Private property prices continue to drop in Q3

The private residential property index fell 1.3 points from 209.4 points in Q2 2014 to 208.1 points in Q3 2014, according to URA flash estimates released today.

This represents a decline of 0.6 percent, compared to the one percent decline in the previous quarter. This is the fourth continuous quarter of price decrease.

The Core Central Region (CCR) was the hardest hit as prices fell 0.9 percent, while prices in Outside Central Region (OCR) fell 0.2 percent. In Rest of Central Region (RCR), prices fell 0.1 percent, compared to the 0.4% decline in the previous quarter.

Desmond Sim, Head of CBRE Research in Singapore said, “The price index has fallen for the last four consecutive quarters at a total magnitude of 3.8% since a year ago in Q3 2013.”

The flash estimates are compiled based on transaction prices given in caveats lodged during the first ten weeks of the quarter, supplemented by survey data on new units sold by developers in the quarter.

Sim said it probably did not include the units sold from Highline Residences and Seventy Saint Patrick’s.

“By the time these units are added in the computation, it is probable that the q-o-q fall in the URA price index for Q3 2014 might be less than 0.6%, in line with market expectations since the new projects launched in Q3 were mostly located in the Central Region,” he added.

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