Posted on July 17, 2009 - by Market Uncle

HDB Prices – Still so sticky?

In my earlier post on property prices in February this year, I shared my view on why I think there are still room for the prices to drop further. However, one waiting since then will be quite disappointed to note that the prices are still very sticky, especially HDB resale prices:

(src: http://www.hdb.gov.sg/fi10/fi10201p.nsf/WPDis/Buying%20A%20Resale%20FlatStatistics%20-%20Resale%20Price%20Index?OpenDocument)

High prices to stay?

I came across at least one article that doubts the prices can be sustained for long. But prices seems stuck on an up trend, although at a slower pace. To provide potential glimpse of the future prices, HDB had voiced their position:

Mr Mah continued: “If there is increased demand, yes, we will push out new flats. But we cannot be building new flats to cater to every last person who wants a new flat because if you do that, you are overbuilding and you don’t want to do that. So some of the new demand will have to be met by resale flats.”

(src: http://www.channelnewsasia.com/stories/singaporelocalnews/view/441255/1/.html)

Comparing DBSS and Resale Condominium in the suburbs
Read more…

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