S'pore's home prices rise 7.9% in Q2

July 2, 2007

S'pore's home prices rise 7.9% in Q2

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Singapore home prices rose 7.9 per cent between April and June, compared to 4.8 per cent in the first quarter, the URA said. -- ST PHOTO: ALPHONSUS CHERN

SINGAPORE home prices rose 7.9 per cent between April and June, compared to 4.8 per cent in the first quarter, and climbed for the 13th quarter in a row, the Urban Redevelopment Board (URA) said.

The Urban Redevelopment Authority (URA) said on Monday the price index for private residential homes rose to 147.3 points for the three months ended June, from 136.5 in the previous three-month period, according to its initial estimate.

The advance estimate is compiled from transaction prices lodged during the first 10 weeks of the quarter, as well as data from new apartments that have been booked.

Compared to the second quarter of 2006, when the index stood at 122.1 points, home prices are up 20.6 per cent.

The URA also said that the government will ensure that there will be sufficient supply of residential space to meet demand and pointed at the government land sales programme for the second half of 2007, which will create a potential supply of about 8,000 units of private housing and executive condominium housing.

'If necessary, the government will make available even more sites for private residential development' through its land sales programme next year, the URA said.

URA also said that in addition to the new sites released for development, there are about 42,200 new units of private housing that will be completed from the second half of 2007 to 2010. About 22,700 of these units have not been sold by developers yet.

'Prospective home-buyers should take into consideration the sufficient pipeline supply of private housing, as well as the potential supply from government land sales sites, when deciding to make a property purchase,' the URA said.

Singapore's property sector recovery gained momentum after the government introduced measures in July 2005 to ease real-estate financing rules and foreign investment.

The URA will release the official price index on July 27. -- REUTERS

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Originally Posted by mr funny

July 2, 2007

S'pore's home prices rise 7.9% in Q2

http://www.straitstimes.com/STI/STIM...01_01_0001.jpg
Singapore home prices rose 7.9 per cent between April and June, compared to 4.8 per cent in the first quarter, the URA said. -- ST PHOTO: ALPHONSUS CHERN

SINGAPORE home prices rose 7.9 per cent between April and June, compared to 4.8 per cent in the first quarter, and climbed for the 13th quarter in a row, the Urban Redevelopment Board (URA) said.

The Urban Redevelopment Authority (URA) said on Monday the price index for private residential homes rose to 147.3 points for the three months ended June, from 136.5 in the previous three-month period, according to its initial estimate.

....................

Singapore's property sector recovery gained momentum after the government introduced measures in July 2005 to ease real-estate financing rules and foreign investment.

The URA will release the official price index on July 27. -- REUTERS

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That's the way it should be.
Charge!

July 2, 2007, 12.41 pm (Singapore time)

Updated at 2pm

Singapore's home prices rise 7.9% in Q2


SINGAPORE - Singapore home prices rose 7.9 per cent between April and June, climbing for the 13th quarter in a row, the government real estate agency said on Monday.

The Urban Redevelopment Authority (URA) said the price index for private residential homes rose to 147.3 points for the three months ended June, from 136.5 in the previous quarter, according to its initial estimate.

The second-quarter gain follows a 4.8 per cent rise in the first three months of 2006.

The index rose 9.8 per cent across Singapore for the whole of last year.

Singapore's property sector recovery gained momentum after the government introduced measures in July 2005 to ease real-estate financing rules and foreign investment.

The URA will release the official price index on July 27.

The advance estimate is compiled from transaction prices lodged during the first 10 weeks of the quarter, as well as data from new apartments that have been booked.

The URA also said that the government will ensure that there will be sufficient supply of residential space to meet demand and pointed at the government land sales programme for the second half of 2007, which will create a potential supply of about 8,000 units of private housing and executive condominium housing.

URA also said that in addition to the new sites released for development, there are about 42,200 new units of private housing that will be completed from the second half of 2007 to 2010. About 22,700 of these units have not been sold by developers yet. -- REUTERS

Non-landed private home prices rise

Prices of non-landed private homes in the Core Central Region -- which comprises the traditional prime districts 9, 10 and 11 as well as Downtown Core (including Marina Bay) and Sentosa -- increased 7.6 per cent quarter-on-quarter in Q2, while the index for Rest of Central Region (which includes locations like Queenstown, Bukit Merah, Outram, Bishan, Kallang and Marine Parade) posted an even higher 7.9 per cent gain during the period. URA's latest numbers show the Outside Central Region non-landed private home price index rose 6.5 per cent in Q2.

In the public housing segment, the Housing & Development Board's resale flats price index registered a 2.9 per cent increase in Q2 over Q1 going by the board's latest flash estimate. This was higher than the 1.3 per cent gain for the Q1 index.-- BT


Click here for URA's press release
http://www.ura.gov.sg/pr/text/2007/pr07-65.html

