Expect an 'oversupply situation' in next 3 years: analysts

168,200 home units seen to be completed by 2016.

According to Phillip Securities Research Pte Ltd, over the next 3 years, it would be an oversupply situation within the Singapore residential segment.

Here's more:

Inclusive of both public and private sectors, we project the physical completion of 168,200 residential units from 2014 to 2016.

In contrast, we look into the underlying ‘real’ demand that stems from population growth. We estimate that the increase in population will provide take-up of c. 71,400 residential units.

Beside the local government intervention in the aforementioned portion, the oversupply situation will be a major factor in the gloomy outlook for residential.