Property market in Singapore is definitely doomed to fall over the next 2 years. Regulators will aim to bring down the prices to be in time for the 2016 GE. ... Concentration on sub urban units, majority of buyers are HDB dwellers, absence of free-spending foreign investors and sales of luxury units.
I think the general property market - excluding high end and luxury sector has peaked sometime 4Q2012. Worst case it may remain sticky at current levels. Agree with Bro Fund Transfer, there is more downside pressure, especially on the entry to mid range properties. How much I think is a function of the rate of job losses in a weakening economy and in part unintended side effects of various government cooling policies. Granted there is also a political dimension to the equation. Clearly the global economy has been rather weak. Singapore being an open economy will continue to get dragged down with it.
The key thing I am watching is jobs. Today's MOM report about layoffs is probably just the start of the trend to come. Just ignore their upbeat spin explaining the job losses in the report. They all are paid to tell a good story in face of bad data. Just concentrate on the numbers. The key take away was layoffs in the services sector. At the end of the day it is the jobs, jobs, and jobs that drive any economy.
Such is the beauty of life. If indeed a correction is on the way and the Singapore economy is weakening, it does throw up a host of other questions. Job security, risk appetites, etc. Also how is that going to impact on Iskandar Johor considering Singapore and Singaporeans are the bigger subset of foreign investors in Iskandar? Interesting times.