Recent reports have signalled that property prices across China and other parts of Asia are heading towards a correction.
But regional developers and market observers say it is not all doom and gloom yet for the sector.
The integrated resorts and international events like the F1 have brought the spotlight on Singapore.
They have also piqued foreign investors' interest to invest in luxury properties, say analysts.
But now investors and analysts are bracing themselves for a looming correction in the property market.
And this time, even luxury properties will not be spared.
Panache Management CEO Alex Schlaen, said: "It will be very minor because the luxury (property market) didn't recover to the heights of 2007, versus the mass market which went way beyond the peak of 2007. This market will see a correction of between 10 and 20 per cent. The correction will probably last for two years and it will probably start recovering back to the new peaks that we haven't seen yet in Singapore."
Now, he reckons that Singapore's property prices still lags Hong Kong and has a lot of room to catch up.
And he says prices in Singapore will only reach at par with Hong Kong in 10 years.
This means investors can potentially make a profit from the Singapore market.
While China's real estate market is seeing more cities with lower property prices, some property developers Channel Newsasia spoke to are still bullish on the property market in China.
Candy & Candy founder Nick Candy, said: "The best locations are in Shanghai. I won't think it will have a 30 per cent drop. If there is a large correction, I believe it would recover quickly again. I am very bullish on China. I believe that China is a great place to invest. I think people will do very very well there."
The Pudong River is where Nick Candy, who made his fortunes developing homes for High Networth Individuals including Hollywood stars, will be making his mark in Asia.
Source : Channel NewsAsia – 29 Nov 2011
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