200
Because every time

536[Melvin Lim]
00:19:11,200 –> 00:19:13,840
when a new launch sets the new PSF benchmark,

537[Melvin Lim]
00:19:13,840 –> 00:19:17,280
it will definitely bring a bulk movement, an upward movement,

538[Melvin Lim]
00:19:17,280 –> 00:19:19,480
in terms of resale properties around the area

539[Melvin Lim]
00:19:19,480 –> 00:19:21,000
after a mid-range kind of season.

540[Melvin Lim]
00:19:21,000 –> 00:19:22,920
So usually after a couple of years,

541[Melvin Lim]
00:19:22,920 –> 00:19:25,760
when a new launch is being launched and TOP-ed,

542[Melvin Lim]
00:19:25,760 –> 00:19:27,360
and transacted in the resale market,

543[Melvin Lim]
00:19:27,360 –> 00:19:28,280
most of the time,

544[Melvin Lim]
00:19:28,280 –> 00:19:30,280
the surrounding projects will see a gradual upward trend,

545[Melvin Lim]
00:19:30,280 –> 00:19:32,160
in terms of PSF as well.

546[Melvin Lim]
00:19:32,160 –> 00:19:32,960
We have also come out

547[Melvin Lim]
00:19:32,960 –> 00:19:35,480
with a successful en bloc list in 2021.

548[Melvin Lim]
00:19:35,480 –> 00:19:37,440
New launches list in 2022.

549[Melvin Lim]
00:19:37,440 –> 00:19:39,240
And then we have this bonus segment,

550[Melvin Lim]
00:19:39,240 –> 00:19:41,080
which is called a lease of new launches

551[Melvin Lim]
00:19:41,080 –> 00:19:43,040
that is going to TOP in 2022,

552[Melvin Lim]
00:19:43,040 –> 00:19:45,120
yet still having balanced developer units

553[Melvin Lim]
00:19:45,120 –> 00:19:46,200
that you can still buy.

554[Melvin Lim]
00:19:46,200 –> 00:19:49,120
We have also came up with a list of projects

555[Melvin Lim]
00:19:49,120 –> 00:19:50,920
that is going to TOP in 2022,

556[Melvin Lim]
00:19:50,920 –> 00:19:54,720
just in case, you prefer to enter into TOP projects,

557[Melvin Lim]
00:19:54,720 –> 00:19:56,400
meaning that you want to buy properties

558[Melvin Lim]
00:19:56,400 –> 00:19:58,040
that has never been occupied before,

559[Melvin Lim]
00:19:58,040 –> 00:19:59,560
directly from the first owner.

560[Melvin Lim]
00:19:59,560 –> 00:20:01,840
They just collected keys within the past three months.

561[Melvin Lim]
00:20:01,840 –> 00:20:03,720
And you want to own such kind of properties

562[Melvin Lim]
00:20:03,720 –> 00:20:05,800
because maybe you prefer brand new type properties,

563[Melvin Lim]
00:20:05,800 –> 00:20:07,720
but you don’t want to wait for new launch.

564[Melvin Lim]
00:20:07,720 –> 00:20:10,040
You still don’t want to get like older resale condos.

565[Melvin Lim]
00:20:10,040 –> 00:20:11,760
You want like those brand new,

566[Melvin Lim]
00:20:11,760 –> 00:20:14,120
we call them brand new TOP projects.

567[Melvin Lim]
00:20:14,120 –> 00:20:16,800
So we also have came out a list of landed homes

568[Melvin Lim]
00:20:16,800 –> 00:20:18,480
that are directly from developers.

569[Melvin Lim]
00:20:18,480 –> 00:20:19,520
But of course, we’re not talking

570[Melvin Lim]
00:20:19,520 –> 00:20:23,000
about the one to two unit kind of developers landed units.

571[Melvin Lim]
00:20:23,000 –> 00:20:25,520
We’re talking about a more large scale kind of fashion.

572[Melvin Lim]
00:20:25,520 –> 00:20:27,920
And thus, if you’re interested to have this list,

573[Melvin Lim]
00:20:27,920 –> 00:20:30,040
you just need to click on this link below,

574[Melvin Lim]
00:20:30,040 –> 00:20:33,240
or you can also drop us an email on [email protected].

575[Melvin Lim]
00:20:33,240 –> 00:20:34,840
And we’ll be happy to send you that list.

