We have first hand experience, a good ‘on-the-ground’ feel that the property machine is indeed on the move. Correction, it is actually flying. Yes we have LIFT-OFF! The sales at the various show-flats that we are looking after – like Mi Casa, Waterfront Waves, Kovan Residences, Caspian etc, are seeing people snapping up units. Its been like a field day for real estate agents all across the board for new residential developments.

According to The Business Times today – a whopping total of 1668 of new units have been sold in May 2009!  A record for the year and 37 per cent more than the 1,214 in April. More transactions also occurred in the high-end sector at prices above $2,000 per square foot (psf).

According to data from the Urban Redevelopment Authority (URA) yesterday, developer sales in May put on their strongest showing not just since January, but also since the sub-prime crisis began to rear its head. The 1,668 units sold last month were just 3 per cent shy of the last high of 1,723 units in August 2007.

Buoyant figures amid stronger sentiment, bolstered by flocking foreign investors fleeing troubled western economies. Remember the Pet Shop Boy’s song – Go West (Go West, Life is peaceful there..) It is obvious to see that right now, life in the west (western economies that is), is most certainly NOT PEACEFUL! This exuberance can also be attributed to the stockmarket rally earlier in March. However this optimism is urgently needs to be sustained by economic fundamentals. Much of it is also been pent-up demand since end-2008, so all this has come to a head in May.

Discounts, rebates and freebies which saw record numbers of people streaming through the doors at new launches, but more work on the economy is needed to provide a longer sustainable stream of sales.

Just like Icarus who flew to close to the sun, found the wax that held together the feathers of his wings melt, came crashing to his death. Hopefully the economic winds of change that blow from Japan, China and the rest of East Asia, will continue to provide support for our flight away from troubled lands.