Singapore - To go or not to go for property investment talks

With numerous property investors in Singapore, property investment talks seem to have caught on here.

They are usually conducted with themes such as how to get rich through property investment or how to buy 10 properties for the price of one and range from short one- to two-hour talks to three-day long seminars which can cost up to $3,000.

Course participants choose their talks based on the speaker, industry experts told The Straits Times. Different personalities attract different people, these experts said.

An investment expert said her course attendees trust her and have bought units in her development even before the launch.

Other investment experts do it differently. One seminar organiser runs courses for property agents and and keeps the class size small to facilitate learning. It also shares good deals with course participants.

Yet another investment expert teaches consumers how to not overpay for property and how to see the upside potential of a property.

Another industry expert said speakers or organisers usually have an agenda.

Why people pay

According to The Straits Times, seminars can have between 20 and 300 people, each paying about $3,000.

They pay the money to gain market insights and find out ways to invest and make big money. They also ask questions, unlike picking up tips from a book.

A seminar participant said it was also to get property leads and learn about investing.

Another participant said she signed up to learn more about investing before plunging in and that the e-mail updates that the seminar firm sent her were useful as these kept her updated on investment opportunities in Singapore and overseas and new launches.

The sales pitch

Speakers also need to be good at closing deals, a former seminar organizer told The Straits Times. That's because property sales are a top priority for seminar firms.

Participants trust speakers more after spending two, three days with them and this makes it easier for speakers to sell the properties.

Positive vibes are also injected into the seminars through music, the speakers and games and exercises. Such an atmosphere might motive a participant into buying a property.

Understand the risks

However, some strategies that these seminars teach may not be without risk.

A seminar participant said one strategy which was taught by organisers was to invest as a group.

This would result in a smaller outlay needed than if one were to buy property on his own. However, properties are not that liquid, the participant said.

And there is also the issue of a fellow investor becoming bankrupt.

The Council for Estate Agencies told The Straits Times that checks are being conducted to ensure that seminar organizers comply with the Estate Agents Act.

These checks include on-site inspections.

The Estate Agents Act covers the conduct of estate agency work in Singapore even if the property is an overseas one.

Speakers found conducting estate agency work and operating without a licence or registration can be fined up to $75,000 and/or jailed up to three years.

Tips on investing in property

1) Investors must always do their own homework. Do not buy blindly just because the absolute price or investment appears affordable and reasonable.

2) Check to see if that is the market price and if you are buying at the same rate that is marketed in the foreign land.

3) Always take time to think about the deal. Do not feel pressured to buy on the spot. There will always be another good deal waiting for you.

4) Always check the track record of the speakers to make sure that they are for real and be wary of deals presented.

5) Consumers should also find out other details such as their eligibility to buy the particular property and all the costs involved, for example taxes, if any.

6) Conduct research, look at the viability, pricing and terms and conditions of the purchase.

7) Do not rely solely on the advice of the speakers or vendor's representative of the foreign property.

8) Deal with only sales staff who are registered with CEA if you intend to engage one to handle your property deals.

AsiaOne

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