576[Melvin Lim]
00:20:34,840 –> 00:20:35,920
You can click on this link,

577[Melvin Lim]
00:20:35,920 –> 00:20:37,960
that’ll then bring you to automated response version

578[Melvin Lim]
00:20:37,960 –> 00:20:39,400
that will send you that PDF file,

579[Melvin Lim]
00:20:39,400 –> 00:20:42,520
for you to go through the table as well as the map itself.

580[Melvin Lim]
00:20:42,520 –> 00:20:43,880
So we hope that this list will help you.

581[Melvin Lim]
00:20:43,880 –> 00:20:48,440
And this list is in conjunction, before we end, to this,

582[Melvin Lim]
00:20:48,440 –> 00:20:49,840
that we want to bring out again.

583[Melvin Lim]
00:20:49,840 –> 00:20:52,800
So this chart, we talked about it slightly, previously,

584[Melvin Lim]
00:20:52,800 –> 00:20:55,520
and this is called the non-landed 2022 possible movements.

585[Melvin Lim]
00:20:55,520 –> 00:20:56,760
So is this still happening?

586[Melvin Lim]
00:20:56,760 –> 00:20:59,040
I would say that this is definitely still happening,

587[Melvin Lim]
00:20:59,040 –> 00:21:00,440
because what is happening right now in the market

588[Melvin Lim]
00:21:00,440 –> 00:21:02,040
is that developers this year,

589[Melvin Lim]
00:21:02,040 –> 00:21:04,760
they will be more motivated to bid for land

590[Melvin Lim]
00:21:04,760 –> 00:21:07,520
because a lot of developers land banks are depleting.

591[Melvin Lim]
00:21:07,520 –> 00:21:11,280
They are already going to complete a lot of projects in 2022.

592[Melvin Lim]
00:21:11,280 –> 00:21:13,240
And thus, they’re having a bit more bandwidth

593[Melvin Lim]
00:21:13,240 –> 00:21:14,200
to bid for projects.

594[Melvin Lim]
00:21:14,200 –> 00:21:16,280
You can see from the last few bids on Lentor

595[Melvin Lim]
00:21:16,280 –> 00:21:18,440
as well as Ang Mo Kio Avenue 1, and Slim Barracks,

596[Melvin Lim]
00:21:18,440 –> 00:21:21,000
in terms of the bidding movement from developers,

597[Melvin Lim]
00:21:21,000 –> 00:21:22,240
it’s definitely still healthy.

598[Melvin Lim]
00:21:22,240 –> 00:21:24,000
Of course, with the new ABSD,

599[Melvin Lim]
00:21:24,000 –> 00:21:26,440
sort of defray a little bit of interest.

600[Melvin Lim]
00:21:26,440 –> 00:21:29,040
However, I think developers definitely,

601[Melvin Lim]
00:21:29,040 –> 00:21:30,840
they are already very experienced,

602[Melvin Lim]
00:21:30,840 –> 00:21:33,520
especially with the TDSR that came up from 2013.

603[Melvin Lim]
00:21:33,520 –> 00:21:35,160
Most of the units right now

604[Melvin Lim]
00:21:35,160 –> 00:21:36,880
are done with a very efficient layout.

605[Melvin Lim]
00:21:36,880 –> 00:21:39,040
If you look at recent years, in terms of launches,

606[Melvin Lim]
00:21:39,040 –> 00:21:41,720
developers are also very focused on facilities,

607[Melvin Lim]
00:21:41,720 –> 00:21:44,000
architecture, the theme of the project,

608[Melvin Lim]
00:21:44,000 –> 00:21:46,120
which then attracts buyers to buy,

609[Melvin Lim]
00:21:46,120 –> 00:21:48,280
with a concept that even though you’re buying a unit

610[Melvin Lim]
00:21:48,280 –> 00:21:49,600
that is of a smaller size,

611[Melvin Lim]
00:21:49,600 –> 00:21:52,680
but you’re buying into the whole theme of the condominium itself

612[Melvin Lim]
00:21:52,680 –> 00:21:54,200
and enjoying the entire project,

613[Melvin Lim]
00:21:54,200 –> 00:21:55,400
rather than just thinking

614[Melvin Lim]
00:21:55,400 –> 00:21:58,040
about you owning that 1- or 2- or 3-bedder,

615[Melvin Lim]
00:21:58,040 –> 00:21:59,800
having that built-in area itself.

