Critical Information You Need To Know About Commercial Property Loans?

If you have made up your mind to make an investment on a commercial property in the city-state of Singapore, you should be aware of the fact that such properties in the city accompany very high price tags. Hence, you would definitely find it very difficult to finance the entire purchase on your own. Now, investing on one such property as part of a corporation can certainly be a great idea as your partners can also bring some financial contributions to the table.

The thing with corporations is that the profits would also be divided according to the share of investments made. Hence, if you are planning to finance the entire purchase on your own, a bank loan can go a long way in providing you some much needed assistance with your endeavor. There are, however, a number of things that you must first know before you look for a bank loan to finance your commercial property purchase in Singapore. Some of this critical information has been discussed below. This will help you to opt for the best bank loan to fund your purchase.

• Banks in Singapore offer loans amounting to a maximum of 80 percent of the total value of the property. This means that you have to pay the remaining 20 percent of the total price of the property on your own. This is usually the down-payment amount.
• You cannot utilize your Central Provident Fund or CPF to pay the down-payment for the commercial property purchase. The amount has to be paid in cash and upfront when acquiring the property.
• The maximum tenure of loans for commercial property purchases can be 30 years.
• Bank loans for commercial property purchases have higher interest rates than the loans obtained for the purchase of residential properties.
• The loan percent depends on whether you are purchasing the property in complexes like the Tai Seng Point Singapore for your own use or for rental yields. For properties that are meant as investments rather than for owner occupation will also be subjected to a number of strict criteria by most, if not all, banks in Singapore.
• In case the commercial property fails to generate the desired revenue at any point in time during the loan tenure, you have to pay the loan repayment premiums out of your own pockets.

Hence, you need to have a strong business plan ready, regardless of whether you intend to use the property for your own business or you have other plans for your investment. This will hold you in good stead and improve your chances of getting the loan approved significantly.

Purchasing Executive Condominiums Provide Several Trading Opportunities

Executive condominiums are primarily meant for that section of people in Singapore who are unable to afford the high asking prices required to purchase private condominiums and houses in the city.These properties do not accompany very expensive price tags, yet offer facilities that are roughly equivalent to those offered by the many private condominiums in the city.

Executive condominiums, or ECs as they are also known as, are developed and sold by private developers, but the prices of these units are still cheaper than private condo units.  The reason behind the low prices of executive condominiums is that the developers receive certain subsidies from the government of Singapore in regards to the land prices. Hence, it becomes possible for the developers to sell the properties at reduced prices. This also makes it possible for a large number people of the city to acquire homes for their families at prices they can afford.

Executive condominiums in Singapore, however, are also seen as profit-making investment options by many, albeit a long-term one. If you purchase an executive condominium unit in the city, you will be able to own a residential property by paying much lesser than the costs of other such private properties. Now, ECs can only be sold after they are privatized, which can only happen after 10 years from the date of purchase. Once the property has been privatized, the property can easily be sold to anybody at a much higher price.

It has been seen in the past that the values of executive condominiums have appreciated much more quickly than other residential properties in the city. Hence, an investment on ECs like the Signature at Yishun EC can prove to be a very profitable option once it has been privatized and cleared for sale. The only problem here is that the property cannot be sold before ten years, and that would certainly be a long time to wait. However, this can be seen as a long-term investment option as it almost guarantees profits due to the fact the values and prices or executive condominiums appreciate at a much greater pace than other private residential properties in the city.

Hence, if you are looking for a property that would not only be of use to you for a long term, but also help you to make substantial profits, executive condominium units in complexes like the Signature at Yishun are certainly worth a look. You will be able to find these investments pretty heartwarming and fruitful.

How Important Is The Location When Buying A Commercial Property?

Commercial properties have gained tremendous prominence as investment options in real estate Singapore, more so after the implementation of the ABSD or the Additional Buyer’s Stamp Duty in recent times. Due to this, the market for commercial property investment has eased out significantly, causing investors to find considerable assistance with their investments.This recent development will also have several positive implications on the real estate scenario of the city, according to several real estate gurus.

The location of the property has an important role to play in the ROI

Hence, there are a large number opportunities available to investors in the city when it comes to commercial properties. There are, however, a number of critical aspects that need to be taken care of in order to ensure a good return on investment or ROI. The location of the property is one of these important factors. In fact, the location of the commercial property has a major role to play in the profitability of the commercial property investment. If the property is purchased in a good location, it will offer plenty of money-making opportunities for the investor.

