One of the best small business loan tips anyone can offer you is to shop around for the best loan which fits your needs and your company profile.

By: Hitesh Khan/

Most retail banks offer loans to the small business sector. They all have different products and services on offer. Make sure you shop around to find the right loan that suits your needs and consider whether it makes sense to consolidate your business with one bank to get the benefits of a package or have different providers for different products. You may also consider visiting a finance broker, as they can help a small business evaluate the options of many lenders.

Another best small business loan tips is to give yourself time to do some homework

The first aspect of the process is to find out what banks have to offer you. The bank you already bank with may not be the best for your business and may not offer you a loan. Do research, talk to other people in business, look at websites and gain plenty of background information about what all the banks offer. You do not have to confine yourself to one particular bank. Technology makes it possible for you to work with a bank based anywhere in Singapore.

One best small business loan tips most people won’t give you is to not wait until you are desperate to ask for money. This is not a good foundation for a successful loan application. The bank wants to feel secure in its decision. It does not want to hear that your business needs the loan to survive; it wants to hear that your business needs the loan to grow.

If you don’t have the time to search for loan products, approach a loan specialist, The loan specialist will be able to give you the best small business loan tips.

Ask around; try to find out which bank has loan specialists who understand the industry sector you are in. Most banks have loan specialists who will have a better understanding of the sector you are in, which means they have a better appreciation of the conditions your business is exposed to.

If you are a small business or a start-up, consider making your first approaches to banks with a small business focus or small business support already in place. Study bank websites to see which banks offer what kinds of business support.

Some banks offer free software applications that can run alongside your internet banking. Such software may assist you to monitor your accounts, pending automatic payments, the exchange rate and more. Ask the bank during the application process if they have a particular banking service which may assist your business.

If you score an interview for your small business loan application, presenting yourself well is the best small business loan tips anyone can give you. Presenting your business in the best light at a meeting, means presenting yourself in the best light.

Remember: this is a business meeting. There is no reason to feel intimidated or nervous about asking a bank for money. They will want to do business with you, if your proposition is sound and your business knowledge and skills are apparent. If it will add to presenting your business in a sound light, ask your financial advisor or loan specialist to go to the meeting with you. Make sure the bank officer understands clearly what the involvement this person has with your business.

If you have been successful with your loan application, this is not the end of the relationship with your bank. The process of providing information to your bank continues over the term of the loan. If the loan provided by the bank is more than $1 million, banks generally carry out annual reviews.

This usually happens either when your annual accounts are available or on the anniversary of the borrowing. At the annual review time you should be ready to provide all the information you prepared the first time. It is also likely that you will be called in for an interview.

For the relationship with the bank to develop well there is one requirement that must be observed, and that is that there must be a candid approach that involves keeping the bank properly informed. Any tendency to tell the good side and leave the bad side unmentioned should be avoided. Any downturn in events should be discussed with your bank manager as soon as it is known.

Banks do not approve all applications from small businesses, in fact up to one in four fail (depending on the prevailing economic environment). The reasons can be many and varied, so this is why it is important to seek feedback from the bank as to why. This feedback can provide some valuable insight into the weaknesses of the business and/or application.

How to Secure Small Business Loan Quickly

If you are searching for a small business loan, the loan consultants at iCompareLoan can set you up on a path that can get you a it in a quick and seamless manner. Our loan consultants have close links with the best lenders in town and can help you compare various loans and settle for a package that best suits your needs. Find out money saving tips here.

Our Affordability Tools help you make better property buying decisions. iCompareLoan Calculators help you ascertain the fair value of a property and find properties below market value in Singapore.

To find out more about Peer to peer lending versus that of SME loans so as to make an informed decision: SME Loans or Peer-to-peer (P2P) Lending – What is the difference?

Contact us for advice on a new SME loans.

Contact us for home loan or refinancing advice.

The post Best small business loan tips to guide you through to success appeared first on iCompareLoan Resources.

Singapore Realtors Inc (SRI), announced on July 17 that the owners of Singapore Shopping Centre has launched a en bloc sale attempt. SRI is the sole marketing agent for the en bloc sale attempt of Singapore Shopping Centre.

Image credit: Singapore Realtors Inc

The reserve price for the en bloc sale attempt of Singapore Shopping Centre is $255 million.

Under the 2019 Draft Master Plan the site at which Singapore Shopping Centre sits, is  zoned for commercial use and has a plot ratio of 4.2+ u, which allows the purchaser greater flexibility to redevelop the site to include offices, a retail building, commercial schools, hotels, banks, or restaurants. Both locals and foreigners may bid for the en bloc sale, and additional buyer’s stamp duty will not be applicable to the sale.

Singapore Shopping Centre is a 99-year Leasehold commercial property located at 190, Clemenceau Avenue in District 9. Singapore Shopping Centre is close to Dhoby Ghaut MRT and Somerset MRT. Dhoby Ghaut MRT interchange station in particular, connects to the North-East, North-South, and Circle Lines. The interchange will also connect to the upcoming Thomson-East Coast Line by 2021. It is near to several bus stops located at Clemenceau Avenue. Singapore Shopping Centre is accessible via Clemenceau Avenue, Penang Road and Penang Lane.

Singapore Shopping Centre is near to several eateries located at nearby buildings such as Park Mall, Plaza Singapura and Dhoby Xchange. It is also within reasonable distance to Cold Storage, Jason’s Market Place and Sheng Siong Supermarkets. It is also close to Park Mall, Plaza Singapura, Concorde Hotel & Shopping Mall, The Cathay, Orchard Plaza, Orchard Point, Cuppage Plaza and Orchard Central for an array of amenities such as grocery and retail shopping, banks and more.

