• IP addresses are NOT logged in this forum so there's no point asking. Please note that this forum is full of homophobes, racists, lunatics, schizophrenics & absolute nut jobs with a smattering of geniuses, Chinese chauvinists, Moderate Muslims and last but not least a couple of "know-it-alls" constantly sprouting their dubious wisdom. If you believe that content generated by unsavory characters might cause you offense PLEASE LEAVE NOW! Sammyboy Admin and Staff are not responsible for your hurt feelings should you choose to read any of the content here.

    The OTHER forum is HERE so please stop asking.

Property bubble to burst?

Ripley

Alfrescian
Loyal
Home > Breaking News > Singapore > Story
Nov 9, 2009
MAS warns of capital losses <!--10 min-->
<!-- headline one : start --> <!-- headline one : end --> <!-- Author --> <!-- show image if available --> <table border="0" cellpadding="0" cellspacing="0" width="100%"> <tbody><tr></tr> <tr> </tr> <tr> </tr> <tr><td colspan="2" class="padlrt8 georgia11 darkgrey bold">By Gabriel Chen </td></tr> <tr valign="bottom"> <td width="330">
mass-bloomberg.jpg

</td> <td width="10">
c.gif
</td> <td valign="bottom">
c.gif

'More than 70 per cent of housing loans are for owner-occupied residential properties, which is suggestive of a lower risk profile,' added MAS. -- PHOTO: BLOOMBERG
</td></tr> </tbody></table>
SHOULD global growth turn out weaker than expected, property buyers and speculators could face capital losses as the market corrects, the Monetary Authority of Singapore (MAS) has warned, calling for 'close monitoring' of home prices and transactions. 'Despite the lingering uncertainties in the domestic and global economy, domestic property market activity has taken on its own dynamic,' the central bank said in its annual Financial Stability Review released on Monday. 'The risk of a renewed escalation of speculative momentum cannot be discounted. The nature and timing of further measures, if deemed necessary, would have to be balanced against the still uncertain path of economic recovery.'

Conversely, if the recovery stays on course, interest rates will eventually rise and drive up financing costs, MAS also noted that banks' property exposures, as a share of their total loan portfolios, have declined slightly this year, mainly due to fewer loans to property companies, while asset quality of property-related loans has generally held up. 'More than 70 per cent of housing loans are for owner-occupied residential properties, which is suggestive of a lower risk profile,' added MAS. To curb speculation in the property market, the government has barred interest-only loans for some housing projects and stopped allowing developers to absorb interest payments for apartments that are still being built. It is also ramping up the supply of land for for homes in the first half of next year as part of measures to prevent excessive price swings.
 

Watchman

Alfrescian
Loyal
People are consoled by the year end activity.

But next year going to get bleaker .

More job losses means more slave economy.
More slave economy means you got to depend on the rich to spend .
 
Top