Mid 2015 Singapore Property News Update
It’s been an interesting 2015 for the Singapore Property Market, with the slowdown showing no signs of immediate relief. When compared with those sold in 2014, sales of new homes were down 57% according to this PropertyGuru article.
Rental yields are also down, and this is attributed to the increasing supply of new homes in the market as well as a supposed tightening of foreign talent inflow.
Even foreign press has given their inputs on the property market in Singapore. Bloomberg commented that defaults are rising especially for owners of multiple properties who most likely cant afford to maintain multiple empty homes.
However, while the volumes have gone down, prices have not budged much, with the non-landed prices dropping only 4% in 2014.
Analysts predict that the government would only take away the cooling measures once prices have dropped a certain level, most likely around 10%.
Banks have also given their forecast of the property market in Singapore, a BNP Paribas report stated that prices might still drop another 10%. UOB research stated however that there would be Government intervention by the end of the year.
From our point of view, there probably wouldn’t be drastic government intervention unless there is a repeat of the 2008 situation. The MERS scare in South Korea might be a critical point since Sars had made a huge impact in the property prices.
You may also want to refer to URA’s website for official statistics.
This is Propertyguru’s forecast for 2015.
For those who want to take advantage of the drop in property prices, you might want to read our article on beating the cooling measures and avoiding the ABSD.
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Zubz Kadir
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Your blog shared latest property update which is very useful for all the buyers. Thanks for sharing such kind of useful information here.