REAL ESTATE SG RESIDENTIAL Flashcards
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When does property market slows
-When the Govt announces new cooling measures!in Sin when COV falls. -when you have double exposure in cash upfront. atitude of sellers may be shifting as they realise buyers are more cash trappedAmong the new property cooling measures if buyers have to pay more buyers stamp duty that could lead to some transitional issue when they buy a second property.The main concern is the practical ground constraints of genuine upgraders.All cooling measures drive buyers to be cash trapped. Stamp duty & Cov could lead to double exposure in cash upfront.
What’ss Collateral?
Assets that are offered to secure a loan or other credit. For example, if you get a real estate mortgage, the bank’s collateral is typically your house. Collateral becomes subject to seizure on default.
What does it mean to be cash-trapped?
When you have double exposure in cash upfront.All cooling measures drive buyers to be cash trapped. Stamp duty & COV could lead to double exposure in cash upfront. buyers can restrain from getting a mortgage due to high interest ( borrowing cost) or due to increasing the down payment. Or by a credit crunch by banks which is a significant tightening of lending standards.
What’s an Escrow account?
The real estate escrow account is a bank account of a real estate project in which the money collected from purchasers for the units sold OFF THE PLAN (on the map) or from the financiers of the project are deposited. The escrow account aims to regulate the building and construction processes of the units sold on the map guaranteeing investors’ rights.
What can the developers do to entice buyers?
Offer discounts and vouchers to entice buyers without having to formally lower the prices anything that can help reduce their capital outlay upfront would be welcomed. developers are expected to be more prudent in their sales strategies to attract new buyers.
What could revive more buying interest
New property launches, low interest rates, safe heavens
Why are houses so cheap in Dubai?
The oversupply (Das Überangebot ) and the intensely competitive market (wettbewerbsintensive Markt haben ) have largely contributed to the fact that housing in Dubai is so cheap. The surplus of off-plan properties in Dubai has created a competitive environment leading to relatively lower prices compared to other major global cities. Dubai is futuristic and forward looking therefore the RealEstate market is ahead of time.
