Issue 317

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 CONTENTS FROM THE

p2 11 Tips to Help You Avoid Being Scammed

EDITOR
Welcome to the 317th edition of the
Singapore Property Weekly.
p9 Resale Property Transactions
Hope you like it!
(June 12 June 16) Mr. Propwise

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 SINGAPORE PROPERTY WEEKLY Issue 317

11 Tips to Help You Avoid Being Scammed

By Property Soul (guest contributor)

Recently, another property investment

company A2A Capital was put on the investor
alert list by the Monetary Authority of
Singapore (MAS). The company marketed a
land-banking scheme with investments in the
United States and Canada that promised
attractive returns of 134 percent or potentially
3 times the initial investment over 10 years.

When the Singapore investors did not receive

the promised payout, they filed police reports
against A2A. It was discovered that the
property firm has a paid-up capital of only
$100 when it set up in 2009.

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 SINGAPORE PROPERTY WEEKLY Issue 317

And its office has already moved from Raffles under ignorance, greed, fear, insecurity,
Place in Singapore to the Philippines. kiasuness and herd mentality. Con artists
get their ways because they can successfully
Common traits of scammers and their
exploit the weaknesses of human nature.
victims
Hobson had a very good summary on the
I just read two good books on financial fraud:
characteristics of scammers and their victims.
RodneyHobsons The Book of Scams and
Kenneth Fisher and Lara Hoffmans How to
Smell a Rat: The Five Signs of Financial
Fraud.

Fisher and Hoffmans reminded us that frauds

tend to be exposed in a bear market. It is
because downturns make it difficult to attract
new investors. And new blood is badly
needed to feed the scheme in order to pay off
the previous investors. Without the injection
of fresh funds, the whole system will soon
collapse.
In my book No B.S. Guide to Property
Investment, I talked about how people invest
In the case of A2A Capital, a 72-year-old
retiree first invested $27,000 and got his
principal and 110 percent return back after
one year. He continued to invest $300,000 of
his savings but has not heard back from the
company since then.A2A is obviously
deploying a confidence trick here.

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 SINGAPORE PROPERTY WEEKLY Issue 317
The trick works by first gaining the victims
confidence, usually by offering the opportunity
to make a profit, before defrauding the victim.
Another 78-year-old invested a total of
$500,000 (originally set aside for the studies
of two grandchildren) but received only one
payment of $1,500.Hobson explained that
scammers tend to target the elderly because
they are:
More trusting
More easily frightened
Less likely to think clearly
Less likely to remember details
Less likely to ask for credentials
Less likely to complain.
7 tips to avoid being scammed
Ponzi schemes require constant feeding of
Back to Contents
funds to keep the system running. So it
doesnt matter whether you have a few
thousands or millions of dollars to invest. You
are still vulnerable to scams and are likely
targets of fraudsters.
However, you cant be a victim if you dont
relinquish your power to someone capable of
making you a victim. To immunize yourself
from being victims of scams, you have to take
the drivers seat to educate yourself and be
always on high alert.
Below are seven tips shared by Hobson on
how to avoid being scammed:
Tip #1 Be less trusting and more cynical
Be suspicious when approached by
strangers, especially those who cold call.
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 SINGAPORE PROPERTY WEEKLY Issue 317

Tip #2 Be ready to challenge any story Tip #6 Dont feel you have been leftout
you are told, especially if it sounds
Especially when friends boast about great
improbable
schemes they have joined.
Look at the details and think about where
Tip #7 Never rush into an investment
there is a catch.
The more you feel pressurized, the more you
Tip #3 Be wary of seemingly free advice.
should resist.
Someone usually ends up paying so make
Hobson also highlighted four things investors
sure that person isnt you.
should take note of:
Tip #4 Be particularly wary of any
Tip #8 Do not invest in anything you do
scheme that offers guaranteed high
not understand.
returns
Tip #9 Check whether there is a
If it sounds too good to be true, dont even
reasonable certainty that you will be able
think about it.
to sell the assets when you want to cash
Tip #5 Be prepared to miss out rather in.
than take a risk
Tip #10 Buy and sell through a well-
Dont let the scammer play on your vanity. regulated exchange or well-known and
respectable dealers.

