AN INDEPENDENT PERSPective


 It's so important to be true to yourself            "
   
  • Home
  • About
  • Books
  • Services
  • Media
  • Events
  • Blog
  • Awards/Accolades
  • Clients
  • Portfolio
  • Contact
  • Corporate Responsibility

Living in a mature HDB estate? Your property may be seeing a decline in value

1/22/2020

2 Comments

 
Strong correlation seen between transacted property price and remaining lease.

By Khalil Adis
Picture
An HDB estate located in Toa Payoh. Photo: Khalil Adis Consultancy.
Since the Lee Kuan Yew era, Singaporeans have been ingrained with the idea that our HDB flat is an asset.

While you can make a profit from your HDB flat, this depends on the lease that is remaining on your property.

Based on our research and analysis, we found that HDB flats in older estates with a remaining lease of fewer than 60 years saw their property values diminish.

Meanwhile, those that have around 80 years of lease left were able to fetch far higher prices.

This is according to data captured on HDB’s website.

On the other end of the spectrum, HDB flats that are located in newer estates did not see that much price variation.

In conducting this study, we had looked into HDB transactions for 4-room flats that were recorded as of 21 January 2020 and then compared it with the remaining lease.

The estates chosen included the mature estates of Toa Payoh and Ang Mo Kio as well as the non-mature HDB estates of Punggol and Jurong West.

Here are some quick snapshots based on our findings.

#1: Toa Payoh: Older HDB flats changed hands at lower prices 
Picture
Out of the four estates studied, Toa Payoh showed the widest price gap between older and newer resale flat prices. Graphics: Khalil Adis Consultancy.
When it comes to buying an HDB flat, most Singaporeans will prefer to buy in a mature estate such as in Toa Payoh or Ang Mo Kio.

However, if you have a flat with a remaining lease of fewer than 54 years this may have an impact on your resale value.

According to data captured on HDB’s website, there were 14 transactions for 4-room HDB flats in Toa Payoh during this period.

The data showed a strong correlation between the price versus the remaining lease.

For instance, older HDB flats (4) with 54 years or less of the remaining lease were transacted at an average price of S$334,500.

Meanwhile, newer HDB flats (4) with 76 to 81 years of the remaining lease were transacted at an average price of S$641,062.

This represents a price difference of 91.6 per cent.

#2: Ang Mo Kio: Newer HDB flats fetched higher selling prices
Picture
Ang Mo Kio also witnessed significant price gap between older and newer HDB resale flats albeit not as much as Toa Payoh. Graphics: Khalil Adis Consultancy.
Ang Mo Kio is also another favourite estate among buyers explaining why Built-To-Order (BTO) launches have  always been oversubscribed.

Like Toa Payoh, Ang Mo Kio also witnessed a strong correlation between price versus the remaining lease.

According to data captured on HDB’s website, there were 24 transactions for 4-room HDB flats in the estate during this period.

Newer HDB flats (5) with 80 to 91 years of the remaining lease were transacted at an average price of S$622,960.

On the other hand, older HDB flats (14) with 59 years or less of the remaining lease were transacted at an average price of S$390,071.

This represents a price difference of 59.7 per cent.

#2: Punggol: A non-mature estate where capital values experience fewer fluctuations
Picture
Punggol is one of the five popular estates for HDB resale transactions as it shows its capital values do not experience as much fluctuations as mature estates. Graphics: Khalil Adis Consultancy.
Punggol is a non-mature estate with a relatively young population.

While it may seem far-flung, Punggol is among the top ten estates in Singapore where HDB resale homes have changed hands.

According to data captured on HDB’s website, there were 36 transactions for 4-room HDB flats in the estate during this period.

The remaining lease in Punggol ranges from 82 to 95 years.

As such, there is not much price variation as seen in the case of Toa Payoh and Ang Mo Kio.

For example, HDB flats (7) with between 82 to 89 years of the remaining lease were transacted at an average price of S$334,500.

Meanwhile, newer HDB flats (29) with 90 years or more of the remaining lease were transacted at an average price of S$477,002.

This represents a price difference of 42.6 per cent.

This suggests that newer estates like Punggol may be ideal if you want to protect the capital values of your property.

#3: Jurong West: A semi-mature estate with a price gap similar to Punggol
Picture
Interestingly, resale HDB flats in Jurong West showed a similar price gap to those in Punggol. Graphics: Khalil Adis Consultancy.
Jurong West is a semi-mature area and as such the remaining lease here is between 63 and 94 years.

According to data captured on HDB’s website, there were 41 transactions for 4-room HDB flats in the estate during this period.

Similar to Punggol, there is not much price variation as seen in the case of Toa Payoh and Ang Mo Kio.

For example, HDB flats (11) with less than 70 years of the remaining lease were transacted at an average price of S$328,090.

Meanwhile, newer HDB flats (8) with 93 years or more of the remaining lease were transacted at an average price of S$467,875.

This represents a price difference of 42.6 per cent.

#4: Price gap is widest in Toa Payoh
Picture
An HDB housing estate in Toa Payoh. Photo: Khalil Adis Consultancy.
Toa Payoh makes an interesting case study.

We decided to zoom into this estate as property agents have long complained that they have had a hard time selling older HDB flats in the area.

Our analysis seems to concur with our findings on the ground when speaking to agents as they appear to diminish in value nearing the end of the lease.

In the case of Toa Payoh, the price gap is a whopping 91.6 per cent compared to Ang Mo Kio, Punggol and Jurong West at 59.7 per cent and 42.6 per cent respectively.

#5: Widening price gap between HDB and private property market
Picture
The price gap between the HDB and private property market has widened considerably since the first quarter of 2013. Graphics: Khalil Adis Consultancy.
According to the third quarter of 2019 data from the HDB and the Urban Redevelopment Authority (URA), the Resale Price Index (RPI) and the Private Property Index (PPI) are at 130.9 and 152,8 percentage points respectively.

This means a price gap of 21.9 percentage points.

The widening price gap is bad news for HDB upgraders thinking of buying a condominium. 

As such, this may not be an opportune time for you to do so.

Should Singapore enter into a recession this year, we are likely to see the PPI drop further narrowing the price gap between the HDB and private property markets.

Good things come to those who wait so wait out.

#6: Sengkang is the most popular estate for resale HDB flats in 2019
Picture
Rounding of the top 10 HDB estates, Sengkang is the most popular with 1,795 resale transactions recorded in 2019, followed by Woodlands (1,794), Yishun (1,791), Jurong West (1,705), Bedok (1,513), Tampines (1,413), Bukit Batok (1,241), Punggol (1,160), Ang Mo Kio (1,034), Hougang (968) and Bukit Merah (937).
#7: Summary: Capital values appear to be better protected in non-mature estates
Picture
​While HDB is an asset, older HDB flats in mature estates will likely see their value decline as the data showed.

As such, prospective homebuyers might want to think twice before purchasing such flats.

On the other hand, the data suggests that the capital values of your HDB flat are better protected in non-mature estates like Punggol and Jurong West.

As such, you may want to consider selling your property after five years once you have fulfilled your MOP and then upgrade to private property or downsize according to your lifestyle needs.

Having said that, I would like to stress that your HDB flats are for long-term occupation and not for you to make a quick profit.

In closing, housing is a delicate issue.

The government will need to address their diminishing value sensitively especially to the older generation who are currently living in mature estates.
2 Comments

Budget 2020: A futuristic sounding budget that (unfortunately) brings Malaysian and foreign buyers back to square one

10/14/2019

0 Comments

 
Despite its focus on the digital economy, the budget is a regressive one for both local and foreign buyers

By Khalil Adis
PictureA shophouse in Negeri Sembilan with a Malaysian flag. Photo: Khalil Adis Consultancy.
Another year, another budget.

This year is no different except that they were announced against a backdrop of the ongoing global trade wars and a general slowdown in the global economy.

While the Malaysian government has announced several measures to spur its economy specifically in the digital arena, Malaysia is likely to ride through the current economic climate largely unscathed as it has a strong domestic economy, unlike Singapore.

As such, I will focus solely on those affecting the property market.

From the looks of it, the measures appear to be cosmetic to address the shortcomings and mess left behind by the previous government.

