Thursday, October 2, 2008
About this Blog
Based on URA estimated price index of private residential property, prices fell from 177.5 points in the Q2 2008 to 174.3 points in the Q3 2008. This represents a decline of 1.8%, compared with the 0.2% increase in the Q2.
This may mark the beginning of the decline in Singapore private property price which has held up until now despite the eruption of the subprime crisis in Oct 2007. Going forward, the Singapore private property market is likely to get gloomier as the global financial crisis accelerates and the Singapore economy looks set to enter into a recession in Q3 2008 that will likely extend to 2009.
May also want to read:
History of Singapore Property 1960 to 2008
Write-downs signal developers acceptance of price fall
Property Price Index Graph Plotter & Online Property Valuation
Your Property Investment Determines Your Financial Success in Your Life
URA Q3 2008 Real Estate Statistics Flash: Private Property Price Fell
Private Property Price Fell 1.8%
Based on URA estimated price index of private residential property, prices fell from 177.5 points in the Q2 2008 to 174.3 points in the Q3 2008. This represents a decline of 1.8%, compared with the 0.2% increase in the Q2.
This may mark the beginning of the decline in Singapore private property price which has held up until now despite the eruption of the subprime crisis in Oct 2007. Going forward, the Singapore private property market is likely to get gloomier as the global financial crisis accelerates and the Singapore economy looks set to enter into a recession in Q3 2008 that will likely extend to 2009.
May also want to read:
History of Singapore Property 1960 to 2008
Write-downs signal developers acceptance of price fall
Property Price Index Graph Plotter & Online Property Valuation
Your Property Investment Determines Your Financial Success in Your Life
Subscribe to:
Post Comments (Atom)
7 comments:
The signs of a looming economic problems, credit crunch, increasing cost of borrowing, cut in consumption of the people, poor business sentiments, stage of a recessions and worst of all, a complete disarray of financial markets worldwide which can result in a sharp decline or almost standstill in economic activities or lending, all pointing to a "resilient" or "our Singapore market is still holding well because of the IRs, increase in population, F1 and Marina Financial Projects"? Only fools would rush in. Patience and cautious are virtue. Singaporeans be careful with your hard earned monies. Live within your means and just stay in your own dwellings. Dont overcommit or speculate. We are living in dangerous time.
"Dangerous time" is the right way to describe it. The worst part is we don't even know how dangerous it is going to be. It is a danger that this generation of people is still yet to witness.
I don't know how dangerous this is going to be but I do know that for the Singapore private property market, it is very dangerous!
wait til tomorrow you get up and bailout kena throw out then see mother of all fears
Hi Smart Buyer,
I need some advice desperately.
I have just signed the option to purchase and paid $9000, representing 1% of the purchase price, to buy a freehold condominium. My main objective is to get my child to enter a primary school nearby.
However, with the recent extreme bad news that you see in the papers everyday, I am NOW seriously considering whether I should just let the option expire and not exercise it. I am very keen to buy, but just afraid that I might buy at too high a price.
I need to exercise my option soon. Please provide your advice asap.
Dear Anonymous,
I can understand your dilemma. $9000 is quite a pinch but you've got to focus on the big picture.
1. What is your financial risk?
E.g. If you see yourself getting into problem of financing the mortgage such as a retrenchment, then I'd say forget the option money.
2.What is your priority: Asset Appreciation or Meeting Your Needs e.g. getting your child to your choiced school?
If I were you, I'd forego the option. But I am not you and do not know all about your situation, so you'll have to decide in the entirety of your situation.
Wishing you the very best.
I would strongly urge you not to exercise your option. Private property prices in Singapore is totally inflated and misleading.You can buy cheaper.
Unless you like the house and with much cash to throw and dont mind to hold for the long term, then OK keep it but be prepared to close your eyes and dont be too emotional.There more and more hidden companies running into financial problems and surfacing soon,frauds may be rampant, retrenchments is natural, recessions are coming and very poor market sentitments resulting more house prices declines. Can you take it? It all pointed in that direction, There is no doubt about it. It is happening all over the developing and cities, why is Singapore so special and not affected? Be careful and be analytical on what you read in the papers and who wrote them. You have countries and cities with much larger populations, educated people and much more livier than Singapore, yet their property market is depressing and continue falling. Singapore is not longer competitive and rental is high now. What makes these powerful developers, speculators and rich foreigners think it will not happen here, as one reader said because of IRs, YOG, 6million inhabitants, etc???. It is already happening in Singapore but the decline is beginning now because they are speculators who bought in 2005/2007 who they still can hold and can also reap significant capital gains if they sell now. that is why the fall is slow. It is coming and you must able to take this. Dont be fool by the rich developers or speculators or some agents who want your monies at high prices. In summary, if you not in hurry, take the pain and dont exercise the option. Ask yourself and check around. take this as expensive tuition fees. You will not regret and if you really miss, so what, buy a resale HDB to your liking.
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 :)