SINGAPORE (MarketWatch) — The Fed may have saved Singapore. Or at least postponed the apocalypse.
It’s been no secret Singapore property prices have climbed dramatically recently, jumping almost 100% in the last four years. The median private condominium now sells for well over 1 million Singapore dollars, approximately $800,000 for a 1,000 square-foot property.
There are a number of reasons for the rapidly appreciating market including a high influx of foreigners — especially the rich from mainland China — lack of available land, relatively high incomes and a cultural preference for owning land.
However, rising prices has the Singapore government worried. While Singapore has the largest percentage of millionaires in the world — almost one in every six households as measured by disposable private wealth — many are not well off enough to afford the new normal in housing.