Choosing and Buying Real Estate in Singapore

14th December, 2012 - Posted by admin - Comments Off

real estateSingapore is the 6th best country to live in

In a 2012 Forbes report, Singapore was chosen at the 6th best country for a person to be born in 2013. At 6th position, Singapore is takes the top spot for the best country in Asia to live in. The report attributes Singapore’s rise, from 36th position last year to 6th position this year, to a thriving sea port, affluence of the country, and exceptional quality of life for locals.

The reasons that Forbes stated are the reasons why many locals and many foreign investors choose to invest in real estate in Singapore. Singapore offers political stability,  economic stability (as evidenced in the country’s resilience to economic fluctuations in the past decades), and just as the Forbes report says, living life in Singapore simply good.

Due to Singapore’s favorable political, economic, and social situation, it is a magnet for real estate investment from not just the locals who buy for own stay, it also attracts investors, notably from Malaysia, Indonesia, and China, to invest in property. In the past decade, from 2001 to 2012, private property prices has risen  72.7%, according to the Singapore Residential Price Index (SRPI), published by the National University of Singapore (NUS).

Due to the meteoric rise in interest in Singapore real estate, there is now many choices for property hunters in Singapore. As of date, there are 2,453 different condominiums and apartments, not including private landed properties.

Therefore, choosing and buying a property in Singapore is daunting. With the presence of 2,453 unique property developments in a mere 723.2km2 land size, Singapore has one of the most dense property development: land ratio in the world. Choosing a good property to invest in is really no easy feat.

Proximity to MRT is the main criteria

The 3 golden rules in property investment has always been “Location, location, location”. But for those familiar with the real estate market in Singapore, the 3 golden rules are “MRT, MRT, MRT”. MRT stands for Mass Rapid Transit, the Singaporean term for the train or subway system.

It has been shown, in the past decade, that properties near MRT stations are most resilient in resisting price falls in periods of bad economic situations, and yet posts the best capital appreciation in good economic periods. As such, properties near MRT stations are always in hot demand.

In a small country like Singapore, public transport is the main mode of transportation for most people, and travelling by MRT has always been preferred to buses, as MRT provides comfort during the journey and timing reliability. It is the choice mode of transport especially for expatriates living in

Singapore, since they usually do not drive, and their main workplace, Central Business District, is accessible by MRT.

There are several reported cases in the national newspaper in the past year, that existing condominiums saw a 30% increase in asking price overnight, immediately once a new MRT station within walking distance to the condo was announced.

The proximity to MRT, therefore, is the primary criteria for choosing a good property in Singapore.

Being near to amenities, schools, and expressways

The next criteria in choosing property in Singapore are proximity to amenities, top schools, and expressways. These importance of these criteria differ from individual to individual, as one may place more importance in being near a top junior school for his young children, while another may place more importance in being near the expressway exit since he drives. If a property development has a good balance, being near to amenities, schools and expressways, then the property will be in very hot demand, not just in the initial sales launch, but also throughout the years when the owners and tenants come in to stay.

It is these properties – being near to MRT, amenities, schools, and expressways (transport links) – that command high value, and consistent rental demand.

In choosing a new property to invest in, in the 6th best country in the world to live in, it is these criteria that will set the really good properties apart from the mediocre.

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Hillview Peak Condo is a New Hillview Launch Condominium near Hillview MRT, developed by Kingsford Development Pte Ltd.

Full Location information, Brochure, Floorplans, and Price are available here.

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Tags: real estate

Posted on: December 14, 2012

Filed under: Blog

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