What’s in for Singapore real estate market after the cooling measures in 5th July 2018? Buyers, brokers and developers went crazy on that fateful night when government made a surprise announcement to increase the Additional Buyer’s Stamp Duty for buyers who are purchasing their second properties onwards. Buyers thronged the showrooms right after the announcement and showrooms that were scheduled to launch at a later date were opened immediately for sale just to beat the deadline of 12 am before the new measures kick in. Sales were brisk, with a total sale transaction of over a thousand units in that span of few hours. But what comes after the measures kick in is more dreading for the developers, whom just experience a healthy recovery in the project sales due to the recovering property market. Sales transaction for July 2018 was fantastic, mostly due to the rush of 5th July night, but sales figure in August 2018 was abysmal, with a dive of 64% compared to July.
Experts and market analysts were quick to jump in to condemn the move by the government for yet another cooling measure when the property market is in the early stages of recovery, but the Singapore government deemed it necessary to reign in the soaring prices of real estate, at an unreal pace which is too fast too furious, for the economy. But despite these new measures, Singapore real estate remain relatively one of the most stable and affordable in the ranks of developed nation.
Having debate about the prospect of Singapore’s property outlook, home buyers and investors may be interested to explore the upcoming high potential Fourth Avenue Residences by Allgreen Properties Ltd. This new 99 year leasehold project is situated in 2 Fourth Avenue, along the prime Bukit Timah Road, and conveniently sited besides Sixth Avenue MRT Station (Downtown Line). One of the main draw of Singapore Fourth Avenue Residences condo is that Sixth Avenue MRT Station is right besides, which grant residents easy access to the train station within a minute’s walk. This project has great potential and buyers can expect great capital appreciation in the mid to long term due to the central locality of this place, plus it is nestled in the heart of nature and has access to great transport infrastructure.
There is grave concern by many people that the land lease for Fourth Avenue Residences Bukit Timah is only 99 years, and most of the surrounding condominiums and landed housing are freehold. All the developers bidding for this land were well aware of the leasehold status of this plot, but yet none of them was afraid, as they are confident that the potential it can bring when the shortfall in land tenure is being made up the proximity to the MRT Station. A fierce bidding for this piece of land by the developers signifies that the consumer demographic has changed; freehold land is not everything as the society progress, become more mobile and has more knowledge on investment. In this day and age, buyers are very savvy to know that being near to the train makes it easier for their properties to be rented out, and also at a higher price, compared to the more expensive freehold properties which may not be near to the train station, and with a lower rental yield.
For more information, visit: https://www.fourth-avenueresidences.com/