Quoting syiyee:
To develop a 700 Millions project, they only need 10% - 20% of own
capital to develop it.
The funds will come from Buyers/Bank, they need to pay deposit only
10% of the house price.
Before the project begin, buyers need to pay 10% deposit and
downpayment.
Most of them is loan from Bank.
If buying full cash, they need to pay partially depend on the
project completion.
Now they got 10% of the buyer downpayment.
They started to build the project,
WHEN THE PROJECT COMPLETED 20%, THE BANK WILL ONLY RELEASE 10% FUND
TO EPV!
WHEN THE PROJECT COMPLETED 30%, THE BANK WILL ONLY RELEASE 20% FUND
TO EPV!
WHEN THE PROJECT COMPLETED 50%, THE BANK WILL ONLY RELEASE 40% FUND
TO EPV!
WHEN THE PROJECT COMPLETED 100%, THE BANK WILL ONLY RELEASE 100%
FUND TO EPV!
THE BANK WILL NOT STUPID TO RELEASE ALL FUNDS TO DEVELOPER IF THE
PROJECT HAVEN COMPLETE, THEY WILL ALWAYS RELEASE LESS FUND FROM THE
PROJECT COMPLETION PARTS.
THE FULL CASH BUYERS DO NOT NEED TO PAY FULL CASH AT THE 1ST TIME,
THEY WILL PAY DEPEND ON THE PROJECT COMPLETION.
syiyee, I think you didnt read the Empire Venture FAQ?
Here's the link: http://www.empirepropertyventure.com/etp-inserts/faq_eng_261007.pdf
Quoteing:-
How do I finance the
purchase?
You may select one of our two attractive installment plan specially
arranged for you:-
a. Option 1 to pay 3% for the next 30 months
b. Option 2 to pay 5% for the next 18 months
When will I start payment of
the installment plan that I have selected?
You will start paying according to the schedule of payment of the
Installment Plan that you have chosen 1 month after your payment of
7% down payment and selection of the Installment Plan
Why should I select to pay 3%
or 5% installment plan, when construction stage of pilling work not
complete yet?
We are giving you special discount, which will be reflected in the
supplementary agreement that you will sign. This discount is
inclusive of fully furnish and GP that you will get.
Unquote.
So you see Syiyee, you start paying 1 month after signing the
agreement, irregardless of project status, and whether it started
or not, whether at what stage.
And it is not the banks that will be dealing with Empire Venture
Corp. It is the SE Merchants themselves. The Banks are taken out of
any equation here. It is up to the SE Merchants to do whatever they
can to get the money to pay monthly.
Quoting:-
Flowchart for selection of
the Installment Plans
Option 1 3% for 30
months
Option 2 5% for 18
months
Select unit of your
choice (subject to availability)
Pay 7% of the down
payment (as per your unit selling price)
Submit copy of your
NRIC / Passport
Select your
installment plan (either Option 1 or Option 2)
Sign your Sales &
Purchase Agreement (with attachment of your selected Installment
Plan) & Tenancy Agreement (if applicable)
Start payment of your
Installment as per your Option 1 or Option 2 (approximately 1 month
later)
Unquote.
If you were to refer to my Post earlier: http://www.sgforums.com/?action=thread_display&thread_id=276414&page=63
I said:-
In most pyramid schemes, the early birds usually walks away
winners while perhaps 50% of the people wil lose.
In SE case, everyone will lose!
This is because SE has a regular contests where they encourage
everyone to 're-entry'
Examples are:
http://www.sunshine-empire.com/download/Memo_Incentive%20to%20Genting%20&%20Korea%2007.pdf
So everyone will be encouraged to put back whatever they have
earned!
Now I believe that even Top managers are not spared. With the sales
of properties limited to only SE members, Top managers would
naturally have to 'lead by example' in buying those units. And in
the old FAQ, all buyers must buy a minimum of 10 units. This must
be so that they can push it to their downlines.
And since once the deal is signed, they have to start paying a
month later, can you imagine how much they have to put in
monthly?
Say for a $700,000 house, a SE member pays 5% over 18 months.
(refering to KL Project as
example)
So in a year, it would have been $35,000 over 12 months =
RM$420,000!
So every month, the SE member would have to fork out around S$20k
to pay for his house.
SE Members will be practically putting back everything they earn
initially into the Property purchase. Not only putting back
whatever they earn... it will be worse because banks wouldn't lend
money to a project that hasn't even started... so where are they
getting the monthly $20k from???? Friends, banks, credit cards,
company loans, insurance policies???
So if the house isn't built yet in 1 year and the company
folds....
The implications are scary indeed!
I believe this will be a Everyone-Lose scenario.
