They started falling after two rounds of cooling measures in 2013.
Despite rising property listings in the prime residential area of Sentosa Cove, sellers are stomaching losses of their property prices by almost 30% since their 2011 highs, making the trend more severe than the slump in prime central London property prices after the Brexit.
Bloomberg reported that Sentosa Cove seems to be an outlier amidst the boom of luxury real estate markets across Asia Pacific as millionaire’s preferences moved to other areas in Singapore’s mainland after the peak in hot money from a commodities frenzy about seven years ago.
At present, Singapore’s billionaire haven is hit by the cooling measures imposed by the government back in July as stamp duties doubled to 20% since 2011 for foreign buyers compared with just 3% for Singaporeans.
“Loss-making deals continue to plague the market,” said Christine Li, Cushman & Wakefield’s head of research for Singapore.“The recent cooling measures, coupled with the looming uncertainties arising from interest-rate hikes and trade tensions, will weigh on investor appetite in the near term.”
According to CBRE, Sentosa Cove property prices started falling into a slump back in 2013 after two rounds of property cooling measures in January and June of the said year.
Here’s more from Bloomberg.
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