Wednesday, July 1, 2015

The overall private residential property index fell for a seventh straight quarter


SINGAPORE: The overall private residential property index fell for a seventh straight quarter, with prices down by 0.9 per cent in the April to June period, compared to the 1 per cent decline in the previous quarter, according to Urban Redevelopment Authority (URA) flash estimates released on Wednesday (Jul 1).




Prices of non-landed private residential properties declined in all market segments, the URA said. In the Core Central Region, prices fell 0.5 per cent, higher than the 0.4 per cent decline in the previous quarter. Prices in the Rest of Central Region fell 0.5 per cent, compared to the 1.7 per cent decline in the previous quarter. In the Outside Central Region, prices fell 1.2 per cent, higher than the 1.1 per cent decline in the previous quarter.


The suburbs had seen only one major launch in the quarter - NorthPark Residences in Yishun.


"Every quarter it seems counter-intuitive as to which sector should fall more than the other sectors, and every quarter it surprises," said Mr Alan Cheong, senior director for Research & Consultancy at Savills Singapore. "Having said that, one thing is clear, after seven consecutive quarters there seems to be a momentum set in that the price index is falling, between like 0.8 to slightly over 1.0 per cent per quarter."


The flash estimates are compiled based on transaction prices given in contracts submitted for stamp duty payment and survey data on new units sold by developers during the first ten weeks of the quarter. The statistics will be updated four weeks later when URA releases the full real estate statistics for the second quarter of 2015, which captures more data from the stamp duty records and the take-up of new projects.


"Past data have shown that the difference between the quarterly price changes indicated by the flash estimate and the actual price changes could be significant when the change is small. The public is advised to interpret the flash estimates with caution," the URA added.