Debated in Parliament on 7 Nov 2022.
Mr Saktiandi Supaat asked the Minister for National Development (a) whether the Government is monitoring the rate of increase in residential property rent levels; (b) whether this explosion in rents has impacted Singapore's competitiveness in its ability to attract the best foreign talent; and (c) whether the Government takes measures to curb predatory behaviour by landlords, such as demanding exorbitant increases in rent or rescinding offers after tenants have paid security deposits.
Mr Sharael Taha asked the Minister for National Development (a) how has the rise in rent prices affected Singapore’s ability to attract the best foreign talent; and (b) whether the Government is considering measures to cool the rental market and prevent landlords from exploiting the current conditions, such as demanding steep increases in rent renewals.
Mr Saktiandi Supaat and Mr Sharael Taha both asked about the residential rental markets, their impact on Singapore’s ability to attract talent and whether the Government is considering measures to curb predatory behaviour by landlords.
The Government monitors the property market closely, including the residential rental market. The increase in residential rental demand in recent quarters can be attributed to the demand for temporary accommodation due to COVID-19-related construction delays to residential development projects, and broad-based demand arising from the robust recovery from COVID-19.
To facilitate fair tenancy contracts, the Council for Estate Agencies (CEA) publishes publicly available resources, such as Tenancy Agreement templates, as well as information on checks that all parties should perform during the rental transaction process. In the event of a breach of contract, there are established legal procedures for aggrieved parties to seek recourse through civil action.
The Government is monitoring the market closely as rising rental prices may affect Singaporeans who need to rent, as well as global talent. That said, global talent considers many factors besides rental prices when making relocation decisions. These include Singapore's standing as a global business hub, our strong external connectivity, our good trade links, our education and healthcare standards and the quality of life. Global benchmarks show that Singapore continues to remain an attractive destination. For example, in INSEAD’s Global Talent Competitiveness Index in 2022, Singapore ranked top in Asia and second in the world for attracting and developing talent.
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