SINGAPORE: Property analysts expect property prices to continue climbing next year, but a strong supply of new homes may help moderate the anticipated spike.
In addition, a bumper crop of more than 20,000 landed, non-landed, and executive condos may be completed, which could help stabilise prices, according to OrangeTee’s Market Outlook. But ERA Realty’s head of research & consultancy Nicholas Mak foresees the increase to be greater and hit up to 12 per cent year on year, pushed up in part by rising development costs..
Ms Christine Sun, senior vice president of research & analytics at OrangeTee said that strong employment sustains sellers’ pricing power and they will not lower prices too much. Huttons’ Mr Lee Sze Teck feels that prices are unlikely to soften as speculative demand is low and buyers have the ability to meet bigger mortgage payments from higher interest rates.“As the era of low-interest rates may not return anytime soon, most buyers will likely be prudent in their home purchases,” said Ms Sun.
He said:"HDB will launch more than 8,000 BTO flats for sale in 1H 2023. Some of these flats may have shorter waiting time and may attract some buyers away from the resale market."