Property Buyers Guide
As a property consultant, I work with my clients on a tailored approach based on their needs, and requirements. To help them focus on the goals, we go through discovery, planning, execution and review phases.
What are the common goals of property buyers?
Upgraders:
They need a bigger living space as children grow up. Thus, families may upgrade from 3rm to 5rm HDB or upgrade from a condominium to landed private properties.
Young couples who bought a 1 bedroom condominium as their first property tend to upgrade to start a family.
Retirees:
They would like to sell their property, cash out the gains and resize to a smaller unit which is more manageable for them in terms of daily cleaning. At this stage, their children have already left the nest and they just want to enjoy a simple life to age gracefully.
Investors:
About 70% of Singaporeans look for side gigs and investment opportunities to supplement their main income. Out of these group of people, almost 95% have properties for rental. They are very well informed and know that property is the safest bet for capital preservation.
There is also a group of customers who seek to build networth using my value buy strategy. They follow a plan I create for them so as to maximize their growth and let their money roll and churn capital gains every 5 years.
Veteran investors use my Renew, Refresh and Retarget strategies to enhance their portfolios so as to create a legacy for their children. They are a old bunch of experts, yet they may not understand the younger buyer market well enough.
Life stage and property planning
As everyone has different priorities and responsibilities in life, it is important to understand the client's needs, income situation instead of assuming what they need.
Before deciding to sell a property for my client, I will ask them what are their plans after selling? And I have rejected some deals before. Case in point, a handicapped lady wanted to sell her 3 room HDB as she needed money for medical reasons. Instead of selling the property, I advised her to rent out the flat after analyzing her situation and options.
In another case, a wealthy businessman wanted to buy a freehold condominium and add to his portfolio so as to get rental yield. I did an review on his portfolio, and advised him on a strategy that guarantees him a higher yield without buying another property. Just in case you aren't aware, property tax has already risen so the more you have, the more tax you need to pay. It is just like stepping on Chance / Community Chest at the monopoly game.
But Jordan, that is stupid! You cut yourself off another chance to earn more money!
Business ethics is key in business
Of all the super powers man has, the most amazing thing we possess is the ability to sense danger and good. We are supposed to use these in built senses to navigate through life's challenges. We are also endowed with free will and that makes us unique.
Believe me when I say that the client knows if we truly care for them.
Case in point, I have sold properties for clients and successfully continued to sell their neighbor's units before. Just like what goes on in corporate boardrooms when management talks about who they want to promote, a good review is always the best gift anyone can get.
Practicing business ethics helps me journey better and further. It gave me referrals and continual business.
How fast can you sell that property?
You probably have read and seen many fb ads by agents claiming they sold a property, within x days. They also show the awards they collected and how they are a ''guru'' for you. They talk about an example using past transactions and add that they have secret steps and formulas no one knows. You will also get a free e-book if you leave your contact details.
The real estate business could be one of the toughest business in the world. You need a lot of soft skills and ability to negotiate. You need analytical skills and presentation abilities. As it is a demand and supply market, you must be fully aware of the trends and have deep passion in the job.
Selling fast is possible sometimes, but some properties are hard to sell too. It could be priced out of market, or a ''bad buy'' to begin with. Sometimes, for the hot properties, sales happened before it was even listed in the market.
It is not about how 'great' the consultant is. It is about my clients and how they can achieve their goals. The success I can achieve is due to the partnership and trust with my clients.
How good are you in spotting value buys?
Besides selling, knowledge of ready stock and having a great network of co broke agents is also important to spot the value buys. Sometimes, it can also be an industrial project, a commercial one or even an overseas projects. With so many options available, it is no wonder that buyers are confused.
We need not be experts in all areas, but we need to leverage on the expertise of the good agents out there who specialize in different districts, clusters and property types.
We do not live in a one man world and it is certainly not one man against the world! We need to work professionally instead of undercutting the competition.
Case in point, my clients was approached by an agent to use their services at a flat fee discount rate. That agent also wanted to hoodwink my client to buy new launch project and get a kickback!
Here's the deal:
Execution is key
There are many ways a man can get rich, and he does it by taking quick action.
A consultant is very good at planning, but he may not be good in execution. That's because execution is an entirely different skill. In the real estate practice, we need to be fast and accurate as we are dealing with high quantum transactions.
Property buying is probably the biggest transaction for many peeps. It would seem scary for first timers but they will be so happy years later when they sell the property and realize their profits. At that time, they will be chasing me to get them another value buy to snowball their gains.
