Shawn Khoo

15/11/2021

This truth hurt… ouch..
😩😩😩

That’s what I always share with my clients..

If you want to upgrade to private condos, we got to seek advice from those who have been it done it..

Not our relatives, friends or even keyboard warriors
who stay in HDBs..
😌😌😌

I have nothing against staying in HDB.. in fact, I’m a champion for HDB!! Till date, owning HDB is still the most prudent & value for money to start with..

But do HDB owners give you the best advice in term of upgrading to your next private property?

The odds is very low…

The advices they can provide you are likely to be very vague or even hear-say experiences... Thus, we will not take any concrete actions without any clarity.. That’s our human instincts..

I need to emphasize this again..

Our love ones will always give us their best advice based their knowledge/ experiences cos they care for us.. and don’t wish for us to get into any financial difficulties..

They always meant well
but we need to realize this..

Are they best people to advice on such matters?
Especially on very technical stuffs such as affordability, financial calculations, timeline planning and many important factors.. often, they are only half-past-six in their knowledge..

We must understand everyone’s scenario is different and each have different expectations..

My advice is always seek the professionals for advice.. and get very clear in the possible implications/ risks involved.. before making any decision..

And who know..

You might jolly well afford the upgrade well within your means.. Do yourself a justice..
👍👍👍

13/11/2021

New Exclusive Listing onboard!
🙌🙌🙌

Rare Brand New, Just TOP! 1km to Nan Hua Pri. Great potential upside with strong rental yield. Move-in Immediately!!

✅ Unblocked Pool View with Splendid Reservoir View
✅ Brand New Sleek Cabinetry & Appliances
✅ Squarish Layout with 4 good size bedrooms
✅ Dry & Wet Kitchens with a large refrigerator(including ice maker), gas stove and clothes washer.
✅ Smart Doorbell & Security Camera
✅ No westerly sun. All room windows and balcony facing north.
✅ Within 1 km to Nan Hua Primary School and Qifa Primary School.
✅ Walking distance to Future Pandan Reservoir MRT Stations (Jurong Region Line)
✅ Mins to Major Expressways
✅ Ready to move in immediately!

CONDO FEATURES
* Waterfront Views & Greenery
* Multi-level Foliage & Landscaping
* Smart Breakaway Coworking Spaces
* Childcare Centre & Retail Spaces
* 50m Lagoon Pool
* Dining Villas W Jet-Pools

THE CONVENIENCE
* Mins to AYE, PIE, & West Coast Highway
* Mins to 2 Bus Stops
* Mins to Newest Retail & Dining
* Mins to Pandan Reservoir, West Coast Park & Park Connectors

** Some Listed photos are virtually staged for easier visualization**

For full details:
https://www.propertyguru.com.sg/listing/23770528/for-sale-twin-vew

Call / whatsapp Shawn @ 93661846 for an exclusive viewing today

👉 Virtual Viewing is available.
👉 Zoom Presentation 24/7 ready
👉 Co-broke are most welcome!!

Contact me to find out more on this beautiful unit!! Keys on Hand.
🤙🤙🤙

Shawn Khoo
HP: 93661846
📲 https://wa.link/p0po8e

06/10/2021

New Exclusive Listing On board!!
🙌🙌🙌

High Floor Renovated 5rm HDB. Corner Unit. Mins to MRT. Must View!!

✅ Designer Renovated with spacious 3 Bedrooms
✅ Only 5 Mins Old.
✅ Corner unit. Quiet & Windy
✅ Well-maintained. Move in Conditions
✅ Well equipped kitchen with Yard, comes with Top and bottom cabinet.
✅ Mins Walks to MRT & Waterway Point
✅ mins to TPE, PIE & other expressway
✅ All race welcome

It is accessible through the nearest train stations such as Soo Teck (PW7) U/C, Cheng Lim (SW1), and Compassvale (SE1). The nearest primary schools are Punggol Green Primary School, Compassvale Primary School, and Punggol View Primary School.

This property is close to amenities like Cold Storage Compass Point, Sheng Siong Hypermarket(Punggol Central), and NTUC Fairprice (Rivervale Mall). The closest shopping malls are Waterway Point, Compass One, and Compass Point.

