Property Market News: Foreign investors must now work harder for PR status
With effect from 18 May 2012, property developers will have to abide by revisions made to the Housing Developers Rules (HDR), said the Urban Redevelopment Authority (URA) today.
According to the URA, developers must now provide more information to home buyers before they sign the option to purchase, such as a drawn-to-scale location and site plan of the project, unit floor plan and a breakdown of the unit's various spaces, such as bedrooms, balconies and bay windows. To prove their good track record to buyers, developers will also need to disclose at least one completed project before issuing the option to purchase. At the same time, developers must obtain the consent of buyers should any changes be made to the layout of units. Lastly, current advertising rules for newspapers and sales brochures will be extended to online advertisements which must not contain any false or misleading information.
The changes aim to promote transparency in the real estate sector and enable home buyers to make better informed decisions when acquiring a home.
Welcoming the move, Wong Heang Fine, President of the Real Estate Developers Association of Singapore (REDAS), said: "URA had worked closely with members of the real estate industry and other key stakeholders when reviewing the changes to HDR. REDAS supports these changes which will help potential buyers make more informed choices when purchasing their ideal homes."
"As a body representative of a large community of property developers, REDAS is committed to continually promote good practices and professionalism among developers to deliver better and higher quality homes for all."
Meanwhile, the URA will also make necessary changes to the Housing Developers (Control & Licensing) Act, which includes setting up showflats to accurately depict actual units and publishing transacted prices on a weekly basis. The revised rules will be introduced in the second half of this year.
Apr 19, 2012 – PropertyGuru.com.sg
By Romesh Navaratnarajah: