Buyers are waiting now too, no? See who buckle first, personally, I see supply > demand at the moment, Condo's everywhere... even existing condos are at 70-80% occupancy and there's still a new newly completed units coming up...

Interesting discussion, although some off topic, I'll say the next 1 year will decide how things go... need to see how well the new units are absorbed in the 1-2 years time.... the pre 2010 owners wont have problem holding out for higher price since their entry is low. It's what happens with the new entrance that may or may not start a snowball effect. All it takes is just a small ball to roll down the hill to trigger the rest.

Just chirping in my 2cents, not really a regular... outsider's view.

This post has been edited by eltaria: Jun 11 2013, 06:24 PM

The thing about the recent rush to buy is... why do people buy in the 1st place?

Ask 7/10 of home buyers recently their reason to buy is not because it's affordable or (they can buy in comfort in relation to their pay) But because they are afraid price will get higher if they dont buy now.
In other words, they're forced to buy now, even though they're living beyond their means, and will need to cut back on spending elsewhere to accommodate this.
Of course, I'm talking about genuine home buyers la in the above case, who need a place to live in. Not flippers who buy with intention to make money.

This creates an artificial surge of temporary demand that in turn encourages flippers to get more aggressive with their own purchasing.

Kinda a vicious cycle, but the above laymen real homeowners are limited (the fuel to the fire) and looking at the next batch of couples who're looking at buying their first home and their average income, the current prices of 500-600k is not gonna be sustainable..

The current batch of new homeowners can ngam ngam afford a 400-500k home on joint ownership. But can the next batch of new homeowners fuel the 600-700k even on joint ownership?