Looking for your first home
Now may be a good time for genuine home buyers to take advantage of the slowdown and scour the market for bargains. Besides budget, location and space needed in a home, there are other considerations when buying a home for the first time. Mortgage consultancy portal HousingLoanSG.com recommends shopping for a home loan before shopping for the home. Obtaining an in-principle loan approval from a bank allows you to calculate the exact loan amount you can get based on your income and repayment ability. In the initial browsing stage, it is important to research through sources such as Classified Ads, online property listings, and recent transactions to have a gauge on market prices. Other considerations include legal fees for a valuation of the property and mortgage insurance.
- The Sunday Times, 7th Sep 2008
Investing in land overseas
Land banking firms typically buy rural land with the intent to re-zone it into commercial or residential use, or both. These firms in turn invite investors to buy parcels of land. Chesterton cautioned that investors may make some money from buying land, but probably not much more than from other high-yielding investments which are probably less risky. IPP Financial Advisers' investment director advised investors to consider land banking as an asset class only if they have a medium to long time horizon and have already set aside sufficient savings to for liquidity needs. There is typically an administration fee and a broking fee of, say, 15 per cent of the resale price for the transaction. Land banking is highly dependent on government policies or directives. There is always a risk of the land not being approved for development. The holding period for land banking projects can turn out to be long. The projects are typically subject to tax by the respective countries upon exit. Consumers are also subject to foreign exchange risk as most projects are denominated in the local currency where the raw land is.
- The Sunday Times, 7th Sep 2008
You got a home..does your car?
A Straits Times survey of 26 condominiums launched or built after 2005 showed carparks are getting smaller, with some even falling below a government standard of at least one lot per unit. About 50% of the condominiums surveyed will have just one lot for each unit - plus not more than 5% of extra lots - when completed. The situation is more pronounced in the city. At least three new developments - The Sail @ Marina Bay, Marina Bay Residences and Icon - have between 20% and 40% fewer lots than units. The Sail @ Marina Bay will have 700 lots for its 1,111 units. A survey of about 10 condos built between 1980 and 2000 showed they were more generous, with over 50% of them giving at least 15% more leeway for lots. A handful of retailers at Icon - a retail-***-residential development - said a few customers have complained it can be hard to find a lot during the peak hours. Reasons for this trend include the sheer cost of land and construction, the smaller plots of land for sale these days and the higher construction costs of basement carparks. The exception is usually super deluxe condos, which sell for about $3,000 or more psf. For example, the upcoming Boulevard Vue will provide up to four lots for each penthouse unit.
- The Straits Times, B6 (See attached “9Sep_CondoCarparkCrunch.jpg”)
Exec search firm sets up HQ
Singapore’s attractiveness as a business location and a springboard to the region has drawn Whitehead Mann Partnership, to set up a second headquarters here. The international search firm specialises in the search for directors and C-level executives (such as CEOs and chief financial officers). Besides these services, Whitehead Mann also offers due diligence and referencing services, talent management advice and human capital research. Whitehead Mann has plans to expand into India in the coming year, and is exploring entry into China.
- The Business Times, P10
6 Indians among Asia's 15 youngest billionaires
Forbes has now included 6 young (below 40) Indian men in its list of 15 youngest Asian billionaires. The Indian billionaires' list includes brothers Malvinder Singh and Shivinder Singh, who command a net worth of US$2.5 billion. The siblings control generic drug manufacturer Ranbaxy Laboratories, founded by their ancestors, which was sold earlier this year to Japan's Daiichi. Despite the sellout, Mr Malvinder Singh remains CEO of Ranbaxy, while Mr Shivinder Singh straddles the Indian hospital chain Fortis Healthcare, which went public in 2007. Forbes has noted that India has maintained its pace in the money race and its 'millionaires jumped 23% last year while the billionaire count soared to 53 from 36 the previous year'. India boasts a competitive demographic advantage in a young population, observed Forbes, and its 6 under-40 billionaires represent a cumulative worth of US$8.3 billion. In another compilation 10 Indian companies - led by the state-run conglomerate Bharat Heavy Electricals Limited (BHEL), telecom major Bharti Airtel and Mukesh Ambani-led Reliance Industries Ltd (RIL) - have made it to the magazine's list of 50 best companies in the Asia-Pacific region.
- The Business Times, P19