Forums - View Single Post - When getting advice on Getting Rich, never trust Property Agents / Consultants
View Single Post
  #1 (permalink)  
Old 28-12-2008, 02:34 PM
Posts: n/a
Default When getting advice on Getting Rich, never trust Property Agents / Consultants

Haven't you noticed? Whenever interviewed by the media, they almost always talk up the property market, saying things like prices have stabilized and now is the best time to get into property.

Yes, according to them, NOW is always the best time to buy property.

Recent case in point: in today's Sunday Times, among the 10 investment "experts" interviewed, the PropNex CEO said "property is certainly a good investment now". Only 2 other interviewees shared this view. Another gave a rather redundant generic advice - "property investment is sound if one is confident...", while six others suggested waiting for prices to drop further.

That is why I always give a huge discount to what those PropNex and Knight Frank directors said. They are biased. It is always in their interest to say something that helps their business, especially in times of declining property transaction volume.

Yet, incomprehensibly, the newspapers keep asking them for advice on property investments.

In my opinion, they should only talk about how the property market is doing and not make any predictions. Neither should they give any advice.

Same goes for property agents.

Otherwise, it's like asking a bank relationship manager whether her investment products will do well.

[Added 29 Dec: ]

But there's one piece of good unbiased analysis in the Sunday Times feature, coming from someone who doesn't deal in property for a living. Mr Gabriel Yap, senior dealing director with DMG & Partners Securities said:
"(My best decision this year was) to liquidate practically all my trading portfolio when the market saw two price peaks in October 2007... Based on experience, property will be the last asset class to recover this time round, in view of the looming supply. As with the past great equity bottoms of the Singapore market in 1985, 1998 and 2002, equities will bottom first before the economy, then will come companies' earnings and lastly, the property market."

Primary School English Grammar and Vocabulary Drills
Primary School English Grammar and Vocabulary Drills

SG Bus Timing App
SG Bus Timing App - the best bus app - available on iOS and Android

SGX Stocks Android App - check share prices
SGX Stocks [Android] App - check latest share prices on the go

SGX Stocks for iPad - check latest Singapore share prices
SGX Stocks [iPad] app
| SGX Stocks [iPhone] app
Reply With Quote