Originally Posted by
Sean.G
Dear condo singapore supporters,
With all this talk of recession and property price crashing, I think we have all failed to take into consideration the very basic question of who is the one who is most affected by an economic recession.
Here we are discussing about landed property and condo prices. However, if you actually go look at the job fairs, those that are fighting their fellow Singaporean for jobs are those who make up the bottom 50% of the population. They cannot even afford a 4 rm HDB flat let alone talk about upgrading.
Hence, is there really a strong case for private property prices to crash albeit drastically? How badly hit are those who belong to the top 20-30% or even 40% in Singapore?
How many property investors here use your credit card and only pay the minimum monthly installment?
My two cents worth is that the only group (in condo or landed) that will be hit in this recession are those who have overstretched themselves in the last upturn (i.e. those who bought into One Amber, Seafront@ Meyer, Sentosa Cove, reflections@keppel, marina bay residences, one shenton...etc) buying on DPS. But most of the other investors who are cash rich or make prudent investments, or are in stable jobs will be able to weather this recession just like any other.
So are we going to see 500psf D15, 600-700 psf D12, 800-1000 D9,10,11 and D3? i dun think so. Property prices might dip a little but not as drastically as imagined. Hence I would like to retract my earlier speculation that property market will go into a great downward spiral. For ppl like gfoo who have done their calculation and bought sail now, i tink its just as good an investment as i dun see the sail falling to 800 even 900 come end of 2009 or 2010.