Singapore, New York tie for highest first half rental growth

Singapore, New York tie for highest first half rental growth

A sunset view on the return trip from Brooklyn on the top deck of the NYC Ferry, in New York on June 24, 2022. (Photo: New York Times)
A sunset view on the return trip from Brooklyn on the top deck of the NYC Ferry, in New York on June 24, 2022. (Photo: New York Times)

If you are renting in Singapore and New York, bad news: you are living in the two cities where prices have skyrocketed the most.

Rent in those two cities, located at opposite ends of the world, surged by 8.5% in the first half of this year, according to a report by Savills Plc published on Friday. In a survey of 30 cities, London ranked third, with prices rising 7.7%, followed by Lisbon and Miami.

At the bottom of the pile is the world’s most unaffordable property market -- Hong Kong, where rents declined by 1.3%.

Visitors gather in front of the Marina Bay Sands hotel and resorts building in Singapore on July 27, 2022. (Photo: AFP)

Despite rising interest rates and increased global uncertainty, prime residential rent outpaced capital value growth, increasing by an average of 3.1% versus a 2.4% in capital value, the report said. This is due to a confluence of factors that include people returning to urban cities after lockdown lifts, and the return of international travel.

“A lack of inventory will continue to fuel growth in the near term, especially for the type of residences prime tenants are demanding - centrally located, quality units with larger floor plates,” said Paul Tostevin, head of Savills world research. “For these properties, the Covid lockdown rental deal is definitely a thing of the past.”

The city of Shenzhen, China’s tech hub, also saw a decline in prices by 0.7% due to Covid-19 restrictions.

A general view shows the city skyline during sunset in Shenzhen in China’s southern Guangdong province on July 10, 2022. (Photo: AFP)


Do you like the content of this article?
COMMENT

Hong Kong football fans boo Chinese anthem

HONG KONG: Football fans in Hong Kong were heard booing China’s national anthem on Saturday at the first match open to spectators in the city since legislation outlawing the practice was passed more than two years ago.

24 Sep 2022

Death toll doubles in Iran protest crackdown

The official death toll has nearly doubled to 35 in a crackdown by Iran’s security forces on more than a week of protests that erupted after the death of a young woman in custody.

24 Sep 2022

Russia sacks top general in charge of logistics

KYIV: Moscow replaced its top logistics general on Saturday after a series of setbacks as Kremlin-held regions of eastern and southern Ukraine voted for a second day on becoming part of Russia.

24 Sep 2022