“It is not in case you buy but when you sell that makes the difference to your profit”.

Hence I consistently advise my investors to take care that they have gone through their financial plans thoroughly as they will be entering into a 4-year commitment – after taking into consideration the 4-year Seller’s Stamp Duty (SSD) that they would have to pay if they sell their property before 4 years.

Once they have determined the amount of finances they are willing to outlay, they will set themselves at a great advantage by entering the property market and generating residual income from rental yields associated with putting their cash staying with you. Based on the current market, I would advise they keep a lookout virtually any good investment property where prices have dropped upwards of 10% rather than putting it in a fixed deposit which pays 4.5% and does not hedge against inflation which currently stands at ideas.7%.

In this aspect, my investors and I use the same page – we prefer to take advantage of the current low pace and put our make the most property assets to produce a positive cash flow via rental income. I myself have personally seen some properties generating positive monthly cash flow of up to $1500 after off-setting mortgage costs. This equates for annual passive income of up to $18 000 per annum which easily beats returns from fixed deposits additionally the outperforms dividend returns from stocks.

Even though prices of private properties have continued to go up despite the economic uncertainty, we can easily see that the effect of the cooling measures have lead to a slower rise in prices as when compared with 2010.

Currently, we cane easily see that although property prices are holding up, sales are starting to stagnate. Let me attribute this towards following 2 reasons:

1) Many owners’ unwillingness to sell at lower prices and buyers’ unwillingness to commit with a higher promoting.

2) Existing demand unaltered data exceeding supply due to owners finding yourself in no hurry to sell, consequently resulting in a enhance prices.

I would advise investors to view their jade scape singapore property assets as long-term investments. Dealerships will have not be excessively alarmed by a slowdown within property market as their assets will consistently benefit in over time and increase in value as a result of following:

a) Good governance in Singapore

b) Land scarcity in Singapore, and,

c) Inflation which will set and upward pressure on prices

For clients who would like invest some other types of properties apart from the residential segment (such as New Launches & Resales), they likewise consider throughout shophouses which likewise might help generate passive income; that are not controlled by the recent government cooling measures similar to the 16% SSD and 40% downpayment required on homes.

I cannot help but stress the need for having ‘holding power’. You shouldn’t be required to sell your house (and create a loss) even during a downturn. Always remember that the property market moves in a cyclical pattern and require to sell only during an uptrend.

Throughout Singapore Properties

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