SINGAPORE: Private home prices rose 0.5 per cent in the third quarter of this year, the first time prices have increased in four years, according to flash data released by the Urban Redevelopment Authority (URA) on Monday (Oct 2).
 

Prices of private property in Singapore have declined for 15 straight quarters since 2013, when new major property cooling measures were announced. Those measures saw the introduction of rules to restrict home buyers’ monthly debt payments, and came after a series of property curbs imposed since 2009 to rein in the market.

In the latest quarter, the private residential property index was 137.3 points, an increase of 0.7 point from the second quarter. This represents a rise of 0.5 per cent, compared to a 0.1 per cent decline in the previous quarter.

PropNex Realty CEO Ismail Gafoor said the growth did not come as a surprise for many, and that he believes the strong broad-based demand is set to continue. 

Mr Ismail also predicted overall property prices may increase by 1 per cent this year, due to "positive sentiment in both primary and secondary markets and a sense of greater urgency by buyers and investors". 

Prices of non-landed private residential properties increased by 0.2 per cent in the Core Central Region (CCR), compared to the 0.5 per cent fall in the previous quarter. Prices in the Rest of Central Region was unchanged, after registering an increase of 0.6 per cent in the previous quarter. Prices in the Outside Central Region increased by 0.7 per cent, after registering a 0.3 per cent decline in the previous quarter, URA said.

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 up until mid-September.

The statistics will be updated on Oct 27 when URA releases the full real estate statistics for the quarter.