SSD should be tweaked?

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This article sounds so much like the genius who increased car loan LTV to 100% and 10 years so that it will be more affordable.

周星驰 would typically say in his shows: 英明

Those who put the cart ahead of the horse probably don't know how the horse's ass look like

LOL. What do you expect coming from a con-sultant working in a property firm.

I don't get her point. Whether there is SSD or not, the supply still remains the same. Even with SSD, you can still sell, just pay stamp duty lah.

Looking at her chart, I think she's saying that intervention policy will aggravate the supply situation resulting in a boom and bust cycle.

5 new projects launched in July report poor sales
http://sbr.com.sg/residential-property/e...poor-sales

The article is very narrowly focussed on only new condos and makes the assumption that buyers will hold for 4-years before selling, to avoid the SSD.

But, I doubt that the property market is as simple as that. There're many different players and I doubt that the majority are there to make a fast buck... or now, at least wait for 4-years to avoid SSD. Even amongst the "investors", there'll likely be long term and short term players.

Within this condo market, don't forget they's also the much bigger potential supply from the not-so-new ones. Depending on the price + other factors, the market may favour older units instead...

IMO, the SSD serves a purpose ie. weed out short term speculative players and perhaps, serves to protect the wannabes who may not be as savvy as the more experienced ones... If these players can now afford to hold for 4-years, by all means, let them make their 100% profits... if any... they're now as good as long term investors...

Case in point. Parc Rosewood launched 2011 already seen a few subsales netting close to 200k profit each.

(30-08-2013, 01:12 PM)cif5000 Wrote: Looking at her chart, I think she's saying that intervention policy will aggravate the supply situation resulting in a boom and bust cycle.

The purpose of the SSD is to deter speculators from benefitting from a short term view, hence weeding out the non structural demand. It is the right move yet many were doubtful that the 7th govt measure would work when market was euphoric

Now that all these incremental measures are biting, she is arguing that those same speculators who are stuck with properties that are subject to SSD, will be aggravating supply issue, when in the first place they were creating false demand. Incredible economics.

Investors who had bought during the year 2011/2012 mus have considered the ssd before making the purchase. If as the article suggested, the ssd is changed to a capital tax, it will distort the market in other way. Many people w then expect their downside to be protected. And exuburent investment will happen.