Rents are peaking!

[Lisafuller]

Dang something shocking happened yesterday, the owner came back to me and has
offered 2700$ for renewing my rental for 2 years.. and I am taking it
you was right bro, the rental market is cooling down.
Is it because lot of expats are leaving

Wow, I'm very surprised. To think just a couple weeks ago he was trying to overcharge you by so much. Glad this has worked out for you.

Yes I am shocked too..
Maybe the reason is that I have been in the same unit for almost 10 years now.
Even then I didnt expect that they will reduce the rental by 200-300$.
I still don’t know what’s happening but I am pretty happy that this worked out well

Happy for you. Hope the good keeps on coming.

[Lisafuller]

Maybe the LL thought he had a live fish on his hook that would pay more, but the fish got away.

Here is what happened to me once. I was buying an empty lot (property) in the US. I had been trying to get the guy to lower the price for almost 5 years… eventually I just offered 33% below the asking price - take it or leave it. At first he rejected the offer and stuck to his guns, but then a few days later he called and agreed to my price. Turned out the person he thought he would be able to sell it to at the higher price had died!

I believe it. They tend to get cocky, but when things don't work out, they come back.

[malcontent]

Maybe the LL thought he had a live fish on his hook that would pay more, but the fish got away.

Here is what happened to me once. I was buying an empty lot (property) in the US. I had been trying to get the guy to lower the price for almost 5 years… eventually I just offered 33% below the asking price - take it or leave it. At first he rejected the offer and stuck to his guns, but then a few days later he called and agreed to my price. Turned out the person he thought he would be able to sell it to at the higher price had died!

I believe it. They tend to get cocky, but when things don't work out, they come back.

The last person I want to rent from is a cocky LL, so they might come back, but I won’t.

[Lisafuller]

It would take a truly special house for me to rent, but even so I would think twice because the landlords attitude prior to renting is almost always indicative of how they will behave once you sign the papers.

[truthhurts1]

Wow, I'm very surprised. To think just a couple weeks ago he was trying to overcharge you by so much. Glad this has worked out for you.

Yes I am shocked too..
Maybe the reason is that I have been in the same unit for almost 10 years now.
Even then I didnt expect that they will reduce the rental by 200-300$.
I still don’t know what’s happening but I am pretty happy that this worked out well

Happy for you. Hope the good keeps on coming.

Thank you very much

[Wd40]

In my case the landlord is not cocky at all. But the problem is the agent. I had directly contacted the landlord and he had agreed to rent it out to me for $3k. But then when he told the agent, the agent acted too smart and told the landlord this area can now fetch $4k and he told the owner to block my number and that he will deal with me directly. Then the agent jacked up the rent to $3.5k. I had initially agreed due to the pressure, but then later I told him, I would rather move to a 2 bedder for $3k and gave him a $3.3k take it or leave it offer. Agent came back with $3.4k counter offer. I stuck to my $3.3k offer.

The agent said he will get back to me but didnt. Meanwhile I tried to find a 2 bedder for $3k. They are half the size and further away from my daughter's school, so it is a stupid idea to move just to save $400 a month.

So I called the agent again today and asked him if he got any update from the owner. Agent told me owner verbally agreed to $3.3k but then he will get lower commision and asked me if I could top up $400. He told me it is just a request and if I refused also it is okay. I agreed to pay the agent $400. So agent is happy. So this is where it stands now.

This my biggest drama ever for a renewal. I have had several housing related dramas before in my 14 years stay, I had rented a loan shark house, I lost my deposit twice because I moved out early, I gave a cheque and signed LOI and then withdrew all my cash and backed out of the deal, etc lol. But I never had a drama for renewal.

But this particular house, the owner is not happy with the agent, he feels, he is not adding any value, the same tenant is renewing and also negotiating at a lower price always lol. So it is kind of tricky relationship.

I hope the drama ends here and I am able to renew and then rest easy for 2 more years.

[NYY1]

In my case the landlord is not cocky at all. But the problem is the agent. I had directly contacted the landlord and he had agreed to rent it out to me for $3k. But then when he told the agent, the agent acted too smart and told the landlord this area can now fetch $4k and he told the owner to block my number and that he will deal with me directly. Then the agent jacked up the rent to $3.5k. I had initially agreed due to the pressure, but then later I told him, I would rather move to a 2 bedder for $3k and gave him a $3.3k take it or leave it offer. Agent came back with $3.4k counter offer. I stuck to my $3.3k offer.

The agent said he will get back to me but didnt. Meanwhile I tried to find a 2 bedder for $3k. They are half the size and further away from my daughter's school, so it is a stupid idea to move just to save $400 a month.

