Singapore Property Market Updates (March 2022)

Singapore Property Market Updates March 2022 By Ryan Lee Kk Buyhomenothouse 0

Singapore Property Market Updates (March 2022)

Singapore Property Market Updates
(March 2022)

Singapore Property Market Updates (March 2022)

Singapore Property Market Updates March 2022 By Ryan Lee Kk Buyhomenothouse 1

Hello! It’s me Ryan, let me give you a quick update on the Singapore Property Market but before that, do like and follow to get more tips and advice from me.

So what’s happening right now? There’s an ongoing war between Russia and Ukraine, rising oil prices, rising interest rates, and hyperinflation. Looks like a dark storm is coming.

Let me share with you whether the above factors will cause Singapore Real estate Market to crash!

Singapore Property Market Updates March 2022 By Ryan Lee Kk Buyhomenothouse 2

Firstly, do Wars affect Singapore Property Prices?

In a short-term period, it might affect because external events such as war will exert pressure on assets such as stocks and shares as well as property prices.

Prices might drop a little and this can be a good opportunity for buyers to buy. While over the mid to long-term period, it is proven historically that wars do not have a direct impact on Singapore Property Market.

On the other hand, the property market was more affected by Global Financial Crisis in 2008 and Cooling Measures in 2013

Singapore Property Market Updates March 2022 By Ryan Lee Kk Buyhomenothouse 3

Secondly, the effect of rising oil prices has been felt by many Singaporeans

Transportation costs went up, construction costs went up and yes this will cause property prices to increase as well. As a result, we are experiencing hyperinflation. Based on official data, the inflation rate for December 2021 has hit 4%, hitting a nine-year high.

Singapore Property Market Updates March 2022 By Ryan Lee Kk Buyhomenothouse 4

So what this means is that things become more expensive over time and your cash on hand loses its purchasing power over time. 10 years ago, chicken rice cost $2.50 but now cost $5 per plate easily.

So what do people do? They put their money on assets which is a good hedge against inflation. The important characteristic of real estate is that it is a good hedge against inflation and based on data, property prices grew faster than inflation for the past 15 years. With land cost, material cost, construction cost, labour cost, and transport cost going up. Property prices will continue to increase again.

Singapore Property Market Updates March 2022 By Ryan Lee Kk Buyhomenothouse 5

Lastly, interest rate is going to increase.

Make sure you review your mortgage loan to avoid paying high-interest rate. With many rounds of cooling measures, strong economic growth, stable job market, rising income level among Singaporeans and low supply of land to build more houses for people. So long you don’t over-leverage, property prices wont be affected by rising interest rate.

Singapore Property Market Updates March 2022 By Ryan Lee Kk Buyhomenothouse 7

I am Ryan! I hope you gain some insights from it. Do give me a like and follow me for more!

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