Singapore’s residential property market continues to lose steam, with house prices falling 3.38 percent during the year to Q2 2015, revealed a global house price survey by Global Property Guide.
The report stated that this is the seventh consecutive quarter of house price falls in the city-state. On a quarterly basis, prices fell 0.69 percent in Q2.
Meanwhile, demand and supply continues to drop. The number of private units sold fell 24 percent to 1,999 units in the second quarter from a year ago, according to data from the Urban Redevelopment Authority (URA).
The number of uncompleted private homes launched also declined by about 26.2 percent to 2,099 units over the same period.
Looking ahead, the continual slowdown in Singapore’s economy, impending interest rate hikes and macroeconomic uncertainties are expected to put downward pressure on prices.
Singapore’s economy is expected to grow between 2.0 and 2.5 percent this year, after growth of 2.9 percent in 2014, 3.9 percent in 2013, 2.5 percent in 2012, and 6.0 percent in 2011, added the report, citing figures from the Ministry of Trade and Industry.
Romesh Navaratnarajah, Singapore Editor at PropertyGuru, wrote this story. To contact him about this or other stories email romesh@propertyguru.com.sg