On the other hand, if the location is not suitable for commercial progress, the return on investments of the property would depreciate substantially and could also cause the investor to lose millions. Therefore, it is very important to consider the location carefully when making an investment on a commercial property.

How does the location dictate the profitability?

The location of the property must be carefully chosen as it would impact the usability of the property as well as the profits incurred. For example, if the commercial property like the Tai Seng Point Singapore is purchased in an area that is densely populated with residential properties like private single unit houses, flats, apartments, condominiums, villas, etc. it would be great for any business. There would be a great mass of people who would visit the property, thus increasing the profitability of the business being run on that property.

This means that the property would enjoy a high demand among people looking for commercial properties in rent or for purchase. Hence, the rental yield of that property would be very high. Even when selling that property, investors would be able to demand high prices, which would definitely increase their profits substantially.

On the other hand, if the location is not apt for business, it would not enjoy a very good demand from tenants or commercial property buyers. Hence, rental yield, as well as selling prices would be pretty low. Hence, it is important to lay adequate importance on the location of the commercial property when investing on one.

Striking Features of Singapore Commercial Properties Increasing Demand

The city-state of Singapore has already stamped its authority as one of the most popular locations for the development of quality residential and commercial real estate properties. It is already being considered as a superpower in the real estate map of the world. The last decade, in particular, has witnessed the development of a large number of commercial properties across various neighborhoods in the city. Hence, any person with an interest in investing on a commercial property in the city will be able to find a number of options to choose from.

The demand of commercial properties in the city is also pretty high, and this has caused the prices to rise a little. However, the high demand also means that commercial property owners can ensure a high rental yield from their commercial properties. The rate or price appreciation for the commercial properties of the city also serves as a great attraction for investors. By investing on a commercial property at the time of development, investors will be able to ensure substantial amounts of profits on completion as the price would have appreciated significantly. There are, however, other factors as well which impact the price of the commercial properties in the city.

• Strategic and exotic locations: The commercial properties that are being developed currently in Singapore enjoy great locations conducive to business. These properties are located in densely populated neighborhoods with great travel methods so that people can easily travel to these places. This will help the business owners to gather new customers and retain old ones with sufficient ease.
• Great facilities: New commercial property developments in the city like the Tai Seng Point offer owners with great facilities that would easily facilitate their businesses. 24-hour power supply with provisions for backup power in case of power cuts and failures, 24-hour water supply, efficient drainage systems, great space management systems, etc. are certain features that the owners of commercial properties in these complexes can utilize to benefit their business.
• Attractive designs: In a world that is so attracted by visual elegance, the current crop of commercial property developers has ensured that the new property developments like the Tai Seng Point Singapore have great designs and features. This will help business owners to attract new customers by utilizing the visual elegance of the complexes.

There are a large number of commercial properties available for purchase in the city-state of Singapore, and investors looking to make the most of the opportunity should absolutely hurry to get the best properties.

Factors to Consider When Choosing a Commercial Property for Investment

There is a lot of research and analysis to be done before choosing a property for investment, and this applies to both residential and commercial properties. This research includes collection and careful study of various statistics related to the property. This helps in the determination of the perfect property to make an investment. One of the most primary differences between a residential property and a commercial one is the people often look for a quiet and calm place when looking for residential properties whereas, for commercial properties, the ideal place should be a busy one with a lot of people living nearby.

There are, however, a number of other factors that need to be carefully considered before selecting the ideal commercial property for investment. Some of these key factors have been discussed here.

• Location: The location of the property is one of the most important factors that need to be considered with great care. The ideal location for a commercial property is a place with large number of people nearby. This will increase the number of customers and clients generated, and will enhance the business and revenue generated. However, if the business requires the location to be situated at a fair distance from human habitation, the location needs to be chosen accordingly.
• Transportation and Commutation: This is another important factor that must be taken into account when selecting a commercial property. The availability of modes of commercial transport will determine the number of clients and customers showing up. Moreover, it will also have an impact on the number and quality of employees working for the business. Shopping and commercial complexes like the Tai Seng Point Singapore enjoy great connectivity through commercial and economic commutation modes, and hence, are great locations for setting up businesses. Properties in such complexes can prove to be very fruitful and profitable.
• Essential Amenities: It is important to inspect the availability of crucial amenities like power and water supply, the drainage system, arrangements for backup power for times of power failures, etc. The provision of such facilities, and their efficiency, can go a long way in determining the quality and quantity of customers generated. Hence, if a commercial complex like the Tai Seng Point offers efficient solutions to these problems, it would be a wise decision to invest on a commercial property in one such complex.