Singapore Shopping Centre is located next to the upcoming 9 Penang Road, which is a redevelopment of the former Park Mall by joint-venture partners SingHaiyi Group, Haiyi Holdings, and Suntec (PM).

The tender for Singapore Shopping Centre closes on Sep 9.

En Bloc Sales Process Singapore – A Definitive Step-by-step Guide

With the winding down of the success of residential en bloc sales, commercial properties are now trying to join in the bandwagon. Many commercial en bloc sale attempts fail because the asking prices are often too high. Two critical factors affecting the success of commercial sites going en bloc are pricing and location. Older commercial buildings especially, may see a need to catch the current wave as an exit strategy as their rental yields come under pressure due to competition from newer commercial buildings.

The biggest gainers following the new property cooling measures is likely be owners of strata portfolio of offices and shophouses approved for commercial use. The property cooling measures affected almost all categories of buyers and is predicted to achieve its intended objectives of cooling demand and moderating price growth.

One report said investors looking for alternatives to park their money in the wake of property cooling measures, would divert their attention to the strata office and shophouse markets as they are not subjected to this round of purchase or sales restrictions/encumbrances.

Mortgage Broker Singapore – Should I use one?

Commercial properties such as Singapore Shopping Centre may be bought under personal name, but total debt servicing Total Debt Servicing Ratio (TDSR) will apply on the individual’s income on such purchases. To buy a commercial or industrial property under company name, total debt servicing ratio TDSR also applies on the individual director’s income if the company is an investment holding company or an operating company that is loss-making or does not have sufficient cash flow to servicing the repayment.

To buy a commercial or industrial property under company name where the company is well established with an existing operating business with strong financials, TDSR may be waived on the individual. However director is usually required to become personal guarantors of the loan the company undertakes. Hence this may affect the director’s other purchases, such as for buying a residential property, due to the loading from the TDSR for guaranteeing a loan.

Some banks even advertise 100 to 120% loan. This is due to a combination of working capital as well as commercial/industrial property loan, but this only applies to company with strong cash flow position. Commercial property is different from residential property and the considerations are more complex and varied, though the payoff may be worthwhile for discerning investors.

How to Secure a Commercial Loan Quickly

Are you planning to purchase a similar prime commercial redevelopment site but unsure of funding? Don’t worry because iCompareLoan mortgage brokers can set you up on a path that can get you a commercial loan in a quick and seamless manner.

Alternatively you can read more about the Best Commercial Loans in Singapore before deciding on your purchase.  Our brokers have close links with the best lenders in town and can help you compare Singapore commercial loans and settle for a package that best suits your commercial purchase needs. Our services are also very personalised and tailored to the unique needs of the buyers.

Whether you are looking for a new commercial loan or to refinance and existing one, our brokers can help you get everything right from calculating mortgage repayments, comparing interest rates, all through to securing the final loan. And the good thing is that all our services are free of charge. So it’s all worth it to secure a loan through us for your next purchase.

If you need advice on a new commercial loan  or Personal Finance advice.

If you want to speak to our trusted Panel of Property agents.

If you need refinancing advice.

The post Singapore Shopping Centre launched for en bloc sale at $255 million appeared first on iCompareLoan Resources.

Knight Frank Singapore, the exclusive marketing agent representing the interests of the owners of Leshan Gardens, announced the launch of the sale of Leshan Gardens on July 15. Leshan Gardens is a 104-year leasehold, mid-rise residential redevelopment site off Geylang Road, by tender.

Leshan Gardens has a site area of 1,524.8 sq m (approx. 16,412 sq ft). Under the 2014 Master Plan, the site is zoned “Residential” with a Gross Plot Ratio (GPR) of 2.8 and can yield approximately 45,955 sq ft of Gross Floor Area (GFA) upon redevelopment.

Image credit: Knight Frank Singapore

Based on the potential GFA and assuming an average unit size of 85 sq m, there is potential for 50 new residential units upon redevelopment of Leshan Gardens.

Leshan Gardens is approximately 600 metres away from both Aljunied and Dakota MRT stations, and is a brisk 20-minute drive to the Central Business District and Changi International Airport.

“Given Leshan Gardens is wholly owned by an entity, there is no need for the Strata Titles Board’s approval. Furthermore, as the site is located near the rejuvenated Paya Lebar commercial hub, residents can enjoy a wide array of leisure, entertainment and dining amenities at the upcoming PLQ Mall, Singpost Centre, Paya Lebar Square and Kinex Mall,” says Mr Ian Loh, Head of Investment and Capital Markets, Knight Frank Singapore.

The tender for Leshan Gardens will close on 15 August 2019, Thursday at 3.00 pm.

4 Adjoining Conservation Shophouses

Simultaneously, Knight Frank Singapore also announced the offering of a row of 4 freehold adjoining conservation shophouses in Geylang for sale via Expression of Interest (EOI). These 2-storey shophouses were in the news earlier this year when a raging fire engulfed a row of 7 shophouses in the early hours of Sunday, 17 March 2019, resulting in a three-hour operation involving 60 firefighters.

The subject shophouses are located along the main stretch of Geylang Road, near the junction of Geylang Road and Lorong 33 Geylang. Paya Lebar and Dakota MRT stations are situated nearby. Prior to the fire, the shophouses were occupied by a tyre business, furniture retailer and electrical shop. The 4 shophouses have a total land area of 5,113 sq ft and are zoned “Commercial” with an allowable GPR of 3.0 under the Urban Redevelopment Authority’s (URA) 2014 Master Plan. A new building thereon can possibly be developed achieve a total GFA of approximately 15,339 sq ft.

