Property Auction | Lush Dream Home

Tag Archives: Property Auction

Property auction sales value hits 5-year high

Posted on 24 Dec 2015 | Comments Off

Singapore’s property auction market saw total sales value for this year soar 41 percent to $102.27 million from $72.50 million last year – its highest in five years, revealed a JLL report.

This comes even as the total number of properties successfully auctioned this year is similar to that of last year at 34 properties.

JLL attributed the rise in total sales value to big-ticket items sold earlier in the year, with the $16.30 million sale of a single-storey bungalow with redevelopment potential at 25 Branksome Road in September emerging as this year’s biggest auction deal.

The report stated that the residential sector accounted for 68 percent of total sales value in 2015, due to the large share of sales listings which reached 70 percent in Q1 and Q4 2015, or an annual percentage of 65 percent.

Except for 2013, the number of residential properties put up for auction since 2009 has consistently surpassed the combined number of commercial and industrial properties, said JLL. Residential properties accounted for only 46 percent of total listings in 2013.

Meanwhile, 88 percent of the 26 properties sold this year were mortgagee listings, a similar percentage to that recorded in 2014, when 16 of the 20 residential properties sold were mortgagee listings.

The past two years marked a significant growth in the percentage of mortgagee properties as a portion of residential auction sales, noted JLL. This is a departure from 2010 to 2013, when mortgagee listings accounted for less than 50 percent of total residential sales.

“In the environment of impending further increase in interest rates and softening of rental market, we are likely to see more mortgagee sales put up in 2016. The majority of these are likely to comprise residential properties,” said Mok Sze Sze, Head of Auction and Sales at JLL.

Comments Off on Property auction sales value hits 5-year high

Posted in Auction

Tagged Property Auction, Residential Properties

Property auctions market sputters along

Posted on 29 Jun 2012 | Comments Off

Singapore’s property auction market saw a subdued start to the year due to the effects of the additional buyer’s stamp duty (ABSD).

Of the 198 properties put up for auction in H12012, 191 were listed by owners while seven were put up by mortgagees.

“This continues the trend of declining mortgagee listings since Year 2007, which reflects the improved financial position of mortgagors on the back of the continued low interest rate and high liquidity environment, as well as a healthy rental market,” according to Colliers International.

But from the total number of listed properties, only 10 were sold achieving a total sale value of S$34.3 million, the second lowest figure since the 2008 global financial crisis.

The value is 50.5 percent below the S$69.25 million recorded from 33 properties auctioned in the same period last year.

Nevertheless, the total sale value remained 30.1 percent higher than the S$26.37 million seen in H22011.

“While there is a substantial 30.1 percent increase in the total sale value in H12012, it is largely attributed to the sale of a petrol station along Jalan Ahmad Ibrahim, which was sold for S$12.73 million,“ said Grace Ng, Deputy Managing Director at Colliers International.

Meanwhile, Jones Lang LaSalle (JLL) reported that the value proportion of commercial and industrial properties auctioned in H12012 to date saw a new three-year high of 78 percent compared to 32 percent in H12010.

“This has come off the back of a sustained, and some may feel worrying, “herd-mentality” shift in investor interest toward the non-residential sector,” noted JLL.

However, the total value of residential properties sold during auctions stood at 22 percent in H12012, down from 28 percent in H12011 and 61 percent in H12010.

In the near future, the attractiveness of the non-residential sector could be reduced “given the elevated level of policy risk and clustering of investors into the sector”.

Source : PropertyGuru – 2012 Jun 28