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Have any of you think of the answer to this question?

That's becoz government is paying the companies to stop retrenchment..... Ppl just don't feel the difference b4 and after the crisis. From what I see, economy was not improving greatly, many companies profits are like 40% lesser and etc. But ppl just don't feel it..... Everyone is so optimistic about the economy, keep buying, I think those doing sales or in the front line will be aware of this. Even the government is afraid of the possible property burst, why are the ppl so optimistic about it?

Hihi, thanks all for the advice. I like the place very much, but will give myself some more time to do some survey around that area! If anyone staying around kembangan, do share with me the life living there

Agreed. For me i started with 15 years but fully repaid in 4 years. Total interest spent only about $4-5k.

Xiao! $1 mill for a HDB? Probably not now. There're so many freehold apartments / condo lesser than $1 mil in D15, why pay $1 mil for HDB in that area? The seller is xiao and the agent also xiao, if anyone bought it he/she is super xiao!

Haha, so your friend could be one of the few out of thousands that paid for high COV.....

Ya, many agents when sms me the available units within my search area, will give me a very high last offer, and some i can see it so many times even few mths later the hdb was not sold yet. Even if someone offered a high price 2 mths ago, the offer might not be valid 2 mths later, when searching for your dream home, only offer the price tat you can afford and you think is worthwhile, don't be carried away by the agent Like my friend, last time said want to sell her flat at $30k COV, someone offered $20k and got rejected. But 3 mths down the road, no more potential buyers, she got no choice but to sell off her flat at $20k COV, that's a live example....

In long term, HDB price will of course be higher, but if you're looking at short term like 5-10 years, I'm pretty sure the current price is going to be lower. Yes, demand and supply, why the current seller can ask for such a high COV even not added value in the house? Coz many are paying for the future price and indeed the current supply is not enough. But if you tour around the area, it is not difficult to see many new projects around. 3 years down the road, there'll be more new hdb can be sold in the resale market, and i don't think those 30 years old estate can still demand such a high COV (when there's a new block beside your old age hdb, who'll still want to pay high COV for your grandpa hdb?) Taking my area as example, currently my house can sell for a very high price, tat's because there're only 4 or 5 blocks in my area (other than the reasons of famous schools and near town). Ppl are willing to pay for such a price for my house becoz of the limited quantity of flats available at my area, but currently there're already new blocks building up around my area, I can see more trees were chopping down and 40 levels HDB were built up. 5 years down the road, all these hdb will be available in the second hand market, who will still want to pay high COV for my old flat (do contact me if you want to book it in advance, i'll be happy to sell it off and get a new flat)? Look at the time in 1996, the prices shoot up also becoz not enough supply (of course the issue here is a bit different), and those ppl who bot their hdb in a rush in 1996 only recover in 2007 and some were not even breakeven till now. I do agree that COV is a result of the demand and supply, but if you can wait, a 3-5 years wait will worth the it. P.s. there's always a period of price adjustment (supply will catch up demand....), and this period has not came yet..... Wish all luck in searching your dream home

I'm also a home seeker, I would say, the current prices are too high, especially the COV. what we're doing now is like cooking the price, mainly those who already have a home, so to them the high COV is nothing, coz they can recover from someone else. The existing home owner pushed up the price, and those new comers join in afraid that they can't get their house. So prices up again. on top of that, agent also give false info, many advertise high COV and claim sold by the time you call them, prompting you to get another unit from them at a lower COV (in fact is also high). So, who'll be hit the hardest? Yeah, those first time buying their hdb, and of course our next generation. When will it be burst? as long as there're demands, i think it'll sustain for some time, but the good news is more and more land are building up hdb now, i believe the price will fall, when interest rate pick up, when more supply, and that will be just a few years away. But, this is my guess only. I ever wonder, if if everyone do not buy now, the prices sure will drop, maybe we should boycott the COV now, haha, let's make it a buyer market! Anyway, in summary, if you're not hurry to get a place, wait, do not join the war!

Jan 19, 2010 - PropertyGuru.com.sg Several housing analysts have said it is a seller’s market right now and resale flats are becoming a hot commodity. However, the Housing and Development Board (HDB) urged buyers to be cautious when paying high cash premiums and determine if a house is truly worth its price. Recently, a four-room flat in Bishan was put up for sale. The flat was valued at $460,000 by one of HDB’s independent valuers, but the owner is asking for a cash-over-valuation (COV) worth S$100,000. The owners, who declined to be identified, claimed to have received three offers for the flat, but all were rejected. "The COV is too low. There are those who are asking for S$50,000 to S$60,000. There was one offer which was close, about S$95,000. We are not in urgent need to sell. In a way, it's to test the market. If we sell, we sell. If we don't sell, we will just continue to stay," said the flat owner. Analysts noted that with continued high demand for resale flats, owners are taking advantage of the situation by demanding for higher prices. Based on HDB’s latest figure, about 78 percent of home transactions in Q3 of last year were above valuation, a 22 percent increase from the 57 percent in Q3 of 2009. The average COV also rose, climbing from S$3,000 in Q2 to S$12,000 in Q3. With the HDB resale market hitting an all-time high, many housing agents said most units now command at least a S$20,000 to S$30,000 cash-over-valuation. Units situated at good locations, near the MRT stations and with good renovation can see a COV worth between S$50,000 and S$70,000. But still, there is a limit as to how much a buyer is willing to pay. "If it's not to my liking, then I'd have to do up, (renovate) it again. So how much (am I willing to pay)? About S$50,000 to S$60,000," said one local citizen. "It's too high for me. Because of my income, I don't think I can afford it," said another. HDB said that only four of the 13,000 four-room units sold last year had premiums higher than S$70,000. Analysts also warned against getting into deals that need high cash premiums. "COV is a premium. Five years down the line, the renovation will deteriorate. And there's no guarantee that you can sell at S$100,000 above the then value. Therefore, buyers should exercise discretion as far as how high you want to pay," said PropNex CEO Mohamed Ismail. HDB does not control the prices of resale flats, as it is a result of negotiations between buyers and sellers, and intervening in COV means forcing to buy and sell flats at a fixed price. However, it urged buyers to have the appropriate information before jumping into negotiations, and buy a flat that is within their means.

Hi all, I'm considering buying a condo in AMK or Kembangan area, but it's really a headache in making the final decision, and this is the first time i'm buying a private property, would like to seek advice from those who have gone thru the process as me or those who are expert in this area. 1) I was looking at HDB around TPY area initially, but prices keep increasing and many seller are asking COV like $80 to $100 k, so i change my mind to search for Condo. Then found this apartment at Kembangan. Can anyone advice whether this is a good location to buy? as in conveniency? 2) This apartment is freehold, current price about $720psf, is the price worth it? 3) I'm working in north, not sure travelling from Kembangan to north will be a headache? I drive. 4) I'm totally inexperienced, can anyone tell me what are the things to look out for when i source for condo and any things to pay attention when closing the deal? If anyone can take your time to answer my doubts, i'll be very gladful! thanks!

halo, can anyone share with me how's the living in Kembangan area like? I worked in the North, not sure will there be traffic jam early morning towards north direction?