The luxury end of Singapore's residential market is hot and, according to Colliers International Group, it is because of increased interest from mainland Chinese nationals.
While some market watchers have speculated that the turmoil in Hong Kong may lead people there to buy property in the city state, it seems that is not necessarily the case.
"The increase in luxury home sales could be due to more China buyers seeking an alternative from Hong Kong, while others may have shifted funds from China after the yuan was devalued," said Ms Tricia Song, head of research for Singapore at Colliers, adding that the Singapore dollar is also perceived to be more stable.
In the first nine months of the year, 315 apartments in Singapore's prime core central region were bought by foreigners, almost recovering to the pace before the Government introduced cooling measures in July last year.
Of those, 97 units, or about one-third, were purchased by mainland Chinese nationals, who make up the largest foreign buyer group in Singapore.
Meanwhile, only eight units were bought by Hong Kongers.
"Based on the available data, we have not seen any strong evidence to suggest a sharp inflow of Hong Kong money into Singapore residential properties. However, we note that there is more Chinese interest, particularly in luxury homes," said Ms Song.
Number of apartments in Singapore's prime core central region bought by foreigners in the first nine months of the year, almost recovering to the pace before the Government introduced cooling measures in July last year.
While the Government does not break down nationality data by property value, the figures show that over the same period, 75 apartments were sold for $10 million or more, equal to all of 2010.
Urban Redevelopment Authority home-price data released earlier this month showed that the cost of luxury apartments rose 2.9 per cent in prime and central regions in the three months ended Sept 30, versus a 2.3 per cent increase in the previous quarter.
Overall, residential prices increased 0.9 per cent.