Foreigners and Malaysians at the losing end

Picture
Luxury homes located in KLCC. Photo: Khalil Adis Consultancy.
Call it a band-aid if you will but the budget seems regressive by bringing us back to the Budget 2014 and 2016 eras for foreign investors and locals buyers respectively.

Let us look back at Budget 2014.

During this period, the minimum purchase price for foreigners buying a property in Malaysia was raised from RM500,000 to RM 1 million.

This was to prevent a property bubble from forming in the market and thus preventing Malaysians from buying such properties.

Well, guess what?

The situation got even worse despite this measure as there were no checks and balances in place by the Housing Ministry.

As such, developers were at the free reign to build units that local could not buy resulting in a huge glut that we are seeing right now.

To reduce the overhang, Budget 2020 now allows foreigners to buy completed and unsold units that are priced above RM600,000.

So what happens to foreigners who had bought a property at RM1 million and are now looking to sell?

Most probably, due to the current market conditions, they will now be selling at a loss to either a local or a foreign buyer.

Also, they will now have to compete directly with the primary market where foreigners can buy at a steep discount of RM400,000 (RM1 million - RM600,000) directly from developers.

This mixed signal could potentially deter foreign investors from buying property in Malaysia.

Verdict: Foreign sellers: 0, foreign buyers: 1*
*it remains to be seen if subsequent budgets will see a change in the minimum purchase price across the various states in Malaysia.
Picture
A public housing project located near to Cochrane MRT station in Kuala Lumpur: Photo: Khalil Adis Consultancy.
Next, let us take a look at Budget 2016 in the affordable housing segment for Malaysian buyers.

Previously, under Barisan Nasional, the government had announced that it was building PR1MA homes across various states during Budget 2016.

There were also promises to build such homes that are planned around transport hubs and train stations in Kuala Lumpur.

Back then, the government had announced that a total of 5,000 units of PR1MA and PPA1M houses will be built in the vicinity of LRT and monorail stations in 10 locations, including Pandan Jaya, Sentul and Titiwangsa.

Fast forward four years later, PR1MA has become a massive liability for the government.

As we speak, PR1MA is undergoing restructuring and is nowhere close to the lofty 1 million housing units it had previously promised to deliver.

Meanwhile, there is still no news on the 5,000 transit-oriented development units (TODs).

This leaves Malaysians who are in dire need of affordable homes stranded.

From the looks of it, they are now back to square one with another new policy in place to replace the old one.

A new budget for local buyers
Picture
The Rent To Own (RTO) scheme rolled out by Ayer Holdings. Photo: Khalil Adis Consultancy.
As part of Budget 2020, the government will collaborate with financial institutions in introducing various schemes. 

The first is the Rent To Own (RTO) financing scheme.

This scheme aims to assist those who cannot afford the initial 10 per cent deposit and access to financing in purchasing their homes.

This scheme, however, is not new and has been in place among private developers.

As such, Malaysian buyers who had hoped for a roof over their heads during Budget 2016 are better off buying from private developers.

Verdict: Malaysian buyers: 0, private developers: 1*

*Imagine the agony among those who had applied for PR1MA homes and are still waiting. If I were a Malaysia, it seems buying from a private developer is the way to go.

*It is an open secret that there are many Malaysians who had previously applied under this scheme are still waiting for their homes. Just speak to any Grab drivers.


Conclusion
Picture
HDB Hub located in Toa Payoh, Singapore. Photo: Khalil Adis Consultancy.
​While many other schemes are being rolled out such as Fund for Affordable Home that was launched by Bank Negara Malaysia in January 2019 and the Youth Housing Scheme, they remain under the umbrella of various government agencies.

As such, this could be very confusing for the first-time homebuyers who are unsure how to navigate the market.

What would work is for Malaysia to streamline them under one single government housing agency just like Singapore’s HDB model.
0 Comments

Explainer: New measures to help first-time Singaporean homebuyers

9/11/2019

0 Comments

 
​Announced yesterday by Minister for National Development Lawrence Wong, the Enhanced CPF Housing Grant for first-timers and higher income ceilings will provide more flexibility and housing options. We study how this will impact the property market.

​By Khalil Adis
Picture
The HDB Hub is located in Toa Payoh. Photo: Khalil Adis Consultancy.
Quick snapshot
Picture
The increase in grants and income ceiling for first-timer families and singles will ease their entry in the property ladder. Graphics: Khalil Adis Consultancy.
#1: Who will this benefit the most? 
Picture
Aspiring homebuyers looking at the scaled model at HDB Hub. Photo: Khalil Adis Consultancy.
​First-time homebuyers will benefit the most especially the middle to low-income bracket groups. It will also benefit first-time homebuyers who want to live close to their parents in mature estates.

#2: Why now?
Picture
A Built-To-Order project being built in Punggol. Photo: Khalil Adis Consultancy.
​This is because incomes have been rising since the HDB last reviewed the income ceiling in 2015. As such, the policy has been tweaked to address this.

#3: How will this affect the HDB market? 
Picture
More housing grants will mean less cash upfront for buyers. Photo: Khalil Adis Consultancy.
The sandwiched class may now opt to buy an HDB flat compared to buying a private property due to the increase in income ceiling and Enhanced CPF Housing Grant as it will mean less cash upfront.

This will help to prop up demand for resale HDB flats.

It is worth noting that the resale HDB market has been rather muted.

​As such, we are likely to see an increase in activity particularly for those who want to live close to their parents. 

#4: How will this affect the private housing market? 
Picture
Condominium projects located in Tanjong Pagar. Photo: Khalil Adis Consultancy.
We may see the sandwiched class now switching to buy from the HDB market and thus ease pressure from the private housing market.

​As such, we are likely to see the Private Property Index (PPI) see a slight correction in the next quarter.

#5: Will this affect HDB prices across the board?
Picture
A HDB flat located in the mature area of Toa Payoh. Photo: Khalil Adis Consultancy.
It will affect prices in the HDB resale market as buyers are now given more help with the Enhanced CPF Housing Grant.

The HDB Resale Price Index has seen a decline since the first quarter of 2013.

​However, with the increase in income ceiling and  Enhanced CPF Housing Grant, we could see more sales activity in the otherwise muted resale market.

#6: How will this affect the rental market?
Picture
Scaled model of the Singapore City Gallery at The URA Centre. Photo: Khalil Adis Consultancy.
​The HDB and private property rental market will be very soft as more buyers will be switching to buy rather than rent a property. In the HDB market, the HDB will be launching 15,000 units later this year.

Meanwhile, in the private property market, we have a total supply of 53,696 uncompleted private residential units (including ECs) in the pipeline with planning approvals as at the end of the second quarter of 2019.  

Also, we have another 4,398 units (including ECs) that will be completed in the remaining second quarters of 2019.

​This incoming supply, together with the sluggish economy due to the ongoing trade war, will make the rental market extremely soft.
0 Comments

Buying a property in Punggol? Here are the 9 things to know before you proceed

3/19/2019

0 Comments

 
Despite the tepid HDB resale market, Punggol has bucked the trend with a loft unit at Punggol Sapphire recently changing hands for almost a million dollars. Here are the lowdowns about living in Punggol.

By Khalil Adis
Picture
Scaled model of Matilda district in Punggol. Photo: Khalil Adis Consultancy.
Punggol has indeed come a long way from being an ‘ulu’ area.

Once known as a rural settlement complete with kampungs and farms, Punggol has since 1998 transformed itself from a backwater area to a vibrant, modern yet green satellite district.

Amid Punggol’s oasis of calm, you can see LRT trains whirring through the residential areas, passing by the ample lush natural landscape before taking you directly to the heart of the district, Punggol Central.

While Punggol’s rustic charms may appeal to outdoor lovers, there are certain downsides about living here.

We list them down here:

The good:
#1: It’s oh so quiet
Picture
Being a non-mature estate has its benefits as Punggol offers a tranquil environment. Photo: Khalil Adis Consultancy.
Punggol has an estimated population of 161,570 as of 2018 with a projected 96,000 housing units once the entire "Punggol 21-plus” master plan is completed.

Despite its high density, Punggol is surprisingly very quiet at night save for the traffic whizzing by the Tampines Expressway (TPE).

This is definitely good news for those wanting some peace and quiet but bad news if you want the buzz of city life.

