The govmin is stepping hard on the brakes to prevent property prices from being a one way bet, and to appease those S’poreans who missed the boat.
Some of those who missed the boat are daft enough to expect a property collapse. Why shld it?
FTs are still flooding in; interest rates are low; credit is easily available (bit harder than the recent past, but still easy); people are more optimistic despite the efforts of ToC, TR, WP, SDP, Tan Kin Lian and Goh Meng Seng*; and the economy is expected to do 5% this yr.
The US is printing money, some of which will find its way here,
Then there is the Budget which shld more money in our pockets, so that we can afford to take out bigger mortgages.
And best of all. It is difficult for any government to stop the momentum of rising property prices. Despite the attempts of the Chinese authorities over the past year or so, property prices continue to rise. Juz more slowly.
If you believe property prices will ease-off significantly, keep on whistling in the night, or pray that there will be a global recession. The data shows that 2008 excepted (when M’sians flooded in and bot because of fears of instability in M’sia), property prices fall 20% when there is a recession.
*If they are believed, most S’poreans are poor and unhappy. S’poreans are unhappy but they are not poor. They can afford the interest payments on mortgages on S$500,00 HDB flats. They are unhappy because they are envious of richer S’poreans.