Figures that low have not been seen since 2014, when S$431 million worth of such assets were purchased. That’s a fraction of the 60 units transacted in 2021, representing an 80% drop from that year’s S$2.1 billion in sales.
Knight Frank figures don’t include undisclosed deals, but the eight mansions sold compare with 20 last year. “It will take a while for the dust to settle and the market to forget this negative image of luxury real estate.” “The recent anti-money laundering blitz by the Singapore police force has tainted the luxury property market,” said Lewis Cha, executive director for List Sotheby’s International Realty. Rental demand for mansions that once hit S$150,000 ($110,000) a month has also cooled as the wealthy think twice about flashy homes in the city-state.
The transaction drought follows money laundering investigations into a group of people of Chinese origin, significant tax hikes on foreign buyers and rising interest rates.
