URA Propery Transaction Price Gap

[zxy1]

Hi all,
I'm about to finish my TA on 1st August.
Due to covid19 situation, I would like to find a property that is cheaper than what I'm paying now.

But when I'm looking at the different properties websites (99, p.guru) I can see that the asking prices are very high.
When I look at URA transactions (https://www.ura.gov.sg/realEstateIIWeb/ ... rch.action) I can see that many llords are asking for more than 25% than the average URA price.

In the news they are telling that new rentals are down by 36% (before CB). p.guru blog post says that the number of properties listed is very high.
I would expect at this time, while many expats are unfortunately need to leave Singapore, and that not many new expats expected in the near future - that prices will drop dramatically.

I understand there are many rich llords that don't mind if the property will be empty for a while - but still, this time is different, it might take a long time.

For me the situation is difficult, lets take for example a unit that averages in URA for S$5,000. Llord are asking for S$6,300. Can I approach the agent with my offer of S$4,800? What would be my best approach?

Why do you think asking prices are 25% higher than URA website at this time? These specific llords are missing their potential renters.

Thanks.

[tt1973]

Prices are expected to fall, but landlords are not in line with the market YET but I am sure it will be much more negotiable once there are more empty units.

Your offer of $4.8k may not be presented to the landlord cos most agents will not want to offend the landlord by offering that low.

You will be in a better position if there is an agent representing you and act for your interest. The agent will cobroke with landlord's agent which means no cost to you.

[ProvenPracticalFlexible]

Asking prices are asking prices, wouldn't pay much attention to those. You should offer what you think is right. URA stats Give you a more realistic information of current state, so yes I'd go with those and a bit under in current situation. If they don't accept it you can you can then offer more of you really want it. I'm sure agents want their commissions too.

[abbby]

I think you can try with a lower offer, but I guess most LLs are only willing to go down max 20-30% from asking prices. Unless it's a new project or project with several empty units fighting for rentals, you may have better luck in these places.

[tt1973]

I don't expect the borders to be relaxed anytime soon and many companies are cutting down staff, repatriating expats.

Hence in the next few months we will see an increase of empty units.