Singapore saw private home prices drop 3.2 percent year-on-year in Q2 2015, and the overall loss for 2015 may reach four percent, revealed research by Knight Frank.
Notably, Singapore registered the second biggest drop in property prices among the major Southeast Asian market during the said period, reported Select Property.
“Singapore’s continual fall in non-landed private home prices demonstrates persistent weakness of the market, with prospective buyers remaining cautious against the backdrop of existing cooling measures, and in anticipation of further price correction,” said Alice Tan, Knight Frank Singapore’s Director and Head of Consultancy and Research.
As 2015 draws to a close, the private home market may face further decline in both rental performance and capital values, she said. While the city-state is not directly affected by Black Monday from which Chinese shares suffer, the market faces a rising supply of new homes, domestic economic slowdown, and an impending increase in interest rates.