Auction listings up by 7.1% q-o-q in 1Q2025, mortgagee sale listings likely to continue growing: Knight Frank
The auction sector also found a greater growth rate in 1Q2025. Seven listings were knocked down last quarter, mirroring a success rate of 5.1%. This is dramatically greater than the 1.6% success rate recorded in 4Q2024. The 7 postings comprise 5 mortgagee sales and 2 proprietor sales.
In regards to real property type, residential properties made up 45.6% (62) of total listings, up from the 46 non commercial listings in the last quarter. Industrial properties composed 38 (28%) listings, comprising 36 retail units and 2 office units, contrasted to 36 retail units and 6 offices listed in 4Q2024. Industrial real estates made up 23.5% (32) of the total listings, up by one listing compared to the last quarter. There were also two shophouse listings in 1Q2025, compared to 5 in the past quarter.
Generally, Knight Frank is forecasting an effectiveness price of around 5% for the whole of 2025, in line with the average annual auction growth rate of 5.1% extending the last ten years.
The Singapore property auction market saw a total of 136 public auction lists (including repeat listings and omitting properties offered outside of auction) in 1Q2025, up 7.1% q-o-q compared to the previous quarter, based upon data compiled by Knight Frank Singapore.
According to the agency, the rise was “unforeseen”, as it overlaped with Chinese New Year celebrations that usually lead to a break in sell-off event.
“While there was no significant surge in listings in 1Q2025, this could be the calm before the storm of mopping worldwide tolls and a looming trade war strikes,” states Sharon Lee, head of auction and sales at Knight Frank Singapore.
Looking forward, Knight Frank anticipates the uptick in mortgagee sale listings to proceed throughout the year, as even more troubled properties happen as a result of the extended high rate of interest in 2023 and 2024. In addition, the widespread tolls announced by the Trump administration can lead to a dampening effect on the property market.
While initial buyer interest was monitored in 1Q2025, Knight Frank anticipates buyers to re-adopt “a careful wait-and-see position” amidst the growing uncertainty. That said, with more interest rate cuts anticipated, the agency notes that there could be a restored interest from property investors looking for to capitalise on the increase in mortgagee sale listings.
Four of the real estates were cost their respective opening prices: A three-bedroom residence at Scotts Square brought $4.1 million; a HDB shophouse in Serangoon was cost $1.9 million; a retail outlet at The Commerze @ Irving fetched $637,000; and a manufacturing facility unit at T99 transformed controls for $635,000.
Another real estate, a two-bedder apartment in D’Ecosia, was torn down at $1.7 million– a 14.7% premium to its opening price of $1.5 million. At the same time, a manufacturing facility unit at In-Space and a one-bedder at Le Wood were sold for $1.9 million and $ 1 million respectively, equating to discounts of 3.8% and 2.9% from their starting costs.
Proprietor sale lists clocked in at 43, dropping 23.2% q-o-q from 56 listings recorded in 4Q2024. The remaining ten auction postings were for other kinds of sales– five residential units listed as sheriff sales, three liquidator sales of factories, a bank sale of an industrial unit, and an estate sale of a non-landed residence.
Mortgagee sales made up 83 home listings in 1Q2025, up 23.9% q-oq from 67 listings in the last quarter. Knight Frank connects the quarterly increase to the delayed influence of high interest rates throughout 2023 and 2024, which triggered an increase in troubled assets to go into the auction market.
Knight Frank connects the greater success price to more buyer interest, as US interest rate cuts since September 2024 have actually encouraged buyers to keep an eye out for possibilities. The properties efficiently auctioned in 1Q2025 had an overall gross sale value of $11.9 million.
