The price bloodbath is over for the luxury residential property market

Sales ticked up as buyers sought bargains.

Singapore's luxury residential property market may finally be headed to a slow recovery after suffering double-digit price declines in recent quarters.

Analysts note that prices in this hard-hit segment may have already bottomed, particularly as sales in the Core Ceeven ticked up in May.

“We observed an uptick in high -end sales, using Core Central Region (CCR ) sales as a proxy, in May. Sixty -nine units were sold, led by Marina One (12), Leedon Residence (7) and Sophia Hills (7). Their decent sales indicated more -or -less intact foreign interest in Singapore’s high-end market,” said Derrick Heng, analyst at Maybank Kim Eng.

Meanwhile, Barclays analyst Tricia Song noted that luxury home prices may have bottomed, which might prompt authorities to review the onerous Additional Buyers’ Stamp Duty.

“We expect an eventual easing of Additional Buyers Stamp Duty (ABSD) measures, in particular the 15% tax on foreign buyers, to benefit the luxury-end segment the most, especially as this segment has the fewest future supply completions. In May's developer take-up data, a small uptick was seen in the higher-end segment above S$2,000psf, as the correction in this segment has attracted buyers,” Song said.