For full details:

https://www.propertyguru.com.sg/listing/hdb-for-sale-310a-punggol-walk-23727048

Virtual Viewing is available.
Zoom Presentation 24/7 ready
Co-broke are most welcome!!

Contact me to find out more on this beautiful unit!!
🤙🤙🤙

Shawn Khoo
HP: 93661846
📲 https://wa.link/p0po8e

14/02/2021

As much as I love the whole Jurong 2nd CBD Transformation concept, I don’t really favor this HSR thingy since Day 1..

There are so unforeseen political, economical as well as operational issues in this multi-billions project.. Though, I’m very confident on our government’s 100% commitment to pull through this project, I just don’t feel comfortable to the co-cooperation with our dear neighbour.. especially the project can be exploited as a pawn for their own political motives.. It might be just our own wishful thinking..

In fact, one of my friend just ask me recently what will happen to the property outlook at Jurong area then..

My take:
Not to worry so much on the future prospects in the area.. our government have already put in so many future plans such as Lakeside Garden Rejuvenation (already in progress), upcoming tourism hub at Lakeside as well as the many projects in the pipeline. Not to even mention the current developments at Jurong East now.. How often you have 3-4 mega shopping malls, MRT interchange, full-pledge hospital, office buildings, industrial park all housed in a district?
🤔🤔🤔

Yes, the current prices there mighty look steep for the time being due to the hypes generated over the past few years.. but if you look at the long term prospects of the area & most importantly, our government full commitment to make Jurong the 2nd CBD in Singapore and our government is one that always deliver, I’m quite sure the property prices there are bound to appreciate in time to come..

Personally, I have always take HSR as a bonus to have partly due to the proposed completion date..
We should not take a future growth element that is only to be realized so many years down the road.. There are so many uncertain factors in the project that we should not take into our key considerations for property investing.

We should stick to the primary ones such as demand/supply, entry price, exit points as well as holding period. These factors should serve us fine rather than spectating heavily on future potential. The fundamentals must be in place at the point of entry.

In my humble opinion,

Since HSR project is confirmed terminated, we have a clear direction moving forward.. Rest assured that our authorities already have alternative plans in place for Jurong for the next 10 years.. and I’m sure we will do it very well!!
💪💪💪

As for property investing in Jurong, I’m very positive about the whole area. Looking at the HDB vs Private Residential proportion, Jurong private condos are still way in shortage supply. There are still good ground to gain in the near future.
👌👌👌

26/01/2021

16/11/2020

Saw one of the best ads in recent times..
By my Sifu’s stock investing school..
👏👏👏

The ad is on the biggest misconception on “Buy Low Sell High” Sound familiar... You guys should watch the ad till the end.. 👍👍👍

Although the ad is on stock market value investing, however the mis-conception apply 100% to property investment..

Property Investment 101.. Always buy undervalued property low & Sell high for a good profit.. and wash & rinse again & again.. Sound logic.. a tried & proven 2 steps process..

How to “Buy low” is rather straightforward..
though is never easy especially these days...

Spot the high potential upside unit and just make sure you don’t over pay the market valuation.. and most importantly, you have the holding power to realize the profits in time to come.. And there are so many properties in the market to select.. Just be patient & do your own due diligence..

But Selling High is another different story...
Required more upfront efforts & strategies..

Selling requires an buyer/audience that simply love what you are offering.. an irresistible offer for them to willingly part their hard-earned money.. Often A Dream Fulfillment Trigger.. In this case, we are dealing with a real life person in selling compared to a product when buying..

✅ How high is high? Realistically High or Unrealistically Rocket high? ... At what sweet spot will your buyers be willing to give you an offer? The key is What is it for them, the buyers? That’s very important!!

✅ All your buyers are also looking at “ buy low sell high”.. so how will your high selling price will be perceived low for your future buyers? Everyone out there is looking for fire-sale & value deal, isn’t it? That’s where you need professionals services like photography, staging, marketing agents, etc..
😬😬😬

✅ Lastly, but also most importantly.. Are you targeting the correct buyers for your property? Are you trying hard to sell to investors or home-makers? Seriously... you will be better off targeting to home-makers cos your ideal investor buyers will be also looking at “Buy Low Sell High”.. So ironic, isn’t it...
😬😬😬

Am I saying that “Buy Low Sell High” is wrong?
No... We should always maximize our profits..

