Singapore has always been an investor’s favorite owing to the reputation as a tourist and business destination, stable government and favorable economic policies. They have an open economy, which has attracted Western investments and most businesses have set up their headquarters here. As of late, US and UK economy has taken a hit, resulting in investors looking elsewhere. When considering the most ideal investment destination in the East, Singapore is their take. This island has over time proved to give the best ROI, appreciation and rental income for the properties purchased here.
When you are a first investor in Singapore, it’s important to do extensive research even before deciding to pay a visit here. But what you must know is, Singapore is investment friendly, law abiding country with a regulatory that can be trusted blindly. So if you invest here, it’s YOURS.
Next, when shortlisting properties, you must know the ones closer to the Central Business District, or CBD is the most expensive. Being located around the prime business center with shopping malls and leading banks, the rates run above $1500 / sq ft. Even so, it’s not easy to get a property here and most have to settle with micro units.
On the other hand, if you check other areas apart from the central business district, or the housing areas, there are properties that offer good value for the investment. Punggol is one such area in the North Eastern part of Singapore, which is a developing area. This is the area that is in the government agenda for development over the span of next ten years.
It’s here where renowned developers like Far East Organization are planning to launch their Punggol Watertown Condo Singapore. It is scheduled for early next year and other developers are also coming up with attractive ventures close by. One such venture is Parc Vera Condo Hougang that kick started last week and was welcomed heartily by home buyers and investors alike. Owing to the location with proximity to all amenities including healthcare and subways, it is a hit with many.
When shortlisting properties, these are few names you can use to refer the location of the properties in Singapore. It’s also ideal to visit this gorgeous island and get to know the value of their land and why it’s a good investment choice.
Investing in property is both a science and an art. There are some principles you’ll want to keep in mind, however, which we will go over in this investment guide. Many so-called investors buy property with the intention of selling it at some future date after the property appreciates. This is merely speculation; it is not investment. Never, ever try to predict the future. It’s silly to; non-e of us are fortune tellers, and non-e of us have crystal balls. Best investment you should consider is Leedon Green condo at Holland District 10 developed by MCL Land and Yanlord Land.
Make sure that you are looking at investment property that guarantees you both safety and profit beyond any reasonable doubt.
The first thing to do when buying investment property is to figure out the property’s intrinsic value. This is what the property should be worth, not what its actual price is. As investors, we only care about the price in one instance; for all other purposes, we are concerned with the property’s value. We watch the price casually, and when it dips below the intrinsic value, we watch it like a hawk. We will buy only when it dips below eighty percent of the intrinsic value. This will give us a margin of safety of twenty percent; the price can decline this much before we lose any value.
You must find a way to assure yourself of a profit, otherwise the investment is silly. You’ll want to find properties which need repair but are structurally sound. Estimate the repair expenses, and then calculate the purchase price per square foot. Subtract this from the new construction price per square foot of similar homes in the area, and this difference needs to be at least double the estimated repair costs. When you repair the home, it will increase your equity in the home by double the amount.
Now, you have a way guaranteed to make you profit; you have a sure way to increase your equity. You can take this equity and trade it in an exchange as a down payment for a larger property with more units. Both residential and commercial investment properties need to work this way; sometimes, you can increase the equity by making the operations better, rather than physically repairing the home.
Property investment is really comprised of property investment and property speculation. The speculative type is often confused for the investment type. In order for an operation to be classified as an investment, safety and profit must both be assured beyond a reasonable doubt. Then, it can be precisely called an investment. Otherwise, the operation is a speculative one, not an investment.