Singapore’s real estate market has long been a beacon of stability and growth in Southeast Asia, attracting both local buyers and international investors. However, recent government interventions, often referred to as cooling measures, have introduced new dynamics that are reshaping the landscape. These measures, designed to prevent overheating and ensure affordability, include higher Additional Buyer’s Stamp Duty (ABSD) rates and tighter loan-to-value (LTV) limits. As we delve into 2024, understanding these changes is crucial for anyone looking to invest or purchase property in the Lion City.
One of the most significant updates came in late 2023, when the government announced adjustments to ABSD for foreign buyers, pushing rates up to 60% for some categories. This move aims to curb speculative buying and prioritize housing for Singaporeans. Despite these hurdles, the market has shown remarkable resilience. Luxury condominiums in prime districts like Orchard and Sentosa continue to see strong demand, with prices holding steady or even appreciating modestly. For instance, recent transactions in high-end developments have averaged around SGD 3,000 per square foot, underscoring the enduring appeal of Singapore’s premium real estate.
On the public housing front, Housing and Development Board (HDB) resale prices have experienced a slight moderation after years of upward trends. The introduction of new Build-To-Order (BTO) flats with enhanced subsidies has helped first-time buyers