616[Melvin Lim]
00:21:59,800 –> 00:22:02,760
So you are technically buying into the theme of the project,

617[Melvin Lim]
00:22:02,760 –> 00:22:04,360
buying into the lifestyle of the project.

618[Melvin Lim]
00:22:04,360 –> 00:22:08,200
And thus, I think that this graph is still in line.

619[Melvin Lim]
00:22:08,200 –> 00:22:09,680
So if you want to understand a little bit more

620[Melvin Lim]
00:22:09,680 –> 00:22:11,480
about this graph in detail,

621[Melvin Lim]
00:22:11,480 –> 00:22:12,600
you can click on this link

622[Melvin Lim]
00:22:12,600 –> 00:22:14,240
to head back to our previous episodes.

623[Melvin Lim]
00:22:14,240 –> 00:22:15,160
And we have come to the end

624[Melvin Lim]
00:22:15,160 –> 00:22:16,400
of this Nuggets On The Go episode.

625[Melvin Lim]
00:22:16,400 –> 00:22:19,960
We hope that you enjoyed us answering these two themes today.

626[Melvin Lim]
00:22:19,960 –> 00:22:21,400
Firstly is, should we time to market?

627[Melvin Lim]
00:22:21,400 –> 00:22:23,200
Secondly is basically, the freebies

628[Melvin Lim]
00:22:23,200 –> 00:22:25,400
that we hope that will benefit you

629[Melvin Lim]
00:22:25,400 –> 00:22:27,600
and understanding about some of the key trends

630[Melvin Lim]
00:22:27,600 –> 00:22:29,280
of government land sales and new launches

631[Melvin Lim]
00:22:29,280 –> 00:22:30,760
that will happen in 2022.

632[Melvin Lim]
00:22:30,760 –> 00:22:33,240
To sum it up, naturally and definitely,

633[Melvin Lim]
00:22:33,240 –> 00:22:34,360
in terms of RCR region,

634[Melvin Lim]
00:22:34,360 –> 00:22:37,600
it will definitely be above the $2,000~ PSF benchmark.

635[Melvin Lim]
00:22:37,600 –> 00:22:41,240
We’re not seeing a lot of OCR launches this year, likely,

636[Melvin Lim]
00:22:41,240 –> 00:22:43,120
but if there are, definitely they’re all

637[Melvin Lim]
00:22:43,120 –> 00:22:46,840
challenging the $1,800 PSF upwards kind of benchmark.

638[Melvin Lim]
00:22:46,840 –> 00:22:48,720
And in CCR, I still think

639[Melvin Lim]
00:22:48,720 –> 00:22:51,320
that it is still the prime season and prime time,

640[Melvin Lim]
00:22:51,320 –> 00:22:55,920
because in terms of catch up of PSF from OCR and RCR,

641[Melvin Lim]
00:22:55,920 –> 00:22:58,200
RCR also makes a lot of sense,

642[Melvin Lim]
00:22:58,200 –> 00:23:00,480
especially if you’re hunting for a resale

643[Melvin Lim]
00:23:00,480 –> 00:23:02,360
or some of the balance launches right now,

644[Melvin Lim]
00:23:02,360 –> 00:23:04,280
that’s available in the CCR market.

645[Melvin Lim]
00:23:04,280 –> 00:23:07,280
So if you have the appetite in terms of a higher quantum,

646[Melvin Lim]
00:23:07,280 –> 00:23:09,760
a higher PSF in the CCR range,

647[Melvin Lim]
00:23:09,760 –> 00:23:10,600
and you’re thinking that,

648[Melvin Lim]
00:23:10,600 –> 00:23:12,280
“Hey, some of the RCR projects

649[Melvin Lim]
00:23:12,280 –> 00:23:15,080
are really catching up the PSF level in CCR,”

650[Melvin Lim]
00:23:15,080 –> 00:23:18,200
then it might make sense for you to enter into CCR region.

651[Melvin Lim]
00:23:18,200 –> 00:23:19,240
So that’s all for today.

652[Melvin Lim]
00:23:19,240 –> 00:23:20,760
And we hope that you enjoyed this episode.

653[Melvin Lim]
00:23:20,760 –> 00:23:21,640
My name is Melvin Lim.

654[Melvin Lim]
00:23:21,640 –> 00:23:23,800
And we’ll see you in the next NOTG.

655[Melvin Lim]
00:23:23,800 –> 00:23:24,520
Let’s go.