Auction listings up by 7.1% q-o-q in 1Q2025, mortgagee sale listings likely to continue growing: Knight Frank

The Singapore property auction market saw a total amount of 136 public auction lists (including repeat listings and leaving out real estates offered outside of auction) in 1Q2025, up 7.1% q-o-q compared to the previous quarter, based upon information compiled by Knight Frank Singapore.

One more real estate, a two-bedder residence in D’Ecosia, was torn down at $1.7 million– a 14.7% premium to its initial cost of $1.5 million. Meanwhile, a manufacturing facility unit at In-Space and a one-bedder at Le Wood were yielded $1.9 million and $ 1 million respectively, translating to price cuts of 3.8% and 2.9% from their first rates.

According to the firm, the boost was “unexpected”, as it matched with Chinese New Year celebrations that typically result in a lull in sell-off activity.

The sell-off sector additionally saw a higher growth rate in 1Q2025. Seven lists were knocked down last quarter, showing a success rate of 5.1%. This is dramatically greater than the 1.6% success rate recorded in 4Q2024. The seven listings make up 5 mortgagee sales and two owner sales.

Mortgagee sales accounted for 83 home listings in 1Q2025, up 23.9% q-oq from 67 listings in the last quarter. Knight Frank attributes the quarterly increase to the delayed effect of high rates of interest throughout 2023 and 2024, that triggered an increase in troubled assets to enter the public auction market.

Four of the real estates were cost their respective opening prices: A three-bedroom condo at Scotts Square fetched $4.1 million; a HDB shophouse in Serangoon was sold for $1.9 million; a retail store at The Commerze @ Irving brought $637,000; and a factory unit at T99 transformed hands for $635,000.

“While there was no substantial surge in home listings in 1Q2025, this might be the calmness before the storm of cleaning international tariffs and an impending trade war hits,” says Sharon Lee, head of auction and sales at Knight Frank Singapore.

Proprietor sale lists clocked in at 43, dropping 23.2% q-o-q from 56 listings recorded in 4Q2024. The remaining ten auction listings were for other kinds of sales– five non commercial units itemized as sheriff sales, three liquidator sales of factories, a bank sale of an industrial unit, and an estate sale of a non-landed residence.

In terms of real property type, housing properties comprised 45.6% (62) of overall listings, up from the 46 non commercial listings in the last quarter. Business properties comprised 38 (28%) listings, comprising 36 retail units and two workplace units, contrasted to 36 retail units and six offices listed in 4Q2024. Industrial real estates composed 23.5% (32) of the general listings, up by one listing compared to the previous quarter. There were also two shophouse listings in 1Q2025, compared to 5 in the previous quarter.

Norwood Grand City Developments Limited

Generally, Knight Frank is anticipating a results price of about 5% for the entire of 2025, in accordance with the average yearly auction growth price of 5.1% covering the last ten years.

Whilst initial purchaser interest was monitored in 1Q2025, Knight Frank anticipates buyers to re-adopt “a careful wait-and-see stance” amid the growing uncertainty. That said, with additional rates of interest cuts prepared for, the agency notes that there could be a renewed interest from property capitalists seeking to capitalise on the rise in mortgagee sale postings.

Knight Frank attributes the higher success price to even more customer interest, as US interest rate cuts ever since September 2024 have actually urged buyers to watch out for chances. The properties effectively auctioned in 1Q2025 had a complete gross sale worth of $11.9 million.

Looking ahead, Knight Frank anticipates the uptick in mortgagee sale listings to proceed throughout the year, as more troubled possessions materialise because of the long term high interest rates in 2023 and 2024. Furthermore, the extensive tariffs announced by the Trump administration could lead to a dampening effect on the realty market.