Friday, August 8, 2008

About this Blog

Integrated Resorts' Success Already Priced Into Singapore Property but Integrated Resorts' Success is Not Given

True, IR creates an industry where there previously was none and has potential.

If it succeeds, I doubt there is much further upside (for property price), as that story has already been priced in. How else to explain a 50% jump in prices in only 1-2yrs?

On the other hand, I think its success is not a given, and anything less will lead to a collapse in prices.


Lots of competition from Macau for Chinese, Crown for Australians, Genting for Malaysians.

Theme parks

Every theme park in Singapore has been a failure. To break with tradition will be an uphill battle. Disney can count on a ready stream of disney-philes. Even Hong Kong Disney is doing poorly. What do we have that's even more compelling? Also local weather (hot, rainy, humid) isn't very conducive for theme parks.


Singapore is just too darn expensive. Hotel rates are a killer.


KLCC, Bali, etc all have some spawling exhibition and convention areas. Much cheaper, and nicer surroundings.


Tourism is fickle. Its also a extravagance in hard times. It can totally collapse if there is an outbreak of some infectious disease (SARS, bird flu, mad cow have all shown this to be true), or a terrorist attack.

That prices haven't fallen even more dramatically I think is because once invested, human psychology is that we will rather live in denial than face the facts. So we cling on to any hope. IR, short US recession, remaking Singapore etc. When time finally erodes that hope, prices will collapse. This phenomenon has been observed in US and UK. Prices plateued for a long time before an accelerated fall. I think we're still in the phase of denial and hope.

Posted by Ann at the Singapore Property Forum.

May also want to read:
History of Singapore Property 1960 to 2008
Buy or Not Buy: How to decide amid mixed market signals
When to Buy, When Not to by
Property Price Index Graph Plotter & Online Property Valuation
Your Property Investment Determines Your Financial Success in Your Life
HDB Resales: West Sees Highest Price Increase


Post a Comment

Dear visitors:
Your comments are most welcome!

The blogger here has been affectionately named by close allies as "Smart Buyer" but really, he's not smart. Smart Buyer just believes that being prudent is smart. That's the essence of the message of this blog and Smart Buyer hopes it'll benefit other property buyers.

Smart Buyer :)