Like luring a fish with worm bait, many developers are creating schemes to attract more investors in purchasing properties. Since investors buy properties to gain from them through renting, rental guarantees have been made for several properties. For instance, Far East Organization proposes rental guarantees for chosen units in several projects like Icon, Orchard Scotts, River Place, Tanglin View and Vida. Their rental scheme will help out investors in supervising tenants of their apartments. They have also provided in-house leasing and estate management teams.
Aside from Far East Organization, other property developers have thought of more ways to draw in investors. Wing Tai Holdings of Belle Vue Residences has thought up of deferred payment scheme (DPS). The scheme consists of a definite return of 20 percent of the down-payment once a buyer considers a unit. The buyer will have to pay 20 percent of the original price as down-payment. This is a win-win situation for investors since with this scheme, they also gain from it. They will receive a guaranteed income of 10 percent/year for two years on their down payments. Buyers will also gain a certain amount depending on the price of their selected unit. But this shall only take effect when Belle Vue obtains its temporary occupation permit (TOP) sometime before 2011.
Market analysts believe that such schemes are effective and help both buyers and sellers. Other property developers are offering similar schemes with slight difference in figures.