If you still want to move to Punggol, fret not as Waterway Point has all the modern conveniences and amenities for your city living.

#2: Well landscaped parks and gardens 
Nature and outdoor lovers will revel in the many landscaped parks and gardens that Punggol has to offer, including the award-winning My Waterway@Punggol.

From the Matilda District, you can enjoy a stroll or jog by the Punggol River before reaching Punggol Dam and Punggol Point. 

This is part of the comprehensive Park Connector Network (PCN) linking the entire island.

The view is awe-inspiring and enough to make even the laziest couch potato get up and explore nature

#3: Properties here are in demand.
Picture
Punggol's picturesque and tranquil surrounding have made it an in-demand district among homebuyers. Photo: Khalil Adis Consultancy.
Being a relatively new township development with a young demographic, Punggol has proven to be popular among homebuyers as a few HDB housing projects are now eligible to be sold in the resale market.

According to the fourth quarter of 2018 data from the HDB, the Resale Price Index (RPI) fell by 0.2 per cent, from 131.6 points in the third quarter to 131.4 points in the fourth quarter in 2018. 

For the whole year, the RPI declined by 0.9 per cent in 2018.

Despite the lacklustre market, a five-room, loft unit in Punggol Sapphire was sold for S$910,888 in January 2019.

This was considered a record for an HDB flat in northeastern Singapore.

Additionally, OrangeTee & Tie's research showed that in the third quarter of 2018, Punggol was the fourth most popular area for HDB resale flats with 469 units transacted followed by Jurong West (505 units), Woodland (516 units) and Sengkang (528 units).

On the overall, resale statistics from the HDB showed that the median prices of three, four and five-room flats were transacted at S$343,000, S$455,000 and S$445,000 respectively in the fourth quarter of 2018.

#4: Comprehensive public transport network
Commuting in and around Punggol is very convenient as there is a comprehensive transport network comprising MRT, LRT and buses.

In fact, the township has been planned such that each housing estate is located within 300 m away from any LRT station.

An exception, however, is the new housing area at the Matilda district.

#5: Punggol Digital District
Picture
Punggol Digital District will be spearheaded by JTC. It is part of Singapore's Smart Nation push. Screengrab from the Urban Redevelopment Authority (URA).
​Come 2023, a new smart city is set to rise in Punggol called the Punggol Digital District. Housing technology firms involved in key growth fields as well as the new Singapore Institute of Technology Campus, Punggol Digital District will create around 28,000 jobs while providing residents with more lifestyle and dining options.

In the pipeline includes the new Punggol Coast MRT Station which will be an extension of the North-East Line.

Punggol Digital District will also enjoy enhanced connectivity via the Cross Island Line (CRL) which will link it to Jurong Lake District and Changi by around 2030.

Collectively, they will act as property boosters for Punggol.
​
The bad:
#6: Lack of good hawker food

Picture
Lifestyle and dining options are available at the Marina Country Club. Photo: Khalil Adis Consultancy.
Food. That’s our favourite national past time that defines if we love or hate or neighbourhood.

Having lived in Taman Jurong, I must say I was spoilt for choice with various options of mouth-watering hawker fares such as the famous Boon Lay Power Nasi Lemak.

However, the choices have become extremely limited in Punggol unless you are into fast food.

While there are coffee shops serving local cuisines, they pale in comparison to the well-established hawker fares that you can find elsewhere.

You are better off cooking your own meals. 

#7: Dust
Picture
The ongoing construction work from the many Built-To-Order (BTO) projects mean plenty of dust at home. Photo: Khalil Adis Consultancy.
If you hate spring cleaning, be prepared for a rude shock.

With many construction works going on, you will find yourself dusting up every single day.

Windows, top of shelves, cupboards and other surfaces collect dust easily.

This certainly isn’t good news if you are asthmatic or are prone to allergies.

If so, you might want to invest in a good ioniser to keep your indoor air free of particles and other irritants.

The ugly:
#8: Get ready to jostle with the early morning crowd
Picture
Singaporeans taking the MRT during the rush hour. Photo: Khalil Adis Consultancy.
If you think Singaporeans are a kiasu lot, be prepared to see that word taken to new heights when you commute to work in the morning.

In fact, many would play ‘musical chairs’ as they hustle for seats at on the MRT.

Meanwhile, getting a Grab or taxi would be almost impossible.

To get around this, I would leave home by 6 am and get to the office by 7 am.

#9: That acrid smell in the air
Picture
Flatted factories located in Punggol. Photo: Khalil Adis Consultancy.
​While Punggol may be planned as a green township development, be prepared for a strong burning smell that would emanate from time to time.

Located just opposite the industrial area of Pasir Gudang, Johor, the smell has become increasingly acrid over the past few days that it will linger from night till dawn.

In fact, it can get so bad that you might have to get up in the middle of the night to close the windows.

This is something perhaps developers and HDB will not tell you.
0 Comments

5 common mistakes among first-time homebuyers

3/5/2019

0 Comments

 
Buying a home will be your single most expensive investment in your life and these are the most common mistakes you should avoid. 

By Khalil Adis
Picture
A new HDB flat in Punggol. Photo: Khalil Adis Consultancy.
Buying your first home is an exciting experience that will have you go through a range of roller-coaster emotions.

From scouting for the right property to securing a loan, the procedures are endless that it is so easy to lose sight of what is important:

#1: Buying based on emotions
Picture
Glasshouse at Seputeh. Glasshouses may look aesthetically pleasing but they trap heat leading to high utility bills. Photo: Khalil Adis Consultancy.
Buying a property based on emotions can cause you to gloss over some of its inherent shortcomings.

It is like falling in love in someone gorgeous until they start to open their mouth.

The initial phase may elicit a response such as exhilaration over its interior design finishing and then imagining how it would be like to sit in front of that bay window in that sleek glasshouse apartment.

However, your emotions can bite you back over the long run as such a home will result in hefty utility bills in the long term.

When buying a property, you should make calculated decisions by asking yourself these basic questions:

Is the property priced fairly? 

Do your market research to find out what is the average price per sq ft of the property in the vicinity. This is important as it will ensure your property can have room for capital appreciation in the future. 

Are there nearby amenities like schools, hospitals and train stations? 

This will make the area desirable and attract people to want to live, work and play there. As demand increases, it will attract a significant population leading to the capital appreciation of your property. If you want to start a family, these are important considerations.

Can the property be rented out or sold in the future? 

There will be some point in your life that you may end up as a landlord or a seller. Therefore, you must put yourself in the position of a tenant or a buyer by really looking at the property for what it is. As such, check if there any defects that may affect its future rentability or value. It is a good idea to upkeep your property to ensure all the electrical points and sanitary appliances are working while giving it a fresh coat of paint every year. You might also want to look at your interior design, layout and colour schemes and see if they will appeal to potential tenants or buyers. 

#2: Buying a house facing East-West orientation
Picture
New homes in Punggol. Check the floor plan for the site orientation. If possible, choose a site that has plenty of vegetation and trees to reduce heat gain. Photo: Khalil Adis Consultancy.
You should avoid buying a house that is facing the East-West orientation as it is directly exposed to the afternoon sun and therefore increases the heat gain. During night time, the concrete walls will radiate back the heat to your home leading to higher utility bills from your air-conditioning unit. Instead, you should go for a home that is facing North-South orientation. Do also ensure there is cross-ventilation from one end of the house to another to encourage natural air flow. 

#3: Buying an odd-sized unit
Picture
A triangular shaped layout is an inefficient layout that results in wasted space. Graphics: Pinterest.
An oddly sized unit refers to a layout which has odd corners like a triangle or irregularly shaped like an oval or circle.

Such homes have an inefficient layout meaning that it will result in wasted space which cannot be utilised.

It is also bad in terms of feng shui should the odd corners have an acute angle as they will collect energy that cannot be dispersed.

Instead, you should opt for a regularly shaped unit like a square or rectangle.

Remember this golden rule when it comes to a home layout: boring equals good.

#4: Buying a common unit versus one that is scarce
Picture
Forest City in Johor. In a high density development, you should opt for a unit that is scarce. Photo: Khalil Adis Consultancy.
This is especially applicable for the property market in Malaysia where there is a severe oversupply of homes particularly in Johor and Kuala Lumpur.

