Prices slumped 26.4% compared last year.

Singapore luxury properties has become markedly more affordable in 2016, with prices plunging 26.4% compared with last year, data from the latest wealth report by private Swiss bank Julius Baer show.

The results are based on Julius Baer's lifestyle index, which measures the costs of luxury living by looking at 20 goods and services across 11 cities in Asia. Survey period was from June 2015 to June 2016,

Based on data collected from luxury properties, or those located in a prime location at around 4,000 sqft in area, Singapore is amongst the cities which reported largest declines followed Mumbai (–21.9%) and Tokyo (–11.9%).

According to the report, Singapore property prices remained soft as previously imposed stamp duties and property loan restrictions deterred non–resident investors and dampened speculative activity. However, it notes that they are starting to see signs of a bottoming of activity particularly in the prime districts where sales volumes have increased sharply in the first half of 2016 due to the various incentives and discounts offered by developers.

"We believe that over the medium term, Singapore’s key destination status for quality health care services coupled with its enduring status as a liveable and business city, will continue to appeal to foreign homebuyers," it said.

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