MAS watching property market after curbs

Singapore property market is being closely watched by Singapore’s Central bank, after implementation of latest round of property cooling measures in Jul 2018.

Managing Director of MAS (Monetary Authority of Singapore) says “It’s too early to tell what the implications from the last round of tightening measures are,” and

“It will take at least two to three quarters for the full implications to be understood.”

He further commented that latest property cooling measures “were taken at a time when we already knew about the risks facing the economy. We also knew and expected that growth was going to moderate gently into the second half of this year. So all those were taken into account”.

Private residential property price index inched up only slightly at 0.5% for July – September quarter, as compared to first two quarters of 2018.

A 3.9% increase in private residential property price index was reported for 1st quarter, and 3.4% in 2nd quarter 2018.

Property experts commented that measures implemented was seen to curtail exuberance, and has managed to do so.

However, prices are not expected to tumble as property developers are ‘locked’ in by the high land bid costs.

Increase in ABSD (additional buyer’s stamp duty) affects only home buyers, as it does not apply for purchase of commercial and industrial property.

Investors, local or foreigners, looking at Singapore property market can consider an investment in strata offices such as The Central @ Clarke Quay with Clarke Quay MRT at its doorstep, or SBF Center located in Singapore CBD.

 

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