Rising interest rates for Sol Acres according to some consultants will have little or no effect on the ability of home buyers to meet their monthly payments.

Housing demand will drop with the rise in mortgage costs, but this downturn is not expected to be significant. Grace Ng of Colliers international’s deputy managing director was quoted as saying, “”This is because interest rates are expected to remain low given that the US economy has yet to see full recovery and Europe has just announced a series of stimulus measures.””

Sol Ares EC by MCL Land

Banks have to adjust their eligibility requirements for buyers as the TDSR is mandating a higher interest rate of 3.5% on loans for Sol Acres.

This means that owners who have overcommitted to high priced loans or own multiple units may face a further “”cash crunch””, added Ng. Collier’s estimates around 78,402 units will be completed by 2018 and that 20,824 units will be completed by the end of this year.

Choa Chu Kang EC Sol Acres

“”If for a prolonged period, these property owners are not able to rent out their properties and service their mortgage loans, the market could see more mortgage sales …