Non-landed private home prices in Singapore up 0.1% in Q3

The slight growth was driven by the price increases in RCR and OCR.

Alongside surging transaction volumes, private home prices also defined the negative impact brought on by COVID-19. According to the URA’s latest statistics, the island-wide price index of non-landed private residential properties inched up by 0.1% QoQ in Q3/2020.

By market segment, the overall price growth was fuelled by the rest of central region (RCR) and outside central region (OCR), which posted quarterly growth of 2.5% QoQ and 1.7% QoQ respectively. Relatively higher prices achieved in newly launched projects compared to the vicinity was the main reason behind the increase. In contrast, prices in the CCR experienced a contraction of 3.8% QoQ. Lower prices in resale transactions, together with limited new sales, could be blamed for the price drop in this market segment.

The average prices of high-end non-landed private residential projects in Savills’ basket also fell in the reviewed quarter, though at a much moderate pace of 0.2% QoQ. Year-to-date, prices registered a marginal 0.9% decline. The decline should also be seen in the context of a limited number of transactions, inferring that the sellers in our basket of high end non-landed properties are not under great duress to offload their properties.

Supply

Based on the data released by the URA, there was a total supply of 50,369 uncompleted private residential units in the pipeline with planning approvals in Q3. About 52.6% of this pipeline supply, or 26,483 units remained unsold at the end of Q3/2020. This is about 5.3% lower than the 27,977 in the previous quarter.