Singapore’s Property Market Is Set to Sizzle
What an attention-grabbing headline from Bloomberg. How do you feel after reading the headline? As a homeowner, you may be feeling good that you are sitting on a property that looks set to increase in value the next year. As a home seeker, you may be rushing to hunt down your dream home before prices are set to increase.
Yes, that is the power of media and herd instincts.
Putting the psychological impact of the article aside, let’s take a look at some of the salient points in the article:
- Singapore’s residential and office market has passed its inflexion point, embarking on an exciting recovery journey
- With brighter economic prospects and improved market sentiment in the next two to three years, developers are increasingly sourcing land sites to ride the wave of growth for the rest of the decade
- Home prices could rise as much as 10 percent next year, according to analysts from Morgan Stanley, BNP Paribas SA and UOB Kay Hian
- With housing-affordability much better in Singapore, there may be a surge in demand next year
- Singapore’s property market has largely turned the corner, underpinned by a brightening economic outlook
Read full article here.
Do you agree?
Well, at this point in time, SPK agrees with the article that there are a lot of positive signals in the market that are pointing towards a rising property market for at least the next year. Improvement in economy and job market, wealth creation through collective sales, positive sentiments driven by stock market highs and news headlines, herd instincts, family formation/upgrading and an extended period of low and competitive mortgage rates are probably to stir buying interests in property. But nonetheless, it is important to watch out for red flags in the economy and the market.
Property cycles are getting shorter these days and it is important to ride the cycle at the early stage and not ending up being the one without a seat in a game of musical chair.