RENTALS.SG COMMENTS: Interesting regional overview of residential rents vs Singapore rentals. Singapore is clearly sliding as evidenced by recent reports.
January 27, 2017 01:00
By THE STRAIT TIMES
ASIA NEWS NETWORK
HONG KONG continues to rank as the most expensive place for rental homes in Asia this year, followed by Tokyo and Seoul, while Bangkok maintains its rank at 13 from last year.
Singapore, meanwhile, is the 7th most expensive location in Asia for high-end rental homes this year, falling from 4th position last year.
This is according to the latest survey published by human resources firm ECA International compared rental accommodation – commonly leased by expatriates – in more than 230 locations worldwide.
Hong Kong kept its top spot for being the most expensive in the region. Tokyo, which saw the largest rent increases in Asia over the past 12 months, came in second, followed by Seoul, Yokohama, Shanghai and Beijing.
Lee Quane, ECA International regional director of Asia gave several reasons for the drop in Singapore's high-end rentals: "Firstly, expatriate numbers in Singapore have stabilised recently, which has curbed demand for rental property in popular expatriate neighbourhoods.
"Furthermore, improved transport links in Singapore have led to moves away from historically popular districts such as 9-11 to cheaper locations.
"Singapore has also received more assignees from places such as China, Malaysia, Taiwan and Thailand whose housing budgets are likely to be lower. These factors, combined with an increased supply of property in the market, have caused landlords to respond by reducing rents."
In Singapore, rents for an unfurnished three-bedroom apartment across popular expatriate neighbourhoods average US$4,535 (about Bt160,000) per month, said the survey.
Those usually favoured by expatriates are homes in areas near international schools, embassies or social focal points, it added.