So I called the agent again today and asked him if he got any update from the owner. Agent told me owner verbally agreed to $3.3k but then he will get lower commision and asked me if I could top up $400. He told me it is just a request and if I refused also it is okay. I agreed to pay the agent $400. So agent is happy. So this is where it stands now.

This my biggest drama ever for a renewal. I have had several housing related dramas before in my 14 years stay, I had rented a loan shark house, I lost my deposit twice because I moved out early, I gave a cheque and signed LOI and then withdrew all my cash and backed out of the deal, etc lol. But I never had a drama for renewal.

But this particular house, the owner is not happy with the agent, he feels, he is not adding any value, the same tenant is renewing and also negotiating at a lower price always lol. So it is kind of tricky relationship.

I hope the drama ends here and I am able to renew and then rest easy for 2 more years.

Hope it is settled soon and you are happy (or at least OK) with the outcome.

I feel many people on both sides try to make this stuff more complicated than it is. Landlord and Tenant could talk face to face for five minutes and resolve everything most of the time (assuming both sides are reasonable).

[Wd40]

Hope it is settled soon and you are happy (or at least OK) with the outcome.

I feel many people on both sides try to make this stuff more complicated than it is. Landlord and Tenant could talk face to face for five minutes and resolve everything most of the time (assuming both sides are reasonable).

Thanks, yes, if it settles with these terms, I am pretty happy, given how crazy things have become. I can ride this for another 2 years and then take stock after that. Hopefully 2 years later, my salary is higher and the rents are same or lower.

The advantage I have is I have been here for the last 14 years, so I have some momentum going for me, my daughter's school is going on fine, my office is going on okay and my wife is happy doing volunteering stuff. But if I was coming here fresh now, I dont think it makes a lot of sense, to uproot everything from India and then settle for this kind of crazy stuff situation with housing and schooling, job situation for spouse etc I think many people would be thinking the same way and this would automatically make SG unattractive for family expats at the low end.

[Lisafuller]

In my case the landlord is not cocky at all. But the problem is the agent. I had directly contacted the landlord and he had agreed to rent it out to me for $3k. But then when he told the agent, the agent acted too smart and told the landlord this area can now fetch $4k and he told the owner to block my number and that he will deal with me directly. Then the agent jacked up the rent to $3.5k. I had initially agreed due to the pressure, but then later I told him, I would rather move to a 2 bedder for $3k and gave him a $3.3k take it or leave it offer. Agent came back with $3.4k counter offer. I stuck to my $3.3k offer.

The agent said he will get back to me but didnt. Meanwhile I tried to find a 2 bedder for $3k. They are half the size and further away from my daughter's school, so it is a stupid idea to move just to save $400 a month.

So I called the agent again today and asked him if he got any update from the owner. Agent told me owner verbally agreed to $3.3k but then he will get lower commision and asked me if I could top up $400. He told me it is just a request and if I refused also it is okay. I agreed to pay the agent $400. So agent is happy. So this is where it stands now.

This my biggest drama ever for a renewal. I have had several housing related dramas before in my 14 years stay, I had rented a loan shark house, I lost my deposit twice because I moved out early, I gave a cheque and signed LOI and then withdrew all my cash and backed out of the deal, etc lol. But I never had a drama for renewal.

But this particular house, the owner is not happy with the agent, he feels, he is not adding any value, the same tenant is renewing and also negotiating at a lower price always lol. So it is kind of tricky relationship.

I hope the drama ends here and I am able to renew and then rest easy for 2 more years.

This is unbelievable, I've truly never heard of any agent behaving this way. If there is proof of this interaction taking place, I'd try to submit it to CEA.

[Lisafuller]

In my case the landlord is not cocky at all. But the problem is the agent. I had directly contacted the landlord and he had agreed to rent it out to me for $3k. But then when he told the agent, the agent acted too smart and told the landlord this area can now fetch $4k and he told the owner to block my number and that he will deal with me directly. Then the agent jacked up the rent to $3.5k. I had initially agreed due to the pressure, but then later I told him, I would rather move to a 2 bedder for $3k and gave him a $3.3k take it or leave it offer. Agent came back with $3.4k counter offer. I stuck to my $3.3k offer.

The agent said he will get back to me but didnt. Meanwhile I tried to find a 2 bedder for $3k. They are half the size and further away from my daughter's school, so it is a stupid idea to move just to save $400 a month.

So I called the agent again today and asked him if he got any update from the owner. Agent told me owner verbally agreed to $3.3k but then he will get lower commision and asked me if I could top up $400. He told me it is just a request and if I refused also it is okay. I agreed to pay the agent $400. So agent is happy. So this is where it stands now.

