In an analysis of Urban Redevelopment Authority (URA) data, property consultancy Savills Singapore has revealed that a total of 45,062 housing leases were inked last year, marking a healthy year across the residential rental market.
The market saw an 8.4 percent jump from the 41,573 leases that also set a record in 2010. This is attributed to Singapore’s rising stature as the regional headquarters for firms in the Asia-Pacific region, said Patrick Lai, Head of Residential Leasing at Savills.
According to Lai, more senior executives are moving to the country as companies shift their staff from more expensive cities like Hong Kong and London. More lease renewals have also been seen.
On the contrary, rents did not fare strongly, with just a 0.4 percent jump in the three months to 31 December. URA data showed that it slid from an increase of 0.8 percent in the previous quarter.
The largest gain was 1.2 percent among city fringe non-landed homes, while the only segment that showed a drop in rentals was the semi-detached sector with a 0.2 percent dip.
Overall, private home rents grew only 3.8 percent in 2011 against the 17.9 percent seen in 2010. Taking the lead, suburban rents showed a 4.7 percent rise. City fringe areas and city centre homes followed at 3.5 percent and 2.6 percent respectively.
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