Is property price the next to fall?

For the past few weeks, the world's crude oil price has been falling. On the local front, the Ringgit has weakened against the US Dollar and the Singapore Dollar. KLCI tumbled from the 1800s range to 1700s range. One only wonders what other assets that will tumble next in Malaysia and around the world.

An obvious answer would be prices of properties.

We're taking a cue from Singapore:

• Falling prices and slow take-ups for high-end properties
• Very attractive discounts to entice buyers
• High-end properties such as bungalows and condominiums have dropped as much as 50% in value after the introduction of 18% sales tax to foreign property buyers
• Credit is fast disappearing and banks are knocking on the doors of the property developers to repay their dues

Lesson learned? Well if you are a billionaire, it doesn't really matter to have an investment home to lose half the value, since they do have the holding power. Only those who don't risk swimming naked when the tide goes out.

When will we see such things happening in Malaysia? Only time will tell.