Private residential prices fall further in 2Q14: URA

Core Central Region properties see biggest drop.

The private residential property index entered its third straight quarter of decline in June, the Urban Redevelopment Authority announced in its flash estimate today.

Non-landed private residential properties in the Core Central Region saw the biggest drop in prices, with costs dropping 1.2% higher than the 1.1% decline in the first quarter.

According to the URA, “Overall, prices for private residences fell 2.3 points from 211.6 points in 1Q14 to 209.3 points in 2Q14. This represents a decline of 1.1%, compared to the 1.3% decline in the previous quarter. This is the third continuous quarter of price decrease.”

Here’s more from the URA:

Prices of non-landed private residential properties in all market segments declined in 2nd Quarter 2014. In Core Central Region, prices fell 1.5%, higher than the 1.1% decline in the previous quarter.

Prices in Outside Central Region decreased by 1.1%, higher than the 0.1% decrease in the previous quarter. In Rest of Central Region, prices fell 0.6%, compared to the 3.3% decline in the previous quarter. 

Prices of landed properties fell 1.5%, higher than the 0.7% decline in the previous quarter.

The flash estimates are compiled based on transaction prices given in caveats lodged during the first ten weeks of the quarter, supplemented by survey data on new units sold by developers in the first two months of the quarter.

The statistics will be updated 4 weeks later when URA releases the full real estate statistics for 2nd Quarter 2014, which captures more data on the caveats lodged and the take-up of new projects.

Past data have shown that the difference between the quarterly price changes indicated by the flash estimate and the actual price changes could be significant when the change is small. The public is advised to interpret the flash estimates with caution.