Singapore Property Market 2019: 5 Things You Need To Know
With the New Year now upon us, many are wondering what lies ahead in the coming months.
In this article, we’ve rounded up 5 things you need to know about how the Singapore property market could pan out in 2019.
In the pipeline for launch in 2019 are about 60 new residential projects
In the pipeline for launch in 2019 are about 60 projects. Several developers have already lined up previews in January, ahead of Chinese New Year on February 5.
They include Roxy-Pacific Holdings’ Fyve Derbyshire and RV Altitude; TEE Land’s 35 Gilstead (the former Casa Contendere); One Meyer by Sustained Land; and Jervois Prive (former Jervois Green) by a consortium led by the owner of Spring Court restaurant. Meanwhile, bigger projects such as SingHaiyi’s The Gazania (former Sun Rosier) and The Lilium (former How Sun Park) are slated to launch after Chinese New Year.
Mortgagee sales are expected to rise in 2H2019, as more owners are choosing to list their properties on the auction market. Including re-listings, the number of properties put up for sale at auctions totalled 1,087 last year (as at Nov 30, 2018). This was 35.4% higher than the figure in 2017. According to Colliers International, the figure is the highest recorded since 2008.
In the biggest transacted residential mortgagee sale for 2018, a semi-detached house at 25 Pasir Ris Way in the eastern corner of Singapore was sold for $5 million ($505 psf) in May. With a land area of 3,999 sq ft and a built-up area of 9,892 sq ft, the unit attracted 15 bids. The mortgagee sale was brokered by ET&Co.
GCBs are restricted properties and coveted by foreigners. Some of the recent purchases were by newly minted Singapore citizens from China, Taiwan and India
SIR’s Leong attributes the strength of the GCB market to the profile of the owners and buyers: ultra-high-net-worth (UHNW) individuals with strong financial backing who are also long-term property investors.
The property cooling measures in July 2018 have influenced the super-rich to switch from luxury homes to an alternative asset class: conservation shophouses
Grade-A office rents in the CBD have been rising at 2% to 3% a quarter over the last 12 months
The office sector was the one bright spot in the real estate market in 2018. Average gross monthly rents for Grade-A office space in the CBD rose 10.8% in 2018, according to preliminary estimates by JLL Research — from $9.17 psf in 4Q2017 to $10.16 psf in 4Q2018.