Re: Buying leased hold propert is buying problems in the future

On Sep 21, 10:24 pm, "truth" <tr...@xxxxxxxxxxxx> wrote:
U can only enbloc when u can put more apartments on that piece of land. With
the new buildings up to 40 storey and so densely packed now, how much more
can u put on that piece of land. There are severe physical constrains on
such a small island to raise the building height further like airspace.
Moreover the building cost per sq ft is much higher the higher u go. So
don't fall into this papist trap of false hope. Moreover with public
sentiment so much against raising the population further, the demand will
not be there for enbloc to be profitable.

"Zanzibar" <zanzibar_d...@xxxxxxxxx> wrote in message

news:1c9e1b75-2d19-4bc0-b494-a4866fc2c248@xxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
On Sep 21, 1:35 pm, "truth" <tr...@xxxxxxxxxxxx> wrote:

Most leased hold properties in Singapore are for maximum of 99 years. Now
if
you factor in the expectation that people are living longer then u will
see
that there is a good chance u or your children who inherited your home may
end up without a roof over their head. Current projections are for most
babies born now to live to 150 years old. In fact some scientists are very
more bold in projecting that even some of those in their 40's and 50's now
may live to 150.
Go watch the documentary Visions of the Future and u will understand why.

Well, in theory, your right. But in practice, we can go around the
problem.

We can enbloc the whole block and tear it down, let say, after 25
years of use.

We can then rebuild from the ground again, with a development charge
to top up the remaining lease of 75 years to a new lease of 99 years
again.

By this way, everyone in the block makes some money for the collective
sale of their flat in the block to the developer.

The new block that built on the enbloc land may have more plot ratio
provided, which, in turn, means more floors can be built on the land.

The higher plot ratio will make up for their higher cost of purchase
on the enbloc land.

The higher cost will also due to the top up of the remaining lease by
paying a levy to the Govt for the redevelopment charge on the land
that had changed of plot ratio over the exisiting one.

Overall, th developer would have to sell the flat to buyers of the new
building at a higher price, wiith a profit margin, normally, 20%.

More quantity of the flats on the new building and higher prices will
make up for the profits.

1. Yes, you can enbloc when you can put in more apartment units on
that piece of land than previously. So if the land is built up of 40
storeys, and if there is no change to its plot ration, i.e still at 40
storyes, there is no much gain from the enlboc of it.

2.However that does not mean it is not worth to enbloc it. If the
flats in the buliding are old and tattered, and if all owners agreed
to enbloc it, they may still make some money.

3.The profit is arisen from the collective sales which is ofen higher
than if one sells it on its own individually. If one sells his own
unit, it confines only to his own unit in itself.

4. A collective sales included lands within the legal boundaries of
the entire estate. This extra land spaces give an extra profit to each
individual unit holder of the flat.

5. Yes, the building cost will cost more when the building height goes
up more. But the price psf will also go up.

6. It is not desirable because the income of Singaporeans is not
commensurate currently with the high price of properties in
Singapore.

7. In comparison, developed countries the income evel of people there
is much high than the price of properties. Their ratio of loan
repayment on their income over their property price is a good
indicator of it.

8. Indeed most Singaporeans are against the Papist which gave
falsehood of high value HDBs.

9. They especialy disagreed what LKY told residents in its Chinese new
year constituent speech that people should not sell their flat if can
be avoided, as their flat has very high value.

10 So many Singaporean, young and old, were crossed by his speech.
They asked:

11. Firstly, they asked, what is the point of high value if you need
money to live to pay bill, and when you are old, and you have no job,
and no income, and you have to sell your flat to downgrade, and yet
the downgrade price of the downgrade flat was correpondingly also very
high.

12. And, if after the downgrading of the flat, and after the proceed
went to the repayment of outstanding loan, and after, there was this
compulsory retention of the sales proceeds to its retirement CPF fund
account, there was nothing left from the proceed for their living
expenses.

13. This means the original intent of selling the flat to realise its
sale for some profit was now back to square, - no extra money left.

14. Secondly, they asked, what's for, they said, - i.e what is the
point of having so high value in price, they said.

15. And, what for, when, they said, those buyers who could be your
sons and grandchildren, have not had enough of income and cash savings
to even catch up with the catch-up of high rising price of HDB flats
in the market place.

16. This means that high-rise price will not help anyone, - not to the
older sellers, and not to the younger buyers.

17. So both buyers and sellers are caught in the gridlock situation.
So they said, everyone is chasing around the black hole, simply
because LKY thinks it was good to have a high value price on HDBs.

18. This kind of public expressions showed that most people have more
lateral thinking skills than him.

19. Most young people have more lateral thinking skills him than him
and other sg ministers, because minsters din't not felt the pain of
it.

20. This was because they dont need to buy HDB; they have passed on
the their young stage into old age now - so they no longer in need of
buying a HDB in order to gert married.

21. They have passed on of their initial career mode, - no need to
think or worry about job and income, and saving of money, etc. They
have great milllion dollar pay as ministers and MPs.

22. Also, they dont have problem with getting married. They have been
amrried and their marriage does not need anymore of finding a
matrimonial home.

23. As it stands, the young can only willign to get married if only
they are able to afford a sustainable payable flat in the long term.

24. An affordable sustainable payable flat is the key to a sustainable
married life.

25. A sustainable married life is sustained by their abilities to
sustain their jobs in order to sustain loan payment of their
matrimonial home.

26. And only when these are unburdened from them, they will then have
enough of unworried time to plan for their procreation of children.

27. If the cost worries are removed, the cost of raising children will
be much desirable by them as the cost is lighter on them.

29. The above showed how within two to three years, the PRs influx and
the damage cost on HDB had massively damaged the confidence of
thousands of despondent Singaporeans.

30. And the problem now is that people believes the papists still
believe in themselves of their top-down's thinking skills than the
lateral thinking skills from the people.

31 Lateral thinking skills provides wider helicopter view, wider power
of analysis and imagination, and more pragmatic sense of reality than
the topdown thinking skills that usualy used by topdown govt
processes.
.

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