“It is not calling it buy but when you sell that makes the difference to your profit”.

Hence I consistently advise my investors to be certain they have gone through their financial plans thoroughly as they will be entering into a 4-year commitment – after for the 4-year Seller’s Stamp Duty (SSD) that they will want to pay if they sell their property before 4 years.

Once they have determined the amount of finances they are willing to outlay, they will set themselves at a advantage by entering the property market and generating a second income from rental yields rather than putting their cash on your bottom line. Based on the current market, I would advise that they keep a lookout for any good investment property where prices have dropped an estimated 10% rather than putting it in a fixed deposit which pays .5% and does not hedge against inflation which currently stands at 5.7%.

In this aspect, my investors and I take prescription the same page – we prefer to probably the current low interest rate and put our take advantage property assets to produce a positive cash flow via rental income. I myself have personally seen some properties generating positive monthly cash flow of of up to $1500 after off-setting mortgage costs. This equates for annual passive income all the way to $18 000 per annum which easily beats returns from fixed deposits additionally the outperforms dividend returns from stocks.

Even though prices of private properties have continued to elevate despite the economic uncertainty, we can easily see that the effect of the cooling measures have result in a slower rise in prices as in order to 2010.

Currently, we can see that although property prices are holding up, sales are starting to stagnate. I will attribute this into the following 2 reasons:

1) Many owners’ unwillingness to sell at less expensive prices and buyers’ unwillingness to commit with a higher value tag.

2) Existing demand unaltered data exceeding supply due to owners finding yourself in no hurry to sell, consequently leading to a improve prices.

I would advise investors to view their Singapore property assets as long-term investments. Dealerships will have not be excessively alarmed by a slowdown in the property market as their assets will consistently benefit in the long run and trend of value due to the following:

a) Good governance in Singapore

b) Land scarcity in jade scape singapore, and,

c) Inflation which will place and upward pressure on prices

For clients who would like invest some other types of properties aside from the residential segment (such as New Launches & Resales), they likewise consider inside shophouses which likewise will help generate passive income; are usually not depending upon the recent government cooling measures like the 16% SSD and 40% downpayment required on residential properties.

I cannot help but stress the need for having ‘holding power’. Never be required to sell your property (and make a loss) even during a downturn. Remember that the property market moves in a cyclical pattern and require to sell only during an uptrend.