Prices of private residential properties softened for the 11th consecutive quarter by 0.4% q-o-q in 2Q2016 as compared to a 0.7% decline seen in 1Q2016, according to the Urban Redevelopment Authority's (URA) latest flash estimates. This is the gentlest fall q-o-q in the index since 1Q2014.
Prices of non-landed private residential properties in the Core Central Region (CCR) continued to buck the trend with a 0.2% increase in 2Q2016, following a 0.3% hike in 1Q2016. Following suit, prices in Rest of Central Region (RCR) rose by 0.2% in the quarter, as opposed to a naught growth in the previous quarter. On the other hand, prices in Outside Central Region (OCR) saw a further decline by 0.7% following a 1.3% drop in 1Q2016.
Desmond Sim, head of CBRE Research for Singapore and Southeast Asia, believes that there are signs that the market is approaching a trough despite the mixed latest price indicators across the various regions. He also accredits the success of new projects Gem Residences and Sturdee Residences as well as other completed projects on the resale market propped up price levels in the RCR.
Meanwhile, the HDB resale price index (RPI) inched by 0.1% q-o-q in 2Q 2016 to 134.8 following a 0.1% decline in 1Q2016
HDB will be offering about 5,000 Build-to-Order (BTO) flats in Hougang, Sembawang, Tampines and Yishun this August. More information on the August 2016 BTO exercise is available on the HDB InfoWEB.
Chart 1a
Chart 1b
Source: URA
Chart 2
Source: HDB