Auction listings up by 7.1% q-o-q in 1Q2025, mortgagee sale listings likely to continue growing: Knight Frank
Knight Frank attributes the higher success rate to even more customer interest, as US interest rate cuts ever since September 2024 have actually urged buyers to watch out for possibilities. The properties efficiently auctioned in 1Q2025 had an overall gross sale worth of $11.9 million.
Mortgagee sales made up 83 home listings in 1Q2025, up 23.9% q-oq from 67 listings in the last quarter. Knight Frank associates the quarterly rise to the delayed impact of high interest rates throughout 2023 and 2024, that created a boost in troubled assets to go into the public auction market.
Proprietor sale listings clocked in at 43, going down 23.2% q-o-q from 56 listings recorded in 4Q2024. The remaining ten auction postings were for other types of sales– five non commercial units listed as sheriff sales, three liquidator sales of manufacturing facilities, a bank sale of an industrial unit, and an estate sale of a non-landed house.
In terms of real estate type, residential properties comprised 45.6% (62) of complete listings, up from the 46 home listings in the past quarter. Business properties made up 38 (28%) listings, consisting of 36 retail units and 2 workplace units, contrasted to 36 retail units and 6 offices listed in 4Q2024. Industrial real estates composed 23.5% (32) of the total listings, up by one listing contrasted to the previous quarter. There were additionally 2 shophouse listings in 1Q2025, compared to five in the previous quarter.
“While there was no considerable surge in home listings in 1Q2025, this may be the calm before the storm of sweeping worldwide tolls and an impending trade war strikes,” states Sharon Lee, head of public auction and sales at Knight Frank Singapore.
The Singapore property auction market viewed a total of 136 auction lists (including repeat listings and omitting real properties offered beyond public auction) in 1Q2025, up 7.1% q-o-q contrasted to the previous quarter, based upon data put together by Knight Frank Singapore.
Looking forward, Knight Frank anticipates the uptick in mortgagee sale listings to continue throughout the year, as even more distressed properties happen due to the extended high rate of interest in 2023 and 2024. Additionally, the prevalent tariffs announced by the Trump administration could cause a dampening influence on the realty market.
Another real estate, a two-bedder house in D’Ecosia, was knocked down at $1.7 million– a 14.7% premium to its opening price 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, converting to discounts of 3.8% and 2.9% from their first rates.
Springleaf Residence condominium
Four of the properties 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 outlet at The Commerze @ Irving fetched $637,000; and a factory unit at T99 changed controls for $635,000.
Whilst initial buyer interest was monitored in 1Q2025, Knight Frank expects buyers to re-adopt “a mindful wait-and-see position” amid the expanding uncertainty. That said, with further rates of interest cuts prepared for, the agency notes that there could be a renewed interest from property investors seeking to capitalise on the increase in mortgagee sale home listings.
The sell-off market also found a higher growth rate in 1Q2025. Seven lists were smacked down last quarter, reflecting a growth rate of 5.1%. This is substantially more than the 1.6% success rate reported in 4Q2024. The 7 listings make up five mortgagee sales and 2 proprietor sales.
Overall, Knight Frank is predicting a results price of about 5% for the whole of 2025, in line with the typical annual auction growth rate of 5.1% covering the last ten years.
According to the company, the rise was “unforeseen”, as it coincided with Chinese New Year festivities that commonly lead to a time-out in auction event.
