Singapore Has APAC’s Highest Home Costs, Hong Kong Still Costs Double by Area

Singapore’s personal houses have surpassed Hong Kong’s as the most costly in Asia Pacific with a median value of $1.20 million per unit, in accordance with analysis by the Urban Land Institute.

Homes in Hong Kong value a mean of $1.16 million, adopted by these in Sydney ($980,000) and Melbourne ($716,000), with Shenzhen and central Tokyo rounding out the highest six at about $627,000 every, as reported by the 2023 ULI Asia Pacific Home Attainability Index.

Housing shares and residential attainability differ vastly all through APAC, mentioned Kenneth Rhee, senior director of ULI China and the first creator of the report.

“Key factors for home attainability include demographic trends, government policies related to land use and density, the ability to redevelop or regenerate urban areas in decay, availability of financing for home purchase, the government’s involvement in the home provision, and the impact of COVID on new home supply,” Rhee mentioned in a launch.

Size Matters

On a per sq. metre foundation, Hong Kong’s personal housing stays the most costly within the area at $19,768 — nicely over twice the collective median determine for Singapore ($10,715 per sq. metre), Shenzhen ($10,876), central Tokyo ($9,798), Beijing ($9,230) and Shanghai ($8,257).

In distinction, cities in India have the bottom median value per sq. metre of between $900 and $1,200, apart from Mumbai, the place the median dwelling value is $2,237 on that foundation.

Using the metric of median dwelling value as a a number of of median annual family revenue, Shenzhen emerges because the least reasonably priced market with a ratio of 35.0, adopted by Ho Chi Minh City (32.5), Beijing (29.3) and Da Nang (26.7). Hong Kong is subsequent with 26.5 — significantly decrease than final yr’s 30.5, because of a pointy value drop.

Singapore’s HDB items proceed to be reasonably priced with a median value of 4.7 instances median annual family revenue, with Brisbane items the one ones cheaper at 4.5.

In phrases of rental housing, Singapore’s personal houses have the very best month-to-month hire within the area at $2,596, far outpacing Hong Kong’s $1,686.

Government’s Role

Homeownership varies considerably within the area, typically a operate of presidency insurance policies and inhabitants migration, the ULI mentioned. Singapore continues to have the very best homeownership price of practically 90 %, because of the federal government’s dedication to enabling its residents to personal houses at cheap costs for the reason that nation’s early years.

The ULI report explores the implications of shifts in housing demand and regional competitiveness arising from wide-ranging elements that affect dwelling attainability, mentioned David Faulkner, president of ULI Asia Pacific.

“Our goal at the ULI Asia Pacific Centre for Housing is to advance best practices in residential development and to support ULI members and local communities in creating and sustaining a full spectrum of housing opportunities,” Faulkner mentioned.