Singapore Real Estate Investor’s Introduction

Singapore Real Estate Investor’s Introduction


The island city-state Republic of Singapore in South East Asia offers property investors a chance to tap into a well established luxury end property market with a strong track record for growth and demand.

Singapore is such a beautiful and vibrant place to live that demand for residential and commercial property is almost off the scale; add to this the fact that Singapore has a per capita GDP equal to that of the largest Western European countries and that the government are actually modifying policies to create a more robust growth path and an investor should quickly spot that the strong growth and demand factors are very likely sustainable.


The increasing demand for property for rent and sale in Singapore is being fuelled by the growing vibrancy and attraction of the city. Singapore has a fantastic nightlife, it is pretty much litter and serious crime free, it is a green and lush city with fantastic shopping and entertainment options and as a result it is being used as a gateway to the Far East for expatriate individuals and international companies who have professional dealings throughout Asia. Furthermore employment prospects in Singapore are positive resulting in strong demand from local professional residents too. The demand for commercial and residential space to let is at all time highs in Singapore as a result.

Singapore also has a sophisticated and highly successful free market economy heavily reliant on exports, one of the world’s busiest ports in terms of throughput and the Republic saw GDP rise in excess of eight percent in 2004 creating vast new opportunities for international companies seeking a base in the region. But the city-state suffered greatly following the global recession in 2001, the outbreak of SARS in the region and a slowdown in the tech sectors and this highlighted Singapore’s vulnerability through its exposure to and reliance upon external economies for ongoing success.

This realization has led to a planned period of prolonged economic readjustment which the government of Singapore believes will shore up the economy and protect it in the future from external negative influences. As part of the adjustments, the promotion of Singapore as a tourist destination of note has already proved successful with international visitor numbers up. The city-state has a great deal to offer tourists as well - from retail excellence to entertainment extravagance, from stunning natural beauty to architectural splendor.

From a property buyer’s perspective the changes to promote sustainable economic stimulus also affect policies governing the foreign ownership of real estate in Singapore which was once very restricted but which has now been eased. This has led to an increase in demand from overseas investors keen to purchase apartments in the most desirable locations to let out long term to professional residents or short term as corporate lets. The easing of ownership restrictions has also invited property prospectors onto the scene who are developing new residential complexes and targeting the international local community. And while interest rates in Singapore remain attractively low, more local demand for property to buy is breaking through.

The Singaporean government’s plans for fiscal stimulus are certainly working well in the entire real estate sector therefore - and real estate investors buying in Singapore now are purchasing at a time of great economic positivity which is only predicted to improve over the short to medium term.