Ms Mary Sai, Executive Director, Investment and Capital Markets, Knight Frank Singapore, shares, “Prospective buyers can redevelop the land based on conservation guidelines set out by URA. As this is a secondary settlement area, there is potential for a rear extension, subject to approval from the authorities.

“With the shophouses zoned for commercial use, there will be no Additional Buyer’s Stamp Duty and Seller’s Stamp Duty payable. Both foreigners and companies are eligible to buy the properties, which are suitable for use as F&B outlets, retail shops or offices, also subject to approval from the authorities.”
As the owners are not GST-registered, no GST will be payable for the properties.

Geylang is an area with rich architectural heritage and is within the Paya Lebar planning area, 1 of 5 targeted growth areas in Singapore. The owners are expecting healthy levels of interest from both investors and corporate entities in acquiring these freehold commercial assets.

The guide price for the 4 shophouses is S$14 million, and is exclusively marketed by Knight Frank Singapore.

The EOI will close on 15 August 2019, Thursday at 3.00 pm.

The biggest gainers following the 2018 property cooling measures is likely be owners of strata portfolio of offices and shophouses approved for commercial use. The property cooling measures affected almost all categories of buyers and is predicted to achieve its intended objectives of cooling demand and moderating price growth.

One report said investors looking for alternatives to park their money in the wake of property cooling measures, would divert their attention to the strata office and shophouse markets as they are not subjected to this round of purchase or sales restrictions/encumbrances.

Properties such as the 4 freehold adjoining conservation shophouses in Geylang may be bought under personal name, but total debt servicing Total Debt Servicing Ratio (TDSR) will apply on the individual’s income on such purchases. To buy a commercial or industrial property under company name, total debt servicing ratio TDSR also applies on the individual director’s income if the company is an investment holding company or an operating company that is loss-making or does not have sufficient cash flow to servicing the repayment.

How to Secure a Commercial Loan Quickly

Are you planning to capitalise on the uptrend of Singapore’s commercial sector but unsure of funding for investment? Don’t worry because iCompareLoan mortgage brokers can set you up on a path that can get you a commercial loan in a quick and seamless manner.

Alternatively you can read more about the Best Commercial Loans in Singapore before deciding on your next purchase.  Our brokers have close links with the best lenders in town and can help you compare Singapore’s best commercial loans and settle for a loan package that best suits your commercial purchase needs.

Whether you are looking for a new commercial loan or for a refinancing package for your commercial properties, our brokers can help you get everything right from calculating mortgage repayment, comparing interest rates, all through to securing the best commercial loans which fits your profile. And the good thing is that all our services are free of charge. So it is all worth it to secure the best commercial loans through us.

You may contact us today for advice on a new commercial loan  or refinancing advice, or for Personal Finance advice.

You may also speak to our Panel of Property agents.

The post Leshan Gardens and row of 4 adjoining conservation shophouses launched for sale appeared first on iCompareLoan Resources.

If you avoid common small business loan mistakes you may maximise the success of the business proposal you are presenting to the bank

By: Hitesh Khan/

It is likely that a loan application from a small business, with only a limited amount of security might be viewed with caution by the bank. However, there are steps you can take to maximise the success of the business proposal you are presenting to the bank, and these include:

Among the most common small business loan mistakes is asking for more money than your business require.

Don’t Ask For More than You Need Banks use a variety of formulas to work out how much they think you can afford to borrow. So it makes sense that you do not ask for more than you need to borrow, because the more that you request, the harder it will be to prove to the bank that you can afford to repay. It is also important not to underestimate what you need. If you do underestimate, you may need to go back to the bank to ask for more money.

One of the most common small business loan mistakes entrepreneurs make is to rush their application.

Each bank will have different loan approval processes. The first bank officer or loan specialist you talk to may not be the person who makes the final decision on your loan. It depends on the size of the loan you want, the size of the bank and the systems the bank has in place for loan approvals.

You are certainly entitled to ask how long the process might take, but avoid placing any pressure on the bank to respond. This will not hasten the process and may give the bank officer reason to be more cautious. This initial person may have to present your application to a larger group for approval, so you need this person to be
on your side, have all the information they need and a good understanding of what you want to do with the loan.

Common small business loan mistakes which may affect your application process:

• Thinking that business turnover (cash flow) reflects their actual profits. Banks look at net profits rather than cash flow.
• Not providing information about the directors of the small business. Banks will assess directors and may ask for guarantees from directors, depending on the individual circumstances of the business.
• For micro enterprises – thinking that business assets can be used toward security. While this can be considered for some business customers and corporate segments (if used as additional security rather than sole security), it is not acceptable by banks from the micro business segment.
• Inflating the value of business assets. Bank valuations assess standard market value for a quick sale therefore many small businesses overstate the true market value of their assets

Presenting your business in the best light

A business plan and impressive financials probably will not be enough to secure you a loan. At some point in the process you will have a face-to-face meeting with the bank to discuss the loan application and possibly more than one meeting.

What the bank needs to find out at these meetings is whether or not you fully understand the implications of taking out the loan you are asking for. The bank will be testing to see if you really know your business, and the need for financing, as well as you say you do.

The bank will take into consideration the competitive position of your business within your industry and location, your enthusiasm for the project and your dedication to your business, but in the end, the bank wants to find out just how successful you are likely to be, and how likely it is that they will profit from your business success.

Most importantly, to avoid most common small business loan mistakes, be sensible about the amount you actually need to borrow and be able to justify it. Take your time preparing the application and don’t hurry the bank to make a decision. A well prepared business proposition is a good sign of a borrowers commitment to a prospective lender. Providing any additional information requested by your bank, will assist in the bank making a risk assessment of the business and decide whether to grant the loan.

