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Why Singapore Property Prices Might Fall In Year 2012?

Written by Dennis Ng on .

What's the latest news on Singapore Property Market? What's my latest view on Singapore Property Market?

All summarised in this single posting at

Dennis Ng


[quote="Dennis Ng"]

Hi all,
if one analyse with a Rational and Logical Mind:

1. Interest rates now at historical low, means it can only go up, not down. Interest rates on Home Loans can shoot up to 3% to 4% based on previous experience.

2. next 2 years, more than 30,000 condo units completed, with huge supply coming, guess Rental rates will go up or down?

3. If rental rates go down and interest rates go up, guess will this make Property Investment more attractive or less attractive? Rental yield now at current rental rates is 3% to if rental rates drop, what would the revised rental yield be?

4. HDB built 8,000 units in year 2008. But for year 2011 and year 2012, going to build 26,000 units in each year, or 52,000 units in 2 years.

5. With Supply of both Condos and HDB flats expected to SURGE in next 2 years, if coupled with a slowdown in economy due to the next Global Financial Crisis, guess what will happen to Demand for properties?

6. Yesterday, on News Radio I shared that last month report show Job advertisements at Record High in 5 years, after reaching Mountain top, the way is Up or Down? Remember I share often in Seminars that Good News may be Bad News instead?

If one use a logical and rational mind to analyse ALL above factors I mentioned, will you think using Upside/Downside Analysis, which is More, Upside more or Downside more?

And what will be your Decision as to whether to invest into Condos now?

I seem to be able to see the future, not becos I know how to predict, but becos I train myself to use a Logical and Rational Mind to analyse information and draw my own conclusions.

I'm teaching all of you the Thinking Process I go through, this is Teaching. I think anyone who think through this proper Thinking Process will more or less come to the same conclusion, unless the person has a very Biased View on markets.

And if you think that instead of investing into Condos, then maybe you switch to invest into Commercial Properties (as some Trainers out there are now advocating), then you might be wrong again. I chatted with 2 multi-millionaires who specialise in investing into Commercial Properties and they shared with me their view is that now the Upside/Downside is NOT in investor's favour, and they themselves are NOT considering to buy more Commercial properties, but may sell if the price is Attractive enough for them.[/quote]


Dennis Ng

Among other things, Mr Khaw Boon Wan, Minister for National Development said on his blog last Thursday that 'sharp property price increases cannot go on forever' and that 'rapid price increase brings with it enormous risks' and 'I think it is my duty to sound an alert . . . that things can go very wrong suddenly'.

The 2H2011 GLS Programme will therefore have a total of 30 sites for residential development, including 4 EC sites and 1 commercial & residential sites, which can generate about 14,200 private residential units.

The MND revealed that 34,270 private residential units out of 68,890 are unsold as at the first quarter of 2011.

This figure may rise to about 53,000 units
if the potential supply from recently sold GLS sites and sites from the Confirmed List of the 2H2011 GLS Programme is considered. There is also an additional 4,220 EC units in the pipeline.[/b][/color][/size][size=18][color=blue][b]15 Jun 2011 New Home Sales Plunge By Half

CBRE data also show a drop in sale volumes: 3,796 new private homes were sold this year till last week, well down from the 7,189 sold in the first half of last year (Year 2010).