Success rate for auction listings hits highest quarterly percentage in a decade
Nine properties were sold in Q122 for a gross value of $21.1m.
The success rate for auction listings hit 11.3% in Q1 2022, the highest recorded quarterly percentage in about a decade, according to Knight Frank.
According to the analyst, there were nine properties sold in the quarter for a gross sales value of S$21.1 million, a good number considering the decline in listings by 20.8% QoQ.
Based on data from Knight Frank, there were only 80 listings in the first quarter of the year including repeat listings and excluding properties sold outside of an auction.
The analyst attributed the decline to a sharp drop in owner sale listings which were more than halved for the quarter to 28 from 58 in Q4 2021. Owner listing likewise hit an all-time low with only seven in the quarter.
“While some had been sold under the hammer, a strong residential market perhaps gave some owners the confidence to sell their properties independently,” Knight Frank said.
On the other hand, mortgagee listings climbed by 23.7% QoQ to 47 from 38 due to more office units that were put up for auction. Despite the q-o-q increase, listings were still 59.8% lower y-o-y than the 117 in Q1 2021.
“Broad-based rental improvement, especially in the private residential market, possibly provided distressed owners with the means to cover their current mortgage installments, contributing to restraint being observed by banks in foreclosing residential properties,” the analyst said.