However, Wong did also say that the market is extremely ‘flexible’ and that things could change.
“The economic situation outside and inside the Hong Leong Holdings Condo country is constantly fluctuating, so it is necessary to carefully observe things and change policies according how events shape conditions in Singapore.”
The HBD resale prices soared by close to 50% in the years between 2009 and 2013.
Lorong Lew Lian Condo by CDL
In the years after their peak, in 2013, prices for Upper Serangoon Condo dropped by around 10%.
The price of private properties has also dropped by 8% from its peak in 2013.
These decreases are the result, at least partly, of policies introduced to try and soothe an overactive market.
The policies include a mortgage servicing ratio limit of 30% which was implemented in 2013. This measure restricted the amount of CDL Serangoon Condo total income which can be utilised to service a loan on a HDB property in Lorong Lew Lian Condo CDL.
Plus, an additional policy, the total debt servicing ratio (60%) was implemented in the same year. It stops fiscal organisations from handing out property loans if the overall monthly repayments for potential lenders surpass 60% of their total monthly salary for Lorong Lew Lian Condo Hong Leong.
New Launch Condo at Upper Serangoon
According to a specialist, a complete eradication of these cooling policies might be a disastrous move and lead to another price hike. In fact, all of the work put in to avoid this, over the past three years, could be wasted if regulations are loosened at the wrong time.
Yet, he also indicated that the Serangoon CDL Hong Leong Condo market might prosper if some policies – for example, Additional Buyer Stamp Duty (ABSD) – are loosened gradually.
At the moment, overseas investors must pay an extra 15% of the property price if they want to buy a house in Singapore. If Singapore residents want to purchase a second or a third property. They must pay 7% and then 10% extra, respectively.
This disincentives investment and has a detrimental impact on the market, particularly within the central areas where lots of immigrants reside.
Upper Serangoon City Developments
The Inland Revenue Authority states that the number of ABSD agreements with overseas investors stood at 1,149 in 2014 for Hong Leong Holdings Condo nex shopping centre. This is a drop from 1,980 in 2013 and 2,432 in 2012.
According to Wong, there may be a chance for some policies to be loosened and others maintained, at different times, but he did not discuss which these might be.
“It is not necessary to adapt by getting rid of policies. It is not the right time to talk about which policies might be changed and which will stay.”