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, near record highLuxury residential sales in Singapore fall in 1Q2023 Luxury residential market in Singapore takes a hit following cooling measures. In the second quarter of 2023, an estimated 80 non-landed luxury homes were sold in 2Q2023, 34.4% lower than the 122 homes sold in 1Q2023. The total value of the homes reached $657.3 million, 28.8% lower than the previous quarter’s $923.4 million.

The cooling measures that came into effect on April 27, including the doubling of additional buyer’s stamp duty (ABSD) applicable to foreigners to 60%, have had a particularly strong effect in Singapore’s luxury residential market. The 202 non-landed luxury homes sold in the first half of the year totalled $1.58 billion in value, which is 7.1% higher than the corresponding period in 2022.

Americans were the biggest cohort of foreign buyers to purchase property in Singapore last quarter, with 56 condo purchases recorded, compared to mainland Chinese buyers who occupied the top spot from 2017 to 1Q2023. US nationals are accorded the same stamp duty treatment as Singaporeans, given the trade agreement that exists between the two countries, so the hike in ABSD to 60% does not apply to them.

Les Maisons Nassim was the luxury project with the most noticable transactions in the quarter. The sale of an 8,633 sq ft unit to a US national for $45 million ($5,213 psf) in May was the top non-landed luxury deal. Other notable transactions included the sale of a portfolio of three GCBs on Nassim Road for $206.7 million, or a record $4,500 psf, as well as the purchase of another GCB for $88 million ($3,916 psf).

Homeowners of Tengah Plantation EC will get to enjoy living in a smart home with the latest advances in technology. They have a wide range of smart features such as the Smart Living Connectivity Hub, Smart Air-Conditioning Monitoring System, Smart Lighting, Smart Home Security, and Smart Parking. The Smart Living Connectivity Hub allows homeowners to connect to the internet, check on their mail, and control the aircon temperature easily. The Smart Air-Conditioning Monitoring System uses sensors to control the temperature in all parts of the house, providing the perfect balance of cool air during hot days and warm air during cold days. The Smart Lighting system allows homeowners to customize the lighting in their home according to their preferences. The Smart Home Security system is integrated with a home alarm system that is activated when the owner is away from home.

Overall, the homeowners of Tengah Plantation EC are provided with an unprecedented level of convenience and comfort. This smart home system ensures that residents can enjoy a comfortable and secure lifestyle. The Smart Parking system further adds to the convenience, allowing homeowners to find and reserve parking spots within the condominium with ease.

The luxury rental market may be affected going forward, as the cooling measures continue to take their toll. More demand is expected as foreigners who are keen to stay in Singapore for the long term will continue to rent, while waiting for permanent residency or citizenship.

Given the trend in the luxury residential market, URA data and the reports from Huttons Asia and OrangeTee & Tie, Singapore’s luxury market has taken a hit. That said, the resilient number of payments by US nationals shows that this sector is not out of the game just yet.