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 SINGAPORE PROPERTY WEEKLY Issue 317
Tip #11 If you are conned, do not throw
good money after bad trying to rescue
your investment.
How to identify con artists
A2A had been promoting questionable high
return investment schemes since 2009. It was
not until 23 March 2017 that MAS alerted the
public about the problem of the property
firm.Fisher and Hoffmans said it best, That
regulators didnt catch these swindlers earlier
is a pretty good indication that you cant count
on them to protect you. Only you can protect
you.
In my earlier blog post Cant answer these 5
questions? Stay clear of crowdfunding, I
summarized crowd investment plans in
Singapore that went sour. I also pointed out
the five critical questions to ask before taking
the plunge.Fisher and Hoffmans went deeper
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by elaborating a few situations that investors
should be suspicious about:
Situation #1 Promising extra high
returns which are out of this world
The best interest rate from my banker for a
fixed deposit is 1.25 percent for this month.
That is what banks can guarantee you with
close to zero risk.If someone tells you that an
investment scheme can pay you 10 or 20
times this number, ask yourself these
questions: How do they do it? How do they do
it continuously? How do they do it during a
market downturn?
There are many hidden implications and risks
that are not shared openly with investors.
Soon they will be unable to honor the
promised payout. And you can be sure that
they can only do it two ways: go bankrupt or
run away.
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 SINGAPORE PROPERTY WEEKLY Issue 317
Someone selling you market-like or better
returns with no downside is almost certainly a
con artist.
Situation #2 Trying to impress with a
nice office and expensive toys
One A2A investor was impressed with the
companys large, well-decorated office in
Raffles Place. He decided to invest $50,000
after the professional marketing presentation
there.Remember how over 700 Singapore
investors were left in the cold when the high-
profile Brazilian social housing developer
EcoHouse closed their nice office in Suntec
Tower 2?
Fancy offices, expensive toys, and corporate
and personal bling are a red flag. If they
arent meant to distract you, at the very least
they distract the adviser.
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Situation #3 Trying too hard to sell a
real-life story
Stories sell, especially if they tell you that it is
their own life story.
Be skeptical of fanciful life stories. These are
easily faked.
Many money gurus suffer from a Paradox of
Practice. They teach one wealth equation
while getting rich in another.
Check the companys history and the
founders background. If there is a
discrepancy, contradiction or white lie, it
should ring the alarm.
Someone wholl tell a white lie about their
past will tell a bigger lie with your money.
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 SINGAPORE PROPERTY WEEKLY Issue 317

Situation #4 Making unnecessary efforts

to build a good reputation

A good reputation is easily bought. Con artists

can easily build a stellar reputation by:

Making large charitable donations

Being active politically
Pandering to affinity groups

Dont rely on reputation alone. Just because

others you know trust the person doesnt
mean you should.

As an investor, it is your responsibility to do

the due diligence. It is your choice whether
you want to take the drivers seat or be driven
around by others.

By guest contributor Property Soul, a

successful property investor, blogger, and
author of the No B.S. Guide to Property
Investment.

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 SINGAPORE PROPERTY WEEKLY Issue 317

Non-Landed Residential Resale Property Transactions for the Week of June 12 June 16