When buying a home, you should opt for a unit that is scarce.

You should first study the development carefully and the unit types that are available.

For example, in a project where 4-bedroom greatly outnumber 2-bedroom units, you should opt for the latter.

This is because such units will be easier to offload in the resale market should you wish to sell or rent it out in future.

Of course, you must take into consideration your family size before making the final decision.

#5: Not asking about your prospective neighbours
Picture
An HDB flat in Singapore. Asking about your prospective neighbours is a good idea before buying a resale property. Photo: Khalil Adis Consultancy.
A neighbour can make or break your property.

This is especially true if you are buying a resale home.

Recently, a friend confided how he had to move out from his current home to rent another place in eastern Singapore.

He had bought the HDB flat from the resale market from an owner who appeared desperate to sell it off.

“Don’t tell the neighbour downstairs how much I sold this house,” the owner said ominously.

This should have been a red flag.

After moving in, he realised his neighbour downstairs would often make a din throughout the entire day.

Sometimes, he would have the police knocking on his door as the neighbour had complained about him for no reason.

This caused him and his family so much distress that the neighbour’s mom had to come up to explain and apologise for her son’s erratic behaviour.

Apparently, her son suffers from a mental illness.

After talking to his neighbour, he realised the previous owner was not on good terms with the entire family.

This explains their decision to sell the flat.

While he now lives a quieter life elsewhere, his tenants are now at the receiving end of the neighbour’s constant abuse.

For example, recently, he received a call from the HDB complaining about the apparent noises from his unit.

Thankfully, the HDB and the police are aware of his problematic neighbour and have since closed the case.

Unfortunately, you cannot choose your neighbours if you had bought a new home directly from the HDB or developer.

However, you can mitigate your risks by being a good neighbour.

For instance, why not offer a serving of cookies or cakes during your festive celebration?

While your actions may not be reciprocated, a friendly hello on your neighbour’s door and offering such goodies will certainly go a long way in making a good first impression last.

Neighbours do talk so why not give them something good to talk about?
0 Comments

Budget 2019: 3 possible impacts on Singapore's property market

2/26/2019

0 Comments

 
Good news for senior citizens living in HDB flats and SMEs but bad news for landlords

By Khalil Adis
Picture
An HDB estate in Toa Payoh. The elderly living in old estates will benefit the most from the budget. Photo: Khalil Adis Consultancy.
Finance Minister Heng Swee Keat delivered his Budget 2019 speech on 18 February with a slew of goodies ranging from start-ups to the older generation.

We dissect the budget and analyse its impact on the property market.

#1:  Merdeka Generation Package will help prop up the HDB market
Picture
An elderly man seen at an HDB mature estate at Toa Payoh Lorong 4. The Merdeka Generation Package will mean they do not have to sell off their HDB flat in their silver years. Photo: Khalil Adis Consultancy.
The package worth some S$8 billion is for Singaporeans born in the 1950s to thank them for their contributions to Singapore.

The package includes the following:
  • A S$100 top-up to Merdeka Generation seniors' PAssion Silver cards
  • Medisave top-ups of S$200 for five years
  • Community Health Assist Scheme (CHAS) subsidies and discounts at polyclinics, public specialist outpatient clinics
  • MediShield Life premium subsidies
  • A S$1,500 incentive to join CareShield Life

These additional incentives will go a long way to help the elderly.

This is because medical treatment can take up a significant portion of one's life savings resulting in some elderly having to sell their HDB flat.

Thus, the package will indirectly prop up the HDB market.

This is good news as the HDB resale market has softened considerably since the first quarter of 2013.

Singaporeans who qualify will receive their Merdeka Generation cards from June 2019.

#2: Various incentives for SMEs will boost the commercial property market
Picture
Office buildings in downtown Singapore which are popular among start-ups as they offer a registered office address. Photo: Khalil Adis Consultancy.
The government has announced an SME Co-Investment Fund III that will witness it investing S$100 million in small and medium-sized enterprises (SMEs) that are ready to scale up to catalyse private sector funding.

In addition, the Enterprise Financing Scheme will offer better support for SMEs to access bank financing and provide enhanced support for companies incorporated for less than five years.

Collectively, these measures will indirectly lead to demand for office space among start-ups.

Commercial properties that specialise in co-working space will benefit the most as they are conducive for start-ups.

One such property is The JTC LaunchPad @ one-north.

The budget will not have any significant impact on Grade A office spaces as such market tend to be dominated by multinational companies.

#3: Lower Dependency Ratio Ceilings (DRCs) will impact the rental market
Picture
HDB flats in Punggol. Photo: Khalil Adis Consultancy.
​A lower DRCs in the service sectors will reduce Singapore's dependency on foreign workers from the current 40 per cent to 38 per cent from 1 Jan 2020 3 and 5 per cent from 1 Jan 2021.

In addition, the ratio of S Pass workers will be reduced from the current 15 per cent to 13 per cent from 1 Jan 2020 and 10 per cent from 1 Jan 2021.

This will have a significant impact on the HDB rental market and mass market condominiums due to the shrinking tenant pool.

As such, landlords will likely need to reduce their rent to continue attracting tenants.

Vacancy rates in the heartlands may also rise leading up to 2020 and 2021.

Thus, it will be a tenant's market.
0 Comments

Phase one of Cross Island Line (CRL) is finalised. Here are 5 quick facts on Singapore’s eighth MRT line

1/28/2019

0 Comments

 
​Spanning 29km with a target completion date by 2029, phase one of the CRL will run from Bright Hill to Changi with 12 stations in all

By Khalil Adis
Picture
An MRT train passing by Lakeside MRT station. The upcoming Cross Island Line (CRL) will provide an alternative route from Jurong to Changi when it is fully completed by 2030. Photo: Khalil Adis Consultancy.
Come 2029, you can hop onto the train via a fully underground line that will link you from Ang Mo Kio to the aviation hub of Changi.

Announced just last week by Singapore’s Transport Minister Khaw Boon Wan, phase one will comprise 12 stations.

When fully completed by 2030, the entire line will span some 50km and will serve existing and future developments in the eastern, western, and north-eastern corridors.

This will link it to major hubs such as Jurong Lake District, Punggol Digital District and the Changi region.

According to the Land Transport Authority (LTA), the CRL will be Singapore’s longest fully underground line. 

Here are five quick facts on phase one of the CRL.

#1: 29km of fully underground line
Picture
The alignment for phase one of the CRL will comprise 12 stations spanning 29km. Map: Courtesy of the Land Transport Authority (LTA).
The CRL will run parallel to the current East West Line (EWL).

When opened, it will serve the residential and industrial areas such as Loyang, Tampines, Pasir Ris, Defu, Hougang, Serangoon North and Ang Mo Kio.

This will definitely help ease congestions along the popular line which has been in operation since 12 December 1987.

When the full CRL line commences service, the LTA envisages time savings of up to 30 to 40 minutes from Changi to Jurong.

Construction for phase one of the CRL is expected to commence in 2020 and will be completed by 2029. 

#2: 12 stations 
Picture
Ongoing construction works at Bright Hill MRT station which serves the Thomson-East Coast Line (TEL). By 2029, it will become an interchange station with phase one of the Cross Island Line (CRL). Photo: Khalil Adis Consultancy.
Phase one of the CRL will comprise 12 stations namely, Aviation Park, Loyang, Pasir Ris East, Pasir Ris, Tampines North, Defu, Hougang, Serangoon North, Tavistock, Ang Mo Kio, Teck Ghee and Bright Hill.

Of these, four will be interchange stations.

Bright Hill, which is on the Thomson-East Coast Line, will become an interchange station with the CRL

Meanwhile, Ang Mo Kio, Hougang and Pasir Ris will be an interchange station with the North-South Line, North East Line and the East-West Line respectively.

#3: More than 100,000 households will benefit
Picture
Condominium developments along Sin Ming Avenue will be served by Bright Hill MRT station. Photo: Khalil Adis Consultancy.
According to the LTA, more than 100,000 households will benefit from phase one of the CRL.

Additionally, the LTA said envisages the projected daily ridership of the entire CRL to be more than 600,000 in the initial years before increasing to over 1 million in the longer term.

