Advantages of Singapore Property Investment

The mark of a good investor has always been the ability to buy low and sell high and seize upon opportunities. Recent changes by government to address the high cost of Houses for sale  in Singapore has led to a significant drop in current prices. This creates a unique situation where governmental intervention has served to lower costs but has done nothing to address the rising demand that generates higher prices. For an investor, it is a golden opportunity to gather property at lower than normal costs and then able to turn around and sell for a higher equity later as the prices rebound.

Historically, prices for residential properties and even serviced offices in Singapore have been high due to land limitations and bidding practices for the Singapore government that force higher land costs. As such, recent regulations regarding the acquisition of loans by residential borrows have been reduced forcing a temporary decrease in unit costs. For example, a new condo launch in Singapore can come at prices, in some cases, 20,000 USD less than previous condos and studio apartments of the same type. In some situations, the discrepancy can amount to even more.

Condos for sale in Singapore can net a savvy investor an great opportunity to actuate a generous return. This is primarily due to the underlying fundamentals driving the real estate market in Singapore. Before releasing a property for tender at auction, each property must meet a minimum bid. This causes developers to bid generously in order to secure the property in the market. Once the minimum amount is reached, the bidding for the property begins with all property developers in Singapore now raising the prices higher and higher. Given that it is highly unlikely this process will be altered in the near future, property purchases now will net a nice return when the overall prices emerge from the fundamentals.

Singapore’s real estate market is primed to explode as the influx of more and more Asian businesses establish a presence there. The regulations upon residential purchasers that have temporarily driven prices lower will not last due to a lack of understanding on the fundamental demand and supply economics currently under way in that market. This gives the prime investor the golden opportunity to take advantage of lower costs to generate a generous return when the prices rebound in short order. Now is the time to invest in property market in Singapore, the pricing structure as currently in place will not last long.