Gravity defying Property prices...

[SirRichard]

Despite all cooling measures, our new launches continue to get snap up week after week.. I,ve been staying on the sidelines expecting a 1997 dip to happen but the price keeps getting up.

Are there any experienced investor here it share your views. Is the current trend any diff than 1997 or this price is going to be heading into heavens with no turning back? Should we buy in now or wait for a dip?

 

[TuaCheeBye]

The world needs another 911 or Sars

 

[kiss]

i doubt a crash will come but more likely softening of price. My guess..

 

[Brubeck]

Despite all cooling measures, our new launches continue to get snap up week after week.. I,ve been staying on the sidelines expecting a 1997 dip to happen but the price keeps getting up.

Are there any experienced investor here it share your views. Is the current trend any diff than 1997 or this price is going to be heading into heavens with no turning back? Should we buy in now or wait for a dip?

From 1997 till now, there are about 16 batches (16 years) of graduates joining the work force. These group of young people have no memory of the 1997 property doldrums. Young people, in general, think that they are infallible. The older folks probably have short memory too ...... brainwashed by PAP's infinite admittance of new immigrants.

Stand aside and watch the US situation. If and when the US govt default on Treasuries ...... long term interest rates will start to go crazy. And the direction is up.

I predict there will be many over-leveraged young yuppies and old blurfucks jumping out of their windows.

By then, you can leisurely go to property auctions and pick up dirt cheap deals.

 

[ray_of_hope]

Main interest is on the 2013 URA Master Plan, expected to be released soon.

 

[SirRichard]

Brubeck, I share similar view as you regarding uncertainty and dangers looming ahead as well as many young couples over extending themselves without recalling the memory of 1997. One year ago Even analyst from banks were predicting correction of 10-20% . With the current strong momentum, I'm starting to question my own judgement about the fall and that's why I hope experienced bros here can give second opinion. Current price is too high and I hope to buy in after a correction. I've been on the sidelines for a year and waiting.....

 

[cheerguan]

1997, no printing of $$$ by developed countries. Interest rate much higher then.

1997, PRCs not in the markets. And you shld know what their population is like and their craze over owning properties compared to other races. Also they can work 16 hrs or more a day, up to 365 days a year. Not mentioning those sidelines $$$ they can make at all levels and in all forms. That's why we sinkies are being put at the disadvantage as we have to follow the many strict laws here, so quite impossible for us to get rich unlike them. Not to mention, our govt bring millions of them in to push down our pay or take our jobs.

1997, PAP not as greedy as now.

 

[Force 136]

wait long long lah.....

Interest rates will remain low as long as the US continues with her Quantitative Easing
PRC money also continue to flow into Singapore
With the strong Sing Dollar, Indons will continue to plant their cash in Singapore.....

With the inflation rate at 4%, anyone with 200k would be a bloody fool if he keeps his money in fixed deposits.

And with 2016, the PAP cannot allow a property crash.
At the same time, Govt will not allow it to escalate out of control.

Conclusion - property prices will not drop, but remain will stable in the short term, with modest increase corresponding to the inflation rate

 

[Poomer]

wait long long lah.....

Interest rates will remain low as long as the US continues with her Quantitative Easing
PRC money also continue to flow into Singapore
With the strong Sing Dollar, Indons will continue to plant their cash in Singapore.....

With the inflation rate at 4%, anyone with 200k in the would be a bloody fool if he keeps his money in fixed deposits.

And with 2016, the PAP cannot allow a property crash.
At the same time, Govt will not allow it to escalate without control.

Conclusion - property prices will not drop, but remain stable in the short term, with modest increase in prices....

Only need one small shove is needed, to send shockwaves through the global financial markets and the current slowdown in the property market will become a slump. Once banks call in loans, people will start dropping from the skies.

The small shove can be a natural disaster, a shortage of resource, a large company that goes bankrupt or the US defaulting on their loans.

 

[THE_CHANSTER]

Eagerly anticipating a credit default on U.S Treasuries. That should trigger another financial crisis and global contagion will do the rest.

 

[MountainChicken]

Keep your money first. Wait till another economy crisis to happen. That's when you must buy with whatever you have.

