Chart of the Day: Overseas investments in Singapore soared by 90.2% to $6.4b

Despite headwinds in the market.

According to Knight Frank, more international investors are venturing into Singapore real estate market. The chart illustrates the estimated investment volume ploughed in by REITs as well as local and international investors in 2012 and 2013. Local investors continued to dominate the investment sales landscape in Singapore despite the growing trend of venturing into overseas markets.

Despite the headwinds in the market, there are still signs of optimism as shown by the growing number of overseas investors in Singapore. Overseas investments in Singapore surged by more than 90.2 per cent from $3.4 billion in 2012 to $6.4 billion in 2013.

Chinese investors are gaining prominence in the market as their total investment outlay in Singapore real estate increased more than three times from $1.0 billion in 2012 to $3.5 billion in 2013. 

Local developers are seeing stiffer competition amidst the existing tough market conditions, as mainland Chinese developers such as Kingsford Development and Qingjian Realty stepped up their residential land acquisitions through the GLS programme.

Although the residential sector still remained the favourite sector among these international investors, interest in commercial and hotel sectors Is gaining momentum.

 

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