no credability

[laughing]

When first signs of the global property crash started early in the year we all had a chuckle when Simon Cheong said there was no reason why Singapore would be effected.

6 mths later and we have seen a 15-20% price drop across the board. Wiping out the security deposit value.

This puts his last statement recorded in the BT as having no credability:

"REAL Estate Developers Association of Singapore (Redas) president Simon Cheong says private home prices are unlikely to drop much from current levels as selling prices are close to replacement costs, inclusive of construction costs.

Also, developers had a good year last year and ‘a lot of buffer’, he added, suggesting that they will be under less pressure to lower prices to chalk up further sales. ‘So I don’t anticipate that the drop will be too severe if there is one,’ Mr Cheong told reporters on the sidelines of Redas’ Mid-Autumn Festival Celebration yesterday."

The most fundamental and universal law of real estate is:
 
The value of a property is not what the seller is asking, rather it is the price the buyer is prepared to pay.

Individual developers have no control over the market forces, other developers or the sub sale market. The fact is, the developers made poor business decisions buying enbloc at the peak so their breakeven point is irrelevant to the market.

[self-serving nonsense]

Note the contradiction between:

"home prices are unlikely to drop much from current levels as selling prices are close to replacement costs, inclusive of construction costs."

and

"Also, developers had a good year last year and ‘a lot of buffer’, he added,..."

First he says prices are close to cost, and in the next breath he says developers are sitting on record profits from last year... 

What a windbag.

[held accountable]

Clearly when this guy is using the media to serve self interest and it is obvious that his statements have little foundation, he should be held accountable.

For example, you cant make mis-leading claims when advertising a product. This type of PR should be viewed the same way.

It is untrue to make a statement that prices cant fall just because developers want to protect their profits.

He seems quite happy for his customers to make losses ( 20% so far) but not himself.

[errr why do you think]

You can't make misleading statements when advertising. Not in the uk/us?

Most adverts are misleading here or did you believe brand x chicken extract gets you kids straight 'A's?

[ignorant]

You can't make misleading statements when advertising. Not in the uk/us?

Most adverts are misleading here or did you believe brand x chicken extract gets you kids straight 'A's?

The Advertising Standards Authority of Singapore (ASAS) is an Advisory Council to the Consumers Association of Singapore (CASE). It was set up in 1973 to promote ethical advertising in Singapore and is the self-regulatory body of the advertising industry.

Self-regulation means the responsibility of ensuring truthful advertising lies with both advertisers and consumers. This works in the interest of both advertisers and consumers because it ensures that through fair play, there is a balance of trust and responsibility between them. In the situation that an investigation into a misleading ad uncovers an unfair business practice, ASAS may refer the matter to CASE for action to be taken under the Consumer Protection (Fair Trading) Act.

[errr why do you think]

You can't make misleading statements when advertising. Not in the uk/us?

Most adverts are misleading here or did you believe brand x chicken extract gets you kids straight 'A's?

The Advertising Standards Authority of Singapore (ASAS) is an Advisory Council to the Consumers Association of Singapore (CASE). It was set up in 1973 to promote ethical advertising in Singapore and is the self-regulatory body of the advertising industry.

Self-regulation means the responsibility of ensuring truthful advertising lies with both advertisers and consumers. This works in the interest of both advertisers and consumers because it ensures that through fair play, there is a balance of trust and responsibility between them. In the situation that an investigation into a misleading ad uncovers an unfair business practice, ASAS may refer the matter to CASE for action to be taken under the Consumer Protection (Fair Trading) Act.

I know about CASE and ASAS, advertising standards here though are pathetic.  How about the new p**fitable p**ts.  Expected return 250% in 3 years for buying microplots in greenbelt land, total b*llshit and hugely mis-leading.  I'd love to see their calc of expectation - a schoolkid could take it to pieces.  None of these ventures in the UK has EVER had planning permission granted and been sold for ANY plot.  The large developers have their own land banks anyway.

The food adverts, skin clearance stuff, hair restorers - all boll*cks.  If you think advertising standards are enforced here you are seriously deluded.

[worth complaining]

People in Singapore dont protest as a general rule against business or Government.

For small consumer items why bother. However, the purchase of property is such a big item and the statements this guy is making is so wrong that its worth lodging a complaint.

He should be made accountable.