The URA property price index is at a historical high.
While the stock markets around the world are turning bearish, it is still anyone’s guess as to whether the Singapore property market is heading for a crash.
To argue against a crash, property bulls will cite the extremely low mortgage interest rates offered by the banks here, a possible QE3 by the US Federal Reserve, and the hot money that is still flooding into the region.
Salary.sg made a prediction 3 years ago, which proved to be correct. What we did was simply to superimpose the Straits Times Index (stock market) chart over the URA property index graph, and let the combined chart tell the story.
We do it again this time (click to see a larger chart):