View of luxury apartments in Singapore.
Prices of high-end residential properties in Singapore, such as luxury condos, increased by 13.1 percent on an annual basis during the third quarter of 2018 due to bullish market sentiment in the first half of the year and a limited supply of such properties, according to Knight Frank’s latest Prime Global Cities Index report.
The republic saw the world’s highest growth in luxury home prices in Q3 2018, while Hong Kong only landed in 14th spot with a price gain of 5.5 percent.
“Singapore and Hong Kong, Asia’s two premier cities, have traded places in the last year. Both cities saw cooling measures introduced over the summer months and, although the rate of annual price growth in Hong Kong has already slowed, Singapore may not be far behind with its quarterly growth weakening to 1.7 percent in the third quarter of 2018,” said property consultancy Knight Frank.
Meanwhile, Edinburgh took second spot with a luxury home price growth of 10.6 percent, followed by Madrid (10.1 percent), San Francisco (9.5 percent) and Tokyo (8.6 percent).
Overall, Knight Frank’s Prime Global Cities Index edged by only 2.7 percent year-on-year in Q3 2018. While this marked the index’s weakest performance in annual terms for nearly six years, 74 percent of the 43 cities covered by the index posted annual growth in luxury home prices.
Romesh Navaratnarajah, Senior Editor at PropertyGuru, edited this story. To contact him about this or other stories, email email@example.com