Singapore private home prices up 1.5% in Q1

This is a slower growth from the 2.8% recorded in the prior quarter.

Singapore home prices in both the private residential property and HDB resale flat segments rose in Q1 2024, though at varying pace. 

According to PropNex, overall private home prices grew at a slower clip in Q1 2024 due to the weaker sales volume and the higher base in the prior quarter, while HDB resale flat prices found some renewed strength as healthy demand and more high value transactions put an upward pressure on resale flat prices in Q1 2024. The flash estimates tracked transactions up till mid-March; the final print for the entire quarter will be published on 26 April 2024.

Here’s more from PropNex:

Flash estimates from the Urban Redevelopment Authority (URA) showed that overall private home prices climbed by 1.5% QOQ in Q1 2024, easing from the 2.8% QOQ increase in the previous quarter. The moderation in prices can be attributed to the relatively listless sales in Q1 amid the festive seasons, and tentative buying sentiment following slower transactions in 2023. 

In Q1 2024, several residential projects including an EC development (The Arcady at Boon Keng, Hillhaven, Lentoria, Lentor Mansion, Koon Seng House, Ardor Residence, and Lumina Grand EC) were put on the market in, with no launches in February, in view of the Lunar New Year holidays. 

In the non-landed private homes segment, prices grew by 1% QOQ in Q1 2024, following the 2.3% QOQ increase in the previous quarter. The price growth was mainly driven by the Core Central Region (RCR) which saw prices rise by 3.1% QOQ in Q1 2024, slowing slightly from the 3.9% QOQ increase in the previous quarter, where the sales transactions at Watten House had helped to lift prices.

In Q1 2024, the top non-landed home transactions in the CCR were the resale of two units at The Ritz-Carlton Residences Singapore Cairnhill which fetched $16.5 million ($5,397 psf) each. It is possible that the CCR property price index could see a slight increase when the final print is released later in April, when further transactions at Cuscaden Reserve during its relaunch are factored into the data. PropNex sales team said that Cuscaden Reserve has so far sold 80 units at an average price of slightly above $3,000 psf, since its sales relaunch on 16 March 2024.

Meanwhile, non-landed private home prices in the RCR ticked up by 0.2% QOQ in Q1 2024, reversing the 0.8% QOQ decline in Q4 2023. New launch freehold project The Arcady at Boon Keng which sold 49 units at an average price of $2,575 psf (based on caveats lodged as at 17 March), along with higher transacted average unit prices at other RCR projects during the quarter (including at Pinetree Hill, The Reserve Residences, The Continuum, Grand Dunman, and Blossoms by the Park) have helped to support home prices in the RCR.

Over in the OCR, non-landed home prices inched up by 0.4% QOQ in Q1 2024, following the 4.5% QOQ price rise in the previous quarter, where the launch of J’den at benchmark prices and transactions at Hillock Green had helped to push up prices in Q4 2023.  The major OCR projects launched in Q1 2024 included Hillhaven, Lentoria, and Lentor Mansion, which became the best performing new launch project this year when it transacted 75% of its 533 units at an average price of $2,278 psf.

Among the new projects in the Lentor area, Lentor Mansion has fetched a higher overall average price on $PSF basis, as it is the first project to be affected by the guidelines on harmonistion of gross floor area definitions. The 0.4% QOQ price growth is the slowest quarterly increase in the OCR in five quarters.

In the landed homes segment, prices climbed by 3.4% QOQ in Q1 2024, compared with the 4.6% QOQ increase in Q4 2023. The price growth came despite a decline in transaction volumes across all landed property types – detached, semi-detached, and terrace – from Q4 to Q1. According to caveats lodged, there were 281 landed home transactions in Q1 2024 – down by about 15% from 330 transactions in the previous quarter.

Based on URA Realis caveat data, developers sold 1,030 new private homes (ex. EC) in Q1 2024 (till 17 March) – with the final figure likely to be relatively on par or a touch higher than the 1,092 new homes (ex. EC) shifted in the previous quarter. In Q1 2023, there were 1,256 new private residential units sold.

Meanwhile, 2,072 units (ex. EC) were transacted on the private residential resale market in the quarter (till 19 March) – in what could mark the slowest quarterly resale market activity since 933 units were resold in Q2 2020, when the Circuit Breaker kicked in during the Covid-19 pandemic. In Q4 2023, 2,831 private homes were transacted on the resale market.