Postal Area Transacted Price Postal Area Transacted Price

Project Name Tenure Project Name Tenure
District (sqft) Price ($) ($ psf) District (sqft) Price ($) ($ psf)
2 ICON 581 1,050,000 1,806 99 10 POLLEN & BLEU 2,099 3,925,096 1,870 99
2 ICON 678 1,130,000 1,666 99 10 GARDENVILLE 1,776 3,315,000 1,866 FH
3 ALEXIS 398 695,000 1,745 FH 10 POLLEN & BLEU 1,163 2,146,250 1,846 99
4 THE BERTH BY THE COVE 1,076 1,700,000 1,579 99 10 ORION 1,776 3,086,688 1,738 FH
4 THE INTERLACE 1,044 1,200,000 1,149 99 10 LEEDON RESIDENCE 3,283 5,600,000 1,706 FH
5 HUNDRED TREES 915 1,050,000 1,148 956 10 LEEDON 2 764 1,270,000 1,662 FH
5 MONTEREY PARK CONDOMINIUM 1,625 1,860,000 1,144 999 10 ALLSWORTH PARK 1,959 2,700,000 1,378 999
5 BOTANNIA 1,238 1,400,000 1,131 956 10 D'LEEDON 4,908 4,361,000 888 99
5 KENTVIEW PARK 1,184 1,300,000 1,098 FH 10 D'LEEDON 3,800 3,274,000 862 99
5 PARK WEST 872 740,000 849 99 10 D'LEEDON 6,534 5,014,000 767 99
9 MARTIN PLACE RESIDENCES 1,421 2,570,000 1,809 FH 11 THE GLYNDEBOURNE 1,744 3,500,000 2,007 FH
9 ASPEN HEIGHTS 1,324 1,960,000 1,480 999 11 VIVA 1,518 2,968,000 1,956 FH
10 ARDMORE THREE 1,776 7,105,490 4,001 FH 11 SOLEIL @ SINARAN 506 948,000 1,874 99
10 GRAMERCY PARK 1,991 5,664,960 2,845 FH 11 RESIDENCES @ EVELYN 1,109 1,800,000 1,624 FH
10 TOMLINSON HEIGHTS 4,047 10,845,960 2,680 FH 11 PAVILION 11 958 1,500,000 1,566 FH
10 ONE BALMORAL 1,410 3,095,000 2,195 FH 12 PRESTIGE HEIGHTS 334 555,000 1,663 FH
10 MON JERVOIS 1,518 3,250,414 2,142 99 12 CRADELS 441 645,000 1,462 FH
10 ONE BALMORAL 1,410 3,001,000 2,128 FH 12 MAR THOMA MANSIONS 1,528 1,290,000 844 999
10 RV RESIDENCES 678 1,400,000 2,064 999 13 8@WOODLEIGH 829 1,030,000 1,243 99
10 RV RESIDENCES 678 1,355,060 1,998 999 14 PALMERA EAST 431 632,000 1,468 FH
10 POLLEN & BLEU 1,163 2,227,000 1,916 99 14 EUHABITAT 517 680,000 1,316 99
10 POLLEN & BLEU 1,163 2,189,600 1,884 99 14 LE REVE 807 948,880 1,175 FH
10 ONE BALMORAL 2,099 3,933,000 1,874 FH 14 THE SUNNY SPRING 1,066 980,000 920 FH

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 SINGAPORE PROPERTY WEEKLY Issue 317

