Happy New Year! 2018 is another opportunity for us to make the next 12 months right.
As we wave goodbye to 2017 – let’s take a short recap on what transpired in 2017:
- 6 months of en-bloc fever – culminating in 28 enbloc sales in 2017
- Changes in the Seller Stamp Duty
- Increasing demand from buyers & developers
Here are some property forecast news for 2018 and beyond:
For me, I sincerely believe that the predictions might be right.
Here are some reasons based on my experience on the ground:
- Owners from collective sales will begin searching for a new place to stay in 2018
- Developers will start launching new developments at new and higher PSF prices
- Home owners increasing their price expectations this year
Below is a summary of potential new launches from this Straits Times article:
My own personal thoughts
Based on my experience in the property market when monitoring the various cycles is that 2018 might be the year of peak property prices.
I believe some new launch pricing might not be able to have the mass market appeal of previous launches in 2016 and 2017 due to the higher price expectations that has been set by developers.
With prices falling for the past 15 quarters and finally rebounding during the last quarter of 2017, the private housing market seems to be recovering.
As such, I believe that the resale market will pick up in 2018.
- For the private resale market, it will pick up as buyers turn to resale to avoid the new launch higher prices
- For the HDB resale market, some en-bloc owners might consider HDB resale flats due to location and a shorter waiting period
What you can expect from Second Property Investors in 2018:
For 2018, I hope to help readers navigate through the property resale market.
My focus will be letting readers understand the nuances that happens during a property transaction – especially between a buyer and seller of a property.
Below is an interesting article that shares survey results about the expectations of buyers and sellers in the 2018 market.
This will the one of the issues to navigate – where understanding expectations becomes important in negotiations.
Other issues will include how to take advantage of the new peak prices and attracting buyers in the resale market.
2018 might not be the wild ride of record enbloc sales like 2017 was.
But there are certainly many new upcoming changes that might impact the property landscape.
Here is wishing you a great 2018!