The year 2020 is tough. Most of our plans have been suspended – birthdays, vacations, and family gatherings. We might have even put on hold our plan to purchase a property this year.
But is it really true that the property market went down? And will it continue next year? And how does this affect your properties or your decision to buy one?
Initially, the projected sales volume for 2020 was 7,000 units due to the pandemic. But because of the favorable sales reports, there is a chance for 9,500 units sales volume this year – slightly lower than last year’s 9,912 units but understandably a good sales volume for this year.
So what does this mean?
Records show tangible evidence of resilience in new home sales despite the crisis at hand.
According to the New Home Sales Data, we had 8,325 units sold until October. Lesser than last year of which is 8,401 units. But what does this signify? There is a real demand for people buying properties. And there are many reasons for this resiliency despite the economic uncertainty brought forth by this pandemic. One of which could be due to favorable low-interest rates.
It is notable though sales from April and May are low due to the implementation of Circuit Breaker from April 7 to June 1. Then continuously rose until September. However, the October sales went down, as predicted, as it could be due to the clampdown of its OTP re-issuance.
We are looking forward to a more positive outlook next year given the recent news of Covid vaccine developments, Joe Biden’s US presidential election win, and the hopeful opening of Phase 3.
As a property consultant, it is best to exercise prudence when making property purchases with or without a crisis. You have to consider many factors, including interest rates. But most importantly, consider your financial buffer against any unforeseen situations.
[pullquote align=”normal”]Life may take you in a different direction. That’s why it’s important to create certainty for your life. Understand your current situation. Plan. [/pullquote]
If you have well-planned your decision to purchase, you can always get a property next year. Acquiring strong fundamentals about yourself, your finances, and the market will leave you confident in your property decisions. This is what makes you an informed decision-maker.
