By Andrew Batt:
Bangkok luxury residential real estate prices rose by 3.5 percent last year according to new research from Jones Lang LaSalle.
A flat fourth quarter closed a relatively stable year in luxury residential real estate across Asia. The outlook for 2013 remains similarly neutral as cooling measures around the region take hold.
Capital values rose an aggregated 5.0 percent in 2012, up from the 4.8 percent seen in 2011. Of the nine featured luxury residential markets, six saw mild increases in capital values during the year, with declines registered only in Singapore (-5.6 percent year-on-year) and Shanghai (-0.5 percent year-on-year). Jakarta was the standout for the region, outperforming all monitored markets with growth rates of 27.5% on an annualised basis.
Looking forward, Dr Jane Murray, Head of Research, Asia Pacific for Jones Lang LaSalle, said: “Steady sales activity and limited price growth in the short term is to be expected in 2013. Policy restrictions in markets such as Hong Kong, Singapore and China will constrain growth.
“Despite this, Hong Kong’s capital values are expected to see a mild rise in 2013 supported by ongoing low interest rates. Capital values in Shanghai should also rise marginally this year, while prices in Beijing are likely to increase further on the back of stronger rental growth. Among the emerging Southeast Asia markets, Jakarta should continue to outperform in 2013 due to strong underlying fundamentals.”
Andrew Batt, International Group Editor of PropertyGuru, wrote this story. To contact him about this or other stories email andrew@allproperty.com.sg
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