Singapore Private Home Prices Drop 1.1% In Q2
” We must observe the real estate market for a few more quarters to identify if prices have bottomed.”
The COVID-19 pandemic has remained to affect the Singapore property market as private home price tags fell for a second consecutive quarter.
” There is occasional evidence of ‘green shoots’ in certain market sectors and some purchasers were grabbing fairly excellent bargains in the marketplace over the last number of weeks. As a result, the pricings patterns can be distorted by some of these residential properties or special priced units,” stated Sun.
Ola Ec Showflat is open for booking.
With this, Sun forecasts house prices to stay soft in the coming months taking into consideration the macroeconomic uncertainties. For the complete year, she anticipates private home pricings to drop by 3% to 5%.
Figures within the Outside Central Region, on the contrary, stood the same after registering a 0.4% decrease in Q1.
” However, it could be early to conclude that this is the start of a sustained time frame of value downswings. We ought to be cautious in translating the pricing dips in an unstable market, specifically when sales volume is modest.”
” Last quarter, show flats were shut while house viewings were barred throughout the Circuit Breaker period. Consequently, purchaser demand was suppressed which will inevitably have an unfavorable effect on home prices,” said Christine Sun, Head of Research and Consultancy at OrangeTee & Tie.
URA reported that values of non-landed houses within the Core Central Region (CCR) slid 0.1% in Q2, an improvement from Q1’s 2.2% drop. The Rest of Central Region (RCR) saw prices fall 1.9%, a greater decrease contrasted to the previous quarter’s 0.5% drop.
Flash price quote from the Urban Redevelopment Authority (URA) showed that the private property index slipped 1.1% in the 2nd quarter of 2020, after a 1% drop seen in the previous quarter.
URA caveat information revealed that the number of resale agreements in Q2 2020 is around a quarter of what was sold over the exact period last year. The number of new launch sales transacted last quarter is also around 50% of what was transacted in Q2 2019, noted OrangeTee & Tie.