Property developers may start offering incentives to lure buyers, to mitigate the impact of the latest round of cooling measures, as well as to boost their sales, according to analysts in a report by TODAY.
“They may have to even align their prices to move sales or look at incentives,” said Chia Siew Chuin, Director of Research and Advisory at Colliers International.
Chia said the incentives may include “extending rebates by using discounts or even absorbing stamp duty on behalf of buyers or extending other kinds of incentives not only to buyers but also to agents to help them move sales.”
Meanwhile, Donald Han, Vice-Chairman at Cushman & Wakefield, said that developers will still have to launch new developments, especially in suburban areas, because “the government sales of sites that have been launched in the last 24 months will have to come into the market.”
“They have to do it now as these are on 99-year leases,” he added.
The government imposed new stamp duty measures last week, an unexpected move that caught everyone off guard, with many analysts describing trem as “harsh”.
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