Iskandar developers seek clarity on new rules

[chialc88]

Iskandar developers seek clarity on new rules - ST Anita Gabriel

Foreigners hit the hardest.
1. From this year, real property gains tax for foreign buyers has been lifted to 30% on property sold within the first five years of ownership.
Lack of clarity on cut off period involved and which project affected has left many unhappy.

2. The min price of properties that can be brought by foreigners was raised from RM500k to RM1m per unit.
"We need to know if this applies to projects that have already been designed and approved?" said one builder.

These rules had been introduced 3 months ago and Iskandar developers is still struggling to understand.

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[Contrarian]

Good Good... sell it to the locals better.

Else they will say foreigners bid up price of homes in JB

[mulyc]

Quite a smart move by the Malaysians. Suck all the suckers in first, then impose all the funky rules and regulations to make exit a total pain. Looks like another hold-for-long-term investment for alot of Singaporeans out there. Good luck finding another buyer to offload to, in fact.

[opmi]

Quite a smart move by the Malaysians. Suck all the suckers in first, then impose all the funky rules and regulations to make exit a total pain. Looks like another hold-for-long-term investment for alot of Singaporeans out there. Good luck finding another buyer to offload to, in fact.

Not the first time Singaporeans get suckered into Msian properties. Ask KK Fong of I-one.net. The dotcom did not kill him directly. He pledged his shares to bring Msian properties. Double whammy.

Singaporeans and Msian developers will die together. Coz projects sold on DIPS. Like
Deferred Paymebt scheme in SG. Most buyers only put $5k deposit only. If property drop below purchase prices, a lot of buyers will MIA.

[chialc]

Quite a smart move by the Malaysians. Suck all the suckers in first, then impose all the funky rules and regulations to make exit a total pain. Looks like another hold-for-long-term investment for alot of Singaporeans out there. Good luck finding another buyer to offload to, in fact.

Yes, those Malaysia property that you're holding...
if you want to sell to foreigner, make sure the price is > RM1m

Otherwise, sell to Malaysian? no problem ... cheap cheap also can.

[mulyc]

Quite a smart move by the Malaysians. Suck all the suckers in first, then impose all the funky rules and regulations to make exit a total pain. Looks like another hold-for-long-term investment for alot of Singaporeans out there. Good luck finding another buyer to offload to, in fact.

Yes, those Malaysia property that you're holding...
if you want to sell to foreigner, make sure the price is > RM1m

Otherwise, sell to Malaysian? no problem ... cheap cheap also can.

maybe its a malaysian conspiracy to allow the rising middle class malaysians to purchase 'singapore style' condos at cheaper prices than singaporeans bought them?

that being said, all my malaysian friends say that local malaysians are actually staying away from all iskandar investments like the plague because they know it is a super bubble that the local consumer CANNOT support.

so it is actually only foreigners (almost mainly singaporeans and mainland chinese) buying and selling, hoping there is another buyer willing to pay an even higher price next time.

you know the developers profit margin is super high when they can even afford to get zoe tay to advertise for them.

sg buyers please beware.

[sgd]

sell to malaysian locals? Then you can only sell to the non-bumiputra like chinese indian but if you have to sell to them then probably they will sense you are quite desperate will try to squeeze you dry for it.

the malays bumiputra unlikely to from buy resale market If they do buy any private property they likely go for new projects malays get special discounts at new condo launches.

[opmi]

vacation homes are first to go when the crunch comes.

now sg buyers of iskandar properties are 'futures' trading with only deposits. When time to take physical
delivery, will see the real demand.

[mulyc]

it will be interesting to see how these rules affect those who have already downed the 5% deposit or more.

at 5% for an RM1mil property in iskandar, which works out to RM50K, it might be more worthwhile forfeiting it than the potential loss of the resale value in years to come, when the whole iskandar project gets found out, and there is no one to unload these projects to.

[opmi]

it will be interesting to see how these rules affect those who have already downed the 5% deposit or more.

at 5% for an RM1mil property in iskandar, which works out to RM50K, it might be more worthwhile forfeiting it than the potential loss of the resale value in years to come, when the whole iskandar project gets found out, and there is no one to unload these projects to.

dont know if Msian developers can go after SG buyers for the difference if they forfeit the purchase. Under SG Deferred payment Scheme, developers can go after buyers for the differences.