Property Market Outlook In 2019

900 flat buyers cancelled their BTO bookings in 2018. This leads to unused inventory in public housing. We have been seeing consistent ramping of supply in public housing for the past couple of years. Of course, this has impacted the resale HDB prices significantly, resulting in gradual decline in price index since 3rd quarter 2013.

Source: The Straits Times, 15 Jan 2019

Minister Lawrence Wong added, “... the pricing of new flats follows the objective of keeping public housing affordable.”

The pricing of new flats affects the pricing of resale flats. It is very likely that we continue to see HDB resale prices experiencing gradual decline or status quo for the years to come.

In comparison with private housing, we see a distinctive separation in price gap. Despite the cooling measure (Jul 2018), tighter financing requirements, rising interest rates, as well as higher property pricing, we are seeing increased sales volume ——- more buyers than ever!

Source: The Straits Times, 15 Jan 2019

This is simple economics. When there is demand, prices will continue to rise. Since 2017, we have seen new benchmarks in pricing for private housing for all regions in Singapore (CCR, RCR & OCR). Many have made hefty sum of profits.

They say that talk is cheap until you walk it out. So I have personally made that move because I’m convinced that the market is on the uptrend. Don’t wait until it goes downwards before you decide to make a decision. By then, you may have to wait for the next long property cycle, which means a lower chance of eligibility due to age factor.

P.S: In life, don’t follow sales pitch and what people say until they show you that they have done what they say 🙂