The decision to invest in a condo in Singapore has gained traction among both local and foreign investors, thanks to the country’s strong economy, stable political climate, and excellent living standards. Singapore’s real estate market presents a range of possibilities, but condos are particularly enticing due to their convenience, amenities, and potential for profitable returns. In this article, we will delve into the advantages, factors to consider, and necessary actions to take when considering condo investment in Singapore.
Huttons Asia’s latest quarterly shophouse market report, published on November 12, has revealed that interest in the shophouse market remains strong despite a decline in the number of caveated transactions in the third quarter of 2024. According to the report, 18 caveats were lodged for shophouse transactions in 3Q2024, lower than the 21 caveated deals in the previous quarter. The total transacted quantum of these shophouses was $138.9 million, a significant decrease of 28.8% from the previous quarter’s $195.1 million. In comparison to the same period last year, this is also only half of 3Q2023’s transacted quantum of $278.6 million. The first nine months of 2024 saw 62 shophouses sold, which is a 46.1% decrease compared to the same period in 2023. The total value of these transactions during this period was $519 million, a decrease of 48.5% from the same period last year.
Despite the decline in transaction figures, Huttons’ report highlights that a number of shophouse deals in 3Q2024 were not caveated. According to market sources, several shophouses along Amoy Street, Neil Road, and Telok Ayer Street in Districts 1 and 2 were reportedly sold, with an estimated quantum exceeding $70 million. This is a strong indication of the demand for shophouses, which has picked up in the past few months. Lee Sze Teck, senior director of data analytics at Huttons Asia, notes that investors are attracted to this market segment due to its scarcity and potential for strong capital gains. With the interest rate cuts in the last couple of months, shophouses have become increasingly popular as a wealth creation and preservation asset. Lee also believes that shophouse transaction volume and quantum may rise in 4Q2024.
In other news, a three-bedroom unit at Eden Residences Capitol is up for sale at $5.8 million. This sale is indicative of Huttons Asia’s efforts to raise $60,000 for the OneMillionTrees movement through its Sustainability Walk. Furthermore, landed home sales volume has risen by 21.3% quarter-on-quarter in 1Q2024, as reported by Huttons Asia.