Amidst mixed global signals, Singapore’s property prices looks mired in the doldrums as confirmed by today’s Urban Redevelopment Authority’s (URA) flash estimate. Although there were green shoots (if I may call it) in recent launches that attracted large crowds, we can see from the figures released that prices in general except for a slight uptick in non-landed properties outside the central region.
The property price index (PPI) declined 0.5% from 137.2 points in the 4th Quarter 2016 to 136.5 points in the 1st Quarter 2017. The drop was the same as in the 4Q 2016 which is a troubling statistics given the <a href=”http://maybelleproperty.com/news-of-property-curbs-easing-brought-excitement-in-residential-property-sector/”>slight easing of cooling measures</a> last month.
Prices of non-landed private residential properties decreased by 0.2% in the Core Central Region (CCR), compared to the 0.1% previous increase.
Prices in the Rest of Central Region (RCR) was still the same, after registering a decrease of 2% in the previous quarter while prices in Outside Central Region (OCR) were up by 0.1%, after registering a 0.6% decline in the previous quarter.
Of more concern is the larger drop in prices of landed residential properties. These dropped 2.8% compared to the 0.8% increase in the previous quarter.
The flash estimates are composed from transaction prices given in contracts submitted for stamp duty payment, together with data on units sold by developers up to mid-Mar 2017. URA informed that the statistics will be updated after 4 weeks when they release the full real estate statistics for 1st Quarter 2017.
URA said, “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.“
Do be advised that these are just flash estimates. Although the methodology of calculation has been revised and improved 2 years ago, figures can change when the full report is released.