How to Secure Small Business Loan Quickly

If you are searching for a small business loan, the loan consultants at iCompareLoan can set you up on a path that can get you a it in a quick and seamless manner. Our loan consultants have close links with the best lenders in town and can help you compare various loans and settle for a package that best suits your needs. Find out money saving tips here.

Our Affordability Tools help you make better property buying decisions. iCompareLoan Calculators help you ascertain the fair value of a property and find properties below market value in Singapore.

To find out more about Peer to peer lending versus that of SME loans so as to make an informed decision: SME Loans or Peer-to-peer (P2P) Lending – What is the difference?

Contact us for advice on a new SME loans.

Contact us for home loan or refinancing advice.

The post Small business loan mistakes that may hurt your application appeared first on iCompareLoan Resources.

Dementia care village will provide a safe, home-like environment where residents are assisted to live independently

On behalf of the Ministry of Health (MOH), the Urban Redevelopment Authority (URA) has launched a site at Gibraltar Crescent for sale by public tender, to pilot a new residential care community concept for persons with dementia. The dementia care village is part of ongoing efforts to improve the quality of life of persons with dementia and broaden the care and residential options available to them.

Pilot of Dementia Care Village

The dementia care village will be specially designed to provide a safe, home-like environment where residents are assisted to live independently. It will provide tailored services and programmes to create meaningful participation and social interactions among its residents.

Through collaboration with nearby community partners, the village is also expected to provide better access to supporting services and amenities in the wider community for persons with dementia and their families.

As a new residential option catering to individuals with varying stages of dementia, this pilot complements the home-based care and dementia day care services available today. We hope that the pilot will offer insights into market demand for such facilities and the community needs of persons with dementia, which will contribute to the development of suitable dementia care models in the future.

Site Attributes for Dementia Care Village

Located near Sembawang Park, the site comprises a cluster of 10 State bungalows. The site’s location and layout will provide a conducive environment for persons with dementia. The pilot dementia care village could also present opportunities for the successful tenderer and community partners to collaborate on active ageing programmes and provide other eldercare services for residents. The lease will be for 30 years.

Details of Tender for Dementia Care Village

URA said that a Concept & Price Revenue tender will be adopted to evaluate the tenders received for the sale site at Gibraltar Crescent to ensure that the selected concept proposal aligns with the vision of the dementia care village.

Under this system, tenderers are required to submit their concept proposals and tender prices separately. The concept proposals will be first evaluated against a set of criteria specified in the tender. The criteria include an assessment of the suitability of the proposed overall model of care for persons with dementia, as well as the quality of the care programmes and services. Only concept proposals that are shortlisted will proceed to the second stage for evaluation, which will be based on price only. The site will then be awarded to the tenderer with the highest bid price among those with acceptable concept proposals.

The tender for Dementia Care Village will close at 12 noon on 19 November 2019.

A Dementia Care Village in Netherlands, De Hogeweyk, is often lifted up as the gold standard for dementia care. De Hogeweyk is a gated model village which is designed specifically as a pioneering care facility for elderly people with dementia.

The benefit of using all-day reminiscence therapy at Hogewey, compared to traditional nursing homes, is that the residents with dementia are more active and require less medication.  Carers, doctors and nurses work around the clock to provide the 152 residents the necessary 24-hour care.

The Hogewey complex is set out like a village with a town square, supermarket, hairdressing salon, theatre, pub, café-restaurant—as well as the twenty-three houses themselves. In 2018 4 houses were added to The Hogeweyk. Each house reflects a style that is common to, and familiar for, the six or seven people who live in that house.

The doctors, nurses and carers aim to make the experience as real as possible to the residents. Residents shop at the supermarket and assist with preparing and cooking as they would at home. The carers wear normal daytime clothing rather than clinical clothing and fit into a role that the dementia sufferers are likely to be comfortable with; in the working class households the carers are seen to be neighbours or carers, while in the aristocratic/upper class setting, the nurses act akin to servants.

The living styles have different types of music playing, significantly varied interior design, food and methods of table setting. Residents in each house have their own large bedroom and meet with other residents to share the living room, kitchen and dining room. There are no locks on the doors, and residents are free to walk or cycle around the village, including choosing to visit the supermarket or cafe.

The dementia care village in Netherlands employs 250 staff.

How to Secure a Commercial Loan Quickly

Are you planning to purchase a commercial property but unsure of funding? Don’t worry because iCompareLoan mortgage brokers can set you up on a path that can get you a commercial loan in a quick and seamless manner.

Alternatively you can read more about the Best Commercial Loans in Singapore before deciding on your purchase.  Our brokers have close links with the best lenders in town and can help you compare Singapore commercial loans and settle for a package that best suits your commercial purchase needs. Our services are also very personalised and tailored to the unique needs of the buyers.

Whether you are looking for a new commercial loan or to refinance and existing one, our brokers can help you get everything right from calculating mortgage repayments, comparing interest rates, all through to securing the final loan. And the good thing is that all our services are free of charge. So it’s all worth it to secure a loan through us for your next purchase.

If you need advice on a new commercial loan  or Personal Finance advice.

If you want to speak to our trusted Panel of Property agents.

If you need refinancing advice.

The post Dementia care village to be piloted by MOH appeared first on iCompareLoan Resources.

The Urban Redevelopment Authority’s (URA) developer survey showed that sales jumped 25 per cent Year-on-Year in June with 821 units sold. However on a Month-on-Month basis, sales dipped 13.8 percent.

Real estate stakeholders attributed the sales drop in the developer survey to school holidays and a lower number of newer projects launched, with a total of 670 units launched during the month.