#4: Open up access to more areas
Picture
Screen grab of Aviation Park MRT station from LTA's website.
The LTA said previously inaccessible areas which currently have no MRT access such as Serangoon Gardens, Serangoon North and Aviation Park in Changi will enjoy greater connectivity. 

This means common recreational spaces such as Changi Beach Park, Bishan-Ang Mo Kio Park, Hougang Mall and Ang Mo Kio Hub will also become more accessible by public transport.

This is definitely great news for outdoor lovers and mall enthusiasts as such spaces will enjoy greater connectivity.

There’s more good news.

The LTA said the line may be extended to link up with Changi Airport.

#5: CRL will support three new economic hubs 
Picture
Jurong Lake District is fast taking shape as Singapore's largest commercial and regional centre outside the city centre. Photo: Khalil Adis Consultancy.
Singapore plans to bring jobs closer to homes with various plans in place to build economic hubs away from the central business district.

Minister Khaw said that the CRL will help to support these new economic hubs that are being planned such as the Punggol Digital District, Jurong Lake District and one at the Changi region.

Analysis
Picture
The township of Punggol has seen HDB flats transacted above the S$1 million threshold recently. Photo: Khalil Adis Consultancy.
​The CRL will help to boost property values along the 50km stretch.

The districts that will benefit greatly are those described above where the government has laid across a masterplan especially for Punggol Digital District and Jurong Lake District.

According to the Urban Redevelopment Authority’s (URA) Punggol Digital District masterplan, the innovation district will house technology firms involved in key growth fields such as cyber-security as well as the new Singapore Institute of Technology Campus.  

It will be opened progressively from 2023 and will create around 28,000 new jobs.

Meanwhile, Jurong Lake District is set to become the largest commercial and regional centre outside the city centre.

According to the URA, the district will create more than 100,000 new jobs with 20,000 homes to be built when it is set for completion after 2040.

As for Changi, the URA’s Draft Master Plan 2013 showed Changi Airport’s ambitious expansion plans with two new terminals that will be built - Terminal 4 was completed in 2017 while the new Terminal 5 will be completed by around 2025. 

In addition, Project Jewel, an S$1.7 billion mixed-use development is set to open this year and will be seamlessly linked with the existing Terminal 1.

This iconic development will feature a vast indoor garden and more shopping options. 

The URA envisages these three new developments to anchor Changi Airport’s air hub status for years to come and to generate thousands of new jobs for Singaporeans.

As such, homeowners residing in Jurong East, Toh Guan, Teban Gardens, Taman Jurong, Punggol and Changi areas will benefit the most from the opening of the CRL line.
0 Comments

The good, the bad, the ugly: Singapore property market roundups and predictions for 2019

11/26/2018

0 Comments

 
Singapore's private property market experienced robust growth but was muted midway by property cooling measures. We list down the key highlights in our 2018 property market roundups and our outlook for 2019.

​By Khalil Adis
Picture
Condominiums located in Tanjong Pagar. The private property market has experienced a strong rebound for the past five quarters. Photo: Khalil Adis Consultancy.
Singapore's private property market saw a steep rebound from the fourth quarter of 2017 after many quarters of decline in its Property Price Index (PPI) since the fourth quarter of 2013.

Figures from the Urban Redevelopment Authority (URA) showed that the Lion City's PPI surged by 11.0 points from 138.7 in the fourth quarter of 2017 to 149.7 points in the third quarter of 2018.

However, the market softened from July onwards post the new property cooling measures.

Here are the top five property market roundups for 2018 and our top five outlooks for 2019.

Roundups:
#1: En-bloc fever 
Picture
Old estates in Singapore tend to go under en-bloc as part of the city's rejuvenation. Photo: Khalil Adis Consultancy.
Singapore's property market was off to a fiery start with several collective sales deal that was concluded during the first half of the year.

They included the iconic Pearl Bank Apartments which was sold for S$728 million sales to CapitaLand and Park West which was sold for S$840.89 million to SingHaiyi Gold Pte Ltd.

Data from Cushman & Wakefield Inc showed that the collective sales market recorded S$3.8 billion of en-bloc transactions in the second quarter.

#2: New property cooling measures introduced
To douse the red-hot residential property market, the government announced a slew of property cooling measures in July.

This included increasing the Additional Buyer's Stamp Duty (ABSD) rates and tightening loan-to-value (LTV) limits on residential property purchases.

The new ABSD rates and LTV limits are as above.

As a result, the collective sales market declined with S$353 million worth of transactions recorded in the third quarter, data from Cushman & Wakefield Inc showed.

#3: Industrial property market picks up steam
Picture
View of the Tanjong Pagar Container Terminal and the industrial properties surrounding it. The industrial property market has seen in increase in investment this year. Photo: Khalil Adis Consultancy.
While Singapore's residential property sector has taken quite a hit, its industrial and commercial property sectors are seeing an uptrend in investment sales.

According to data from Cushman & Wakefield Inc, industrial property deals soared 73 per cent to S$1.2 billion in the third quarter while office sales increased by 54 per cent to S$2.1 billion.

Meanwhile, Jones Lang Lasalle Singapore, citing data from JTC statistics said islandwide all-industrial rental correction stayed modest at 0.1 per cent quarter-on-quarter for three consecutive quarters since the fourth quarter of 2017, while the second quarter of 2018 all-industrial price index flat-lined for the first time since trending down in the third quarter of 2014.

#4: HDB resale values are declining
Picture
Screen grab of the HDB Resale Price Index courtesy of the Housing & Development Board (HDB).
HDB is a hot bread and butter issue among Singaporeans as 80 per cent of the population lives in public housing flat.

Public interest in HDB dominated the headlines in 2018 as government officials warned that their values could decline, especially those that are more than 40 years with around 50 years left on their 99-year lease.

This marked a stark contrast during Lee Kuan Yew's era when he assured Singaporeans that HDB flats are an asset.

Property agents who specialise in HDB flats in mature estates such as Toa Payoh say they are already seeing prices of older resale flats declining as many buyers are staying clear from such properties following the ongoing debate. 

For example, according to the third quarter data from the HDB in 2018, a 3-bedroom flat in the estate was transacted for S$279, 000.

In contrast, the median price during the same period in 2016 was transacted for S$300,000.

Having said that, other factors do come into play such as the supply of new Built-to-Order (BTO) flats which has influenced the resale price.

However, until the government addresses the uncertainty surrounding older estates, we are likely to see the values declining as it is very much influenced by market sentiment.

#5: Widening price gap between a private property and an HDB flat
Picture
View of an HDB flat in downtown Singapore surrounded by towering condominiums and commercial buildings. Photo: Khalil Adis Consultancy.
While the private property market has seen the price index picking up by some 11.0 points, the HDB Resale Price Index (RPI) has been on a decline.

According to data from the HDB, the RPI has been on a decline since the second quarter of 2013 as it continues to launch BTO flats in the market.

This is the biggest price gap in over 10 years and will likely be a contentious issue when the general election is expected to be called in 2019.

Predictions:
#1: HDB to become a hot-button issue
Picture
HDB flats located in the mature estate of Toa Payoh. Photo: Khalil Adis Consultancy.
2019 is expected to be an election year.

As such, HDB will be a hot-button issue as 80 per cent of the population lives in HDB flats.

As we have discussed above, HDB resale prices are already on the decline while the price gap between a private property and an HDB flat has widened considerably.

The government will need to address the ongoing debate on the value of older HDB flats moving forward.

#2: Fewer BTO flats to be launched 
Picture
A Built-To-Order (BTO) flat being built in the Matilda district in Punggol. Photo: Khalil Adis Consultancy.
In November, the HDB said it launched 7,214 flats for sale under the Build-To-Order (BTO) and Sale of Balance Flats (SBF) exercise. 

This comprises 3,802 BTO units and 3,412 SBF units across various towns estates such as Sembawang, Sengkang, Tengah, Yishun and Tampines.

However, there will be fewer units being offered in the next BTO launch exercise in February 2019.

The HDB said it will offer about 3,100 flats in Jurong West, Kallang Whampoa and Sengkang.

