By Andrew Batt:
More than 400 overseas property deals are being done in Singapore every month, and that number looks set to increase as more developers look to tap into the local penchant for property.
No official data exists for the number of Singaporeans who are buying overseas property. The figure of 400 deals every month – or more than 100 every weekend – is based on information gathered by PropertyGuru from recent exhibitions, and from talking to event attendees, property developers and agents.
The landscape in terms of overseas property has changed drastically in just a matter of months. Malaysia, central London and Australia were previously the only real options that many Singaporeans were able to explore without leaving the island. Now, property investment opportunities from China, Thailand, the Philippines and the United States are regularly exhibited here, with the promise of more from new destinations such as Macau, Hong Kong, Taiwan and South America in the pipeline.
SWINGING UK
The United Kingdom is also seeing far more opportunities from outside prime central London. In the last two weeks alone, projects from Bromley-by-Bow and Hendon have been exhibited in Singapore. Property from the northern British city of Manchester is also expected to feature in a forthcoming exhibition. Australia is also seeing more interest from outside the traditional hotspots of Sydney and Melbourne, such as in South Australia.
The importance of Singapore for overseas developers cannot be underestimated, and is highlighted by the regular global launches which take place here. Chelsea Creek, a luxury waterside project in west London, made its debut in Singapore a few weeks ago. The developer St. George picked Singapore ahead of Hong Kong for the worldwide launch of their new development on the back of strong sales of their previous projects. They were rewarded with what the developer described as a ‘significant’ number of sales of the S$1million – S$5million units. PropertyGuru understands the number to be in excess of 25 transactions.
COOLING MEASURES A FACTOR
Many overseas developers have noted a significant uptick in interest following the introduction of the latest round of cooling measures in early December. Knight Frank Thailand recently reported that more Singaporeans were active on the Thai island of Phuket during the first half of the year, attracted by the fact that property there – even though among the most expensive in Thailand – is still substantially cheaper than at home.
Any further cooling measures might only drive more local property investors to put their money into bricks and mortar overseas, especially as more overseas developers are set to tout their properties and investment opportunities in Singapore during the coming months.
PropertyGuru will be organising The International Property Showcase (TIPS) on 16-17 June 2012 from 10am to 7pm daily at the Orchard Hotel in Singapore. The exclusive event will feature premier overseas developments from Malaysia and across the region. More details coming soon.
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