Data from Knight Frank revealed that the super-prime real estate market in Singapore experienced a notable decline in both the number and value of properties sold in 3Q23.
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In 2Q23, only 30 residential properties worth S$10 million or more were sold, marking a drop from 37 transactions in 1Q23.
Additionally, the total value of super-prime homes sold decreased from $603 million to $477 million. This trend is coupled with the decrease in the average selling price of super-prime homes in Singapore from S$16.3 million in 1Q23 to $15.9 million in 2Q23.
Knight Frank attributes the 3Q23 figures to Asian buyers exploring alternatives to Singapore in response to the implementation of higher stamp duty rates.
“Singapore’s super-prime market is experiencing a squeeze in sales volumes due to high purchase taxes, reaching up to 60% for foreign buyers in some cases.”
“Although the city has been successful in attracting wealth management and family office investments, this interest has not translated into increased sales activity, as the market is adapting to rely more on domestic purchasers,” the real estate expert added.
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