It is critical to understand and realize the importance of careful research, analysis and inspection before making any decision about the commercial property for investment. This will facilitate the determination of the right property for investment.

Enjoy a Luxurious Lifestyle with the Executive Condominiums in Singapore

The city-state of Singapore is one such place in the continent of Asia that offers great living conditions for people coming from all parts of the globe. The city is full of places that serve as great attractions for people from all across the globe. The city is also home to a large number of big companies and industries which employ people from every corner of the globe. Hence, a large number of people hailing from different countries can be seen in the city as they have made it their home.

This has often created a number of problems in the past in regards to housing structures. The rise in the demand of residential properties has caused the prices of private properties to rise drastically. Foreign nationals living in the city are not permitted to purchase any property developed by the housing authority of the city. Hence, they have to resort to the large number of private properties being developed in the city. This has been the reason behind the increase in the prices of the private properties as private developers has seen this increased demand as an opportunity to increase profits.

This has, however, become a cause of concern for citizens of the city as they have to also pay the high prices of the private properties if they have any interest in purchasing such properties. The government of thee city, however, has offered them some respite in the form of the executive condominium properties like the Signature at Yishun. These residential properties are available to the local citizens at prices which are much lesser than the prices of private condominium properties in the city.

The facilities offered by these executive condominium complexes, however, are along the lines of those offered by the many private condominium complexes in the city. This means that the residents of these ECs can get to enjoy a luxurious lifestyle without even having to pay the high asking prices of the private condominium units. This has served as a great attraction for the people of the city, and has increased the rate at which these properties have been sold in the last few years.

Hence, if a person has the desire to purchase a home in the city without having to dig deep into their pockets, they should definitely check out the executive condominium complexes like the Signature at Yishun EC. This will help them to provide homes for their families at easily affordable prices.

ECs: Residential Properties That Offer Great Value for Money

Condominiums are residential properties where individual units in a complex are sold to buyers instead of the whole property in its entirety. Buyers get to enjoy individual ownership of every item present within the confines of the walls of the condo unit that they purchase. Areas like corridors, elevators, staircases, gardens, lawns, etc. are owned by every person who owns a condo unit in the building. Facilities like the swimming pools, gymnasiums, playgrounds, tennis courts, club houses, etc. are also jointly owned by every individual living in the complex.

Every occupant or resident of the condominium complex can use the benefits and facilities offered by the complex. They also have to jointly ay for the maintenance and caretaking of these amenities. Condominium lifestyle can be very pleasant and attractive for people who enjoy socializing with others. This is one of the prime reasons why a city like Singapore is gradually moving towards the condominiums lifestyle when it comes to the first choice of residential properties. Condominiums available in the city are primarily of two types. One group comprises of the large numbers of private condominiums developed by the large number of private developers in the city.

On the other hand, there are the many executive condominiums that are developed by the Housing and Development Board of Singapore for the citizens of the state. The executive condominiums or ECs cannot be purchased by any foreign national residing in the city unless the properties have been occupied by a local resident for period of at least ten years. Upcoming EC complexes like the Signature at Yishun, however, serve as great attractions for the people in the city as they come with unparalleled facilities which rival the facilities offered by most private condominium complexes in the city. This is the reason why there is tremendous demand for such properties among the people of the city.

There are, however, a number of regulations and conditions that apply to a person interested to buy such a residential property in the city. Aspirant buyers must fulfill all requisitions in order to purchase and acquire a condominium unit in properties like the Signature at Yishun EC. There are also a large number of financial benefits that are available for the buyers and owners of executive condominiums in the city. These financial benefits can help buyers of ECs to save large sums of money that can be utilized for other more important purposes.

Requirements for Owning Executive Condominiums in Singapore

Purchasing an Executive Condominium or EC in Singapore can be a great idea as it offers great living conditions at extremely reasonable prices.The ECs in the city are some residential properties that are developed by the housing authority of Singapore (the Housing and Development Board or HDB) for the citizens of the city. These properties can be privatized after a period of 10 years, after which the values of these properties rise significantly.

Moreover, these executive condominiums are also popular choices for people who are unable to afford the prices of regular residential condo units developed by private developers. After all, private residential condominiums in the city do come at a hefty price, and this price is often beyond the budgets of a large number of people with average incomes. There are, however, a number of requirements that need to be fulfilled by a person if they wish to own or purchase an EC in Singapore.

