25-06-2011, 08:19 AM
Sorry, but this article's title really irked me! Doesn't anyone buy a flat or apartment to just live in for the rest of their lives? Why is there always this mentality to PROFIT from the transaction? 
Are we fast becoming (or have we already become) a nation of property speculators?
Jun 25, 2011
DBSS residents expect good resale prices
They think location will get them top dollar for units, and experts agree
By Cheryl Ong & Sia Lingxin
THEY may have paid high prices, but residents of Design, Build and Sell Scheme (DBSS) flats said they are confident that the better location of their estates will land them good resale prices in future.
Industry observers and academics agree that it is the location - and not so much the touted better fittings and design - that could help the owners command a premium in the resale market.
DBSS flats have been in the news after the developer of the Centrale 8 project in Tampines drew flak for pricing units at high prices.
PropNex chief Mohamed Ismail said: 'Today, it is a DBSS flat, but five years from today, it will be another ordinary HDB flat. The valuation then will focus on the good location of the flats and the market sentiment.'
Agreeing, SLP International head of research Nicholas Mak said: 'No one knows what the market will look like in five years' time.'
Associate Professor Yu Shi Ming, who heads the department of real estate at the National University of Singapore, said the distinction between a DBSS flat and a Build-To-Order (BTO) one will narrow when both enter the resale market in years to come.
'Resale prices rely on market supply and demand. There is no guarantee the premium for DBSS flats will remain in future. Even today, the BTO flats are well-designed and their interior designs are not bad,' he added.
Since 2005, HDB has sold land for 12 DBSS projects.
Eight of them, the latest being Centrale 8 in Tampines, have been launched for sale.
Under the DBSS scheme, private developers tender for the land and decide on matters such as design and pricing.
But buyers for the 99-year leasehold flats still have to meet HDB's eligibility rules. They can sell the units only after they have lived there for five years.
For now, residents who have moved into DBSS projects are more than happy to enjoy their new homes.
Take the case of Ms Sharon Wu, 40, who lives in a 39th-floor five-room unit in City View@Boon Keng.
'We paid a lot for the flat in 2008, but it was for the location and the million-dollar view,' said the project manager who enjoys views of not just the Singapore Flyer and Central Business District, but parts of Batam Island too.
She expects the value of her flat - it was $722,000 when she and her husband bought it - to increase to as much as $1 million when it can go on the resale market.
Similarly, Ms Oo Ying Ying, 32, a systems analyst who owns a five-room unit at The Premiere@Tampines, feels that the location is the main selling point.
She and her husband paid $390,000 for the unit, which is near her parents', and in an area marked for development.
'We were eyeing the location anyway, so even though the furnishings were a tad disappointing, it didn't matter to us,' said Ms Oo, who moved in in early 2009.
Another resident of The Premiere, Mr Francis Ng, 44, spent a further $40,000 on renovations because he was not happy with the workmanship of the fittings. He said he can recoup more than what he had paid.
'The value of property in this area has doubled in the last few years, and I think it will continue to rise. I think I will start renting the flat out in a few years - it is a good piece of investment I wish to hold on to,' said Mr Ng, who is self-employed and works in the marine industry.
Other DBSS residents have also found the workmanship of their units not up to their expectations.
Retiree Poh Seng Tuck, 59, who lives at The Premiere, found the floor of his balcony missing a tile when he first inspected the apartment, in addition to small cracks in the wall and loose window handles. 'The missing tile was so glaring, I'm not sure how anyone could have failed to notice it,' he said.
Mr Wei Xiaodong, 31, a product analyst who lives in the same block, found termites in one of his bedroom doors about a year after moving in.
'I contacted a pest-control company, and they told me I had to change the entire door. They said the door was probably infested with the termites from the beginning, as there was no way they would have come into the picture halfway,' he said.
Early this year, when people started moving into City View@Boon Keng, many found that their water heaters were not working properly.
The paint on the walls of some of the units was also peeling.
