Singapore Real Estate Market Review - May 2008

The picture of apparent calm in April belied a suppressed tension beneath. In fact, bad news outweighed the good ones by two-to-one; and the weight of negativity added to the body of evidence that the property market in Singapore is heading down a slippery path.

Externally, the big ship of the United State is leaking and there aren’t enough safety boats for everyone. So, many investors / speculators looked set to end up in the icy water.

(A) Uncertainties reign in the larger market

• (A.1) US Federal Reserve cut rate again
• (A.2) Is the US in recession or is it not?
• (A.3) IMF paints pessimistic forecast for US economy
• (A.4) The aftermath of the Bear Stearns collapse
• (A.5) Singapore inflation rises 6.7% in March 2008 - 26-year high

(B) Private Property Sale in Singapore

• (B.1) Sale prices and rental of private residential properties rose amidst thin volume
• (B.2) Increased in unlaunched and unsold new homes in the first quarter of 2008
• (B.3) Developers testing water with some new launches
• (B.4) Far East Organisation cut prices of some new homes - A sign of all things to come?
• (B.5) Singapore is the world’s eighth most expensive city
• (B.6) Performance of Sub-Sale Market
• (B.7) Fewer landed property transactions from January 2008 onwards

(C) Rents across all property sectors continue upward trend

• (C.1) Singapore residential rentals 5th highest in Asia
• (C.2) Rentals of Singapore private homes rose 6.0% in 1Q 2008
• (C.3) Flatted factory rents boosted by office space crunch
• (C.4) Office property prices edge up by just 1.1% in 1Q

(D) News on en bloc sales

• (D.1) More en bloc deals are abortive due to uncertainties ahead
• (D.2) Regent Garden to go through after High Court’s ruling
• (D.3) Airview Towers to go through

(E) Foreign interest in commercial buildings in Singapore

(F) News on GLS programme

(G) Analysis on HDB resale transactions

• (G.1) HDB resale transactions
• (G.2) HDB buyers paying less COV
• (G.3) HDB Rents are rising fast
• (G.4) Transactions of HDB Resale market in April 2008