The most important thing that a person must note is that that an EC can only be purchased by a person who is a citizen of Singapore. Foreign nationals living in the city-state are not eligible to buy any kind of HDB properties, and even landed properties. Foreigners living in Singapore can only purchase and own HDB properties after they are privatized, and the privatization of the HDB properties can be done only after a local citizen has occupied the same property for at least 10 years.

In order to purchase or own an executive condominium in upcoming properties like the Signature at Yishun, a person would have to enter a balloting system. The people, whose names are drawn in the ballots, will be offered the chance to purchase the ECs. On the other hand, if there are EC units available in an already-constructed executive condominium-building, people can simply apply for a purchase depending upon their eligibility.

People applying for an EC purchase must have an average income of under $12,000 every month. People with higher salary or income structure are eligible to purchase the high-end ECs that usually come with 4 or 5 bedrooms. Salaried persons must produce the pay-slips for the latest 3 months for the verification of salary-structure. There are also a number of other financial requirements that need to be fulfilled in order to own ECs in complexes like the Signature at Yishun EC.

Executive condominiums can offer the lifestyle of private condominiums in the city, albeit at much lower costs. People eligible to purchase and own ECs must apply for one to enjoy quality life in Singapore.

Investing On Commercial Properties in Singapore

Real estate property investors are always on the lookout for new properties to invest upon, as this would help them to make profits and multiply their money. However, it is important to make the right moves when investing on real estate properties as the amounts of profits or losses made would largely depend on them. If you make the right decisions and moves, you will be able to make significant profits on the investments that you have made.

On the other hand, failure to do so could result in huge losses that could quite easily amount in the millions.The scope of investments and making profits is much more in case of commercial properties than they are for residential properties. At the same time, the risks are also much more for commercial properties than they are for residential properties. This is generally due to the constantly changing trends of the real estate industry, where changes happen almost every day.

Hence, it is integral to understand the conditions of the market and predict the future properly. If this is done efficiently, it could benefit every person involved in a deal. Investments on commercial properties in Singapore can be for three basic reasons. You can either invest on a commercial property in a strategically located complex like the Tai Seng Point in order to set up or expand your own business. On the other hand, you could also invest on a commercial property in order to sell it at a later date for profit.

You could also ensure a constant flow of money on a regular basis by investing on a commercial property in the city and then giving it to another person for rent. The monthly rent received would also help you to pay off the mortgage premiums. Moreover, commercial properties in the city of Singapore attract high rental yield that would help you make a lot of money. Business owners in the city are always on the lookout for commercial properties in the industrial and business districts of the city. This helps in the growth and expansion of the business.

Hence, as the owner of a commercial property in complexes like the Tai Seng Point Singapore, you would never have a shortage of tenants. Due to the high demand for such properties, the rental values off the properties are also pretty high. Hence, an investment on a commercial property in the city will prove to be beneficial to you regardless of how you wish to utilize it.

Benefits of Renting Commercial Properties for Your Business

If you are thinking about relocating your business to a new neighborhood, you need to find a new address for your business. In other words, you need to find a new property where you can set up and conduct your business. At this juncture, you will have two ways to proceed. You can either buy a commercial property that suits your needs following which you can carryforward your business. On the other hand, you can also rent a commercial space according to your needs and settle your business there.

Now, it is important to understand that taking a commercial space means that you are setting up your business on a temporary address which might easily change in case the conditions do not suit the business. There are, however, a number of advantages of renting a commercial space instead of buying one.

• Renting a commercial property is an economically viable option as you do not have to spend large sums of money at once. All you need to pay is the security deposit and the monthly rent for the first few months. On the other hand, buying a property means that you would have to arrange the money to make the down-payment, and then carry on paying mortgage premiums for a certain time period. You can utilize the money that you save by renting a commercial space in developing your business.
• By renting a commercial property, you do not have your roots tied down. In case your business expands and you feel the need for a larger commercial space in properties like the Tai Seng Point Singapore, it would be easier to relocate. On the other hand, if you purchase a property, you would have to first get rid of the current property or arrange the money for the next investment separately. Either way, you would have a significant amount of money stuck in the property you purchased.
• By renting a commercial space, you do not have to worry about the payment of taxes and other similar hassles associated with commercial property ownership in complexes in Singapore like the Tai Seng Point. These hassles will be taken care of by the owner of the property. Moreover, any costs of maintenance and repairs will be paid for by the owner unless you are the reason behind the damage.

There are a number of other benefits that you can enjoy by renting a commercial property for your business. On the flip side, you will not be able to enjoy the financial benefits offered to commercial property owners of Singapore.