Singapore, 16 August 2023 – EDMUND TIE is pleased to share our new bi-annual report, Prestige Homes. The report focuses on the luxury homes sector in Singapore, which are defined as private homes in the Core Central Region priced S$10 million and above.
Landed homes
- Transaction volume for luxury landed homes jumped by 30%, from 40 units recorded in 2H 2022 to 52 units in 1H 2023, led by the detached home segment. The share of luxury landed homes at the highest price quantum range (S$50 million and above) grew by more than twofold to 12% in 1H 2023, from 5% in 2H 2022.
- Amid tight supply for luxury landed homes, EDMUND TIE remains sanguine about the landed housing market underpinned by buoyant housing demand. Some slight kneejerk reactions by Singaporeans purchasing their second or subsequent properties is expected, following April’s cooling measures which saw Additional Buyer’s Stamp Duty (ABSD) being hiked 3 to 5 percentage points.
Non-landed homes
- Transaction volume for non-landed luxury homes fell by 23.8% to 32 units in 1H 2023 from 42 units in 2H 2022. Consequently, 1H 2023 recorded a 16.5% decline in sales quantum to S$540 million. Demand gravitated towards larger non-landed luxury homes in 1H 2023, evidenced by the sequential increase in the share of homes sized 3,000 sq ft and more to 75%, up from 60% in 2H 2022 and 52% in 1H 2022.
- Sustained demand for non-landed luxury homes will continue, on the back of the growing number of high-net-worth individuals in Singapore as they are attracted by the country’s stable economy and its safe haven status to park their investment assets.
Foreign demand
- In 1H 2023, the Mainland Chinese ranked first for the second consecutive time in the overall non-landed private residential market. Similarly, the Mainland Chinese remains an important source of demand when we zoom into the luxury home segment, where they also topped the list for the second time.
- Foreign share for non-landed luxury homes is expected to moderate in the second half of 2023, following the recent ABSD hike (doubled to 60%) on foreigners.
Note: Luxury homes in the report refer to private homes in the Core Central Region priced above S$10 million and above.
Click for the full 1H 2023 Prestige Homes.
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For further information, please contact:
Seah Li Ching (Ms)
Corporate Communications
DID: +65 6393 2369
Email: liching.seah@etcsea.com