ASEAN Condominiums and Apartments Market Size

ASEAN Condominiums & Apartments Market Analysis

The ASEAN Condominiums and Apartments Market is anticipated to register a CAGR of more than 7.5% over the forecast period.

• The market has been propelled by the huge number of foreign investors especially Chinese and Russians who are looking forward to buying affordable, luxurious properties as well in the region. Furthermore, economic recovery is anticipated to boost the market growth.
• Singapore's property market is expected to recover faster than its Southeast Asian peers from the Covid-19-induced slump as the region rushes to vaccinate its population. Vietnam is also expected to perform better than the majority of the region's major economies. Even though the fact that challenges are unlikely to disappear anytime soon, the region as a whole has some upside in 2022, with economic recovery expected to be more visible in 2023. Aside from a noticeable increase in housing demand, Vietnam's industrial property markets have performed well. Malaysia, the Philippines, and Thailand, on the other hand, are likely to face difficulties this year. Home prices in Manila, Kuala Lumpur, and Penang are still 3-5% lower than in 2020, while those in Jakarta, Indonesia's capital, are largely flat.
• Over the last five years, Cambodia's real estate investment market has grown as foreign buyers have fueled property development, particularly in the capital, Phnom Penh. Moreover, despite a slowing in demand as Covid-19 took hold, the sector is well-positioned for post-pandemic recovery, thanks in part to the country's high vaccination rate. Cambodia, indicating increased market confidence over the previous year. The website, which has over 30,000 active property listings and 200,000 monthly visitors, also saw an increase in traffic from international buyers during H1 2022. There has been an increase in Hong Kong investors. Many of the buyers are from China, Japan, South Korea, and Singapore, but there are also investors from the United States, Europe, and Australia.
• Mainland Chinese buyers have purchased the most private apartments in Singapore in 2022, outnumbering other foreigners, highlighting the amount of wealth flowing into the city-state from the world's second-largest economy. According to a report by industry watcher OrangeTee & Tie, Chinese buyers purchased 932 private units in the first eight months of 2022, nearly twice the number purchased by Malaysians, who came in second. Chinese buyers accounted for nearly 20% of sales, or 81 units, for luxury condominiums priced above USD 3.5 million. Americans came in second place with 34 units. India is among the top five foreign buyers, followed by the United States and Indonesia.
• Russia's invasion of Ukraine has resulted in economic sanctions against its citizens that are among the swiftest and most severe ever imposed on any country. Sanctions have had a little economic impact, either in Russia or elsewhere. However, the Southeast Asian property market has shown signs of bucking this trend, albeit in a few select destinations such as Pattaya, Phuket, and Bali. Inquiries for properties in Thailand increased by 50% in March 2022 compared to the previous year, and by 200% in April 2022. Bali had the highest increase in inquiries in Southeast Asia, up 360% in the first quarter compared to the same period last year. Uncertainty at home and punitive sanctions in many foreign destinations have fueled the trend.