It isn’t that Singapore real estate is making verbal promises, but when you look at the numbers you cannot deny that the information mill very promising for buyers. When looking at the figures as of 2006, we notice that the private home price index showed a healthy 10.2% increase over its 3.9% increase from 2005. If you desperately want to get into the nitty gritty on the figures, then let us take into consideration that property prices in Singapore are up 15.8% since 2004.
It’s not unknown as to why the Singapore real estate market is on the increase since the economy is more or less taking it with it. The economy showed a 7.9% gross domestic product growth in 2006 versus the 2005 growth rate of 6.4%. However, it isn’t just the economic growth that is fueling the Singapore Real Estate market place. It is also new policies through the housing market which are put into put into 2005. These new policies include:
The loan-to-value increased from 80% to 90%
Foreigners are about to be able to obtain apartments due specific rules no longer being put in place (foreign purchase no longer has to qualify of: the building must be over 6 stories high and must thought of condominium).
The allowance of single people who are not related to jointly purchase properties via their Central Provident Fund (social security pension).
Cash down payments are down to 5% from the previous10% on home purchases.
Home ownership makes for a significant goal of the Singapore government. Due for this commitment and cooperation with the Housing and Development Board, Monetary Authority of Singapore, Urban Redevelopment Board, and the Central Provident Fund, Jade scape home ownership has grown to 92% from the previous 27% as recorded in the early 70’s. This is a success story in itself since Singapore encountered a housing crisis in the past after it acquired its independence, having said that Singapore real estate is certainly creating a statement.
Upon achieving economic stability, the interest in housing in Singapore has increased and the housing prices have increased as well. The higher price of property makes for a stronger Singapore marketplace market and so long as these higher prices continue, so will the promises and expectations of marketplace within Singapore. Without a doubt the numbers speak for themselves and they surely cannot be erased.