Billionaire developer Kwek Leng Beng said last year that skyrocketing prices and restrictive rules made buying residential land in Singapore “suicidal.” That hasn’t stopped international developers from rushing in.
Developers in Singapore and Hong Kong, cities which last year implemented some of their most- restrictive curbs to rein in residential property prices, are shifting focus to the U.S., China and the U.K. as demand is stifled at home.
Singapore’s fourth-quarter home prices slid for the first time in nearly two years, trimming annual gains to the smallest since 2008 as housing loan curbs cooled prices in Asia’s second-most expensive housing market.
Singapore’s developers posted the worst performance on the benchmark Straits Times Index this year after recording the biggest gains in 2012 as property curbs drove home sales lower and slowed price gains.
Singapore’s private home sales fell 25 percent in June, the most in six months, following the government’s efforts this year to curb gains in housing prices. The property index dropped to a three-week low.