"Why property prices will remain high" - Read already?

[Chewbacca]

I think most interested in properties have already read this article.

 

http://www.asiahomepreview.net/2012/02/25/437/

 

Your opinions on this article?

 

My opinion: I agree that an 'excessive price fall' is unlikely. I'm thinking of 8-10 percent. PAP really don't want the bubble to burst. They want to let it slowly deflate.

 

The article does not account of foreigners leaving. And of all those that came, how many plan on actually buying and staying here for good?

 

Definition of foreigners? PRs only? Or including EP/WP? It is ridiculous to include foreign labourers in his number of foreigners, but maybe he excluded them already?

 

[Wyfitms]

Yes, PAP will want to slowly deflate. Unfortunately, they are policy makers and do not understand the market. So as usual, they will only over estimate or under estimate and screw things up again.

 

Take a look at URA's residential price index. From 1Q1993 until now, there has never been a soft landing. only crashes after a sharp spike in prices.

 

Met with the 'property analysts' from URA and the policy makers of MND sometime back. Good academic knowledge (most are quite young and grad from ivy league colleges) but almost zero clue on what's going on in singapore. Many are economics major or even engineer by training (?!?!) but none i met was expert in urban economics. And few majored in real estate.

 

wrote them off after chatting for a while with them. Just be happy to capitalize on Sg's boom & crash ppty mkt.