 

[Poomer]

Eagerly anticipating a credit default on U.S Treasuries. That should trigger another financial crisis and global contagion will do the rest.

Amen, standby your warchest already eh?

 

[bryanlim1972]

Brubeck, I share similar view as you regarding uncertainty and dangers looming ahead as well as many young couples over extending themselves without recalling the memory of 1997. One year ago Even analyst from banks were predicting correction of 10-20% . With the current strong momentum, I'm starting to question my own judgement about the fall and that's why I hope experienced bros here can give second opinion. Current price is too high and I hope to buy in after a correction. I've been on the sidelines for a year and waiting.....

watch interest rates as many of the bros here have mentioned.

coincidentally, Executive Condos tend to become popular when prices are peaking.

 

[enterprise2]

Deps on who got better neg power now!! U would think its a situation of sell high buy high but the situation could end up with u sell low but buy high. U under pressure to sell your flat to get buyers but sellers not willing to sell low to u!!

 

[Poomer]

Deps on who got better neg power now!! U would think its a situation of sell high buy high but the situation could end up with u sell low but buy high. U under pressure to sell your flat to get buyers but sellers not willing to sell low to u!!

When shit hits the fan, banks will raise interest rates to help offset against the rising bad debts. Those who were enjoying the previously low interest rates but cannot afford it now will start dumping their houses at a low price as the transactions go down (the transactions are already down). The investors who have a wait and see approach realise that they may be stuck with those investments and lose their cool and start selling too. There will be alot more supply than demand, while the government will remove 1 or 2 cooling measure to stabilise the market in half a year time. By then, the market is already in freefall, market confidence is non-existent and the housing bubble has popped.

Let's face it, there is no value in paying 700k for a 99yr leasehold HDB 5 room flat with 70 years left, and that is the price for a resale 5 room flat in a mature estate in Bedok. People who pay such cutthroat prices and load up on cheap loans are gonna find themselves in trouble real soon.

 

[Narong Wongwan]

The world needs another 911 or Sars

Dun expect local property prices to crash or even fall drastically.
It is in vile shit pappies interests to prop up prices....can even say their lives depended on it.
Pap is in control of everything here....prices can and are easily manipulated.
Negative external forces that affects prices will be well mitigated.
Short of World War III there will be no crash....keep dreaming

 

[numero uno]

Dun expect local property prices to crash or even fall drastically.
It is in vile shit pappies interests to prop up prices....can even say their lives depended on it.
Pap is in control of everything here....prices can and are easily manipulated.
Negative external forces that affects prices will be well mitigated.
Short of World War III there will be no crash....keep dreaming

Bullshit all these hype and crap talk. . you must be one of those property agents whose commission depends on percentage of prices. in 1996-7 they say the same bullshit thing as you and alot of people committed suicide when the crash came. just not reported in papers. many went bankrupt even some former PAP MPs. you know who. same in 2000 dot com crash. same again in 2003 SARS when property prices crash literally overnight and alott of people got burnt. Same in 2008 financial crises/lehman bros when prices drop 30% for high ends. even now those high end aprtments in Orcahrd road can be bought relatively cheaply as has not recovered. you sound like thoose bankers selling crap derivatives like lehman brothers products. even when crashing still trying to talk up the market. there would always be crooks trying to talk c@ck. this cheap trick is call "pump and dump" method first used in stocks and now property prices. property crash is unpredictable and when it happens it is going to come fast and alot of people are going to get burnt. the usual cycle is 5 years. so one is coming anytime now any moment. look at US and the garmen shutdown. when interest rates shoot up alot of people would cry mother father. obviously MAS knows someting is coming that's why they are restricting loans and credit esp to those youngsters who gamble on credit. deserve to get burnt I say.

 

[rushifa666]

just laugh at the morons buying now. the timing is all wrong. this year is certainly out

 

[ChenHaoNan]

Warren Buffett said “ Be fearful when others are greedy. Be greedy when others are fearful.”

 

[winnipegjets]

It is happening everywhere because people have no where else to invest. They trust the stock markets and prefer something tangible.

Hold on to your cash as the fire sale of properties may happen sooner than you realize, thanks to the debt ceiling issue in the US.