Dispelling the fear of falling property prices
This is a well-argued ST forum letter to dispel the fear of falling property prices. Actually, the ones who will be hurt by falling property prices are those who leverage too much on their property holdings, they will be forced to sell at big losses, but no tears will be shed for them.
“Home owners should not be concerned about the possible plunge in the value of their homes should property prices fall drastically
Most of them do not intend to sell their homes. These are homes they live in. The values are just on paper.
For those who intend to sell their homes and buy another one, the value of their intended purchase would also have fallen. The impact will be limited.
The only owners adversely affected will be those who intend to sell their house but are not buying a replacement home in Singapore.
These would be mainly citizens who intend to emigrate, or permanent residents who intend to return to their own countries. These people comprise the minority.
Why should we place the interests of this minority who do not intend to make Singapore their home above the interests of the majority, who do, especially our next generation of home owners who are staying put in Singapore?”
Entry filed under: Watch your step.