SINGAPORE: A new survey has shown that the prices of Singapore’s private homes are now the priciest in the Asia Pacific region, while rentals in the country are also the highest in APAC.
The 2023 APAC Home Attainability Index of the Urban Land Institute said on May 30 (Tuesday) that the median price for a private house in Singapore is US$1.2 million (S$1.6 million), while in Hong Kong, it’s $1.16 million (S$1.57 million). Coming in at the third-highest price are houses in Sydney, where the median price is $980,000 (S$1.33 million).
Property prices in Singapore increased by 10.6 per cent in 2021 and 8.6 per cent in 2022.
As for rentals, Singapore has also taken pole position, with median prices at US$2,598 (S$3,520), with houses $1,958 (S$2,650) and flats $1,732 (S$2,344) in Sydney taking second and third place. Median rental prices in Hong Kong, which is in fourth place, are now at $1,686 (S$2,282.53).
The Urban Land Institute said in its report that the primary drivers behind Singapore’s high rents and home prices are immigrants returning to the city and young people moving out of their parent’s or grandparent’s homes to live on their own is more significant in numbers than in the past.
However, while Singapore has the highest median home and rental prices, homeownership is still the most affordable across the region.
Flats from the Housing and Development Board sell for a median price of just 4.7 times the income of median households.
“The 2023 ULI Asia Pacific Home Attainability Index report provides a high-level snapshot of the extent to which housing is attainable in cities in the Asia Pacific region. The report covers 45 cities in nine countries with a combined population of 3.5 billion or around 45 per cent of the world’s total population, measuring home attainability for both home ownership and home rentals in relation to the median income of households,” the report reads.
The report is available for downloading here. /TISG