Singapore Property Market | Lush Dream Home

Posted on 17 Aug 2009 | Comments Off

Pauline Goh
Managing Director
CB Richard Ellis Singapore

DESPITE an economy that’s still in negative territory, there has been significant demand for private residential housing. New home sales totalled 7,250 in the first half of 2009 – up 70.0 per cent from 4,264 sold in the whole of 2008.

Several factors combined to bring about this pick-up. Potential home-buyers who had substantial savings when the economy was booming from 2005-07 were priced out of the private residential market as prices rose too quickly. Now that prices have corrected – some 25 per cent from the peak in Q2 2008 – buyers are taking advantage of the opportunity to purchase. In addition, investors have switched their focus to property after losing faith in structured products during the debacle that affected big-name financial institutions last year. Continue reading →

A call for self-restraint

Posted on 17 Aug 2009 | Comments Off

WHEN National Development Minister Mah Bow Tan warned against property speculation recently, many – especially those in the real estate business – thought he was being a party pooper coming in to spoil the fun.

He had said: “Some of the practices and habits that you saw in the last property boom are beginning to come back, so I think we’ll have to be careful.”

The note of caution was appropriate and timely, given that we are still in the midst of a recession and headed for negative growth at year’s end, despite the strong comeback of the stock and property markets. And look at how crowds continue to throng showflats, sometimes days ahead of the launch.

Greed is back. Continue reading →