#3: A sellers' market
Picture
An HDB flat located in Taman Jurong. Fewer BTO flats in the market could push buyers to buy resale HDB flats instead. Photo: Khalil Adis Consultancy.
With fewer BTO flats on the offering, this could possibly divert some of the buyers to the resale market and prop up the resale prices which have been falling since the second quarter of 2013.

As such 2019 could likely be a sellers' market.

Sellers should watch the market closely while buyers should opt for a BTO quickly.

#4: Five growth areas
Picture
Scale model of the URA Draft Master Plan 2014 showing Woodlands Regional Centre at the URA Building. Photo: Khalil Adis Consultancy.
​As outlined in the URA Master Plan 2014, the five growth areas are located at Woodlands Regional Centre, Jurong Lake District, City Centre, Paya Lebar Central and Punggol Digital District.

Woodlands Regional Centre will be a transportation hub which will connect the Thomson-East Coast Line (TEL) to the Johor-Singapore Rapid Transit System (RTS) via Woodlands North MRT station.

Meanwhile, Jurong Lake District will house the High Speed Rail station linking Singapore to Kuala Lumpur in 90 minutes flat.

The development of the project has been postponed to two years and will now commence construction in 2020 instead of 2018. 

Meanwhile, the express service will only commence by 1 January 2031 instead of 31 December 2026, as originally planned.

You can read more about URA Master Plan 2014 here.

#5: Opening of TEL will provide a price booster for properties along the line
Picture
Construction of the Woodlands North MRT station next to Republic Polytechnic. Photo: Khalil Adis Consultancy.
The TEL is a 43km MRT Line that will add 31 new stations to the existing rail network, with 7 interchange stations.

It will link to the East-West Line, North-South Line, North-East Line, Circle Line and the Downtown Line. 

Spanning from Woodlands North to Sungei Bedok, the line will be opened in stages next year.

Stage one will comprise stations from Woodlands North to Woodlands South.

As such, properties in the Woodland Regional Centre as highlighted above will be among the first to enjoy the price booster when the stations commence service next year.

This will definitely be much to cheer about in the north amid the muted HDB resale market.
0 Comments

The good, the bad and the ugly: 2018 property market roundups and 2019 outlook

11/19/2018

0 Comments

 
​2018 is a watershed moment for Malaysia's politics and the subsequent impact on the property market. We list down the key highlights in our 2018 property market roundups and our outlook for 2019.

By Khalil Adis
Picture
The Malaysian flag, also known as Jalur Gemilang ("Stripes of Glory") against the backdrop of the recently completed Sungai Buloh - Kajang Line (SBK Line) which is a project of national importance. Photo: Khalil Adis Consultancy
May 10 2018 was a watershed moment in Malaysia as it marked the first change of government in the country's history.

Since 1957, it had enjoyed an uninterrupted reign from the ruling Barisan Nasional (BN) coalition.

However, the high cost of living, falling Ringgit, the lack of affordable homes in the market, high unemployment among fresh graduates, the unfettered check on power and the 1MDB scandal proved to be the undoing for BN as Malaysians far and wide casted their protest vote in the ballot box

The message from Malaysians is clear - they have had enough and want a new, clean government to lead the way.

With the Pakatan Harapan government now in power, all eyes are on the newly elected old Prime Minister Tun Mahathir Mohamad and his team to solve the pressing bread and butter issues.

Here are the top five property market roundups for 2018 and our top five outlooks for 2019.

Roundups
#1: Demand-supply mismatch has resulted in an increasing number of unsold homes
Picture
Luxury condominium developments surrounding the iconic Petronas Twin Towers. Malaysia is facing a housing glut in the medium to the high-end segment and a severe undersupply of affordable homes. Photo: Khalil Adis Consultancy.
​According to Bank Negara, 80 per cent of homes or 146,196 units priced above RM250,000 remained unsold as of end March 2018. 

In comparison, 130,690 units were unsold during the same period last year.

"Imbalances observed in the property market continue to persist," Bank Negara had said in a statement.

#2: Rent-to-own scheme being rolled out
Picture
Bukit Puchong Sales Gallery by Ayer Holdings. The developer is among one of the few offering a rent-to-own scheme for their Foreston and Epic Residence projects. Photo: Khalil Adis Consultancy
To help ease the entry for the first time property buyers, the private sector has come up with a few initiatives.

Some private developers like Ayer Holdings have introduced a ‘Stay & Own' scheme for their Epic Residence and Foreston projects whereby part of the rent will be converted to the downpayment.

This not only provides a temporary solution for those who urgently need a home but also a form of security.

Meanwhile, Maybank has rolled a similar initiative called HouzKEY which they have called as "a rent-to-own solution that helps you to own your dream home."

The scheme involves zero per cent downpayment with the monthly rental forming part of the home financing. 

#3: Ministry of Housing and Local Government studying Singapore's HDB model
Picture
A Built-to-Order (BTO) project in Punggol, Singapore by the Housing & Development Board (HDB). Photo: Khalil Adis Consultancy.
In July, Zuraida Kamaruddin, the Minister of Housing and Local Government paid an official visit to Singapore to study the HDB model.

Singapore has succeeded to build demand driven homes under its Built-to-Order (BTO) scheme to house 80 per cent of the Singapore population.

This is especially useful in Malaysia where there is currently a demand-supply mismatch as in point number one.

#4: Malaysia looking into having a single housing government agency
Picture
The HDB Hub located in Toa Payoh. The HDB is a government housing agency that aims to provide affordable homes for all Singaporeans. Photo: Khalil Adis Consultancy
In Malaysia, there are so many affordable housing programmes being rolled out by the state and federal governments such as Rumah Milik Mampu, Rumah Selangorku, PR1MA, My First Home, Program Perumaha Rakyat and the list goes on.

This confuses the public.

The Malaysian government is currently looking into having a single housing agency to streamline the whole process much like the HDB model.

If implemented, this could solve the current Malaysian housing woe.

#5: More help for the B40, M40 and first-time homebuyers under Budget 2019
Picture
Malaysians shopping for fresh produce at Pudu Wet Market in Kuala Lumpur. Budget 2019 will provide financial assistance to the targetted groups. Photo: Khalil Adis Consultancy.
More help is on the way for these group of property buyers as announced under Budget 2019.

The measures included the Real Estate and Housing Developers' Association (Rehda) agreement to cut prices by 10 per cent for new launches, the exemption of the Real Property Gains Tax (RPGT) for properties that are priced below RM200,000 and the stamp duty exemption for properties priced in the first RM300,000 up to RM500,000 as well as those priced from RM300,000 to RM1 million.

Outlook for 2019 
#1: Affordable homes to continue driving the market

Picture
Low cost housing near to Cochrane MRT station. There continues to be strong pent-up demand for affordable homes in Malaysia. Photo: Khalil Adis Consultancy.
​There is currently a strong pent-up demand for affordable homes but where the supply is lacking.

As such, the affordable home segment will continue to be in strong demand for 2019.

However, there needs to be concerted efforts from both the government and private developers.

Under Budget 2019, the federal government has pledged to spend RM1.5 billion on such homes via the 1Malaysia People's Housing (PR1MA) and Syarikat Perumahan Negara Bhd (SPNB).

Meanwhile, Rehda has agreed to cut prices as stated above.

#2: South KL to be the growth area
Picture
The Leafz condominium located next to the Sungai Besi Highway. Southern KL is the next growth area in Kuala Lumpur. Photo: Khalil Adis Consultancy.
There are many infrastructure projects and economic drivers that are in the pipeline that will further boost property prices in Southern KL.

One such project is Bandar Malaysia will serve as the terminus station for the Kuala Lumpur-Singapore High Speed Rail (KL-Singapore HSR) project linking both cities in 90 minutes flat. 

The development for the project has been postponed to two years and will now commence construction in 2020 instead of 2018. 

Meanwhile, the express service will only commence by 1 January 2031 instead of 31 December 2026, as originally planned.

Bandar Malaysia has been designated as a site for the Digital Free Trade Zone (DFTZ) initiative by Jack Ma. Home to the Satellite Services Hub, DFTZ is expected to create some 60,000 direct and indirect jobs. It will also possibly serve as the interchange to the MRT Line 3, which has now been postponed.

Another economic driver in the vicinity is Tun Razak Exchange (TRX). 

TRX will be a mixed-use development comprising a Grade A office space as well as residential and commercial precincts. 

