Guides to Asian Property Markets

Not ALL that glitters is gold, but there’s plenty of opportunity to be had in Asia, if one knows where to look. Our Asia-Pacific manager, Ziv Magen, is a resident author at “Bigger Pockets”, one of the world’s leading Real Estate investment platforms, and is composing a series of articles on the ups and downs, opportunities and pitfalls of Asia’s more popular realty hubs.

Whether your interest lies in the vastness of China’s virginal and stormy property market, Hong-Kong’s or Singapore’s capital gain and tax havens, Japan’s miracle tenants and supreme cash-flow, or India’s mysterious and newly-emerging property arenas – you’re guaranteed to find these articles enlightening and eye-opening -

Japanese Real-Estate – Cashflow, Honesty & Honour

“…a Japanese tenant would never, ever, under any circumstance harm of damage a home intentionally, would never dream of missing the rent unless something really really bad happened – throw into the mix some more curious but fairly common tidbits, like the fact that some property managers will pay a late tenant’s rent to the owner, in place of the tenant, FROM THE PROPERTY MANAGER’S OWN FUNDS , for several months, while they work to recover it [...]“

Real Estate in Japan – The Tenant Is King

“… this is what the Japanese call “The Explanation of Important Matters”, and consists of a highly detailed construction, status, rules, regulations, laws and bylaws, urban development plans and other such tidbits relating to the property – an endless array of information covering the unit, the building and its public areas, street and neighbourhood, top to bottom, as well as existing tenancy agreements, repairs conducted (if any) and more and more[...]“

Singapore – Explorations of Asia for Foreign Investors

“…With corporate income tax capped at 17% and personal income tax rising slowly from 0% to a comfortable 20% cap (non-residents, unfortunately, are taxed a flat 15%), the average Singaporian is a competitive, success driven, highly educated, English and Chinese speaking, multi-lingual capitalist citizen of the world in every sense of the word – and knows it well[...]”

Singapore – Housing, Capital Gains, Positives & Negatives

“…82% (or more) of the residential properties in the city are government housing (HDB) flats. As such, they cannot be purchased by non-residents. This leaves the foreign investor with 18% (or less) of the residential market to deal in. This is still a large market, though, with 2,000-3,000 new properties built per month (until last January – see below), as Singapore becomes a leading force in Asian economy, and attracts more and more foreign residents in various stages of residency or migration[...]”

An Overview of Real Estate in China – Scratching the Surface

“…Rent return in the bigger cities (Shanghai, Beijing) is paltry, even compared to other metropolis’ around the world, and is now at an average of just under 3%, which many consider to be the early warning signs to the forming of a Chinese property price bubble. The only internationally recognizable spot exhibiting healthy rent returns (an average of 8-9% p/a) at this point in time seems to be the fast-developing metropolitan hub of Chengdu, in the heart of the country, and the last major city as one heads west, towards trouble-stricken Tibet[...]“

China Real Estate Below the Surface – Making Deals & Government Policies

“…The main problem, unfortunately, is corruption, which China is rife with, particularly as far as local governments are concerned. Rural land grabs are one of the main issues – where farmers’ houses (or even some urban neighbourhoods) and accompanying lands are seized by local authorities, often by force and for paltry compensations, then sold to developers at an average of 40 times the compensation paid. This is done by greedy government officials for institutional and/or personal profiteering purposes, and the vile practice is so rife, that a recent survey found that 47% (!) of farmers surveyed nationwide have reported falling prey to such land grabs[...]“

Hong-Kong Real Estate – Capital Gain & Tax Heaven, Cash-Flow Nightmare

“…Hong-Kong is obsessed with property. There’s really no other way to put it. Local media outlets run a multitude of property-related items on a daily basis, residents and ex-pats alike are constantly evaluating, re-evaluating, umming and urring on whether to rent or buy, live in or rent out, sub-divide and sub-let, and so on and so forth, and it seems like every time you speak to a Hong-Kongese, the subject of property is bound to surface at some point or another in the conversation[...]”

Hong-Kong Real Estate – Government Leases & The Chinese Connection

“…Unapproved alterations, (or illegal and often unsafe renovations, to be a tad less polite), such as the closing in of balconies, the constructing of internal fixtures such as staircases, additional walls, and even the building of complete rooftop additions, are rife in HK. The government has been trying to crack down on this, and a lawyer or broker can attempt to track whether such alterations have been identified by the government, in which case there’ll be a standing order to restore buildings to their original conditions – but if no such order is found, it may just mean that inspectors have not gotten to the building yet[...]“

Real Estate In India – Eclectic, Enticing & Hectic

“…Developments happen, but rarely finish on time. Terms are set in contracts, but rarely are these upheld to the letter…Reviews are widely mixed, prices wildly fluctuate, and while the economy is doing great as a general rule and prices are sky-rocketing, there are huge disparities in the country [...]“

(For up-to-date, current news from Japan’s bustling property market, hop on to our Japan Real Estate News page)