Property Sales Up in Singapore?

Singapore property sales didn't really go up in November this year; it merely rebounded up 63% after having fallen 70% just the month before. Such are the types of statistics all of us must be vigilant about. Too many unscrupulous people are more than willing to furnish partial statistics that appear very appealing to would-be buyers.

Like all countries around the world, Singapore is not immune to the ravages and gloom of an economic recession. As tourism, foreign investments, port of call services and exports are all affected by economic downturns, how could Singapore not be affected? But true to the age old tradition of "conman-ship", there are those that would have you believe that some rocks have blood coursing through them.

Singaporean Real Estate

The real estate industry in Singapore is much the same as that in any other country: there are properties for sale, and there are buyers for such properties. The only difference here is that the amount of undeveloped land available for sale is not only limited, but controlled by the Government. In short, new plots of land are offered for sale by tender at the sole discretion of the Government.

In this respect, the Government manages to maintain the demand for land by simply withholding the sale of new plots of such land during periods of lackluster demand. After all, how much lower can real estate prices go if the supply of land matches its demand? And while most of the past economic recessions did not last for more than a year, this present one is speculated to be capable of dragging on for years. Such grim forecasts have been met with much apprehension.

Foreboding and Apprehension

This present economic recession has affected everyone. Employers are bracing themselves for the worst yet to come while the average worker cannot help but wonder whether he will still be employed next year. Nobody really knows. Despite the Government's reassurance that it will do all that it can to lessen the impact should this recession turn out to be the "perfect storm" of economics, it shall take more than assurances to ride this out.

Just last month, local news reports had cited real estate analysts predicting that real estate prices would fall by no more than 10%. Today, those same analysts have adjusted that figure to between 10% and 12%. One can only wonder if this figure will be further adjusted in the months to come. No one knows.