To talk about a glut collectively without making any differentiation or distinction between the mega mass condo projects and those one/two tower condos would not be considered as unbiased view. Putting aside the fact that the mega projects have a much longer gestation period, even if all the projects were completed in 2018, it would not be the case that all condos will face the same doom. The Astaka condo would probably fare better than the Country Garden one, for example. There are so called better and more desirable projects which may yield positive returns compared to others. I do not have the figured to make any further comment but perhaps someone may be able to throw light on what proportion of the over supply these mega mass condos contribute to.
The market is all about supply and demand and if this equation is well balanced, then everything is fine.
However, if one variable grossly tips the scale, then problem starts.
For example, we saw first hand 5 years ago in SG when the demand in HDB outpaced the supply, resulting in long waiting time and high resale prices, causing public unhappiness and anger.
This same problem is also happening right now in MY when the govt failed to deliver the number of units for the lower income group by a larger shortfall.
Over at the private housing development in MY, especially in JB, the situation is plain over-supply or you can say glut.
An over-supply is measured by the number of unsold units in relation to the overall development.
Example are mega projects like Country Garden and Princess Cove where after their launch 2,3 years ago, together, there are still an abundant of unsold units.
This, coupled with another thousands of resale units from recently completed development just make the situation even worse.