Bankbazaar Singapore – January 29, 2018
Singapore: A total of 22,077 resale transactions took place in 2017 compared to 20,813 in the previous year. The market remained upbeat in the fourth quarter of last year, with transactions rising 14.5% year on year despite slipping 1.2% from Q3.
The prices had slipped 0.2% in the fourth quarter from the quarter previous to it. This could be a sign of some stability returning to the market as the drop is relatively small. Further, comments from some analysts suggest that prices may not change much in 2018.
Speaking to PropertyGuru, ERA Reality’s Key Executive Officer Eugene Lim said that prices are expected to remain flat this year with any uptick not likely to exceed beyond 1%.
Several factors are expected to have contributed to the drop in price, including a rise in housing grants, Re-Offer of Balance Flats, and quicker access to BTO properties. Fears regarding government’s selection of properties for redevelopment scheme is also expected to have dulled sentiments.
The latest figures could invite mixed reactions from market watchers who remain largely confident of the local property market recovering from the lows it had touched in the recent years. On the bright side, affordability could boost demand but concerns on the price slipping further remain.
Other data released in the same statement indicate that the rental market saw significant momentum in the fourth quarter. In the last three months of 2017, the number of rental applications that received approval rose 5.6% over the same period in 2016. Compared to the third quarter, approvals were up 5.4%.
The Housing Board plans to put up 17,000 flats for sale in 2018. In February, when the first Build-To-Order exercise kicks in, 3,600 flats will be available in Woodlands, Geylang, Tampines and Chao Chu Kang.