My property tax will be reduced by 15.5% come 2016 because of lower annual value of my property.
The annual values from 2000 to 2016 are in the table.
|Year||Annual Value ($)||Per month ($)||Change & Remarks|
|2000 to 2002||18,000||1,500|
|2003||16,200||1,350||Decrease/SARS & 9/11 attack|
|2004 to 2005||15,000||1,250||Decrease|
|2006 to 28/2/2007||16,200||1,350||Increase|
|1/3/2007 to 2008||19,200||1,600||Increase|
|1/1/2009 to 1/3/2009||26,400||2,200||Increase|
|2/3/2009 to 31/3/2010||22,800||1,900||Decrease/Global Fin Crisis|
|1/4/2010 to 28/2/2011||25,200||2,100||Increase|
|1/3/2011 to 2015||31,200||2,600||Increase|
Is there any correlation between the annual value and state of the economy?
There were two periods of decline in the annual value.
- Year 2003 to 2005 – SARS in 2003, 9/11 attack on US’ WTC in 2001 and DotCom bubble burst 2000/2002.
- Year 2009 to 2010 – Global Financial Crisis.
The reduced annual value for 2016 suggests that the state of Singapore economy is not going to be good next year.
In the five years from 2011 to 2015, the annual values were very high (at $31,200). This was crazy and it was because there were strong demands for properties due to low credit interest rates. It is about time that some sense should be brought to the property market.
Copyright © 2015, limkimtong for Living Investment
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