Singapore private residential prices hit largest quarterly decline since Q1 2020

Prices contracted by 0.7% in Q3 2024.

In a recent report, Savills revealed that after four consecutive quarters of increase, the URA property index for all private residential properties registered a QoQ contraction of 0.7% in Q3/2024. This was the largest quarterly decline since Q1/2020 when prices fell 1.0%.

“While prices of landed homes fell 3.4% on a QoQ basis after increasing for three consecutive quarters, prices of non-landed properties continued trending up for the fifth consecutive quarter by a mere 0.1% in Q3/2024, slower than the 0.6% growth in the previous quarter. This was the slowest growth in the past five quarters,” the report added.

Here’s more from Savills:

Across non-landed homes in the three market segments, prices of homes in CCR decreased by a larger 1.1% QoQ, compared to 0.3% in Q2/2024. This may be due to the lack of significant launches in the recent quarters, leading to lower new sales which are often priced higher than those in the secondary market. In addition, because of lower foreign demand property prices in this market segment had to adjust.

On the other hand, prices of non-landed homes in RCR continued on an upward trend for a third consecutive quarter, albeit at a moderated pace of 0.8% in Q3/2024 compared to 1.6% in the previous quarter. Prices of non-landed homes in OCR, however, remained unchanged for the first time after increasing for six consecutive quarters. Nevertheless, on a YoY basis, non-landed home prices across all three market segments continued to record increases.

For the basket of luxury non-landed private residential projects tracked by Savills, prices of these properties declined marginally by 0.4% QoQ to S$2,582 psf in Q3/2024. It was unchanged in Q2/2024. This was in line with the movement of the URA price index of non-landed residential properties in CCR. Transaction volume has also decreased. On a YoY basis, prices contracted for the first time since Q4/2020, falling by 0.7%.