Singapore investors look overseas as market slows

Photo: SelectTravel

The agency's latest report reveals that investment sales climbed 1.4 per cent in the first quarter of 2014 to $3.94 billion to post one of the slowest quarers since 2009. As a result, developers, buyers and agents are increasingly turning to real estate opportunities abroad.

“Investor caution is pervasive and a series of mega-deal transactions is needed to turn the mood around," comments Alan Cheong of Savills Research.

“Looking ahead, the investment market is expected to be challenging given the slowdown across all sectors arising from the property cooling measures and the current historically high capital values.

“Anticipated interest rate increases also weigh on the feasibility of buying into assets which are priced at compressed yields. In addition, developers and investors have increasingly set their sights on acquiring overseas assets."