Singapore’s rental market has reported to be getting hotter. Rents for private apartments have surged nearly 31 percent by September compared with a year ago, jumping for 21 consecutive months, according to data from real estate portals.
The latest property curbs and a tightening housing supply could send the rental rates even higher.
In September, property austerity measures aimed at housing purchases could cause more people to rent, driving rental rates higher. On top of that, an influx of expatriates and wealthy immigrants has bolstered the city-state’s property market, triggering concerns about affordability.
Rents in the core central region, typically popular with expatriates, increased 29 percent in the same period.
To recap, the city-state’s tightened home loan limits, raising the interest rate floor used to calculate the total debt-servicing ratio and mortgage-servicing ratio. A 15-month waiting period for private homeowners looking to move into resold public-housing flats adds the pressure to the rental market.