Its developer, Hoi Hup Realty, said it is replacing all the faulty water heaters and is working with residents to resolve any complaints over defects.
ongyiern@sph.com.sg
lingxin@sph.com.sg
Are we fast becoming (or have we already become) a nation of property speculators?
Jun 25, 2011
DBSS residents expect good resale prices
They think location will get them top dollar for units, and experts agree
By Cheryl Ong & Sia Lingxin
THEY may have paid high prices, but residents of Design, Build and Sell Scheme (DBSS) flats said they are confident that the better location of their estates will land them good resale prices in future.
Industry observers and academics agree that it is the location - and not so much the touted better fittings and design - that could help the owners command a premium in the resale market.
DBSS flats have been in the news after the developer of the Centrale 8 project in Tampines drew flak for pricing units at high prices.
PropNex chief Mohamed Ismail said: 'Today, it is a DBSS flat, but five years from today, it will be another ordinary HDB flat. The valuation then will focus on the good location of the flats and the market sentiment.'
Agreeing, SLP International head of research Nicholas Mak said: 'No one knows what the market will look like in five years' time.'
Associate Professor Yu Shi Ming, who heads the department of real estate at the National University of Singapore, said the distinction between a DBSS flat and a Build-To-Order (BTO) one will narrow when both enter the resale market in years to come.
'Resale prices rely on market supply and demand. There is no guarantee the premium for DBSS flats will remain in future. Even today, the BTO flats are well-designed and their interior designs are not bad,' he added.
Since 2005, HDB has sold land for 12 DBSS projects.
Eight of them, the latest being Centrale 8 in Tampines, have been launched for sale.
Under the DBSS scheme, private developers tender for the land and decide on matters such as design and pricing.
But buyers for the 99-year leasehold flats still have to meet HDB's eligibility rules. They can sell the units only after they have lived there for five years.
For now, residents who have moved into DBSS projects are more than happy to enjoy their new homes.
Take the case of Ms Sharon Wu, 40, who lives in a 39th-floor five-room unit in City View@Boon Keng.
'We paid a lot for the flat in 2008, but it was for the location and the million-dollar view,' said the project manager who enjoys views of not just the Singapore Flyer and Central Business District, but parts of Batam Island too.
She expects the value of her flat - it was $722,000 when she and her husband bought it - to increase to as much as $1 million when it can go on the resale market.
Similarly, Ms Oo Ying Ying, 32, a systems analyst who owns a five-room unit at The Premiere@Tampines, feels that the location is the main selling point.
She and her husband paid $390,000 for the unit, which is near her parents', and in an area marked for development.
'We were eyeing the location anyway, so even though the furnishings were a tad disappointing, it didn't matter to us,' said Ms Oo, who moved in in early 2009.
Another resident of The Premiere, Mr Francis Ng, 44, spent a further $40,000 on renovations because he was not happy with the workmanship of the fittings. He said he can recoup more than what he had paid.
'The value of property in this area has doubled in the last few years, and I think it will continue to rise. I think I will start renting the flat out in a few years - it is a good piece of investment I wish to hold on to,' said Mr Ng, who is self-employed and works in the marine industry.
Other DBSS residents have also found the workmanship of their units not up to their expectations.
Retiree Poh Seng Tuck, 59, who lives at The Premiere, found the floor of his balcony missing a tile when he first inspected the apartment, in addition to small cracks in the wall and loose window handles. 'The missing tile was so glaring, I'm not sure how anyone could have failed to notice it,' he said.
Mr Wei Xiaodong, 31, a product analyst who lives in the same block, found termites in one of his bedroom doors about a year after moving in.
'I contacted a pest-control company, and they told me I had to change the entire door. They said the door was probably infested with the termites from the beginning, as there was no way they would have come into the picture halfway,' he said.
Early this year, when people started moving into City View@Boon Keng, many found that their water heaters were not working properly.
The paint on the walls of some of the units was also peeling.
Its developer, Hoi Hup Realty, said it is replacing all the faulty water heaters and is working with residents to resolve any complaints over defects.
ongyiern@sph.com.sg
lingxin@sph.com.sg
time to step away