My Money Sense by Andy Ong: The Buyers vs Sellers Standoff!

My Money Sense by Andy Ong: The Buyers vs Sellers Standoff!:

Hi Guys! Gong Xi Fa Cai!!!

I have done so many countries in the last month that I lost count. I just got back from Seoul, its negative 11 degree Celsius over there but work comes first. The year is evolving and is becoming more interesting on the property front. Even as the European situation and the latest round of government cooling measures have dampened the mood a bit, property buyers are keeping up the tempo. The Waterfront in Seng Kang shows that demand is still there.

In my previous entries, I have shared with you that I do not share the same level of pessimism as the analysts out there when the government introduced the most drastic measures to curb property prices and I have been spot on. The analyst who predicted a 30% fall must be feeling a little sore right now. Its true that market activity has fallen but prices have scarcely faltered. On the contrary, commercial property has rode from one crest to another. This is simply music to my ears as the bulk of my money is there now.

What of the future? The key to watch is the interest rate environment, we are in a prolonged period of negative real interest rates. Inflation is stubbornly high and Uncle Sam has committed to lower interest rates till 2014. Ben Bernanke is a smart cookie by laying the foundation of a stable predictable financial environment to encourage businesses to invest and promote economic growth. As long as rates remain low, real estate holders have no incentive to divest.

However, don’t expect to reap big returns as prices will be limited by possibility of more cooling measures. It’s a true test of wills here. However, with limited investment options by the general population, liquidity and funds must invest somewhere. In the absence of other options, its still going into real estate.

I will be sharing more with you at my Asian Titan Trends event. This year, the event will be held at Suntec City on the 3rd of March. I will be sharing with you my perspectives of the current investment climate and which sector offers opportunities. The biggest venue we can secure is a 500-seater hall so only the first 500 who register can enter. Entrance is complimentary for students but please do not waste seats. We are contemplating banning people who register but do not turn up. So register quickly.

It’s the year of the Water Dragon and let’s not let this mythical creature temper our enthusiasm.

Let’s HUAT AH!

Stay Tune !!
 
By Mr. Andy Ong
http://www.andy-ong.com/
 
Paste by Gordon Ethan
NBCC 3.07pm

My Money Sense by Andy Ong

Recently I found a blog which turn me on for Property Investment, Mr. Andy Ong share a lot of tips that really helps. I going to start my Millionare Jouney!! Wait me~ ...

Down there is COPY and PASTE only, for those of my friends considering buying or selling your properties... Let share share...

Friday, June 17, 2011: http://www.andy-ong.com/
Condo demand comes off! It’s all about future demand, dear!

Hi guys! I am writing this on the plane heading back from China. The last few days have been very fruitful as we looked at various opportunities.

The recent press articles highlighting the sharp slowdown in demand for private homes have certainly reinforced my lack of enthusiasm for residential properties, especially mass market condos. The key is that demand will taper off in line with the government’s cooling measures. This sector also happens to be where the government can release more land to increase supply. I am really not surprised that the take up rate is not that strong.

Prices will hold for the time being as developers are well capitalized at this point. They can hold out for prices that they want. They have bided for very expensive land and they are not likely to take a loss. It will be a tug of war for the next few months and it will be interesting how everything will pan out.

For now, for those of you still in the market, please be very careful of what you are going to acquire.



Hahahaha.. Condo? is it the best properties to invest at todays environment, how about in future? Will it be still high demand as well?

Another 1 ~
Thursday, June 16, 2011
‘Anomaly Investing’ – Concept, Theory and Execution

Many investors assume the markets are efficient. However, in reality, inefficiencies are the rule rather than the oddity. Just imagine, there are inefficiencies in the equity markets even though armies of analysts, investors and other professionals are carefully scrutinizing the various securities on offer. However, there are countless opportunities that slip through the crack. You will find that the best performing counters are companies which ‘fall under the radar screen’.
Now apply the same to the property market, but take note that the available information for the real estate sector is sketchy and even valuations are estimates at best. I have gained 30% on a property 2 months after I bought it even though the original purchase went through a formal valuation. There are countless opportunities abound only you bother to do some in depth research.

What do I mean by ‘Anomaly Investing’? I look for impending economic trends that will benefit certain sectors but prices have not caught up with future demand. Many investors compete to buy real estate because everyone else is buying but the fact is that many are enamoured with current demand and more often than not over pay.

I do agree that executing such a strategy is tedious but I can assure you that it is extremely rewarding too. Just pulling off one deal can seal your financial future and secure you for life. My very first foray into property investing turned out to be an ‘over 1000%’ return on my initial investment. This is not a fluke as I have done this consistently. No doubt, now I buy maybe 1 asset a year at best but I do make it count. Be prepared to stick to your guns, and take a longer investment horizon and I can assure you that the rewards can be tremendous.

In fact, I have made far more on my property portfolio compared to the rest of the asset classes that I have invested in. It is not that they have not made money. My art, wine and corporate portfolios have all done well. But it is my property assets that really stand out.
I am writing this in the skies as I fly towards China from Bangkok. I will be going to a couple of cities for work. You have not heard from me for quite some time as I have been tied up (as usual). I am happy to report that tired as I may be, I am certainly happier than a couple of weeks ago.

Again, This post is COPY AND PASTE from http://www.andy-ong.com/ which I found is useful for those investor dai go, Ah jie... Found it useful? please come back again~

Gordon Ethan
20 June 2011, Lunch Time
Yuhuh~