Night view of Toa Payoh district in Singapore
Chanachai Panichpattanakij moments | Getty Images
Private home prices in Singapore fell for the first time in five quarters due to sluggish sales, Preliminary market data Show on Tuesday.
Data released by the Urban Renewal Authority showed that the private residential price index fell by 1.1% in the last quarter compared with the previous three months.
The decline reversed second-quarter gains and was the index’s first decline since the second quarter of 2023.
Sales transaction volume in the third quarter also fell approximately 11% compared with the previous three months. In the first three quarters of 2024, sales transaction volume fell by 8.1% compared with the same period last year.
“While macroeconomic conditions remain favorable, uncertainty remains about the economic outlook, and market sentiment remains sensitive to geopolitical developments and changes in global interest rates,” the agency said.
Some buyers may have delayed home purchases in the third quarter in anticipation of action from the Federal Reserve. Rate cut in September.
However, the agency said that despite the Federal Reserve’s interest rate cut, Singapore’s mortgage rates are expected to remain at a high level relative to the low levels of the past decade.
It added: “Households should continue to exercise caution when purchasing properties and taking out mortgages.”
The Urban Redevelopment Authority’s estimates are based on contract prices and data on units sold by property developers as of mid-September. The agency will release more complete third-quarter real estate statistics on October 25.
At the same time, according to data, the resale price of Singapore Housing and Development Board apartments increased by 2.5% in the third quarter compared with the previous quarter. HDB flash memory estimation Also released on Tuesday. HDB resale volume increased by 20% compared with the previous quarter.
In Singapore, more than 80% of residents live in public housing built, sold and subsidized by the government. local authority Recently introduced measures Cooling the public housing market.
“The government will continue to closely monitor the real estate market and adjust policies as necessary to promote the stability and sustainable development of the real estate market,” HDB said.
