Private Non-Landed Residential Property Prices in Singapore Fell 4% in 2014

Cutout View of the Upcoming Northpark Residences and Northpoint City in Yishun

On Friday, Jan 23, 2015, it was reported in the media that private residential property prices fell just 4% in 2014. The decline was 1.5% just in the last quarter of 2014 and 0.7% in the quarter before that. This makes a total of 5 quarters of straight declines. The continued decline, the number of units in the pipeline and talk in the media about increases in interest rates going forward must surely be on the minds of would be investors.

Since 2008 or over a 6 year period, this is the first year of decline in prices. 2013 saw a modest 1.4% increase in prices. Declines were across all districts. for non-landed private residential property the changes can be summarized as follows:

 For landed private residential properties, the numbers were also negative:

How about rentals? Well, rentals have also declined significantly from 2013.

With the decline in prices, the number of units sold declined especially when comparing the whole of 2014 with 2013. This can be interpreted as more people waiting at the sidelines for prices to drop further or that the cooling measures have deterred purchase of new properties.

The negativity is similar reinforced by the number of units launched in 2014 compared with the year before.

The big question in everyone's mind? Will 2015 see a turnaround?

Thanks for reading,

SGPropertySource Team

References:

Singapore private home prices fall 4 per cent in 2014 - AsiaOne Business