M’sians again in top spot as foreign home buyers

Source : Straits Times - 2 Dec 2008

For the second consecutive quarter, Malaysians continued to be the largest group of foreign buyers (including permanent residents or PRs) of private homes here.

They bought 201 private homes, or accounted for 22 per cent of the total 903 caveats lodged for private home purchases by foreigners in Q3, a DTZ caveats analysis shows.

Indonesians bought 170 units, giving them a 19 per cent foreign buying share, followed by mainland Chinese (13 per cent), Indians (12 per cent) and UK citizens (6 per cent).

Projects that drew the largest numbers of foreign buyers in Q3 were Clover by the Park (40 units), Livia (30 units) and Kovan Residences (20).

However, in terms of projects where foreign buyers had the largest share of caveats lodged in Q3, the chart toppers were The Lakeshore in Jurong and Nassim Park Residences.

Foreigners took 55 per cent or 17 of the 31 units that changed hands at The Lakeshore, and accounted for 48 per cent of the 31 caveats also lodged for Nassim Park Residences during the July to Sept quarter of this year.

Non-PR foreigners made up the bulk of the foreign buying at The Lakeshore, Nassim Park Residences, Kovan Residences, Dakota Residences and Park Infinia at Wee Nam in Q3. However, PRs bought more units than non-PR foreigners at Livia (in Pasir Ris), Clover by the Park in (Bishan) and Beacon Heights (at St Michael’s Road).

The total 903 units that foreigners (including PRs) acquired in Q3 was a 6 per cent drop from the previous quarter, and made up 22 per cent of total private home deals in Q3, down from a 25 per cent share in Q2.

DTZ executive director Ong Choon Fah expected foreign investors to continue to be cautious about buying properties in Singapore in the near term. ‘There’s a lot of frightened money around. Some investors have the money but fear that if they buy today, tomorrow it may be cheaper. This is keeping them away. However, foreigners, especially PRs buying for their own occupation, are more likely to adopt a longer term view and make a commitment,’ she added.

PRs bought 53 per cent or 476 of the total 903 private homes picked up by foreigners in Q3, with non-PR foreigners accounting for the remaining 47 per cent. The PR share was similar to the 54 per cent in Q2.