Analysts and property developers alike believe real estate will continue to be in demand, as part of any investment portfolio.
“Cyclical factors aside, it offers generally stable and decent risk-adjusted returns and is a good hedge against inflation,” says Knight Frank‘s Mr Tay.
The underlying demand for real estate is still firm as seen in buyers response to attractive projects, adds JLL’s Ong.
“Local and regional wealth is significant and continues to drive demand for real estate in Singapore. Singaporeans also seem to have a preference for residential property investment, believing long-term capital gains compared to more volatile financial instruments,” he says.
While signs may point to a more stabilised market, investors should always do their sums and not rush in, cautions Mr Wong of OrangeTee.
“One should always do his homework first and not rush into a property purchase, although there is now a slight urgency to make a decision as units are selling more quickly as compared to 2015.
But investors should bear in mind that the current global economy remains strewn with uncertainty, and should ensure that they have the holding power to last for the medium to long term,” says Mr Wong.