You wouldn't own a Singapore condominium for rental yields!

Residential Valuation Specialist | June 15, 2019

Last Updated: June 15, 2019
CORE CENTRAL REGION SINGAPORE COST (US$) YIELD (p.a.) PRICE/SQ.M. (US$)
TO BUY MONTHLY RENT TO BUY MONTHLY RENT
40 sq. m. 700,960 1,761 3.02% 17,524 44.03
75 sq. m. 1,168,650 3,192 3.28% 15,582 42.56
120 sq. m. 1,724,760 4,736 3.30% 14,373 39.47
200 sq. m. 3,196,000 n.a. n.a. 15,980 n.a.
350 sq. m. 5,880,350 n.a. n.a. 16,801 n.a.
All yields are gross - i.e., before taxes, repair costs, ground rents, estate agents fees, and any other costs. Net yields (what you´ll really earn) are typically around 1.5% to 2% lower.
Districts researched : Districts 7, 9, 10 and 11
Source: Global Property Guide Definitions: Data FAQ See also: Update Schedule

Singapore is a safe haven, it is a liquid market, everyone in Asia knows and trusts its institutions. Low interest rates have played their part in pushing property prices up, despite the efforts of the ever-vigilant Monetary Authority of Sing,apore and the government. Property in Singapore commands a premium, and conversely returns to owners who rent out their properties are low.

Nobody can say that condos in Singapore are cheap, at around US$13,500 per square metre (sq. m.). That´s because there´s a ´global city´ premium. Gross rental yields in Singapore remain poor, at around 2.5%. Yields are a little higher on smaller apartments than large ones, as is typical in most property markets. But those yields alone would not be a reason for owning property here.

Prices have been falling gently over the past 2 years, especially in the core and central region.

Round trip transaction costs are very low in Singapore. See our Property transaction costs analysis for Singapore and Property transaction costs in Japan, compared to the rest of Asia.

 

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