Originally Posted by
Eastboy
prices will hover or continually creep up as long as interest rates remain low (which the fed says quantitative easing will continue at least till 2014). with no major external shocks, i don't foresee any surprise movements.
observers all say 2015 is the year to watch as everyone is waiting to see if the supply will be fully absorbed. frankly speaking, looking at all the take-up rates of the new developments now, i think absorbing current supply is not a worry at all.
at the rate of how land is being sold to developers, the planners know that there is a pent up demand and they are trying their best to 'soak up' all these demand as fast as possible to stabilize prices. i also have faith that there would not be a case of 'oversupply' as all these numbers have been crunched and calculated (assuming that they perform sound data analysis) to match demand to supply optimally.
in general, government will plan for POSITIVE GROWTH.
Property prices will simply go up over in the long term. You cannot go back to the few years before and lament that it was 600psf then. Then we did not have circle line, no NE line, fewer expressways etc etc. Singapore has developed at an exponential pace and hence as we achieve global cities status, property values simply reflect that status.
You go NYC, Tokyo, London, Paris.....do the prices ever fall sharply?