Singapore auction gross sales value drops 17.5% to S$28.7m in 2024

This is despite auction listings growing by 16.8% to 418 during the year.

In a recent report, Knight Frank revealed that the number of auction listings in Singapore surged 47.7% q-o-q to 127 (including repeat listings and excluding properties sold outside of auction) in Q4 2024. In 2024, there were 418 listings, 16.8% more than the 358 listings in 2023. The report said the yearly increase in the overall listings was attributed to the uptick in mortgagee sale listings which grew 61.3% y-o-y to 171. Owner sale and listings of other types recorded 234 and 13 respectively in 2024, similar to 238 and 14 listings in 2023. 

“Despite the gain in overall listings in 2024, gross sales value declined 17.5% y-o-y to S$28.7 million, with 15 properties sold against the 24 in 2023. This translated to a lower success rate of 3.6% for the whole year,” the report added.

Here’s more from Knight Frank:

During the quarter, the mortgagee sale listings increased 67.5% q-o-q to 67, and owner sale listings rose 36.6% q-o-q to 56 in Q4. At the same time, there were four listings of other types in Q4, consisting of three trustee and one sheriff sale.

Residential properties made up 36.2% (46) of the total listings in the quarter, similar to the 44 residential homes listed in the previous quarter. There were 36 retail shops (28.3%) and six offices (4.7%) listed, up from 14 retail and two office units three months ago. Industrial properties comprised 24.4% (31) of the overall listings, increasing from 23 in Q3. There were also five shophouses listed in the quarter, or 3.9% of the total listings.

In Q4 2024, a walk-up apartment along Dickson Road that was listed as a trustee sale was sold for S$1.3 million, a premium of 18.2% from the opening price of S$1.1 million. Additionally, a two-bedroom apartment at Bayshore Park that was listed as an owner sale was sold at its opening price of S$1.02 million. These two listings knocked down (out of 127), translated to a combine total gross sale value of S$2.3 million, and a success rate of just 1.6% in Q4. Both transactions were auctioned by Knight Frank.

While October to December 2024 had the highest number of listings on a quarterly basis, Q4 also recorded the lowest success rate. Anticipated financial pressures affecting real estate are starting to show at auction with the increase in the number of listings. However, there remains a gap in price expectations between vendors and buyers. 

The market is such that sellers, including creditors, expect to dispose of properties at market value, while at the same time buyers scouting the auction listings expect a discount. Nevertheless, listings that have been on auction lists can be sold outside of the auction process should prices be adjusted to match offers.