MArkets go up and markets go down and thats hows things been working since the dawn of time.
Property is the bedrock of Singapore and the government will always be there to prevent things from going to far (50% of the population rely on their inflated
HDB prices to stay happy, I really don't think the govt wants to piss them off in lieu of recent unhappiness we are seeing), rest assured if things go down as badly as the US everything in Singapore will go to the toilet. Even our job will be at stake.
I am not saying there will not be a correction of some sort but I doubt anything like 97 will occur given how strong we have become financially since then.
Your analogies only apply for those who do not have holding power and are already vested in something that’s over inflated. This likely does not apply to the first poster since he bought in a down markets
I too own a property which I bought for 500K and now being valued at 850K (Commercial), I get Gross 3K a month rental for this which is about 2K nett. That's almost 5% per annum on my original investment. Given the rental returns on commercial now is about 3% now the 850K valuation is about right (I got ready buyers too). However I choose not to sell as I like a steady cashflow stream.
Of course things may not stay rosy forever but I have holding power so its not a concerns of mine.
Quote:
Originally Posted by Wiseman1
Since he is not polite with his response, why should I bother to be civilised???
Where did you see me say he is stupid to buy a property for investment when the market is down?
All I am saying is there are a lot of property owners up there sitting on paper profits so they think they are worth millions. Is this not a mirage?
Everyone should do a reality check, you are not worth the millions you think you are, until the point when your properties are sold to the next sucker and cash is in your hands. But first of all, you must find that sucker!
This is not being sour grapes, this is a fact, the irrational bullishness and misplaced optimism that silly-poreans hold on the property front is the biggest risk yet to the property market as a whole.
The current situation is akin to a musical chair, I buy a house at "x" price, I dont care if the price is too high, I am confident the market would keep going up, there would be another person who would come along to buy my house at even higher prices so I can make a tidy profit. It wont go wrong....but we all know the music must stop at some point
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