PRIVATE INVESTORS: HOW WELL DO YOU KNOW ABOUT SINGAPORE REAL ESTATE?
Singapore has been divided into 3 main regions by the Urban Redevelopment Authority (URA), namely:
Core Central Region (CCR), Rest of Central Region (RCR) and the Outside Central Region (OCR).
IS IT THE RIGHT TIMING TO ENTER THE PRIVATE PROPERTY MARKET?
SINGAPORE REAL ESTATE OVERVIEW
- PANDEMIC EFFECT ON PROPERTY PRICES
The Singapore property investment market has shown great resilience, with property prices seeing a stable year-on-year appreciation over the past few decades. Even during times of financial crises, Singapore property has demonstrated incredible ability in price recovery. Short-term bounces are observed but as seen from the graph, each "low" resulting from the respective financial crisis will always supersede the previous "low".
The stable price appreciation of property has since built itself a reputation of being a "safe" investment for both local and foreign investors.
CCR, RCR & OCR OUTLOOK:
RENTAL PRICE INDEX
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Key Figures:
CCR: Dip in PSF from $4.23 to $4.14 (-2.15%)
RCR: Dip in PSF from $3.55 to $3.49 (-1.7%)
OCR: Edged up in PSF from $2.83 to $2.85 (+0.78%)
Despite being hit by COVID-19 pandemic since the start of 2020, the rental market in Singapore has shown notable resilience in price demand.
This is especially true taking into consideration that the leasing volumes for residential properties had fallen by approximately 40% (in April 2020) when compared to the same period in 2019.
Furthermore, it was actually predicted by analyst that the rental index is expected to fall by a good two to four per cent.
SINGAPORE TRANSFORMATION PLAN
Multiple districts across the three regions are stipulated for massive transformations. Below are the Top 3 transformations investors should not miss out on!
PAYA
LEBAR
With the relocation of Paya Lebar Airbase from 2030s onwards, the airbase and its surrounding industrial developments can progressively be transformed into a highly liveable and sustainable new town that is 5 times of Toa Payoh town!
GREATER SOUTHERN WATERFRONT
Extending from Pasir Panjang to Marina East, this massive transformation that is 6 times of current Marina Bay Sands is earmarked to become the new major gateway and location for urban living along Singapore’s southern coast.
BUKIT
TIMAH
Boasting several key highlights such as Rifle Range Nature Park, Bukit Timah Railway Station, and Former Station Master’s Quarters, the green corridor will link residents in Bukit Timah to the upcoming Woodlands North Coast as well as Greater Southern Waterfront.
LOW BANK INTEREST RATES
Bank interest rates today are standing at a decade low! If you enter the market today, the amount of interest charged to your property loan will be much lesser as compared to pre- and post-pandemic.
Take advantage of the low bank interest rates today!
CONNECT WITH PROPERTY EDITION
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