The Perfect Storm of the Stock Market II

[sti2020]

1 hour ago, noobcarbuyer said:

Our private property market is quite undervalued thanks to the many rounds of cooling measures.

Volume of sales transactions will drop but pricing will either remain resilient or may even creep up in the short term.

Medium to Long term is anyone's guess.

This is a recession unlike any other. Don't expect property to follow the rules of the past few recessions. Which could be a good or bad thing depending on perspective. 

cheap money always drive value of fixed assets up

 

[TangoCharlie]

1 hour ago, noobcarbuyer said:

Our private property market is quite undervalued thanks to the many rounds of cooling measures.

Volume of sales transactions will drop but pricing will either remain resilient or may even creep up in the short term.

Medium to Long term is anyone's guess.

This is a recession unlike any other. Don't expect property to follow the rules of the past few recessions. Which could be a good or bad thing depending on perspective. 

Can elaborate on your valuation metric that private properties is undervalued?

Thanks

[Cauldron]

Hertz Prepares to File Bankruptcy If Monday Deadline Is Missed

https://www.bloomberg.com/news/articles/2020-05-04/hertz-prepares-to-file-bankruptcy-if-monday-deadline-is-missed

[Showster]

2 hours ago, Enye said:

wah...ah gong should just let overleveraged people and companies crash and burn instead of saving them

if not, they will never learn and in next crisis, ah gong will need to spend even more reserves on them again while continuing to perpetuate debt driven wealth

😬

Yes, ah gong should remove 100% of measures and let market forces balance the leveraging and cash payment for assets. 

[Voodooman]

2 hours ago, noobcarbuyer said:

Our private property market is quite undervalued thanks to the many rounds of cooling measures.

Volume of sales transactions will drop but pricing will either remain resilient or may even creep up in the short term.

Medium to Long term is anyone's guess.

This is a recession unlike any other. Don't expect property to follow the rules of the past few recessions. Which could be a good or bad thing depending on perspective. 

Name me a decent livable city whereby real estate prices are not hovering at record high last year?  Everything is relative. 

The fact is, if Covid don't go away by year end, the real estate market, like almost all other sectors, will be in trouble.  In a bad recession, most people have to or will be forced to deleverage as future cashflow is threatened.

[Voodooman]

2 hours ago, Ash2017 said:

I cannot understand the logic. Citizens complain that property prices are too high and out of reach for many. 

Now that prices are going soft and be advantageous to especially first time buyers, why the need to stabiles and sustain our property market. In doing so, only profit, the development, those who make a living buying and selling properties and property investors.

 

End users are disadvantaged. Why? When property prices are going up. Developers keep testing new highs of per square feet. Our authorities just add new taxes which only increase cost to end users eg family grown and needed a bigger place to house several generation of family under one roof. 

 

So much wealth and borrowings in SG real estate, a collapse in property prices will have implications for the banks. 

Financial crisis are hardest to fix.

[Albeniz]

10 minutes ago, Voodooman said:

So much wealth and borrowings in SG real estate, a collapse in property prices will have implications for the banks. 

Financial crisis are hardest to fix.

True, now the oil gamblers are giving the banks a BIG enough headache.

The banks can't afford another property crisis.

[Jamesc]

All the doom and gloom.

This recession is like no other.

People in the dark thinking night is forever.

After night there is always a day.

Just think what would change if there was a vaccine?

People will go on holiday again and airlines, restaurants, shops and hotels will be back in business.

People will buy cars and condos again and the price will shoot up.

People driving and flying again will cause oil prices to rise.

People can only see what is in front of them.

Some of us can see what's around the corner.

Edited May 5, 2020 by Jamesc

[sti2020]

2 minutes ago, Jamesc said:

Some of us can see what's around the corner.

You mean this?

[Albeniz]

4 minutes ago, Jamesc said:

All the doom and gloom.

This recession is like no other.

People in the dark thinking night is forever.

