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20 Nov '12, 4pm

Analysts say tougher for 60-year leasehold owners to apply for loans

Buyers of 60-year leasehold properties might find it a challenge to apply for loans. While some banks are willing to lend, potential buyers may have to borrow less or pay off these loans faster. But analysts said banks may have to re-think their home loan strategy as more of such sites make their way into the market. The land at Jalan Jurong Kechil, which closed tender on November 15, will be the first residential site to have a leasehold that is shorter than the usual 99 years. It is the first land site put up for sale by the Urban Redevelopment Authority (URA) with a variable lease option of 30, 45 or 60 years. The land site received a top bid of S$73.8 million by World Class Developments (North), also a subsidiary of SGX-listed firm, Aspial Corporation, for a 60-year lease. This means potential home buyers of this site may find it tough to get a home loan that will suit...

Full article: http://lushhomemedia.com/2012/11/20/analysts-say-tougher-...

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