Expatriate growth expected to fuel luxury apartment sales market

The expatriate population which has been subdued over the last half a decade is growing once more. This means strengthening demand for properties, in particular, luxury private ones.

Luxury apartment sales expected to climb this year

Overall private property prices have risen 3.1% in Q1, the steepest quarter-on-quarter climb since 2010 when the price index rose by 5.3%. Thus far, 19 luxury apartments priced above $10 million have already been sold. Topping the list is a unit at Gramercy Park which was sold for $24.5 million or $3, 362 psf.

Out of the 19, almost half came from The Nassim with prices ranging between $14 million to $19.6 million. The Nassim is a freehold property developer by CapitaLand. In terms of price psf, Le Nouvel Ardmore in Ardmore Park sold at $4,098 psf with a total quantum price of $15.6 million. A penthouse here sold for a record-breaking $51 million in 2015.

Leedon Residence

At other luxury developments such as Leedon Residence and Tomlinson Heights, a few high-end units also went for above $12 million.

Most of the luxury apartments sold are in prime district 9 and 10

Property analysts have high hopes for continued growth in the luxury property segment. They are expecting more transactions priced above $10 million as the population high-net-worth individuals are on the rise.

With Singapore’s political and economic stability, more wealthy foreigners are finding a place in Singapore to call home. Perhaps the fact that property prices here are still relatively more attractive than those in other major cities such as Hong Kong, Tokyo, and New York also helps.