But in property investment, we should always “ Buy Low Sell High Fast”‼️‼️‼️

In real estate investment, Selling High Price is not good enough.. It has to be sold FAST cos property investment in Singapore is a leveraging game.. most of us have mortgage loan to service.. a holding cost that will cut into our profits as compared to stock investing.. not only that, our mortgage loan-ability is very dependable on our age as well as our income salary.. many more factors to consider..

Many home owners often have this mis-conception that there are always cash-rich buyers or “Roberts” out there willingly to pay unrealistically high prices and are willingly to wait long long while for the one & previous buyer to come along... upgraded from property investors to long-term investors... Sound familiar again.. 😂😂😂

And even if Mr. Robert do come along in time to come.. Just imagine the opportunities lost.. there is a saying that “Don’t lose a pound over a penny”.. or the more correct re-phrase should be “Lose a penny to gain A pound”
😄😄😄

Seriously, what we are lacking here is not a good sincere buyer but a good Game Plan in place..

And

Let’s talk more on Game Plan on the next post!!
Jiayou everyone!!!

15/11/2020

Wow!! 96% sold over a day!! At Bukit Timah area these days.. 😱😱😱

I expect this integrated project to do well but not so well!! 😂😂😂

Once again... Mr Market has proved..

With the Right Location, Right Timing & Right Pricing.. The Market will still move a selective but predictable manner.. which is good for everyone.. isn’t it.. 🤔🤔🤔

Apparently, there are so many new launch projects along Bukit Timah Road.. only a very handful projects are doing well.. most of them are 99 leasehold projects among the many freehold projects.. namely Kopar@ Newton, Mayfair Series and now The Linq.. Isn’t Freehold better than Leasehold? Especially in a freehold dominant housing estate? 🤔🤔🤔

3 simple points in today’s buyer pattern..

✅ Price... Typically, Freehold is 20% more ex compared to a 99 Leasehold.. At current market situation with strict measures such as TDSR, its make more logical sense to go for lower quantum property.. for the same location. Imagine you are paying 20% more monthly installments for the same unit space you are enjoying.. Especially for investors... your tenants will not pay your extra rental for freehold units.. 😬😬😬

People these days are more savvy.. For investors, Leasehold 99yrs property will surely give you better ROI compared to Freehold Ones..

And also.. people these days don’t live at the same place for 20-30 years.. many will probably upgrade or change of environment every 5-10 years.. so make no sense for them to pay extra cash out of their pockets every month...

✅ Freehold property is simply means the unit you own is on Freehold land but the building itself is not freehold in term of sustainability & usability.. what do I meant... As much as the land is freehold, the building will eventually deteriorate over time especially in tropical climates like Singapore..

We already seen many property owners be it freehold or 99 leasehold, resorted to en-bloc exercise not for the monetary gains but due to escalating costs of maintaining a old building.. namely Pearl Bank Apartments. Golden Mile Complex, People’s Park Complex.. The owners love their properties but just have to go let go of the places due to costs..

People are now aware that owning freehold condominium is not necessary a legacy planning for their next generations..

✅ Strata Titled.. For Condominium/Apartments, the unit you own is on shared values over the land.. you only own a certain percentage of the entire development.. Many important decisions Such as upgrading, en-bloc are based on voting rights.. Majority counts..

So even if you love your unit so much, should the majority of the owners decided to en-bloc the development, you just have to follow the majority’s decision.. So you don’t really own the veto decision in the future outcomes.. So you don’t really own the exclusive 100% freehold rights to your unit unless you bought a freehold landed.. This is a true fact that many buyers are aware of these days..

In conclusion,

As buyers out there getting more knowledgeable
& also partly due to the many restrictions in place, other decision factors play more critical importance over Freehold status.... The proximity to MRT, Reputable Schools, workplace, shopping mall, etc... Pricing difference over freehold, the Development’s facilities as well as affordability are way more important considering factors these days..

