RECOUPING CAPITAL
Real estate consultancy Knight Frank Singapore said a total of 360 properties were up for sale last year at the auction market. Residential properties formed more than a quarter of these listings.
About 240 properties were owner listings, which are properties put up by the owner rather than the bank.
Of all the properties listed, about 7 per cent were eventually sold, which is considered historically typical for the auction market. More than half of those sold were industrial properties.
Knight Frank Singapore is expecting a slightly higher success rate of up to 10 per cent this year.
“There’ll be listings from all sectors, we expect, particularly in the commercial and industrial sectors,” said Mr Leonard Tay, head of research at Knight Frank Singapore.
“The tight business environment that prevailed in 2023 might have proved too challenging for some business owners, and this could possibly result in an offloading of these assets this year to recoup some capital.”
The recycled capital can then be used for new investments this year, “especially so if opportunities present themselves where prices have trended downwards towards more realistic levels”, said Mr Tay.
