Singapore Real Estate is Making Promises

It isn’t that Singapore real estate is making verbal promises, but if you look at the numbers you cannot deny that the information mill very promising for buyers. When going through figures as of 2006, we notice that the private residential property price index showed a healthy 17.2% increase over its 3.9% increase from 2005. If you genuinely want to get into the nitty gritty from the figures, then let’s take into consideration that property prices in Singapore are up 15.8% since 2002.

It’s not a mystery as to why the Singapore housing market is on the rise 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 the perfect economic growth at this point fueling the Singapore Real Estate current. It is also new policies into the housing market which are put into devote 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 position (foreign purchase no more has to meet the criteria of: the building must be over 6 stories high and must be a condominium).

The allowance of single people who aren’t 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 has grown to be a significant goal of the Singapore government. Due to this commitment and cooperation with the Housing and Development Board, Jade scape condo Monetary Authority of Singapore, Urban Redevelopment Board, and the Central Provident Fund, home ownership has grown to 92% from its 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, however now Singapore real estate is certainly creating a statement.

Upon achieving economic stability, the interest on housing in Singapore has increased and the housing prices have increased as well. Higher price of property makes for a stronger Singapore industry market and as long as these higher prices continue, so will the promises and high expectations of property within Singapore. The doubt the numbers speak for themselves and they most certainly cannot be pushed aside.