After night there is always a day.

Just think what would change if there was a vaccine?

People will go on holiday again and airlines, restaurants, shops and hotels will be back in business.

People will buy cars and condos again and the price will shoot up.

People driving and flying again will cause oil prices to rise.

People can only see what is in front of them.

Some of us can see what's around the corner.

Tough and darker journey ahead.

If we see light at the end of the tunnel, do not be immediately happy.

It could be the headlamps of an approaching train.

Edited May 5, 2020 by Albeniz

[Jamesc]

A lot of people never saw this crash coming so they never prepared for it.

Now in deep sheet they can only see sheet everywhere

and they cannot see past the sheet.

Now this recovery will not be V shape.

It will be bad for 12 to 18 months.

Last year I posted a lot of video about this crash coming.

This year I keep saying buy car next year because the recovery will be a long way away.

I also took floating rate for electricity because I saw oil prices coming down.

I only worry the guy that hedge jet fuel at a high price has a twin brother that also hedge gas prices also at a high price.

 

Edited May 5, 2020 by Jamesc

[Jamesc]

15 minutes ago, Albeniz said:

Tough and darker journey ahead.

If we see light at the end of the tunnel, do not be immediately happy.

It could be the headlamps of an approaching train.

Yes a very long way away.

If I see the light I will push my MIL in front.

She always must be first one.

[Jamesc]

18 minutes ago, sti2020 said:

You mean this?

My MIL ask why you post her beautiful pic here?

If you are an admirer please don't cut queue.

Another MCF member is already first in line.

[Jamesc]

What I find really sad is we have 2 problems

An immediate problem that will last 12 - 18 months.

And a bigger problem that will last for many generations.

Here is an opportunity to solve both problems at the same time.

My BFF Trump is pumping trillions into the dirty polluting industries.

When what he should do is pump trillions into the clean renewable energy industries.

If you give a dollar to the oil and coal industries they will just pump more oil and dig up more coal.

This will only cause more global warming.

If we put a dollar into wind, solar etc that wind turbine or solar panel will pay for itself creating more energy than the $1 pumped in.

And these industries employ a lot of people.

Now the sun don't shine at night and some days no wind so how?

The earth core is hot and pumping water to run steam turbines 

the heat never runs out.

 

Edited May 5, 2020 by Jamesc

[Showster]

1 hour ago, Voodooman said:

Name me a decent livable city whereby real estate prices are not hovering at record high last year?  Everything is relative. 

The fact is, if Covid don't go away by year end, the real estate market, like almost all other sectors, will be in trouble.  In a bad recession, most people have to or will be forced to deleverage as future cashflow is threatened.

Bumper pool of tenants coming if that’s the case. Those close to paying off or have paid off their property and are renting it out will be in luck!

[sti2020]

1 hour ago, Jamesc said:

My MIL ask why you post her beautiful pic here?

If you are an admirer please don't cut queue.

Another MCF member is already first in line.

i have no interest at all

you can have her all for yourself , or 3some with your hubby

[Volvobrick]

2 hours ago, Voodooman said:

So much wealth and borrowings in SG real estate, a collapse in property prices will have implications for the banks. 

Financial crisis are hardest to fix.

No problem one lah! If banks in trouble, they can issue new shares to gahmen. Gahmen prints money to buy new shares. Gahmen can also lend more newly printed money to the banks. The party continues!  Banks won't collapse, just the shareholders changed. 

[ToyotaShuttle]

1 hour ago, Showster said:

Bumper pool of tenants coming if that’s the case. Those close to paying off or have paid off their property and are renting it out will be in luck!

Are you mad? If people are forced to sell, it will be because of job losses which will hopefully affect foreigners disproportionately. This will result in fewer tenants not more. Even if Singaporean owners are forced to sell and rent, there will be an increase in available housing to offset this "demand" for rental.

Property owners will indeed be in luck. BAD luck.