The weekend papers are usually dominated by retail, property and auto ads. The introduction of the ABSD and TDSR killed some of that revenue as property firms pulled ads given dismal sales.
This weekend brought new lows.
I remembered taking advertising and copy-writing classes many years ago....and the first thing they taught was USP. Or the Unique Selling Point of the product or service offered.
I guess in the case of Kingsford Waterbay, its USP is its cheapness. That ad came on Saturday.
The next day came more dismal news in the form of an article in the Sunday Times.
It would seem that people are not able to fork out cash or are willing to get into debt for their second bite at the HDB cherry. These folks have apparently counted their sums and realised that sales proceeds from existing flat would be less and thus affecting their finance and reno of the new flat in waiting. So says Chris from Chris International.
I think more of such pain would come. Or is this the proverbial 'bottom'?
I leave it to your own conclusion.
A 1% drop for the first quarter flash estimates by HDB on resale flat prices continues the slide downwards. What does this mean for the man in the street?
If the 1% decline is maintained for four quarters, that would conservatively shave 4% off prices by end 2015. Not a small sum I would say.
BTO pricings are in some ways affected and influenced by resale prices in the vicinity. Sure, a broad discount is applied on new offerings. But should the resale prices be on the down trend, could we possibly see cheaper BTOs being offered?
I am not sure. But it will help out on the pockets a bit for the new home owner. It's also any body's guess as to how sellers of resale flats would take this news.
