As the nation eased its circuit breaker measures, the market started to gradually recover
Since the Singaporean authorities implemented circuit breaker measures to control the spread of infection, the nation’s economy was put on hold, disrupting real estate activity for the past quarter.
Fortunately in June, when the pandemic situation improved, the authorities decided to ease the said measures so show flats were finally allowed to reopen, which was met positively by consumers due to pent up demand.
According to the PropertyGuru Singapore Property Market Index Report Q3 2020, the price index for non-landed private residences in the second quarter of the year grew by 2.15 percent to 111.9 points compared to 109.6 points in the previous quarter.
The report found that the sales for newly-launched condominiums was relatively higher than the usual and they believed that this may have helped boost the price index. This is because most investors preferred newly-launched condos over resale since they feel that between 2022 to 2023, when most of the newly-launched condos are expected to be completed, the pandemic situation would be contained and the global economy would recover.
Moreover, data published by the Urban Redevelopment Authority (URA) aligns with the property market trends that PropertyGuru Singapore is seeing. URA found a 0.3 percent price growth for private residences even though initial market outlook estimated a 1.1 percent drop in property price index.
As for the Supply Index, PropertyGuru revealed a record 46.39 percent surge, compelled by sellers in the resale market who were willing to let go of their properties.
“The rebound in prices broadly signifies that the government’s temporary relief measures have done their job in shoring up consumer confidence and prevented a panic selling situation from developing in the property market,” said Dr Tan Tee Khoon, the country manager of PropertyGuru Singapore.
With the progress that Singapore’s real estate market is currently going through, developers can expect a brighter future from what was a bleak outlook just a few months back. And if history is any indication, the nation will get back up and running – and eventually thriving — in no time.
Suffice to say, winners of the 9th PropertyGuru Asia Property Awards (Singapore), namely UOL Group Limited, Kheng Leong Company, Oxley Holdings, TSKY Balmoral, Aurum Land, Sing-Haiyi Gold, Qingjian Realty (Marymount), UIC Limited, Chong Kuo Development and other recipients of residential-related accolades will definitely have something to look forward to as the local economy recoups.
Interested to know which developers will receive our prestigious awards this year? Winners of the upcoming 10th Asia Property Awards (Singapore) will be announced on 2 October 2020 via a virtual gala dinner. To view the live stream, visit asiapropertyawards.com/en/award/asia-property-awards-singapore/.
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