Singapore, 04 May 2022 Steel prices have nearly doubled this year to $1,300 due to increased energy prices, supply chain problems, and the Ukraine conflict.
According to economists, despite reduced residential demand owing to last December's property cooling measures, persistent building sector troubles and rising costs could imply that home prices and rental rates would likely continue to rise this year.
In other words, according to OrangeTee & Tie senior vice-president of research and analytics Christine Sun, the housing market could move from demand-driven price hikes observed last year to cost pressures playing a larger part in the trajectory of home prices in the coming months.
In addition to raw material price volatility, the availability and cost of labor are important issues affecting Singapore's construction sector. The home restoration industry has been hit hard by increased material costs and a labor scarcity, according to ST, which has seen an increase in consumer complaints about delays and poor workmanship.
Despite this year's progressive reopening of borders, industry insiders say it will be months before the sector has the people it requires.