Property Agents Reflect Market Trends in Survey
Conducted for the first time, the iProperty Agent Survey 2016 is Asia’s first property survey based on observations by property agents that aims to provide insights into the preferences of Singapore’s property buyers and sellers. The survey was conducted from 13 September to 31 October 2016; 198 property agents responded. The property agents represented approximately 11,000 residential property buyers and sellers in Singapore between mid-2015 and September 2016.
The survey revealed:
· Condominiums garnered the highest level of interest from buyers, with 58.9% of surveyed property agents indicating so. HDB flats were a close second (49.2%), followed by new launches (32.4%).
· 28.8% indicated that District 19 (Punggol, Sengkang, Serangoon Gardens) was popular among buyers, whom the agents had represented since July 2015. The other two popular districts were District 10 (Bukit Timah, Holland, Balmoral) (24.5%) and 15 (Joo Chiat, Marine Parade, Katong) (23.4%).
· Respondents rated factors that influence buyers’ decisions to purchase a property and sellers’ asking price for a property, with a rating of one being most influential and five being the least influential. Price, at an average rating of 1.84 for both buyers and sellers, showed the greatest influence on property buyers’ decision to purchase and on sellers’ asking price.
· For buyers, location (whether the property was located in the Central region, East, West, etc.) trailed behind price with an average rating of 2.05, followed by proximity to MRT station/bus stops at an average rating of 2.10. For sellers, proximity to MRT station/bus stops was the second most influential factor determining asking price, with an average rating of 1.93, while location was ranked third-most influential with a rating of 1.98.
· 34.9% of the surveyed property agents stated buyers’ average budget to be an average of S$1 million—S$3 million during the year; and 26.9% indicated that buyers’ average budget was S$500,001—S$800,000. Comparatively, average asking price was S$1 million – S$3 million as indicated by 38.4% of the property agents; and S$800,001—SGD1 million as noted by 22.7% of the agents.
· 34.4% of the agents represented buyers within the average age group of 31-40 years old, while 53.2% represented buyers within the average age group of 41-50 years old.
Mr Sean Tan, Singapore General Manager and Chief Business Development Officer at iProperty Group, said: “Condominiums continue to be sought after and many are not just looking at price quantum anymore. Other factors like location and proximity to transport nodes have also become more important, for home owners and investors alike. As we see more private residential units and ECs come on-stream by end of this year and in 2017, buyers are likely to be more discerning. Pressure will be on developers to offer the best value to consumers, such as competitively priced units in areas that are in high demand.”