Rental Price Flexibility

[VA2HK2SG]

We are moving from Hong Kong to Singapore soon. When we looked for our flat in HK we heard that prices were somewhat flexible, however it seemed only for flats that were not very updated, those more desirable units in expat locations seemed to very firm on price or even trying to get us to offer more, this was only about 8-9 months ago.

How is the market in Singapore for popular expat areas like Holland, Rivery Valley, etc... Are the prices listed on the 3 major property websites very flexible, specifically those which are updated with good amenties, if so how much flexibility can we roughly expect.

Additionally see many will offer furnished, assume if only wanted white goods there would be some discount, also if 2 year lease there could be some discount as well?

Any info would be greatly appreciated on general market conditions.

[sundaymorningstaple]

If you aren't careful, you could find yourself in a bidding war. e.g., the prices are flexible but tend to go up if the LL finds somebody else who is willing to pay more. This used to happen with great regularity. Not so much today though. I doubt you will nego downwards more than 10%. LL's here will just let the units sit empty. No kidding.

[x9200]

How is the market in Singapore for popular expat areas like Holland, Rivery Valley, etc... Are the prices listed on the 3 major property websites very flexible, specifically those which are updated with good amenties, if so how much flexibility can we roughly expect.

Pretty flexible. I would say typically 5-10%. Of course it depends how the price compares to other, similar units within the same place.

Additionally see many will offer furnished, assume if only wanted white goods there would be some discount, also if 2 year lease there could be some discount as well?

2 years is pretty standard so do not expect too much of the discount here, rather expect higher price if for shorted period. Furnished or not this is what you should specify up in front - I don't think the LL will be very happy if you request to empty the whole place and yet ask for a discount. Afterall they have to store the furniture somewhere and they adverise for a reason whether the flat comes fully-, partly furnished or unfurnished.

Any info would be greatly appreciated on general market conditions.

[BillyB]

We are moving from Hong Kong to Singapore soon. When we looked for our flat in HK we heard that prices were somewhat flexible, however it seemed only for flats that were not very updated, those more desirable units in expat locations seemed to very firm on price or even trying to get us to offer more, this was only about 8-9 months ago.

How is the market in Singapore for popular expat areas like Holland, Rivery Valley, etc... Are the prices listed on the 3 major property websites very flexible, specifically those which are updated with good amenties, if so how much flexibility can we roughly expect.

Additionally see many will offer furnished, assume if only wanted white goods there would be some discount, also if 2 year lease there could be some discount as well?

Any info would be greatly appreciated on general market conditions.

There is some flexibility in the market - you just have to make sure you see plenty of units in the blocks you like to find it. Don't get tied to one or two agents; use as many as you can to gauge the prices and test the resolve of different LL's.

River Valley isn't very flexible on price, particularly with the new units - they are usually in high demand and at the top end of the price scale. River valley is a great suburban area, but some of the units are lcated quite far from an MRT so factor that into your thoughts. The ones close to Somerset MRT are massively overpriced as you are paying for convenience over space.

The overall market should drop within the next 3-6 months as demand lessens due to the new stamp duty charges, but the rental market will likely still remain buoyant as people are likely to wait and remain a little cautious whether the laws are here to stay long-term before they buy and commit.

The prices listed on the major websites tend to be in the ballpark range, but can swing 10% each way. Different agents will try different tactics to force your hand - some scrupulous, some unscrupulous - that's why it's better to use as many agents as you can making it clear you aren't paying them to work for you - you are contacting them to view a property they are looking after.

And as SMS says - sometimes you just won't understand the mindset of the local LL's. They're happy to let a place sit empty for 6 months and lose 60k in revenue, rather than get a tenant in and drop the price 5% and lose only 10k.

And you won't get a much of a discount for unfurnished (if any) - most landlords prefer this option as it saves the hassle of buying and replacing furniture. You can specify if you want furniture and they'll give you a budget, but they'll up the rent and recoup it over the term of the lease, so better to buy your own and have something to show for your money rather than it going in the landlords pockets.

[VA2HK2SG]

Thank you all for the info.

Sounds very similar as in Hong Kong.

[carteki]

@BillyB - the new stamp duty isn't going to make rental prices go down. If anything it'll make them go up as fewer people can afford to buy their own place and the costs of a 2nd property increase for locals / prs.

[BillyB]

@BillyB - the new stamp duty isn't going to make rental prices go down. If anything it'll make them go up as fewer people can afford to buy their own place and the costs of a 2nd property increase for locals / prs.

That's what I said. Prices will likely drop, rental won't.

[ScoobyDoes]

My colleague just negotiated a new 2-yr rental, advertised at $3,500, down to $3,200 complete with a whole new set of white goods including fridge, washing and separate dryer.

He got it for $3.2k because somebody else had offered $3.0k, which I think was quite a stretch still these days..... but it won't be much longer.