To be developed in several phases over a period of 15 years, the first phase will comprise four investment grade A office towers, a lifestyle retail mall, two 5-star hotels and up to six luxurious residential towers with a target completion date by 2019.

In addition, Bandar Malaysia will house two MRT stations - Bandar Malaysia North and Bandar Malaysia South which will form part of the alignment for the Sungai Buloh - Serdang - Putrajaya Line (SSP Line).

#3: Properties along Sungai Buloh - Serdang - Putrajaya Line (SSP Line) will  be sought after
Picture
The alignment of the station along the SSP Line. Map: MRT Corp.
Speaking of the SSP Line, properties along the alignment, particularly those situated in the growth areas of Sungai Besi, Bandar Malaysia and Cyberjaya City Centre are worth looking into.

Bandar Malaysia will house two MRT stations as stated above and located a few stops away from Tun Razak Exchange MRT station.

Meanwhile, Sungai Besi MRT station is an interchange station to the Sungai Besi LRT station. 

It will serve as an interchange to the upcoming High Speed Rail station located in Bandar Malaysia, also in Sungai Besi. 

Last but not least,  Cyberjaya City Centre MRT station is a transit-oriented development (TOD) project to be developed by Malaysian Resources Corp Bhd (MRCB). 

With its experience in building the transport hub in KL Sentral, MRCB will be developing a new city that will be integrated with the MRT station. 

Phase one is expected to generate a gross development value (GDV) of RM5.35 billion. 

It will feature a 200,000 sq ft convention centre, a 300- to 400-room business hotel, low and high-rise office buildings and a retail podium. Cyberjaya City Centre will have a development plan spanning 20 years. 

The MRT station is located just opposite Lim Kok Wing University of Creative Technology.
 
#4: Penang to get a boost from Phase 1 of Penang Transport Master Plan (PTMP)
Picture
Ferry service from Georgetown to Butterworth. Soon, there will be more transportation options on the island. Photo: Khalil Adis Consultancy.
With Lim Guan Eng as Malaysia's Finance Minister, Penang's property market will get a further boost.

Just this month, Phase 1 of PTMP was approved.

It will comprise the Bayan Lepas Light Rail Transit (LRT) project, Pan Island Link 1 (PIL1) project and several main highways.

The proposed Bayan Lepas LRT line will be about 30 km in length with 27 stations running from KOMTAR to the future reclaimed islands in the south.

There will be three interchange stations - KOMTAR, Sky Cab Station linking it to the Sky Cab line across the Malacca Straits and The Light Station linking it to the George Town-Butterworth LRT line.

The LRT Line will also be integrated with the Sungai Nibong Express Bus Terminal at the Sungai Nibong Station.

Meanwhile, PIL 1 is a new 20km highway that will be aligned along the mountainous terrain of the island and will take around 15 minutes from between Gurney Drive to the Second Bridge.

There will be six interchanges in all - Dr Lim Chong Eu Expressway (LCE), Awang, Relau, Paya Terubong, Utama and Gurney.

#5: Johor Bahru to get a boost from the Rapid Transit System (RTS) Link
Picture
View of the Woodlands Checkpoint from the KTM service playing the Johor Bahru - Woodlands route. Soon, commuters can take the MRT from Bukit Chagar to Woodlands North MRT station instead. Photo: Khalil Adis Consultancy.
​Meanwhile, over in the southern state of Johor, Iskandar Malaysia's muted property market will get a boost as the RTS Link will commence construction next year.

The RTS Link will link Bukit Chagar station in Johor Bahru to Woodlands North MRT station in Singapore when completed in 2024.

There are also plans for a Bus Rapid Transit (BRT) system within Bukit Chagar station to link it to the different areas of Iskandar Malaysia.

The BRT will feature a dedicated bus lane with three lines -  BRT Line 1 will span from Bukit Chagar to Tebrau, BRT Line 2 from Bukit Chagar to Senai and finally, BRT Line 3  from Bukit Chagar to Iskandar Puteri.

However, based on market talk in the ground, there is a possibility that the BRT system will be upgraded to an LRT system instead.
0 Comments

An incident in Taman Jurong

11/5/2018

0 Comments

 
A cautionary property tale of joint tenancy, abuse and escaping to a safe haven.
By Khalil Adis​
Picture
Our former home in Taman Jurong where my mom and I used to live. Photo: Khalil Adis Consultancy
As I watched Incident in a Ghostland last night from the comfort and safety of my home, I cannot help but notice some parallels between the characters and myself.

This psychological horror drama thriller film tells a story of how a mom and her two daughters were ambushed in their home by murderous intruders.

One of her daughters, Beth, conjured up a dream while being physically abused by her sadistic captors in a bid to escape her trauma.

Still being held captive by the intruders, she would go on to write a bestselling book of the same title in the imaginary world that she had created.

For me, however, the abuse that my mom and I had encountered was not a work of fiction.

As a way to deal with it, I wrote a book called Property Buying for Gen Y which would then go on to become a bestseller and was a turning point in my career.

While my story is nothing like Incident in a Ghostland, the physical, psychological and emotional scars still remain until today.

History of abuse
Picture
A police patrol car in Taman Jurong. The abuse was so bad we had to lodge a police report. Photo: Khalil Adis Consultancy
It is hard to believe a family member that I initially grew up with can turn out to be so abusive.

My parents had divorced and as a result, we were living with our guardians.

My mom and I lived with an uncle while the other family member, was sent to live with another uncle, owing to her very difficult behaviour.

We then got a flat together in Taman Jurong where I was living my mom and this other family member when I was around 18-years-old. 

I remember thinking - “Finally! We have a place to call our own.”

However, little did I know this family member would turn out to become a monster.

The first instance of abuse occurred when I was kicked out of home at 21-years-old.

I recall having my bag thrown out of the house and living temporarily at the police station where I was posted at for my national service.

Back then, I did not know any property laws and did not know any better.​

I then rented a place for a while near to Admiralty MRT station.

To pay for my rent, I would give tuition.

The subsequent abuse happened in 2014 when the family member came back with her family after having lived overseas.

My mom and I were on the constant receiving end of abuse, bullying and threats to kick us out of our family home.

Mind you, I was paying for the mortgage and taking care of my mom.​

Things got so bad that my mom and I had to lodge a police report and sought help from my MP Tharman Shanmugaratnam.

Thankfully, I now have my own home and a safe place for my mom and I away from the abuser.

I subsequently dedicated Property Buying for Gen Y to my MP.


Complications of joint tenancy
Picture
A joint tenancy agreement can lead to a sink or swim situation for property owners. Photo: Shutterstock
While you can walk away from a relationship, it is not so straightforward when it comes to property matters with a family member.

This is especially so if the property is held jointly as in the case of my mom and this family member.

Under a joint tenancy agreement, two individuals agree to jointly hold a property.

While this is the most common method of ownership as it is less costly, a joint tenancy exposes one family member to the financial risks, liabilities and other problems created by the other family member.

In my case, since moving to another country, this family member has not been paying for her mortgage since 2011.

My uncle had intervened with the agreement that I pay for the mortgage until I got my own home.

However, once I received the keys to my home, the other family member became uncontactable.

The HDB subsequently contacted us and told us this family member cannot pay for the house and wants my mom to take over the mortgage.

As a result, my mom now bears the burden.

We then decided to put up the home for rental as my mom is not working and is ill.

The rental income is now helping to cover the mortgage as well as for my mom’s savings.

We also paid the other family member her portion less expenses.

However, the constant threats from the abuser still remain.

If you are among the unlucky few who happen to own a property jointly with a toxic family member, this is what you should do.

#1: Have proper documentation
Picture
Ensure you have all your documents in black and white so it can be tendered as evidence in court. Photo: Shutterstock
Having a problematic joint tenant will likely end up in a legal battle.

Therefore, you need to have proper documentation in case it does end up in court.

This includes whatever payments that you have been paying for the upkeep of the home, property tax and so on.

Other useful documents including emails detailing a pattern of abuse, police reports and other documents to show that the other party has not been paying their home mortgage.

Having all these documents will help bolster your case should it end up in court.

#2: Speak to a lawyer
Picture
When it comes to a joint tenancy agreement, the right of survivorship means that the other family member takes control of the whole property when the other party passes away,

This can be very problematic when you are dealing with a family member who has not been paying and is abusive.

