Resale volume of private non-landed homes hits new high in March

[princess_morbucks]

http://www.channelnewsasia.com/news/business/singapore/resale-volume-of-private/1064182.html?cid=TWTCNA&utm_source=dlvr.it&utm_medium=twitter




SINGAPORE: SRX data shows resale volume of private non-landed homes has rebounded 82.6 per cent month-on-month in March, the highest resale volume since October 2013.

An estimated 451 resale transactions were registered in the month of March.

On a year-on-year basis, resale volume still posted a 22.5 per cent drop compared to 582 units resold in the same month of last year.

But resale prices remained flat.

Overall resale prices of non-landed private homes inched up by 0.2 per cent in March, following a 3.1 per cent drop in February.

On a regional basis, prices in Rest of Central Region (RCR) rose by 1.3 per cent, followed by a 0.3 per cent gain in the Core Central Region (CCR).

However, prices in Outside Central Region (OCR) continued to soften by 0.1 per cent.

Rental volume for non-landed homes rose 7.4 per cent year-on-year.

According to transaction data from SRX member companies, an estimated 3,087 units were rented in March, up 27.8 per cent from February's 2,416 rental transactions.

On a year-on-year basis, rental volume also improved by 7.4 per cent from the 2,875 rental contracts signed in last year's March.

Rental prices in March fell 0.9 per cent to reach a 27-month low since December 2011.

Based on the non-landed private residential rental SPI sub-index, overall rental prices in March saw a further drop of 0.9 per cent, after the same amount of weakening was seen in February.

Compared to the peak rental price observed in January 2013, rents had since come down by 5.7 per cent.

SRX said all three regions saw sustained dives in rental prices in March.

RCR's rents declined 1.4 per cent.

Rents in the CCR and OCR regions dropped by 0.6 per cent and 0.7 per cent respectively.

Rental prices continue to decline with record supply.

This year, more than 17,000 private residential units are expected to be completed -- the highest since URA records began in 1996, and 75 per cent higher than the long term average in the last 18 years.

And for the first time, SRX has published a forward indicator for the private resale market - following the introduction of Transaction over X-value (TOX) in the HDB resale market.

SRX said the median Transaction over X-value (TOX) for non-landed homes continued to fluctuate in the negative region, ending at S$13,112 in March.

- CNA/nd

[seletar]

https://sg.news.yahoo.com/62-drop-private-resale-home-sales-033516561--sector.html

62% drop in private resale home sales in Q1 2014

Property Guru – 08 April 2014


Sales of resale private homes in Singapore sank in the first quarter this year with only 906 units in the secondary market changing hands, revealed a DTZ report.

This is a decline of 34 percent compared to the previous quarter. Year-on-year, it represents a stunning 62 percent drop.

Aside from the cooling measures, particularly the TDSR framework, the slowdown in activity is also due to buyers being more selective and holding back their purchases in anticipation of further price declines. This is especially so after the government recently said it was still too early to start relaxing the measures.

As a consequence, prices of non-landed private resale homes across the island fell further in Q1.

Based on a basket of completed properties tracked by DTZ Research, resale prices of luxury condominiums declined by a further two percent last quarter, following a two percent quarter-on-quarter drop in Q4 2013.

Meanwhile, resale prices of prime freehold and suburban leasehold condos fell by another 1.5 percent and 1.1 percent quarter-on-quarter respectively in Q1 after similar price declines in the quarter before.

Over in the landed segment, resale prices in all areas stayed flat in Q1 after a slower year-on-year growth in 2013.

Going forward, the consultancy expects demand for private homes to be affected by the competition from a higher number of project completions this year as well as reduced demand from HDB upgraders amidst falling HDB resale prices.

"These will impact private residential resale prices, which could decline by up to 10% this year," said Lee Lay Keng, DTZ's Regional Head (SEA) Research.

[DC33_2008]

What do you thnk of this article? OCR will continue to drop in price and wil the most compared to CC and RCR.

Private resale market perks up after Feb chill


SINGAPORE — Private resale transactions perked up last month after dropping to a multi-year low in February, giving analysts confidence that interest is returning as people get used to the property cooling measures, though sales volume was still down on a yearly basis.

By Tan Weizhen -

April 10.


SINGAPORE — Private resale transactions perked up last month after dropping to a multi-year low in February, giving analysts confidence that interest is returning as people get used to the property cooling measures, though sales volume was still down on a yearly basis.

Resale volume is likely to see further growth this year, analysts said, though any improvement will be moderate.

