More and more investors are targeting their investments in Singapore.
Real estate investment is highly sought after as a popular investment project. Compared to Hong Kong where property speculation is prevalent, property prices are incredibly high and the property bubble is relatively large, Singapore's property market is very stable, with a steady upward trend in property prices, less property bubbles and loan interest rates kept at a low level, making it the most suitable place for property investment in Asia.
Buying a home is a rigid demand and a form of investment, and the probability of a property bubble in Singapore is much smaller than in Hong Kong and Switzerland.
The rental return on private condominiums in Singapore is between 3%-4%, much higher than in Tier 1 cities.
As an island nation, Singapore can only rely on reclamation to expand its land resources, and scalability is extremely inadequate. The scarce land resources and growing population ensure the market value of land resources.
At present, with government departments deliberately suppressing property prices, the rising area of Singapore's real estate market is quite large.
Houses in Singapore are available in 99 years, 999 years and freehold, which are more popular among foreigners.
A house with a perpetual deed is generally 20% more expensive than one with a 999-year deed. However, there is always a demand for long term deeds and it is also highly sought after by investors.
The regional market value of freehold in Singapore is very high due to the optimism of consumers about the rate of value retention and appreciation in this market.
The Singapore property purchase process requires legal representation and a third party platform bank account control.
All property transaction accounts need to be deposited into an account controlled by the government department and the developer. The government department will settle with the property developer according to the specific progress of the project, providing two more security guarantees.
The purchase price of privately owned pre-sale homes in Singapore is much lower than that of existing homes, with a large selection of units available.
Pre-sale homes in Singapore are purchased in installments, with only 20% down and the remaining 80% repaid according to the construction progress.
For example, after the foundation is completed, there will be a portion of the 10% loan to be repaid instead of paying back the entire 80% loan right from the start.
Moreover, buyers in Singapore do not have to fear contract fraud and delayed delivery because all related matters are regulated by the government.
In terms of mortgage loans, Singapore has a large percentage of loans with low interest rates. Foreigners can get loans ranging from 60% to 70% of the total property price, and the annual loan interest rate is only about 2.5%.
If you buy real estate in some foreign countries, you must pay capital gains tax at a prescribed location when you increase the value of your property or resell it. In Singapore, capital gains tax is tax-free, saving at least 20%.
Singapore's multifaceted competitive advantages include a well-developed and robust infrastructure, a livable urban environment, extremely favorable investment conditions and a pro-business environment.
Property prices in Singapore have not been affected by the epidemic and are still on a continuous rise.
Since 2009, residential prices in Singapore have risen by 51%.
Higher rents, lower rates, market values, and ample local capital have led to a relatively positive view among investors.
The forecasted rise continues for a decade, with a positive outlook and high development potential for investment.