Speak to a lawyer on what your options are so that you are fully prepared should a death occur in your family.

#3: Do not react
Picture
Instead of reacting, choose how to respond to the situation in a tactful manner. Image: www.keepcalm-o-matic.co.uk
An abusive person needs to be in control and instigating a fight is one such way of doing so.

While it can be very difficult to not react when the other person is shouting and accusing, you need to realise that the other person is not acting rationally 

By not reacting, you have taken away their power to push your buttons.

Stay cool and take the high road all the way.

#4: Minimise contact 
Picture
By minimising contact with the abuser, you are ensuring your own safety and that things do not escalate out of control.

Focus only on the points concerning the house and steer clear from any arguments.

Do not get sucked into the drama.

#5: Learn to forgive
Picture
The lotus flower symbolises love, courage and the practice compassion. Photo: Khalil Adis Consultancy
No matter what has happened, each person deserves to be happy.  

When I speak about forgiveness, it is not for the other person but more for yourself. 

By learning to forgive, the other person no longer holds any power on you.

I remember how empowering it was when I moved to my own home as the other family member now can no longer bully my mom and I.

You have the right to be treated with respect, to be safe and to have a wonderful life away from the abuser.

Seek help
Picture
The Ministry of Social and Family Development have various branches in Singapore. Photo: Khalil Adis Consultancy.
The Ministry of Social and Family Development defines violence as physical injury, direct or indirect threats, sexual assault, emotional and psychological torment, damage to property, social isolation or any behaviour which causes a person to live in fear.

My mom and I have experienced some of those forms of abuse described.

While it is hard to believe that your own flesh and blood can turn their back against you, family violence is very real.

In closing, it is my hope by sharing this cautionary tale that others in a similar situation will be spared the agony of what my mom and I have had to endure.

If you have a family member who is abusive or know a family who is being abused, do not hesitate to call the authorities. You can find out more at Break The Silence.
0 Comments
<<Previous

    Khalil Adis

    An independent analysis from yours truly

    Archives

    October 2020
    September 2020
    August 2020
    July 2020
    June 2020
    May 2020
    April 2020
    March 2020
    February 2020
    January 2020
    December 2019
    November 2019
    October 2019
    September 2019
    August 2019
    July 2019
    June 2019
    May 2019
    April 2019
    March 2019
    February 2019
    January 2019
    December 2018
    November 2018
    October 2018
    September 2018
    August 2018
    July 2018
    March 2018
    February 2018
    January 2018
    December 2017
    August 2017
    July 2017
    June 2017
    December 2016

    Categories

    All
    121 Residences
    ABSD
    Affordable Homes
    Airbnb
    Allianz Real Estate
    Ang Mo Kio
    Astaka
    Astaka Holdings Limited
    Avenue South Residence
    Aviation Park
    Bandar Malaysia
    Bank Negara Malaysia
    Bayan Lepas LRT Line
    Bedok
    Below Market Value Property
    Branded Residences
    Bright Hill
    BTO Flats
    Budget 2019
    Budget 2020
    Bukit Chagar
    Bukit Panjang
    Cagamas Berhad
    Causeway Point
    Cheonggyecheon
    Chinatown Kuala Lumpur
    Circle Line
    City Plaza
    Cochrane MRT Station
    COVID19
    Cross Island Line
    Defu
    En-bloc
    Energy Saving Tips
    Estate Planning
    Excelsior International School
    Family Violence
    First Home
    Foon Yew High School
    Forest City
    Geylang Serai
    Geylang Serai Bazaar
    GlaxoSmithKline
    Glomac Berhad
    Government Land Sales (GLS) Programme
    Greater Southern Waterfront
    HDB
    Health City Novena
    Heng Swee Keat
    High Speed Rail
    Home Mortgage
    Home Ownership Campaign 2019
    Home Renovation
    Home Rental
    Hougang
    Ibrahim International District
    IKEA Cheras
    Imperial Jade Residenz
    Interior Design
    Iskandar Halal Park
    Iskandar Malaysia
    Iskandar Regional Development Authority
    JB Food Trail
    JB-Woodlands RTS Link
    Johor Bahru
    Johor Bahru City Council
    Johor Bahru City Square
    Johor Property
    Johor Real Estate
    Joint Tenancy
    Joo Chiat Complex
    JPPH
    Jurong Lake District
    Jurong Regional Line
    Jurong West
    Keppel REIT
    Khaw Boon Wan
    KLCC
    KOMTAR JBCC
    KTM Terminal Skypark
    Kuala Lumpur Property
    Kuala Lumpur Real Estate
    Land Transport Authority
    LED Lighting
    Lim Guan Eng
    Loyang
    LRT Bandar Utama-Klang Line (Klang Valley LRT Line 3)
    Malaysia Property
    Malaysia Real Estate
    Masterskill University College Of Health Sciences
    Media Interview
    Melaka Property
    Melaka Real Estate
    Menara Maybank
    Merdeka Generation Package
    Ministry Of Finance Malaysia
    Ministry Of Social And Family Development
    Mutiara Rini Sdn Bhd
    MyTOWN Shopping Centre
    National Day Rally 2019
    Negeri Sembilan Property
    Negeri Sembilan Real Estate
    Novena
    Ocean Financial Centre
    One Bukit Senyum
    One Cochrane
    Overleveraging
    Oxley Towers Kuala Lumpur City Centre
    P2P Funding
    Pan Island Link
    Park Place Residences At PLQ
    Pasar Karat
    Pasar Seni MRT Station
    Pasir Gudang
    Pasir Gudang Hospital
    Pasir Ris
    Pasir Ris East
    Paya Lebar Central
    Paya Lebar Quarter
    Paya Lebar Square
    Penang Property
    Penang Real Estate
    Penang Transport Master Plan
    Pengerang Rapid Project
    Persada Johor
    Petaling Street
    Plaza Rakyat LRT Station
    PLQ Mall
    PR1MA
    PTPTN
    Public Relations
    Punggol
    Punggol Digital District
    Rapid Transit System (RTS) Link
    Renovation
    Sengkang
    Serangoon North
    Seri Alam Properties Sdn Bhd
    Singapore Budget 2019
    Singapore Budget 2020
    Singapore Economy
    Singapore General Election
    Singapore Office Market
    Singapore Property
    Singapore Real Estate
    Singapore Retrenchments
    SME Co-Investment Fund III
    Sri Geylang Serai
    Suasana Iskandar Malaysia
    Sungai Buloh Kajang Line
    Sungai Buloh - Kajang Line (SBK Line)
    Sungai Buloh Serdang Putrajaya Line
    Tampines
    Tampines North
    Tanjong Katong Complex
    Tavistock
    Teck Ghee
    The Workers' Party
    Thomson East Coast Line
    Thomson-East Coast Line
    Thomson-East Coast MRT Line
    Transit Oriented Development
    TREC
    TriTower Residence
    Tun Razak Exchange
    UM Land
    Universiti Kuala Lumpur
    Universiti Teknologi Mara
    URA Draft Master Plan 2014
    URA Draft Master Plan 2019
    Urban Redevelopment Authority
    US-China Trade War
    Vivian Balakrishnan
    Waterway Point
    Wisma Geylang Serai
    Woodland Regional Centre
    Woodlands Central
    Woodlands North Coast
    Woodlands North MRT Station
    Woodlands Regional Centre
    Yishun
    Y Waterway@Punggol

    RSS Feed

Picture

100 Peck Seah Street
#08-14
PS 100
Singapore (0793333)
Email: ACCOUNTS@KHALILADIS.COM
Phone: +65 8201 9254

What the market is saying

"Hi thank you so much. Keep updating." - Sharveena

"I bought your new book through Popular Bookfest in KLCC yesterday. I just finished my reading. I like it so much as it saved my time to search those information that I have been looking for it. Thank you for writing this book. I believed you have spent a lot of time to prepare it". - PY Chan

Want more bite-sized news?

    Subscribe Today!

Submit
  • Home
  • About
  • Books
  • Services
  • Media
  • Events
  • Blog
  • Awards/Accolades
  • Clients
  • Portfolio
  • Contact
  • Corporate Responsibility