The great pain of accommodation prices, both for buying and renting, will be with us sometime more as they are still rising on the back of damaging ultra low interest rates. Urban Redevelopment Authority (URA) has released 2nd Quarter 2012 Real Estate Statistics yesterday and confirmed its recent flash estimates : Prices of private residential properties increased by 0.4% in 2nd Quarter 2012, compared to the 0.1% decrease in the previous quarter.
Although overall non-landed private property prices have gone up 0.5% during the 2nd Quarter 2012 compared to the previous one, the composition of the price change is interesting: New uncompleted home prices fell 0.9%, but this was offset by 2.3% increase in the completed property sales. It looks like people are resisting to high prices of developer sales and turning to the resale market.
Uncompleted private residential property supply in the pipeline increased from 78,572 units in 1st Quarter 2012 to a total supply of 83,251. This pipeline supply of 83,251 units was the highest ever recorded since such data were first available in 1999.
Rental prices for private property also rises. Rentals of private residential properties increased by 0.3% in 2nd Quarter 2012, the same rate of increase as in the previous quarter.
Although overall non-landed private property prices have gone up 0.5% during the 2nd Quarter 2012 compared to the previous one, the composition of the price change is interesting: New uncompleted home prices fell 0.9%, but this was offset by 2.3% increase in the completed property sales. It looks like people are resisting to high prices of developer sales and turning to the resale market.
ERA Key Executive Officer Eugene Lim said: “The decrease in new home sales was matched by an increase in the resale market transactions. As new home sale prices have been rising, buyers are turning to the resale market for bargain hunting.” A total of 3,487 units were transacted in the resale market, accounting for 37 per cent of all sales in the second quarter, up from 2,206 units in the first quarter that accounted for 24 per cent of total volume.
Meanwhile, 5,402 private homes were sold by developers, down from 6,526 units.Mr Lim said that the trend was more apparent in the Core Central Region (CCR), where some of the resale prices were comparable to topend new home prices in the Outside Central Region (OCR). Source : Private home prices reach all-time highWhat a bargain it is ?!? As you can see from the chart below, the new peak has dwarfed both 1997 and 2008 peaks. And as the central banks around the world are keen to print money to save the day, this may be just the beginning for another price inflation.
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| Singapore Property Price Index - Source : URA |
Uncompleted private residential property supply in the pipeline increased from 78,572 units in 1st Quarter 2012 to a total supply of 83,251. This pipeline supply of 83,251 units was the highest ever recorded since such data were first available in 1999.
Rental prices for private property also rises. Rentals of private residential properties increased by 0.3% in 2nd Quarter 2012, the same rate of increase as in the previous quarter.
The private property prices rise to all. Useful post
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Is this due to the increased demand of property in singapore with more number of immigrants?
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