The buoyant property market is pushing younger Singaporeans to explore alternatives to buying a home
A recent study by real estate portal PropertyGuru found that more young people are moving towards renting and shared housing concepts such as co-living for two key reasons:
Property Prices Keep Going Up
Affordability is the biggest factor.
According to PropertyGuru, 66 per cent of Singaporeans aged 22 to 29 are choosing to rent as they lack the savings to buy a property.
About one-fifth of young Singaporeans (21 per cent) say current prices are too high, putting home ownership beyond their reach. Renting or co-living are thus seen as more viable options that allow them to save up.
This demographic slice makes up about one-third (32 per cent) of those who expressed interest in co-living. Besides the cheaper rent and common facilities, they also find conveniences such as housekeeping services and fully-furnished rooms appealing.
NEED FOR PERSONAL SPACE
The lack of privacy in their current homes is driving more Singaporeans (36 per cent) to look for a new place. This was exacerbated during the pandemic, as movement restrictions were imposed and work-from-home arrangements evolved.
So even though more young Singaporeans are considering renting and flat-sharing, most still intend to buy a property in the next two years for the sake of more personal space.
This is especially so among millennials – 54 per cent of those aged 22 to 29 and 48 per cent of those aged 30 to 39 share this sentiment.
Dr Tan Tee Khoon, Country Manager of PropertyGuru Singapore, said: “The pandemic and evolution of hybrid work have sparked a shift in consumer buying behaviour.”
Moving out of the family home allows young people to gain independence, while renting or flat-sharing frees them from the burden of a mortgage. Co-living spaces also allow people to connect with like-minded individuals and forge a supportive network.
Flexible living with cp
At CP Residences, you can explore living on your own without having to break the bank. The flexible lease terms allow you to commit for as little as three months, or to extend for as long as needed.
In short, CP offers independence, convenience, affordability and flexibility all at once.