For June, total take-up exceeded the number of units launched; a total of 821 units from new launches and existing stock were sold, despite only 670 units launched from four projects.

CBRE commenting on the developer survey for June said, the “the top selling projects were Sky Everton (134 units), Treasure at Tampines (70 units), and Parc Botannia (60 units).”

Mr Desmond Sim, CBRE’s Head of Research for Southeast Asia, said: “Notably, Sky Everton did well with over 51.1% sold in the first month it was launched. This can probably be attributed to its tenure and location. Buyers were also returning to previously launched projects – including Treasure at Tampines (70 units), Parc Botannia (60 units) and The Florence Residences (48 units). While previous strategies involved incentivising the agents, developers are now taking a more direct approach by incentivising buyers. At the same time, it was observed that some buyers took a longer gestation period to decide on their purchase.”

The developer survey showed that including June’s numbers, a total of 4,348 units have been sold year-to-date, out of 5,497 units launched year-to-date in 2019.

CBRE noted that while the June developer survey showed little action in the EC segment, the upcoming Sumang Walk launch – Piermont Grand, will likely be well-received due to pent-up demand and the reputation of the developer.

Mr Sim added: “Despite the measures in place, there seems to be some strength in the market. Should this buying momentum continue, CBRE expects total new sales for this year to come to around 8,000 units, which has been the underlying demand level established over the past six years since TDSR was introduced.”

Ms Tricia Song, Colliers International’s Head of Research for Singapore, commenting on the developer survey for June 2019 said, “the private residential market in Singapore looks to have achieved some semblance of stability a year after fresh cooling measures were imposed in July 2018.”

She added: “Despite June being typically a slower month for property sales – due to the school holidays during this period – developers still sold 821 new private homes (excluding Executive Condos) in the month. June’s sales were 13.8% lower from 952 units sold in May 2019, but developers had launched far more units on the market in May which have helped to push volumes up. On a year-on-year basis, new home sales in June was 25.5% higher than the 654 units sold in June 2018.”

Colliers noted in their observation of the developer survey:

“All in, developers have sold 4,346 new units from January to June 2019 (up 10.1% YOY) and it looks on track to meet Colliers Research’s forecast of 9,000 units sold for the full-year.

The four new projects launched in June contributed to 19.2% of the total developers’ sales last month. One new launch – Sky Everton topped the charts, while the bulk of the developers’ sales in June came from the earlier launches. We believe Sky Everton did particularly well as it is a rare freehold launch near the city centre and near an upcoming train station. The price point also presents value, compared to some 99-year leasehold property launches.
4 new launches in June 2019

Source: Colliers International, URA

Top 10 Selling Projects in June 2019

Source: Colliers International, URA

June’s sales were led by new launch Sky Everton which moved 134 units at a median price of SGD2,523 psf. Other private residential projects which did well included: Treasure at Tampines which sold 70 units at a median price of SGD1,320 psf; Parc Botannia which transacted 60 units at a median price of SGD1,296 psf; Parc Esta which shifted 54 units at a median price of SGD1,690 psf; and The Florence Residences where 48 units were sold at a median price of SGD1,442 psf.

Buyers continue to be value-conscious. In fact, some earlier projects such as Treasure at Tampines, Parc Botannia and Parc Esta, representing some of the cheapest launches near MRT or LRT stations, saw monthly sales pick up from May’s 33-50 units to 58-70 units in June.

Taking stock, a year since the cooling measures were announced on 5 July, large projects such as The Stirling Residences (1,259 units), Riverfront Residences (1,472 units), Affinity at Serangoon (1,052 units)  and Park Colonial (805 units), which were launched in June and July 2018, have sold 548 -1,052 units respectively. They appear to be on a cruising mode, moving 18-33 units a month, as sell-through rates sailed past 52-80%.

Outlook Based on Developer Survey

Although the private residential market has stabilised somewhat since the July 2018 measures, we note that there may potentially be some macroeconomic headwinds ahead, with slowing global growth and the weaker economic outlook in Singapore. That said, there are still factors that are supportive of home sales. These include the more favourable interest rate environment and still stable job prospects domestically. For super-luxury projects in the city centre, there appears to be increased interest from foreign buyers, as Singapore remains a safe haven for real estate investments.

We should expect a flurry of new launches in the weeks ahead as developers look to roll out projects before the start of the Hungry Ghost month from 1 August. Potential launches in the months ahead could include: in the CCR, Haus on Handy (188 units), Jervois Prive (45 units), Midtown Bay (219 units); city fringe projects: Avenue South Residence (1,074 units), One Pearl Bank (774 units), Amber Sea (132 units), and suburban projects: Parc Clematis (1,468 units), Midwood (564 units), and Piermont Grand Executive Condominium (820 units).

Given that most buyers remain price sensitive and value-conscious, we expect developers to adopt a prudent pricing strategy.

With the upcoming pipeline of new launches, we think new home sales would likely trend higher in July, before dipping in August. We still expect a full year takeup of 9,000 units (excluding ECs), barring a widespread economic downturn. ”

Secure the Best Home Loan Quickly

Do you want to buy a private residential property but are unsure of securing funds? Don’t worry because iCompareLoan mortgage brokers can set you up on a path that can get you a commercial loan in a quick and seamless manner.

Alternatively you can read more about the Best Home Loans in Singapore before deciding on your next purchase.  Our brokers have close links with the best lenders in town and can help you compare Singapore’s best commercial loans and settle for a loan package that best suits your commercial purchase needs.

Whether you are looking for a new commercial loan or for a refinancing package for your commercial properties, our brokers can help you get everything right from calculating mortgage repayment, comparing interest rates, all through to securing the best commercial loans which fits your profile. And the good thing is that all our services are free of charge. So it is all worth it to secure the best commercial loans through us.

