March 2010, property market is hot

Subject: March 2010, property market is hot Wed Mar 17, 2010 10:33 pm

I saw this in yesterday's paper. Private property marjet is heating up. Apparently prices are moving up too.

I'm no expert in property, or why is the market like this. But, isn't it not good to buy property now sine the demand is so high that developers raise the prices? And why don't these people realise this? Why does the demand still increase?

Subject: Re: March 2010, property market is hot Mon Mar 29, 2010 12:34 am

Hi,

Its always like that. Which is why Warren Buffet always say: Be greedy when ppl are fearful. Be fearful when ppl are greedy.

Most ppl just do not know what is happening, and just joined in together in the bandwagon.

In any investments, when uncles and aunties, cabbies, are talking abt it, its abt time to crash....hehe

Subject: Re: March 2010, property market is hot Sat Apr 03, 2010 1:58 am

Spoke to my girlfriend about this.

Apparently the prices are up due to the fact that demand is up and supply is low. This forms the "bubble". However, according to her, the bubble may not burst/crash anytime soon as in the property market, supply will usually be low, due to land scarcity and the long time it takes to build.

It's not the complete picture though. Property markets, although have their ups and downs, doesn't seem to be in tandem with the stock markets' ups and downs.

Subject: Re: March 2010, property market is hot Sun Apr 04, 2010 12:38 am

Hi,

I think you gf is correct in a way. The property is always a supply and demand thing.

Our govt is good, unlike the US, we are not likely to see a sub prime crisis here as they had already intervene last year..

However, there might be some crisis when ppl who had bought properties last year taking 90% loans or above unable to pay back when the prices drop. Or when interest rates rise which will be the case as we see inflation (or hyperinflation) a likely scenario in the near future.