Personally, I have moved 6 times so far and through my experiences, I have the conviction to provide my services to my clients. See point no. 5 here:https://www.dhirubhai.net/posts/ksngjordan_jnconsulting-realestateconsulting-propertytrends-activity-7293897141465321472-8PYB?utm_source=share&utm_medium=member_desktop&rcm=ACoAABMo58oBO9M-cy94i5L5244AYC862UYizDI
Property plan check
As we grow older, it is necessary to do a yearly health check to maintain our ageing body. At times, we supplement our diet with the intake of vitamins.
People also do financial planning checks to increase their insurance coverage as their wealth increases.
However, I noticed that only the rich will do a property plan check. Why is that so?
Many peeps feel they do not need a property plan and their property is just a roof over the head. Here's the thing: Rich friends may tell you not to invest in property. But have you ever wondered why they invest in properties then? :)
The Property markets work on the Demand and Supply principle. To buy a property at a good value, do you buy when it is lower in demand? or Higher?
Some countries are for rental markets. e.g. UK. Whereas some other countries are about capital play. Also certain economic cycles favor rental to buying and vice versa.
The rich has access to knowledge and make their gains in the most astonishing ways. Case in point, during the Covid19 period, a property investor bought a shophouse at Keong Saik Road (Chinatown) for $5m.
Many market watchers thought he was crazy.
Maybe because they believed that the world was coming to an end. LOL!
Lo and Behold, 8 months later, the same shophouse was sold for $8m and the gain was easily more than $2m! This is how people make money from property even in a high price quantum market like Singapore. It was just a short 8 months and the miracle happened!
You may counter argue that he has $5m to start with so he can do this incredible feat.
But knowing this person as a personal mentor and friend, he started out just like you and me. it took him many years to roll his capital to reach the ability to afford this purchase.
What was significantly different between him and the ordinary folks like us was probably his mindset, courage and a sound property plan.
Why not learn from him? Alas, wealth belongs to the few who take action!
Conclusion
Here are some common questions with answers for easy reading.
Q. Should I use up my CPF for property purchase?
No. The OA can be reserved for monthly mortgage payments. Wiping it all out may make you financially vulnerable when you face a job crisis. When you keep money in OA, it can generate Interest too.?
Q. What should I do before buying my first property?
You can subscribe to my newsletter "The game of wealth accumulatio to read and learn more. But most importantly, DM me for a personal consultation session.?There is no cookie cutter solution and you shouldn't self prescribe. Even if you are able to make safe choices, why not aim for the highest gain by selecting the best unit through me?
Q. Freehold or Leasehold? Which is better?
These are different strategies for different life stage. FREEHOLD tends to give you better yield for rental due to long term holding. BUT Leasehold tends to sell faster and you get to enjoy capital appreciation which is good for future upgrading. So it depends on your life stage and goals.
Q. How long should I hold my property?
About 3 to 5 years, after that time, do consider to upgrade, leveraging on the gains to increase your wealth faster and build your networth.
Q. Are boutique developments good?
They provide exclusivity and sometimes freehold tenures. But the resales of boutique projects may not match the demand. Because of this, there are limited transactions and the gains may not match larger condo projects as a result. My experience is asking price often doesn't match bank valuations.
Q. Should I buy new launch or resales property?
If you have a place to stay, get a new launch project as it has better appreciation potential. You can start out with a smaller unit and upgrade when your family needs change.
If you just want to upgrade to a bigger HDB, it is also better as that also effectively increased your networth too. E.g. Executive Apartments, Jumbo and Masionette. These are high demand products.
Q. Is a high floor unit a better buy?
Not necessarily so, although high floor may give you city views and possibility lush fireworks during festivities; mid to lower floors may provide a pool views, an additional patio; giving you a resort feel. There are many more important factors to consider too. So ask me before you commit to anything.
Q. Parktown residences sold 1041 units on launch day, why is there a huge demand??
Property trends have shown again that Singaporeans love to own properties. Almost all BTO upgraders will go for the new launch projects. Read here to learn more: https://www.dhirubhai.net/pulse/property-planning-2025-jordan-ng-unz8c/?trackingId=Ri1fNsxByTD7MKd3BZxQsQ%3D%3D
In the case of Parktown residences, I believe some of the buyers are seasoned investors who are looking at the OCR (out of central regions) to grow their wealth.
If you are keen and want to learn more, DM me and let me share with you my Renew, Refresh and Retarget strategy.
I hope you like this article. Share it to your friends! Contact me today for a tailored consultation that gives you the keys to success.
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Full Digitalized Chief Operation Officer (FDO COO) | First cohort within "Coca-Cola Founders" - the 1st Corporate Venture funds in the world operated at global scale.
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