You may contact us today for advice on a new home  or refinancing advice, or for Personal Finance advice.

You may also speak to our Panel of Property agents.

The post Developer survey for June shows housing market has stabilised appeared first on iCompareLoan Resources.

The Ministry of Law (MinLaw) today (Jul 15) announced a comprehensive set of measures to stem the increase in moneylending activities targeting foreigners (work pass holders). Foreigners refer to individuals who are not Singapore Citizens or Permanent Residents.

By: Phoenix Lee/

This includes restrictions on the supply of loans by licensed moneylenders (LMLs) to foreigners, a reduction of the aggregate loan cap for low-income foreigners, as well as new restrictions on LMLs’ lending and advertising practices. Avenues of help are available for existing borrowers who need it. The Ministry said that new measures are complemented by education and outreach efforts by the Ministry of Manpower (MOM) and the Police, and enforcement efforts against unlicensed moneylenders.

Image credit: YouTube

Measures needed to address rise in moneylending activities

MinLaw said the measures are necessary to address the rising number of foreigners borrowing from licensed moneylenders (LMLs), which has risen sharply over the past three years and has remained high. Overall, there were 53,000 foreign borrowers who took up loans from licensed moneylenders in the first half of 2019, compared to 55,000 borrowers in 2018, 19,000 borrowers in 2017, and 7,500 borrowers in 2016.  The Ministry clarified that as the same borrower may have borrowed more than once within the same calendar year, the full-year and half-year figures are not directly comparable.

In addition, the self-exclusion framework which was announced in October 2018, will take effect from today.

Background

In October 2018, MinLaw and MOM announced plans to extend the aggregate loan caps and the self-exclusion framework for borrowing from licensed moneylenders to foreigners residing in Singapore, as well as administrative penalties on work pass holders who borrow from unlicensed moneylenders. These measures sought to address the increase in the number of foreigners borrowing from both licensed and unlicensed moneylenders in Singapore while the Ministry continued to monitor the moneylending activities. MinLaw has implemented the aggregate loan caps since 30 Nov 2018, and the administrative penalties on those who borrow from unlicensed moneylenders since Feb 2019.

MinLaw said that while these measures have slowed the growth in the number of foreign borrowers, the overall number of foreign borrowers remained high. Over the past year, it was also observed that some licensed moneylenders have been actively targeting work pass holders through shopfront advertisements, and readily extending loans to these borrowers.

There has also been an increase in work pass holders acting as guarantors for one another to facilitate access to loans. Guarantors become liable for the debt if borrowers default on the loan. The number of work pass holders acting as guarantors surged from about 50 in 2016, to about 6,000 in 2018. Some work pass holders were also found acting as “brokers” to facilitate loan applications by fellow work pass holders, in exchange for a token sum from the borrower.

To address the social issues arising from these moneylending activities, MinLaw, with the support of MOM and the Police, is introducing stronger measures.

Protection

MinLaw will tighten the restrictions on licensed moneylenders lending to foreigners in Singapore. These include:

• Caps on the supply of unsecured loans to foreigners.

Inclusive of their existing loan book, each licensed moneylender will not be allowed to lend to more than 300 foreigners or extend more than $150,000 in outstanding loan principal to foreigners at any one point in time. Each licensed moneylender will also be limited to granting loans to not more than 15 foreign borrowers in any month, and not more than 50 foreign borrowers in any year. Licensed moneylenders whose loan books are at or in excess of these caps will not be allowed to continue lending to foreigners. These caps ensure that the supply of credit will be calibrated to a more sustainable level.

• Reducing the aggregate loan cap for low-income foreigners, to reduce the risk of over-indebtedness.

Currently, foreigners earning less than $10,000 per annum are allowed to borrow up to $1,500 from all licensed moneylenders combined. The aggregate loan cap for this group of borrowers will be lowered from $1,500 to $500. With the existing cap on borrowing cost at 100% of the loan principal, this ensures that the maximum repayable amount (loan principal and all permitted interest and fees) is kept to a more manageable $1,000 at any one point.

• Disallowing licensed moneylenders from accepting foreigners as guarantors.

To address the increase in guarantor arrangements which facilitate further access to loans, licensed moneylenders will no longer be allowed to accept foreigners as guarantors. Foreign borrowers can continue to take up loans in their own name.

• Prohibiting advertising targeted at vulnerable groups.

Licensed moneylenders will no longer be allowed to display advertisements such as “Domestic Helpers Are Welcome”. This will reduce the visibility of easy credit to vulnerable work pass holders. Existing restrictions which disallow advertising and marketing through instant messaging or social media will continue to apply.

• No loans to be facilitated or brokered by unauthorised third parties.

MinLaw will take action against licensed moneylenders which grant loans facilitated or brokered by unauthorised third parties working illegally without the requisite work permit or authorisation. MOM will also take enforcement action against work pass holders who are found to broker or facilitate loans for gains, including revocation of their work pass.

• No cross-referral of borrowers between licensed moneylenders.

MinLaw will disallow licensees from referring borrowers to one another. This will further reduce the visibility of credit to vulnerable borrowers, and pre-empt the possibility of licensees referring borrowers to one another in an attempt to circumvent the new supply caps.

MinLaw said that these measures will be implemented with immediate effect from 16 Jul 2019, with the exception of the caps on supply which will come into effect on 15 Aug 2019 in order to give the industry sufficient notice to make the necessary system and process changes.

MinLaw  said that it will continue to monitor the moneylending activities of licensed moneylenders. It added that appropriate penalties, including the suspension and revocation of licences, may be meted out to those who are found to have breached the Moneylenders Act / Rules.

