Globalisation
With globalisation and the increase in travel, the group of people known as the ‘Global Citizens’ have a majority share of the wealth in the world. They are major investors and buyers of all the high-end properties around the world, including Singapore Properties. It is widely accepted that 20 percent of the people in the world own eighty percent of all wealth. These people will play a very major role in influencing the price of properties in the high-end property market in Singapore as they have done globally.
How are high end property prices determined globally? Simple, demand and supply.
Transformation Factors
In the last few years, the relentless effort by the Singapore Government to turn Singapore into a very attractive and fun-filled world class city to prevent brain drain and to attract foreign talents to live in Singapore.
This includes development of the Marina Bay Sands (MBS) and Integrated Resort (IR) with Casinos, organising world class events like the Formula 1 Racing (F1 Racing), hosting of large scale Conferences and Conventions, setting up large scale industrial & commercial infrastructures, positioning Singapore as a top class Education Hub and importing advanced Medical Facilities and Talents to promote Medical Tourism, etc.
Population
Singapore has a population size of about 5 million in the year 2010. The Singapore Government is looking at growing the population size to 6.5 million. Doing a very simple calculation will show a massive number of homes will be required to house the additional 1.5 million people in the next 10 years!
Strong Economic Climate
Singapore is the World’s easiest place to do business
Source: World Bank report: “Doing Business 2007: How to Reform”
Singapore is the “Best Business Environment” spot in Asia Pacific
Source: EIU Country Forecast, January 2007
World’s 2nd Most ‘Network Ready’ Country
Source: Global Information Technology Report 2005/06, World Economic Forum
Singapore: 2nd Most Technologically Ready Nation in Asia
Source: Global Competitiveness Report 2006-2007
Most competitive Asian Economy and 2nd most competitive economy in the World
Source: World Competitiveness Report 2007
Best Labour Force in the World
Source: BERI’s 2007 Labour Force Evaluation Measure (LFEM) report
Singapore: 1st in the World for Quality of Air Transportation
Source: World Competitiveness Yearbook 2006
Singapore is World’s Most Globalised Nation
Source: A.T. Kearney/FOREIGN POLICY Magazine Globalization Index 2006
Singapore Ranks No. 1 in Perceptions of Corporate Governance Standards
Source: Political and Economic Risk Consultancy, June 2006
Fund Managers and Investors’ Activities
In recent times, we are seeing more and more Singapore Properties bought in volume. In addition to that, more individuals from around the world are buying Singapore Properties as a stable form of investment.