This is of extreme importance for property investment in singapore these days... you need to be very savvy in your decision.. and don’t be a fool to assume buying property in singapore will sure make money.. That’s in our parent’s era... where supply are low & people are not so knowledgeable..

So..

The old beliefs of property buying must go.. and accept the new norm of how property market works these days..

Always understand your buyers’ needs & behaviors.. Offer them a product, in this case, your property with right attributes that will appeal to them.. You will simply do fine in any market conditions.. 👍👍👍

With BBR Holdings' The Linq @ Beauty World almost sold out on the first day of launch, the project is considered the best-selling project by percentage of units sold in 2020

06/06/2020

[ Will my property get margin-call/top-up by the bank? ]
😱😱😱

A common question I faced from my clients.. which is very valid and deserves our attention.. a margin call simply means that your current property price is lower than the outstanding mortgage loan with the bank you are using.. this is possible especially in a economic downturn or financial crisis.. or outbreak such as 2003 SARS..

Based on the data captured during the 1997 financial crisis, the dotcom bust in 2000, SARS in 2003, and the 2008 global financial crisis, our property price drop between 15-20%.. and even during the recent series of cooling measures/TDSR implementation, our property prices corrected only max 10%..

As we know the LTV for 1st residential mortgage loan have be advised from 80% to 75% in July 2018. So based on the past data, our government have actually further prepared us for such downturn scenarios if does happen.. We still have a 5-10% buffer before the margin-call kicks in.. We are relatively prudent compared to countries such as Malaysia or even Hongkong..

But...

What if the worst scenario come in.. and the property price really drop more than 30%..
😱😱😱

Firstly,
Banks usually won’t ask the borrowers to do top-up as long as they are able to service their monthly installments promptly.. It is of no purpose of asking them to top-up as the borrowers are likely to face have problems raising the funds.. The key is to maintain a good repayment record with your banks..

Secondly,
Our strong government policies are in place to protect the livelihood of our Singaporeans.. 60% TDSR is in place to ensure borrowers don’t over-leverage in their property purchase.. Our government is monitoring the market closely considering we have the highest home ownership in the world.. Some ways they can consider such as increase the LTV back to 80% or even 90%(yes, it has happen before) to avoid any margin call.. We can even remove some cooling measures such as lowering ABSD to stimulate buying activities.. I’m sure our government can manage this part very well...

Lastly,
Our current market is primarily local consumer-based meaning most transactions are carried out by Singaporeans/PRs who genuinely buying houses for their own use.. Speculative investments are very minimal as foreign buying activities are still very low.. We are unlikely to see crazy dumping/fire-sale these days unless it is on ultra-luxury markets..

So...

Does it mean we don’t have to be concerned on margin-call?

No.. Though we are so fortunate to have sound property market fundamentals & vigilant government in place, we still got to do our parts..

Don’t over leverage.. although the TDSR is in place to monitor our mortgage loan exposure, do bear in mind that we might lose our jobs during such market downturn.. or your other investments such as equity stocks are also performing badly..

We need to have a Plan B in any form of investments.. Which is why I always advice my clients to have a reserve funds in their property investment.. Instead of getting pumping all their funds in just to reduce the monthly installments by few hundreds just to save bank interests, it is more advisable to keep a portion of the funds on hand just for emergency times..

Always remember:

🔆🔆CASH IS KING..🔆🔆

Especially during critical circumstances..

I want my clients to have minimum risk exposure to enjoy a safe investment journey.. invest something that don’t stretch too much.. the last thing you want is to lose your sleep over any unforeseen scenarios..

What is a good amount to keep aside??
🤔🤔

Personally, I think a good reserve fund should have at least a total 24 times your monthly installments, can be in cash or CPF..

With this reserve fund in place, one shouldn’t be too concerned on Margin-call or even top-up, what you should be more concerned is to get the correct property that you can benefit from it, isn’t it?
🤔🤔🤔

Hope this post helps to clear some doubts & concerns for you guys..👍👍👍

Wishing everyone a great weekend ahead!! And Happy Father’s Day!!🙏🙏🙏