Postal Area Transacted Price Postal Area Transacted Price

Project Name Tenure Project Name Tenure
District (sqft) Price ($) ($ psf) District (sqft) Price ($) ($ psf)
14 WINDY HEIGHTS 2,476 2,060,000 832 FH 16 CHANGI GREEN 1,432 1,390,000 971 FH
14 N.A. 1,324 1,080,000 816 FH 16 SUNHAVEN 1,313 1,230,000 937 FH
14 N.A. 1,141 918,000 805 FH 16 CASAFINA 1,572 1,320,000 840 99
14 STARVILLE 1,625 1,286,000 791 FH 16 BEDOK COURT 2,411 1,500,000 622 99
14 WING FONG MANSIONS 1,163 800,000 688 FH 17 HEDGES PARK CONDOMINIUM 764 740,000 968 99
15 AALTO 1,442 2,650,000 1,837 FH 17 THE GALE 1,485 1,360,000 916 FH
15 THE MEYERISE 1,281 2,265,000 1,768 FH 17 LOYANG VALLEY 1,841 1,200,000 652 99
15 AALTO 1,442 2,510,000 1,740 FH 18 Q BAY RESIDENCES 527 635,000 1,204 99
15 THE SEAWIND 646 1,050,000 1,626 FH 18 THE PALETTE 753 815,000 1,082 99
15 SILVERSEA 1,582 2,300,000 1,454 99 18 SEA ESTA 818 815,000 996 99
15 AMBER RESIDENCES 1,249 1,752,500 1,404 FH 18 RIPPLE BAY 775 760,000 981 99
15 THE MAKENA 1,507 2,100,000 1,394 FH 18 MELVILLE PARK 958 732,000 764 99
15 BELLEZZA @ KATONG 592 804,000 1,358 FH 18 WATERVIEW 1,701 1,250,000 735 99
15 PEBBLE BAY 850 1,050,000 1,235 99 19 PRIMO RESIDENCES 904 1,130,000 1,250 FH
15 ONE FORT 1,055 1,300,000 1,232 FH 19 AMARANDA GARDENS 1,668 1,800,000 1,079 FH
15 SANDALWOOD 850 1,000,000 1,176 FH 19 THE SPRINGBLOOM 1,302 1,370,000 1,052 99
15 COSTA RHU 1,776 2,000,000 1,126 99 19 THE MINTON 1,335 1,368,000 1,025 99
15 BUTTERWORTH 33 1,485 1,668,000 1,123 FH 19 A TREASURE TROVE 1,206 1,200,000 995 99
15 FRUITION 883 988,000 1,119 FH 19 CHILTERN PARK 1,249 1,200,000 961 99
15 CELESTIA 850 950,000 1,117 FH 19 KOVAN RESIDENCES 1,798 1,700,000 946 99
15 VERSAILLES 700 770,000 1,101 FH 19 TERRASSE 1,378 1,300,000 944 99
15 LE CONNEY PARK 1,216 1,160,000 954 FH 19 HOUGANG GREEN 764 680,000 890 99
15 LAGUNA PARK 1,453 1,320,000 908 99 19 THE SUNNYDALE 1,173 988,000 842 99
16 COSTA DEL SOL 1,905 1,940,000 1,018 99 19 THE SUNNYDALE 1,658 1,225,000 739 99
16 THE TROPIC GARDENS 1,249 1,270,000 1,017 FH 20 SKY HABITAT 2,077 3,078,700 1,482 99
16 BAYSHORE PARK 624 628,000 1,006 99 20 CLOVER BY THE PARK 1,744 2,150,000 1,233 99

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 SINGAPORE PROPERTY WEEKLY Issue 317

Postal Area Transacted Price

Project Name Tenure
District (sqft) Price ($) ($ psf)
20 CLOVER BY THE PARK 1,765 1,950,000 1,105 99
20 THE GARDENS AT BISHAN 1,227 1,290,000 1,051 99
21 THE CASCADIA 883 1,330,000 1,507 FH
21 CLEMENTI PARK 1,722 1,850,000 1,074 FH
21 SIGNATURE PARK 1,023 1,045,000 1,022 FH
21 HILLVIEW GREEN 1,001 960,000 959 999
22 PARC VISTA 1,076 900,000 836 99
23 MAYSPRINGS 807 710,000 879 99
23 MAYSPRINGS 818 715,000 874 99
23 CASHEW PARK CONDOMINIUM 1,367 1,100,000 805 999
23 GUILIN VIEW 1,281 903,888 706 99
23 NORTHVALE 1,668 1,150,000 689 99
25 PARC ROSEWOOD 517 550,800 1,066 99
26 BULLION PARK 1,238 1,250,000 1,010 FH

NOTE: This data only covers non-landed residential resale property

transactions with caveats lodged with the Singapore Land Authority.
Typically, caveats are lodged at least 2-3 weeks after a purchaser
signs an OTP, hence the lagged nature of the data.

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