SG, 19 Nov 2020 Sales of pricier homes have been booming in Singapore despite the pandemic. More than 2,000 luxury condominiums were sold in the first three quarters of this year. At the top-end of the market, around 160 sales were made with price tags in excess of S$5 million, of which 33 transactions were above S$10 million.
The landed housing segment has similarly seen a steep rise in demand, with more than 1,000 landed properties transacted this year. With interest rates at new cyclical lows, buyers flush with cash are certainly on the hunt for property deals as many are capitalising on the falling interest rates to lock in lower mortgage payments for future years.
The luxury market received another shot in the arm this year when governments and central banks around the world enacted sweeping fiscal programmes and massive stimulus packages to counter the disruptions caused by the Covid-19 pandemic. The huge influx of capital from the tidal wave of quantitative easing (QE) unleashed by global economies is flowing overseas to offshore financial systems and real estate markets worldwide. An increasing amount of incoming funds seem to be invested in Singapore properties, as the returns can be more attractive than other asset classes in the long term.