The Singapore auction market sees a higher success rate in Q1 2021, with the overall number of new homes remaining flat. The number of resale units also shows a steady increase, with only a small number of resale units having been sold. The government’s planned stamp duty levy on commercial properties has resulted in fewer people buying apartments here. However, they are still finding their way into the market. The market sees more people accessing the property market as prices across the board in Singapore have eased to some extent. The success of this auction market shows that good location freehold properties are highly sought after such as Belgravia Ace as it is few minutes walk away from Ang Mo Kio Hub.
A slowdown in Asian economies has impacted almost all countries including Singapore, with many analysts predicting that the slowdown will continue and could in fact accelerate in the coming months. However, Singapore’s property market is largely independent and robust, holding its own in spite of these global economic trends. The Singapore auction market continues to experience higher success rate in Q1 2021, with more new homes being sold through the auctions compared to the same period last year. These higher sales volumes are believed to be the result of a number of factors including the timing of property announcements by developers. For instance, announcements by developers for new projects are usually made in the first half of the year when demand for property usually picks up.
Real estate investors have also found Singapore auctions as an ideal place to invest in. Interested parties can register with any of the numerous real estate investment companies here in Singapore to bid on the property they are interested in purchasing at competitive rates. Bidders can use the information provided by the companies such as valuation of the property, availability of the property, condition and market trends in Singapore to make informed bids. The Singapore government has been maintaining strict regulations in this regard, especially regarding transfer of title. Buyers who are unable to comply with these regulations are banned from making further purchases in the auction market.
With a higher demand for property among the tourists and locals, there are more properties for sale than usual. The rates charged for such properties have also seen some fluctuations but still remain competitive. During Singapore property auctions, the bidding is open to the general public, though on the contrary, most properties are restricted to those qualified buyers who have registration with the Singapore auctioneers. Registration of the bidder is required to ensure that the person is not a minor or an inexperienced bidder. The minimum purchase price for the properties goes as prescribed by the Government of Singapore. Some properties may be available at higher prices, but you will also need to pay for certain administrative fees.
Auctions of residential and commercial property in Singapore have traditionally attracted more local buyers than foreigners. However, foreign direct investments (FDI) have increased in the past few years, and as a consequence, the number of properties available for sale on the Singapore auction market has also seen an increase. If you are planning to participate in the bidding at a particular auction, you may wish to scout around first and get an idea of what the market trends are. This will help you identify which areas will be more profitable in terms of your investment. Local property buyers have traditionally comprised of foreigners and local businessmen, who bid to make their product known to potential customers and investors.
Residential property prices in Singapore have seen some major ups and downs over the past few months, but the positive outlook for the market is apparent, with more people taking advantage of lower interest rates for mortgage payments. Some experts believe that the increasing availability of higher priced properties is due to supply and demand. As more people choose to purchase property in prime locations, the rates will naturally go up, and this trend could continue over the coming year, which could result in some very strong bidding at Singaporean auctions.
The current trends in the Singapore property market seem to indicate that the upcoming Q1 Budget is more favorable for homebuyers and investors than any other time in the last few years. With a stronger economy and a favorable currency exchange rate, more people are able to afford housing in Singapore. In addition, Singapore’s location in the strategically vital shipping lanes of the Malay Peninsula, its stable government, low crime rates, and moderate climate all contribute to its popularity as a residential property destination. The higher value and more favorable exchange rates allow more people to purchase property for a more affordable price, which results in higher sales activity at auctions.
The increase in Singaporean auctions comes at a time when the overall market in the country has shown signs of strength. Interest rates are still at their lowest levels in over two decades, and the government has been quick to invest in infrastructure projects that boost the economy and help pull it out of the doldrums. While the unemployment rate is a bit higher than official predictions, the economy is expected to grow in Q4 of this year. If these economic factors are coupled with strong residential property prices and a healthy market, then you can expect a Q1 win by any property seller in Singapore, even in one of the more difficult investment brackets. The key to making it big in the Singapore auction market is having a clear understanding of the typical selling scenario. Having an agent who can give you insider tips and show you examples of successful deals is one of the best ways to ensure your success.