
Chart of the Day: 1Q15 private home price slides on back of sales dearth
Discounts were offered for ongoing projects.
The sales front has been mute for a while, but developers have started offering price slashes for oingoing projects to boost selling.
According to a report by CBRE, URA’s initial estimates showed that the Q1 2015 private residential price index declined by 1.1% q-o-q, on the back of these discounts.
CBRE says that the rental index is likely to decline in tandem due to stiff competition from new completions.
Cautious sentiments prevailed in the residential market in Q1 2015 as the SIBOR rose to 1.01% at end-March, a level unseen since December 2008. This impending rise in mortgage interest rates depressed buying sentiments further.