Flash estimates from the Singapore Real Estate Exchange (SRX) showed that 451 non-landed private resale units changed hands last month, the highest level since October last year.

The figure represents an 82.6 per cent jump over February, though analysts pointed out it came off a low base of 247 units, the lowest monthly volume since December 2008. On a year-on-year basis, last month’s transactions were also down by 22.5 per cent, the data showed.

Analysts attributed the monthly percentage jump to sales picking up after the Chinese New Year period, when sellers and buyers traditionally keep a low profile.

SRX data on the HDB resale market released on Monday also showed an increase in sales volume from February to March.

Mr Nicholas Mak, Executive Director for Research and Consultancy at SLP International Property, called it a “technical rebound” coming from “slight pent-up demand”, while OrangeTee’s Head of Research & Consultancy Christine Li pointed to a similar trend last year, when resale transactions also rose in the same period.

However, Mr Eugene Lim, Key Executive Officer of ERA Realty, felt the improvement signals that the impact of the cooling measures might be tapering off. “It was the highest resale volume since October 2013, which means buyers and sellers are getting used to the market with all the measures in place.”

The analysts forecast that sales are likely to nudge up throughout the rest of the year, and that it is unlikely that prices will drop significantly.

“For most of this year, we may not see such a big increase in sales volume like what we saw in March. However, people are getting used to the cooling measures, as they are going to be a fact of life,” said Mr Mak, who expects monthly private resale transactions to number between 400 and 700 units.

Mr Lim agreed: “Sales will go up as sellers are getting more realistic, but I expect that they are not going to slash prices even with an increased number of transactions.”

Overall, resale prices of non-landed private homes remained flat last month, inching up by 0.2 per cent following a 3.1 per cent decline in February. Analysts said this could indicate that prices are stabilising, though they noted that prices for units in the Outside Central Region (OCR) continued to fall the most.

The OCR index has fallen 4 per cent over nine months, Ms Lim pointed out, while the Core Central Region and Rest of Central Region prices have only fallen 1 per cent. “I expect overall prices to continue to decline gradually with higher downside risk for OCR prices,” she said.

Mr Lim observed that suburban property buyers are likely to continue to be hit the hardest. “The slew of cooling measures collectively affects the typical purchasers of suburban properties, as they may not be as financially mobile as higher-end purchasers.”

Overall, Mr Mak predicted that for the rest of the year, resale prices for private properties will slide 2 to 5 per cent. “There will not be a big drop, but it will depend on whether interest rates go up,” he said.

[hyenergix]

US and EU economy are recovering.

[Patrickstar]

To summarise it in one sentence, Eugene Lim is basically saying that CCR properties will be more resilient than OCR.

I believe many gurus in this forum have already forewarned buyers against buying overpriced OCR a long time ago.


What do you thnk of this article? OCR will continue to drop in price and wil the most compared to CC and RCR.

Private resale market perks up after Feb chill


SINGAPORE — Private resale transactions perked up last month after dropping to a multi-year low in February, giving analysts confidence that interest is returning as people get used to the property cooling measures, though sales volume was still down on a yearly basis.

By Tan Weizhen -

April 10.


SINGAPORE — Private resale transactions perked up last month after dropping to a multi-year low in February, giving analysts confidence that interest is returning as people get used to the property cooling measures, though sales volume was still down on a yearly basis.

Resale volume is likely to see further growth this year, analysts said, though any improvement will be moderate.

Flash estimates from the Singapore Real Estate Exchange (SRX) showed that 451 non-landed private resale units changed hands last month, the highest level since October last year.

The figure represents an 82.6 per cent jump over February, though analysts pointed out it came off a low base of 247 units, the lowest monthly volume since December 2008. On a year-on-year basis, last month’s transactions were also down by 22.5 per cent, the data showed.

Analysts attributed the monthly percentage jump to sales picking up after the Chinese New Year period, when sellers and buyers traditionally keep a low profile.

SRX data on the HDB resale market released on Monday also showed an increase in sales volume from February to March.

Mr Nicholas Mak, Executive Director for Research and Consultancy at SLP International Property, called it a “technical rebound” coming from “slight pent-up demand”, while OrangeTee’s Head of Research & Consultancy Christine Li pointed to a similar trend last year, when resale transactions also rose in the same period.

However, Mr Eugene Lim, Key Executive Officer of ERA Realty, felt the improvement signals that the impact of the cooling measures might be tapering off. “It was the highest resale volume since October 2013, which means buyers and sellers are getting used to the market with all the measures in place.”

