Singapore’s personal house prices soar to US$1.2 million, topping Asia Pacific cities

The median value of a personal home in Singapore reached US$1.2 million in 2022, making it the very best amongst Asia Pacific cities, according to a report by the Urban Land Institute (ULI) Asia Pacific Centre for Housing. Singapore can be ranked as the most expensive city within the region for renting a private residence. The median private house price in the city-state was 13.7 times the median family revenue, whereas the figure dropped to four.7 for public Housing Board flats.
The report analysed housing attainability in forty five cities throughout nine international locations in the Asia Pacific, including Australia, China, India, Indonesia, Japan, the Philippines, Singapore, South Korea, and Vietnam. Over the previous 12 months, Singapore’s median private-sector residence value increased by more than 8%, whereas Hong Kong’s median house value fell by 8.7%.
Factors contributing to the worth will increase in Singapore embody a big influx of immigrants and a growing development of younger professionals shifting out of household properties for more room and freedom. Additionally, a reduced new provide of housing in current times was brought on by Covid-induced disruptions to the supply chain of constructing materials and labour.
The Singapore government has tried to address rising prices with a collection of property cooling measures. The newest set, introduced in April, included measures similar to doubling the buyer’s tax for foreigners to 60%.
In distinction, house prices in Hong Kong fell significantly, returning to 2017 levels. This was mainly as a result of a drop in population and a rising mortgage rate of interest. The current median house value in Hong Kong is US$1.16 million, an 8.7% fall from the earlier yr.
However, Hong Kong led the means in which on a per sq. metre basis. The median home worth per sq. metre in Hong Kong was US$19,768, almost twice that of Singapore’s US$10,715. By this measure, Singapore ranks third, after Hong Kong, and Shenzhen.
In terms of house possession, Singapore continues to have the highest fee of practically 90% across private and non-private housing. This is due to the government’s “consistent dedication to allow its residents to personal properties at affordable costs from the early years of the country’s independence within the 1960s”, mentioned the report.
Easy increased from US$379,000 to US$409,000, a rise of seven.9%, and the ratio of median HDB worth to median annual revenue elevated from four.5 to 4.7, the second-lowest in the list. For non-public homes in Singapore, the ratio jumped to thirteen.7. Shenzhen topped the record with a ratio of 35.0, followed by Ho Chi Minh City at 32.5. Hong Kong’s ratio was 26.5, a pointy drop from the previous year’s 30.5.
The report acknowledged that house possession is usually considered unaffordable when the ratio of the median residence price to median annual household earnings exceeds five. By this normal, solely Singapore’s HDB flats and house items in Melbourne and Brisbane were thought-about reasonably priced.
“Home attainability is severely challenged in Tier 1 and leading Tier 2 cities in mainland China, Hong Kong SAR, Metro Manila, Metro Cebu, Ho Chi Minh City, and Danang with median residence prices at roughly 20 to 35 instances median family revenue,” ULI mentioned in a press release on the report.
At US$2,596 – an almost 30% bounce from the previous year – the median month-to-month rent for Singapore personal properties was far and away the best among the many cities surveyed. The report cited “a sudden surge in the number of migrants, a slowdown in constructing completion and relatively restricted inventory of rental properties both institutionally or individually owned” as elements within the surge in rent. Second on the record was Sydney, where the median hire for homes was US$1,958. Hong Kong’s common (the median figure was not provided) month-to-month lease was US$1,686, a slight drop from the earlier year.
In terms of affordability, the median rent for personal houses in Singapore was 35% of household income. The report stated…
“However, as most renters of private-sector homes have larger than the median income, the month-to-month rent quantity ought to be a significantly smaller percentage of the renters’ month-to-month income.”

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