This my biggest drama ever for a renewal. I have had several housing related dramas before in my 14 years stay, I had rented a loan shark house, I lost my deposit twice because I moved out early, I gave a cheque and signed LOI and then withdrew all my cash and backed out of the deal, etc lol. But I never had a drama for renewal.

But this particular house, the owner is not happy with the agent, he feels, he is not adding any value, the same tenant is renewing and also negotiating at a lower price always lol. So it is kind of tricky relationship.

I hope the drama ends here and I am able to renew and then rest easy for 2 more years.

Hope it is settled soon and you are happy (or at least OK) with the outcome.

I feel many people on both sides try to make this stuff more complicated than it is. Landlord and Tenant could talk face to face for five minutes and resolve everything most of the time (assuming both sides are reasonable).

Tough to do so when the agent asks the landlord to block the tenants number, and the landlord obliges.

[Lisafuller]

Hope it is settled soon and you are happy (or at least OK) with the outcome.

I feel many people on both sides try to make this stuff more complicated than it is. Landlord and Tenant could talk face to face for five minutes and resolve everything most of the time (assuming both sides are reasonable).

Thanks, yes, if it settles with these terms, I am pretty happy, given how crazy things have become. I can ride this for another 2 years and then take stock after that. Hopefully 2 years later, my salary is higher and the rents are same or lower.

The advantage I have is I have been here for the last 14 years, so I have some momentum going for me, my daughter's school is going on fine, my office is going on okay and my wife is happy doing volunteering stuff. But if I was coming here fresh now, I dont think it makes a lot of sense, to uproot everything from India and then settle for this kind of crazy stuff situation with housing and schooling, job situation for spouse etc I think many people would be thinking the same way and this would automatically make SG unattractive for family expats at the low end.

Absolutely. You're very lucky that you have settled here, have done well for yourself, and have a habit of saving.

[Wd40]

I look at negotiating rent a bit like our annual appraisal, just that the aim here is to lose as less as possible. If you really think about it, anything extra you pay in rent for the same house, is like getting that much lesser in terms of salary hike. There is no value add in paying extra rent. My rent has gone up by 1k inspite of my best effort.This is like 1k I didn't receive in my appraisal. Hence I treat this rent negotiation like a big deal. If you get your rental costs right, then it sets everything else on course.

[Lisafuller]

True, but still, infuriating behavior and a real lack of ethics!

[truthhurts1]

I look at negotiating rent a bit like our annual appraisal, just that the aim here is to lose as less as possible. If you really think about it, anything extra you pay in rent for the same house, is like getting that much lesser in terms of salary hike. There is no value add in paying extra rent. My rent has gone up by 1k inspite of my best effort.This is like 1k I didn't receive in my appraisal. Hence I treat this rent negotiation like a big deal. If you get your rental costs right, then it sets everything else on course.

In comical turn of events yesterday my agent come back to me again and said that she made an error and that the rental will be 3800$ for one year and 3700$ for 2 years, LMFAO
So I will start looking at new places soon…

[Wd40]

I look at negotiating rent a bit like our annual appraisal, just that the aim here is to lose as less as possible. If you really think about it, anything extra you pay in rent for the same house, is like getting that much lesser in terms of salary hike. There is no value add in paying extra rent. My rent has gone up by 1k inspite of my best effort.This is like 1k I didn't receive in my appraisal. Hence I treat this rent negotiation like a big deal. If you get your rental costs right, then it sets everything else on course.

In comical turn of events yesterday my agent come back to me again and said that she made an error and that the rental will be 3800$ for one year and 3700$ for 2 years, LMFAO
So I will start looking at new places soon…

Ouch! That's painful man. Yeah just tell her same rent or you are moving out and start looking for houses. This is a bit like a game of poker. The more options you have the more confident you will be to stand up to the agent and refuse to pay. Also tell the agent there are lots of houses now vacant and rental market is crashing. Forward her the article I pasted in the 1st page and give her notice. I am pretty sure she would rather want to renew with you for same rent rather than go through the hassle of finding new tenants.

Also I would suggest expand your horizon and look for places where you can get a good deal. I noticed every micro market is different. Sengkang and Punggol rents have really crashed compared to Jurong. In Sengkang and Punggol 3 bedder HDB asking is now 3.6k while Jurong they are still sticking to 4.2k. Good luck to them.

Here is the golden rule: The agents will just point out to other listings which are all same high asking rents, but that means shit. What matters is how many tenants are actually looking for a new place at this time of the year in your area. If there are 100 houses all asking 4k but there are only 3 prospective tenants whom those 100 houses are fighting for, you know who has the upper hand here. So go and see as many houses as possible and talk to the other prospective tenants and get their feedback. I am pretty sure the agents are trying keep up the farse and bluff, but it won't last long, the whole thing will come crashing down.