Foreigners are buying again

As posted in www.h88.com.sg on 5 Nov 2009 by John

More foreigners buying our private homes

Savills Singapore has confirmed what most of us already know by now - foreign buyers are on the rise. According to their research, foreigners (including PRs) bought 22.7% of homes during July-Sept this year. A huge increase from the 15.2% recorded in Jan-Mar this year. Not only that, China has overtaken India as the 3rd largest group of foreign buyers after Malaysia and Indonesia.

Malaysian and Chinese buyers favoured homes under $1m, while Indonesians preferred more expensive homes ranging from $1.5m to $5m. Favourite among the buyers are Sophia Residence, Caribbean at Keppel Bay, Ascentia Sky, One Devonshire and Viva (looks like the Indonesians were cashing in on our low low prices).

According the Straits Times,

Jones Lang LaSalle’s head of residential, Ms Jacqueline Wong, said the firm has had rising interest from new potential buyers from India, China and Russia in the past four months.

‘We are one of the places they are considering. They see Singapore as a safe haven,’ said Ms Wong.

A senior private banker at a foreign bank said: ‘We are seeing some clients consider buying a Singapore property as one of a string of homes they have around the world. Luxury homes have come down 30 per cent from the peak, so they are better value now.’

DTZ’s Ms Chua said foreign buyers see the growing attraction of Singapore as a global city and expect prices to keep rising as the economy strengthens.

‘Prices of prime and luxurious units have not reached 2007 levels and there is still the potential of capital appreciation depending on the rate of economic recovery,’ she said.

Wow, looks like there's plenty of foreign money coming in, hmm...I wonder where all this money is coming from (WSJ-"Fears of a New Bubble as Cash Pours In").

Via Straits Times - "Foreigners back in private home market". Fancy graphic here.