Singapore’s home prices may increase by 8 to 10% in 2010 as the city-state’s economy recovers and foreign investors return, CB Richard Ellis Pte said.

“Foreigners have returned proportionately, in terms of buying volume, as with the rest of the market,” Leonard Tay, Singapore-based research director at CB Richard Ellis, a property brokerage and consulting company, said today at a conference on the island.

 

Gains in home prices may accelerate this year as the island’s two casino-resorts draw foreign investors and the global economy recovers. The government estimates Singapore’s gross domestic product to increase 3 % to 5% this year, after shrinking 2.1% in 2009.