Support

The Ministry said that borrowers with existing loans can continue to approach their moneylenders to negotiate debt repayment terms if they face difficulty repaying their loans. They will also be allowed to restructure their existing debt through a debt consolidation loan facilitated through a voluntary welfare organisation (VWO).

It added that work pass holders who face difficulties may also approach existing support channels such as the VWOs, the Migrant Workers’ Centre, or the Centre for Domestic Employees, for advice and assistance.

Education

MOM will continue reaching out to and educating work pass holders on how they may manage their finances to reduce the need for borrowing, and to approach their employers and NGOs/VWOs for advice and help if they have genuine needs.

For example, MOM recently produced a new money management booklet for foreign workers and a video to further raise awareness on the issues of borrowing. For FDWs in particular, MOM will also educate them and their employers of the new measures through the Settling-in-Programme and the Employer Orientation Programme respectively, and work with employment agencies and employers to inform FDWs of the implications of borrowing from unlicensed moneylenders.

Enforcement against unlicensed moneylending activities

To address the issue of foreigners turning to unlicensed moneylenders, the Police will step up their enforcement actions against unlicensed moneylending syndicates. Work pass holders who borrow from unlicensed moneylenders will also be debarred from employment in Singapore.

Launch of Self Exclusion Framework for Moneylending Activities

Min Law said that self-exclusion facility will also be available to the public from today. Singapore Citizens, Permanent Residents (PRs) and foreigners residing in Singapore can apply for self-exclusion via the Moneylenders Credit Bureau (MLCB), using SingPass.

Foreigners who do not have a SingPass account can ask a third party with SingPass to submit the request on their behalf. The application fee is $3 for applicants who submit their applications using their own SingPass account, and $5 who submit their applications through a third party.

MinLaw said that it will continue to work with MOM and the Police to monitor the moneylending activities closely and is prepared to take further action, including a complete prohibition on lending to foreigners, if necessary.

How to Secure Personal Loans Quickly

If you are in a financial crunch and are searching for personal loans, the loan consultants at iCompareLoan can set you up on a path that can get you a it in a quick and seamless manner. Our loan consultants have close links with the best lenders in town and can help you compare various loans and settle for a package that best suits your needs. Find out money saving tips here.

Our Affordability Tools help you make better property buying decisions. iCompareLoan Calculators help you ascertain the fair value of a property and find properties below market value in Singapore.

If you are looking for a new home loan or to refinance, our Mortgage brokers can help you get everything right from calculating mortgage repayment, comparing interest rates all through to securing the best home loans in Singapore. And the good thing is that all our services are free of charge. So it’s all worth it to secure a loan through us for your business expansion needs.

Contact us for advice on a new home loan.

Contact us for home loan or refinancing advice.

The post MinLaw introduces new measures to stem increase in moneylending activities targeting foreigners appeared first on iCompareLoan Resources.

Finding money to fund your new company (or an existing company) can be an interesting experience. A good business plan can help you determine how much money you need to get started. Truthfully, most new businesses are started with the owner’s own cash, credit cards, friends and family, etc. without any type of plan whatsoever.

By: Phoenix Lee/

Image credit: aenri05/Flickr

However, if you are a business owner finding money, there are some methods for you to get the money for your new company.

1. “Bootstrapping” or Business Funding Services
The dictionary definition of bootstrapping is “To promote and develop by use of one’s own initiative and work without reliance on outside help”. Most small businesses are started with nothing more than the owner’s own money, work, and debt (usually credit cards, home equity loan, etc.). This is also jokingly referred to as “sweat equity”.

To get their venture launched, entrepreneurs have utilised many methods for startup capital, these include but are not limited to:

• Credit Cards
• Friends and Family
• Home Equity Loans
• Personal Notes or Loans from a Bank
• Small Business Investors (Private Limited Companies and Limited Liability Companies are perfect for this because they can sell “shares” or “interest” in the company to help fund the startup phase. (NOTE: friends and family can be investors as well)
• Cashing in Stocks or Bonds
• Government grants for small businesses

There are also companies that specialise in helping entrepreneurs in finding money by coaching them through the approval process and informing them of all the options available.

2. Small Business Administration or Bank Loans
Many small businesses are started with the help of a bank loan or a Small Business Loan from the Government backed loan schemes. Government backed loan schemes are loans from a private bank with the Government as the “guarantor” of the loan. This means that the Government will absorb some of the risk on behalf of the small business.

Finding money from your bank is fairly straightforward: simply call or visit your bank and ask about the requirements for getting a small business loan. Depending on the bank, the loan process may be fairly easy or extremely complex.

3. Venture Capital or Angel Investors
Some business ideas are so good and have so much potential that obtaining venture capital may be the way to go. In this process, the entrepreneur submits his business plan to a venture capital firm (or more than likely, knows someone who knows a venture capitalist). The venture capital firm will review the business plan and, if interested, offer to provide startup money (usually well over $100,000) in exchange for an equity stake in the company.

Anyone familiar with the “dot-com boom” of the late 90’s knows that this can be a long and difficult process but the rewards can be astronomical. Companies like Yahoo! and Amazon.com were funded in this manner (and their founders are worth billions), as well as many other companies you are familiar with: FedEx, Google, etc.

This is not to say that you need venture capital to become a great company. Most of the large businesses you are aware of started as a small business with little or no help, then obtained venture funding or “went public” after they had grown relatively successful.

Another source is what is called the “angel investor”. This is usually a private investor who has considerable amounts of money to invest in new business ventures, the proverbial “rich uncle”. Most people don’t have access to these types of investors but we’ve listed some resources below.

