private property rental
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2022 private property rental at its peak since 2013

In 2022, private property rental surpassed the previous peak in 2013 and reached a record high.

According to the Urban Redevelopment Authority (URA), rentals in the industry were 23.9% higher in the July to September 2022 quarter compared to the same time in 2021 and 16.7% ahead of the 2013 benchmark.

Increase in private property rental

Private property rental has increased by at least 30%, according to landlords. The owner of a four-bedroom apartment at The Oceanfront in Sentosa Cove increased the rent by nearly doubling to $25,000 per month in November. After just one viewing, the 3,500-square-foot apartment, formerly rented at $13,000 a month, was quickly leased out.

Analysts remarked that since the Covid-19 outbreak, landlords are now in charge, and the tide has changed for real estate investors.

Rents have been declining over the previous ten years, and the market was favouring tenants, according to a real estate investor who wished to remain unnamed. The recent rental increase only returns us to the 2013 peak.

The investor-owned a dozen properties that claimed to have recently increased the rent on a two-bedroom condo in Tanjong Rhu by 30%, from $4,600 to $6,000. 

According to the director of ERA Realty’s research and consulting division, the increase in private property rental boosted the leasing demand from more foreigners moving to Singapore after the government loosened Covid-19 and travel restrictions.

The stronger demand and slower supply caused substantial upward pressure on private property rental prices.

2023 anticipations

Approximately 9,000 units are anticipated to be finished and ready for occupancy in 2022, while 18,000 units are anticipated in 2023. Some of these private residences will be available for rent. Nine months into 2022, private property rental had already surpassed a historical high. They are unlikely to drop in the following six months due to the market fundamentals fueling the surge.

About me

I am Tyson Yuk, the founder of the blog Commercial Realty Singapore. With over 15 years of experience, my forte is in the commercial and luxury property line. With my blog, I aim to educate, advise and share tips and tricks with potential property buyers and investors to help them make successful property ventures.

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