Singapore’s moves to rein in home prices not unexpected as past measures haven’t been successful, says NRA Capital chairman Kevin Scully, says Dow Jones.

Dow Jones expects government intervention to have positive impact on developers in strong cash position and seeking to replenish depleted land banks: “if these measures work and lead to a softening of prices, cash-rich property companies will have an opportunity to rebuild lower-cost land, which will put them in a good stead for the medium term.”

In bid to promote sustainable housing market, government will, with immediate effect, impose stamp duty on anyone selling private property within 3 years from time of purchase, double minimum cash payment to 10% of property’s valuation for existing home owners buying another property, cut borrowing limit to 70% from 80% of property’s value.

Sing Holdings (5IC.SG) off 1.5% at $0.32, CityDev (C09.SG) off 3.2% at $11.58, CapitaLand (C31.SG) off 1.0% at $3.96.