Finding money besides bootstrapping may seem odd when you have already got personal savings. But you saved that money for a reason — perhaps to fund children through education or provide for your retirement. Whatever that reason is, if you tie up that cash in your business, it’s not available for the original purpose. Taking out credit for your business offers a number of benefits and can improve your chances of commercial success.

Most financial institutions and non-traditional lenders disclose their minimum requirements for lending. If you meet a lender’s minimum qualifications and want to see estimated rates and terms, you can pre-qualify for financing. But pre-qualification is not the same as putting in an application for personal loans.

You may pre-qualify for a loan and yet your loan application may be rejected once you put in a formal application – and the more formal personal loan applications you put out, the more the impact is on your credit score. This is why you need a loan consultant to help you in finding money.

How to Secure Small Business Loan Quickly

If you are searching for a small business loan, the loan consultants at iCompareLoan can set you up on a path that can get you a it in a quick and seamless manner. Our loan consultants have close links with the best lenders in town and can help you compare various loans and settle for a package that best suits your needs. Find out money saving tips here.

Our Affordability Tools help you make better property buying decisions. iCompareLoan Calculators help you ascertain the fair value of a property and find properties below market value in Singapore.

To find out more about Peer to peer lending versus that of SME loans so as to make an informed decision: SME Loans or Peer-to-peer (P2P) Lending – What is the difference?

Contact us for advice on a new SME loans.

Contact us for home loan or refinancing advice.

The post Finding money to fund your new company can be interesting appeared first on iCompareLoan Resources.

Personal loan searchers should be aware that applications made in an incomplete manner, will find it very difficult to secure loan.

By: Hitesh Khan/

Thousands of people are searching online for unsecured personal loans at any given time. Some of those personal loan searchers will find loans that charge very high interest rates or fees. Some will get great deals on personal loans with minimal hassle. It’s better to be part of this second group.

For personal loan searchers, here are three ways to stay on the affordable side of personal loans:

1. Good Credit Score

Borrowers with a good credit score are at a great advantage in obtaining affordable personal loans. Borrowers with over good credit who need a personal loan for a good reason are a no-brainer for a wide range of lenders, from traditional banks to finance co-operatives and other non-bank lenders like licensed moneylenders. Unsecured personal loans repayments are often done through a personal bank account; if ten other lenders have claims to that bank account, an affordable unsecured personal loan is not happening.

2. Steady Job

The other main way to get an affordable personal loan is to hold down a steady job. Also, to be able to verify that this job has been steady over some time. If a borrower can look at bank statements and see that salary going in every month, approving a personal loan makes a lot of sense.

3. Easy File

Personal loan searchers who are applying for a personal loan, should not just throw out numbers on the application and hope for the best. Instead, be prepared and use accurate information.

Lenders are able to process “easy file” loan applications much faster and more satisfactorily than applications with missing information, incorrect bank account information, or unavailable contact numbers. Applying for an unsecured personal loan can be done the easy way, or it can be done the incomplete way, which then turns into the hard way.

Personal loan searchers should be mindful that an affordable unsecured loan is often made available to highly qualified borrowers. Bad credit personal loans are available, too. But the best rates on personal loans are reserved for borrowers with good credit, verifiable income, and organised application information. Low APR, with fixed repayment schedules, with no collateral posted, are readily available to qualified borrowers, even in this still-restricted credit environment.

Sometimes personal loan applications get rejected because of poor credit score due to misreported bank finance charge. Given that your poor credit score might be caused due to something accidental and unexpected, like misreported bank finance charge, your first logical step should be to review your credit report and fix whatever is possible as this can really help in broadening your options for personal loans in the future. There are agencies which can help in repairing your credit score quite successfully and you should consider these as your first option when thinking of a personal loan with having bad credit.

Even with poor credit score, if you have held the same job for a number of years, for instance, you’re more likely to obtain the loan. However, if you’ve changed jobs several times over the past few years, you may be less likely to get the loan you want.

The application process for a personal loan from a licensed moneylender is usually relatively quick. Another advantage is that it does not require a formal closing. The application process consists of a written application, a promissory note, and a payment schedule. As a result, there is less paperwork and hassle involved in obtaining a personal loan than in obtaining a secured loan.

Personal loans can be a godsend when you face a huge medical bill, an unexpected repair bill, or another large expense. But you might be wondering if a personal loan is even possible if you have had the misfortune of having bad credit.

When personal loan shopping, take time to evaluate different lenders and loan packages. This will help you make the best decision about borrowing money. If several lenders refuse to loan you money or offer very high interest rates, you may need to put off borrowing money until you clean up your credit.

When you carefully analyse, personal loan searchers will realise that to choose personal loan may be the most sensible option when you want to borrow a fixed amount over a short period of time.

How to Secure Personal Loans Quickly

If you are in a financial crunch and are searching if personal loans useful to expand your business, the loan consultants at iCompareLoan can set you up on a path that can get you a it in a quick and seamless manner. Our loan consultants have close links with the best lenders in town and can help you compare various loans and settle for a package that best suits your needs. Find out money saving tips here.

Our Affordability Tools help you make better property buying decisions. iCompareLoan Calculators help you ascertain the fair value of a property and find properties below market value in Singapore.

If you are looking for a new home loan or to refinance, our Mortgage brokers can help you get everything right from calculating mortgage repayment, comparing interest rates all through to securing the best home loans in Singapore. And the good thing is that all our services are free of charge. So it’s all worth it to secure a loan through us for your business expansion needs.

Contact us for advice on a new home loan.

Contact us for home loan or refinancing advice.

The post Personal loan searchers should use accurate information to secure loan appeared first on iCompareLoan Resources.