The high-end residential segment, particularly strata units, is heading towards a price correction this year after a rapid rise in prices driven by the now-banned Developer Interest Bearing Scheme (DIBS).
CBRE-WTW managing director Foo Gee Jen said prices of high-end stratified residential properties would see a 10% to 15% correction this year, while landed residential properties may see a correction of not more than 10%, if at all.
“You have to go back to the history of what happened two to three years ago. Whenever developers offer a project, a lot of DIBS and so forth were catered to stratified properties. For landed properties there were no issues in selling so there’s not so much mark-up in terms of pricing for landed properties but a lot of mark up for stratified properties,” Foo told reporters at the 2017 Asia Pacific Real Estate Market Outlook briefing yesterday.Read more...
Source: The Sun / Section: Business / Date: 19 Jan 2017Photo credit