With purchasers and investors gradually scooping up residential properties of all kinds, the housing market has once again taken center stage in what many have characterized as a property boom.
Across the board, it seems that price hikes are on the way whether it is for landed houses like Good Class Bungalows (GCBs), condos, executive condominiums (ECs), or apartments in integrated projects or HDB resale flats.
There doesn’t appear to be much of a difference in mood because of the prospect of further cooling measures. In fact, some purchasers are showing signs of “fear of losing out,” according to market experts.
Even in the collective-sale market, there is some excitement, but it is still a long way from the frenzy of mid-2018’s cycle.
This week’s Property Supplement of The Business Times looks at sectors driving Singapore’s property market’s resiliency amid a worldwide epidemic.
Recent launches of private residential projects, for example, have seen their prices soar beyond previous highs. Is it possible that the rising costs of nearby condos will be a result of these newly launched developments?
A seller’s market for HDB flats is also benefiting HDB flat owners, since resale prices are increasing and more purchasers are paying cash above value. Price levels in August are just 0.1% below the all-time high set in April 2013, according to SRX statistics. What should we make of the price increase in the second quarter of 2021 that was double-digit?
Other signs point to a possible spike in transaction prices in the GCB market due to the industry’s “sudden reawakening. ” Additionally, anecdotal and empirical data will be examined in order to see whether this possibly new pattern has any staying power.
Investors debating between buying new or secondhand residential property may consult an unique study that examines the financial performance of non-landed houses and compares the benefits and drawbacks of each choice.
Additionally, integrated projects’ residential components have always attracted buyers’ interest. Examine the reasons behind the higher prices of some of these condos compared to the ones in the same neighborhood.
But things aren’t perfect. Although the K-shaped path of economic recovery has received much attention, a similar image may be drawn in terms of the Singaporean real estate market. Even as the residential upcycle continues to dominate the limelight, fortunes are diverging for several sub- and micro-segments..
The landed home market is strong as a whole. As the epidemic spreads, purchasers who were previously on the market for smaller homes are now searching for larger ones. Even yet, the price of landed houses increased more rapidly in certain areas than in others.
In other words, it analyzes the best and worst performers in terms of transaction volumes and also predicts where the next landed housing hotbeds are likely to appear.
Changing renter demographics are evident in the market for private-sector rentals. Do you think the new demand will help rents recover?
For yet another time, the rent gap between Class A and B offices in the financial center has widened. Adaptable workspaces are becoming more popular, but this has the potential to be both a boon and a bane for landlords of high-end Grade A workplaces.
Office occupants are also looking for sites outside of the city center in order to attract top talent, while others are rearranging their real estate footprint in order to allow workers to work in less-dense areas. Is it possible that tenants will take up additional office space in order to de-densify their building? What decentralized office submarkets are expected to expand the fastest in the next years?
In terms of industrial real estate, the strong growth trend is still going strong. In Singapore’s western area, significant projects such as Logos EHub, which support a broad range of e-commerce applications, are expected to come online soon. In this supplement, you’ll learn more about industrial occupiers’ needs and the current supply-side trends. Another industrial at Geylang Lorong 21, Space 21 also set to launch in 2021 which has a nice city fringe location.
For renters and landlords in the retail sector, a long-awaited code of conduct has been implemented to ensure that the playing field is leveled after the epidemic.
The new rule seeks to achieve a fair and balanced negotiation of leasing agreements. It’s important to remember that by removing unfair practices, both landlords and tenants can concentrate on providing sustainable values to retail. This is what Edmund Tie CEO Desmond Sim says.
In the meanwhile, the mix of retailers in Singapore’s malls has shifted. This add-on identifies popular retail categories as well as those that are going out of style. If more people buy online, how do you think our malls will change in the future?
To far, total transaction values in the property investment sales market have already surpassed those expected for 2020, thanks in part to strong performance in the residential, commercial, and industrial sectors. Property investment sales in Singapore may quickly return to pre-pandemic levels if major deals in the pipeline materialize.