17-3-2024 (SINGAPORE) The curtain has been lifted on the overseas property pursuits of Singaporean investors, unveiling a diverse tapestry of destinations that beckon with alluring prospects. This revelation comes courtesy of a meticulous analysis of enquiries made by property buyers located in the city-state between January 2020 and November 2023.
Australia: The Sun-Soaked Siren Perched atop the rankings is the Lucky Country, Australia, which has ensnared a staggering 27.5% of all outbound residential property enquiries from Singapore. This commanding share underscores the nation’s magnetic appeal, a potent amalgam of cultural kinship, educational opportunities, a stable real estate market, an enviable lifestyle, and geographical proximity. Perth, the jewel of Australia’s West Coast, lies a mere five hours and 10 minutes by air from Singapore, rendering it an accessible haven for Singaporean investors.
Despite Australia’s stringent foreign buyer restrictions, which limit offshore purchasers to off-the-plan properties, Singaporeans remain undeterred. In fact, many find these new developments the most enticing offerings on the market. Moreover, permanent residents in Australia enjoy the same privileges as citizens when it comes to property acquisition.
Thailand: Yields and Lifestyle Trailing Australia in the rankings is Thailand, commanding an impressive 16.5% of Singaporean investors’ enquiries. This nearby investment destination flaunts the dual enticement of potentially high rental yields and an enviable lifestyle appeal. Thailand’s affordability, a stark contrast to Singapore’s property prices, further augments its allure. Beyond Bangkok’s condominium scene, the Thai resorts of Phuket and Pattaya have emerged as favoured playgrounds for Singaporeans seeking holiday properties that offer an unparalleled lifestyle at an accessible price point.
Malaysia: The Neighbouring Magnet Malaysia, the third most popular destination, accounts for 13.2% of Singaporean buyers’ purchasing enquiries. Proximity and economic ties to Singapore render Malaysia an obvious choice for property investors. The impending Singapore Rapid Transit (RTS) project, designed to shuttle 10,000 individuals per hour between the two nations, promises to further catalyse the cross-border lifestyle, with Singaporeans establishing first or second homes in Johor Bahru while maintaining employment in the city-state.
Japan: The Rising Sun’s Lustre Capturing 12.6% of global purchasing enquiries from Singaporean residential buyers, Japan ranks fourth. Its robust economy, unique cultural tapestry, and potential for property value appreciation collectively contribute to its magnetic pull. The recent depreciation of the yen has further stoked the fires of interest among Singaporean investors, positioning the city-state as the largest foreign investor in Japanese real estate this year.
United Kingdom: The Eternal Lure The United Kingdom, garnering 6.6% of enquiries, reaffirms its status as a significant global financial hub and a coveted destination for education and lifestyle pursuits. Akin to buyers from other Asian nations, many Singaporeans acquire property in the UK to provide a residential base for their children pursuing academic endeavours in the country.
American Dream: Manhattan’s Magnetism Across the Atlantic, the United States beckons with irresistible allure. Singaporean buyers have discovered that the price of apartments in Manhattan is approximately one-fifth cheaper on a per square foot basis than in Singapore itself. Moreover, the absence of restrictions on buyers from Singapore in the United States further fuels this transatlantic investment thrust.
Vietnam and Cambodia: Emerging Opportunities While Vietnam’s property sector has endured turbulence in recent years, this has not entirely deterred Singaporean buyers, who remain convinced of the investment opportunities that lie within its market. Similarly, Singaporean property developers and investors have made their presence felt in the high-end condominium scene of Phnom Penh, Cambodia, lured by the promise of superior returns on investment.
Indonesia: Jakarta and Bali’s Siren Call The top Singaporean buyer destinations in Indonesia are the capital, Jakarta, and the idyllic island of Bali. While most Singaporean buyers in the country are acquiring second homes, investment purchases also hold sway. However, the residential market in Jakarta remains a challenging landscape, plagued by limited price growth and a 12% decline in transactions in the second quarter.
