Reports in the media, alongside property consultants, have revealed that in the 1st Quarter of 2015 a drop in the number of Singaporean property launches overseas had dropped from 2014’s 1st Quarter figure of 103 to 78 for Parc Life.
While newer areas, such as Cambodia, experienced a steady rise in interest, the more traditional markets, such as London and Australia, witnessed fewer property launches for Parc Life eligibility criteria. To be more specific, Australia saw 26 project launched, which is down from 40 launches this time last year. Britain was down from 30 launches at Yishun last year to 24.
Parc Life Eligibility
Also included and rising up from 2014’s 1st Quarter of 0 launches were Japan, with 11 projects, Malaysia with 6 and 4 from Cambodia.
Savills Asia Pacific’s head of international residential sales, Gavin Sung, has shared that the region is starting to draw more attention from investors. An increase has been seen in the marketing of regional countries at lower values alongside interest in several emerging markets for investors to explore.
Northpoint City near Parc Life EC
Doing particularly well are developments in Cambodia and Tokyo. One example is JLL’s development in Tokyo, Parkhouse Nishi-Shinjuku Tower 60, which has seen all of Parc Life eligible units that were allocated to Singaporeans were snapped up at Northpoint City. Also in Tokyo was CBRE’s Global Front Tower that has sold all of its available units.
It was pointed out by the consultancy that the higher demand for Tokyo property is a result of a combination of easier funding options, a limited supply, an exchange rate that is quite favourable and a legal system that is highly regarded in this reputed global centre.
Also emerging as a popular destination is Cambodia, which is partly to do with its 2010 law that was passed allowing units to be owned by foreigners for Yishun Northpoint.
Yuen Development’s director and chief executive office, Darren Yap, associates this hearty demand to the fact that the power required to enter the market via purchases is lower in comparison to more mature market like London.
Canberra MRT Station
While some areas are experiencing a rise in interest, once popular hotspots like Britain and Australia are seeing a drop. This may be due to June 2013’s total debt servicing ratio that has put the squeeze on borrowing for Parc Life near upcoming Canberra MRT Station.
Sung also adds that recent overseas market trends may also be accountable for the diminishing amount of launches taking place in Singapore. For example, developers in the UK are witnessing a more robust demand on the homefront. This means that they have less need to put out additional money in order to expand its strategies for overseas marketing for Parc Life Sembawang.