The analysts forecast that sales are likely to nudge up throughout the rest of the year, and that it is unlikely that prices will drop significantly.

“For most of this year, we may not see such a big increase in sales volume like what we saw in March. However, people are getting used to the cooling measures, as they are going to be a fact of life,” said Mr Mak, who expects monthly private resale transactions to number between 400 and 700 units.

Mr Lim agreed: “Sales will go up as sellers are getting more realistic, but I expect that they are not going to slash prices even with an increased number of transactions.”

Overall, resale prices of non-landed private homes remained flat last month, inching up by 0.2 per cent following a 3.1 per cent decline in February. Analysts said this could indicate that prices are stabilising, though they noted that prices for units in the Outside Central Region (OCR) continued to fall the most.

The OCR index has fallen 4 per cent over nine months, Ms Lim pointed out, while the Core Central Region and Rest of Central Region prices have only fallen 1 per cent. “I expect overall prices to continue to decline gradually with higher downside risk for OCR prices,” she said.

Mr Lim observed that suburban property buyers are likely to continue to be hit the hardest. “The slew of cooling measures collectively affects the typical purchasers of suburban properties, as they may not be as financially mobile as higher-end purchasers.”

Overall, Mr Mak predicted that for the rest of the year, resale prices for private properties will slide 2 to 5 per cent. “There will not be a big drop, but it will depend on whether interest rates go up,” he said.

[relax88]

waiting for a certain person to come and do rebuttal :p

wait for me , I go buy popcorns:p

[reporter2]

http://www.businesstimes.com.sg/archive/tuesday/specials/property/resale-condos-mark-higher-prices-volumes-march-20140410

Published April 10, 2014

Resale condos mark higher prices, volumes in March

But observers say it is too early to cheer as resale market remains soft

By Lynette Khoo

[email protected] @LynetteKhooBT


RESALE prices of non-landed private homes inched up 0.2 per cent in March, led by an increase in transaction prices in the Rest of Central Region (RCR).

This marked a slight recovery from a 3.1 per cent decline in resale prices in February, flash estimates by the Singapore Real Estate Exchange (SRX) show.

Resale transactions increased significantly in March with 451 transactions registered - the highest resale volume since October. This is 82.6 per cent higher than a month ago but 22.5 per cent lower than in March last year.

Market watchers note that the improved numbers suggest pent-up demand in March after the festive months of January and February. But they say it is too early to cheer as the latest data merely reflects a stabilising market since the cooling measures late last year.

The month-on-month increase in resale prices in March "mustn't be read as significantly improved buyers' sentiments for resale homes, and neither can it be construed as possible turnaround in price performance and confirm price recovery for resale homes in 2014", said Ong Kah Seng, director at R'ST Research. There is still an "overall cautiousness lingering", he added.

Resale prices in Core Central Region (CCR) and the RCR improved during March, climbing 0.3 per cent and 1.3 per cent respectively. But resale prices in Outside Central Region (OCR) continued to soften last month with a 0.1 per cent decline.

ERA Realty key executive officer Eugene Lim noted that OCR is most affected by new supply from more projects obtaining the temporary occupation permit (TOP). "In addition, the slew of cooling measures collectively affects the typical purchaser of suburban properties as they may not be as financially mobile as higher-end purchasers."

Rental prices also came down last month even though rental volumes increased. An estimated 3,087 units were rented in March, 27.8 per cent more than in February, but rental prices came down by 0.9 per cent month on month.

While rental price declines were observed islandwide, they were most pronounced in the RCR, where rental prices fell 1.4 per cent month on month.

Leasing competition is expected to heat up as newly completed private homes are put up for rent, property consultants say. More than 17,000 private residential units are expected to be completed this year, which will be the highest number since the Urban Redevelopment Authority started keeping these records in 1996. This will also be 75 per cent higher than the long-term average in the last 18 years.

Mr Lim noted that there was still demand for rental but landlords have to be more realistic to compete for tenants. "It is now a tenant's market and location is all the more important. Those properties that are near MRT are highly preferred due to convenience," he said. "In addition, new apartments are preferred compared to older ones."

SRX's new forward looking indicator - TOX or median transaction over X-value - ended at a negative $13,112 in March after fluctuating in the negative territory. This suggests that median transacted price was lower than the X-value, which is the estimated value of the unit based on past transacted prices.

There may be subsequent months where resale transactions include newly completed units that are smaller and have higher per-square-foot pricing.

Resales of such units may cause an "ad hoc" increase in the median resale prices, which is not sustainable, Mr Ong said.