Private property prices climbed at faster pace
The pace of increase in private property prices has quickened.
According to the URA's flash estimates, they climbed almost 8 per cent in the three months to June, compared to the quarter ended March.
In the first quarter prices had risen 4.8 per cent.
The Urban Redevelopment Authority said prices of non-landed private residential properties increased by 7.6 per cent in the Core Central Region.
It rose a higher 7.9 per cent in Rest of the Central Region and 6.5 per cent in Outside Central Region in the quarter.
Head of Research at Jones Lang LaSalle, Dr Chua Yang Liang, noted that the quickest pace of increase was recorded outside the core.
"The filtering down effect is being observed now especially in the mid-tier levels and in this case geographically in the outside central region. So it does show the broader base recovery. If you look at enbloc sellers, those affected by enbloc sales are now looking outwards. As well as expats beginning to find the limited stock available, they're all looking at the outside regions and that's possibly what's pushing the prices out there right now."
URA said the overall increase in private housing prices in recent quarters is in line with greater economic growth and rising confidence.
It said private housing prices are now increasing at a faster pace because of good economic prospects going forward and the increasing attractiveness of Singapore as a global city.
The Government says it'll continue to monitor the market very closely.
It'll ensure that there will be sufficient supply of residential space to meet demand.
The Government Land Sales Programme for the second half of the year has the potential supply of about 8,000 units of private housing and executive condominium housing.
If necessary, the government said it would make available even more sites for private residential development through the Programme next year.
Jones Lang's Dr Chua said from these comments, it's clear the URA and the government is urging home buyers not to get carried away.
"The message is quite clear -- it's not to enter into any panic buying spree. It's quite clear the government is not going to let a supply crunch situation that's being witnessed in the current office market, be repeated in the residential, which will affect Singapore's competitiveness in the region."
HDB prices rose 5% in Q2
Public resale flat prices gained 5 per cent in the second quarter, a sign that the HDB market has caught up with the upbeat sentiment in the private housing sector --
According to preliminary estimates from the Housing Board, HDB prices rose 5 per cent in the second quarter from a year ago.
And compared to the first quarter, the increase was 2.9 per cent.
HDB's property price index in the second quarter of this year actually rose to a reading of 107.9 --
This is the highest level since second quarter in 2000.
ERA Assistant Vice President Eugene Lim says with the stronger private home prices, potential home buyers are being priced out of the private housing market.
"We are seeing now a filter down effect from the private property sector. Previously there were buyers who could afford private property but they're now being priced out of the private property market and they're now going for HDB resale flats. What's moving now is the bigger flats -- the five-rooms, the executive flats -- we're seeing an upswing in the demand."
In the first quarter of this year, HDB flat prices rose 1.2 per cent compared to the preceeding quarter, and 3 percent year-on-year.

M to P: "Please don't panic. There are enough supply of condo and HDB flats for everyone."

M to G: "So how? It is still going up and at almost double the pace now. You better go give me a better set of statistics for next Q."

[HTML]"As at the end of 1st Quarter 2007, there were 32,746 uncompleted private residential units that have not been sold in projects with planning approvals#1, about 0.6% higher than the 32,543 units as at the end of the previous quarter"[/HTML]
This comment came from the April press release

[HTML]'Prospective home-buyers should take into consideration the sufficient pipeline supply of private housing, as well as the potential supply from government land sales sites, when deciding to make a property purchase,' the URA said.[/HTML]
This just released today.

The previous comments about supply in the pipeline seemed to have the reserve effect. Instead of people hesitating to buy, in fact more people bought and at even higher prices. In fact the rate of increase of prices has almost doubled (4.8% to 7.9%) from the previous quarter.

So do we expect the rate of increase of prices in the next quarter to be even higher?

Quote:

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Originally Posted by andy

[HTML]"As at the end of 1st Quarter 2007, there were 32,746 uncompleted private residential units that have not been sold in projects with planning approvals#1, about 0.6% higher than the 32,543 units as at the end of the previous quarter"[/HTML]
This comment came from the April press release

[HTML]'Prospective home-buyers should take into consideration the sufficient pipeline supply of private housing, as well as the potential supply from government land sales sites, when deciding to make a property purchase,' the URA said.[/HTML]
This just released today.

The previous comments about supply in the pipeline seemed to have the reserve effect. Instead of people hesitating to buy, in fact more people bought and at even higher prices. In fact the rate of increase of prices has almost doubled (4.8% to 7.9%) from the previous quarter.

So do we expect the rate of increase of prices in the next quarter to be even higher?

---

In the first quarter of this year, HDB flat prices rose 1.2 per cent compared to the preceeding quarter, and 3 percent year-on-year.

More notably, prices of private properties in the Outside Central Region rose by 6.5 percent, providing further evidence that the upturn is filtering down to the mass market.

Some analysts said this is a healthy sign.

Ku Swee Yong, Director, Savills Singapore, said: "We are very happy to see that prices in the mass market, which is labelled as Outside Central Region, are growing in tandem with the prices in the Central and Core Central districts, along with a strong growth in HDB numbers.

"Together, these numbers show that the foundation for the property market in general is across-the-board and that supports the growth that is in the top end of the market as well."

The latest numbers are causing property watchers to re-look their estimates for the full year.

Some said they are likely to revise their forecasts upwards for a jump of more than 20 percent in private home prices.

And while the 2.9 percent increase in HDB resale prices is the biggest improvement in nearly nine years, observers said the full-year rise for flats is likely to be a slower 10 percent.

Eric Cheng, Senior Division Director, PropNex, said: "I do not think HDB prices will catch up with the private market because the private pace will be much faster than HDB. HDB would be a consumer market in general and prices will gradually increase."

Analysts said the strong improvement in the second quarter was due to the secondary market, helped by a large number of buyers seeking replacement homes for their apartments that were sold en-bloc.

Mr Ku said: "There wasn't a single significant project that was a contributor to this growth. I think it has sort of spread out to the secondary markets. People started taking interest in areas that used to be undervalued. For example, there was a lot of interest in properties along Bukit Timah Road up to King Albert Park in the past few months."

Quote:

---

Originally Posted by andy

[HTML]"As at the end of 1st Quarter 2007, there were 32,746 uncompleted private residential units that have not been sold in projects with planning approvals#1, about 0.6% higher than the 32,543 units as at the end of the previous quarter"[/HTML]
This comment came from the April press release

[HTML]'Prospective home-buyers should take into consideration the sufficient pipeline supply of private housing, as well as the potential supply from government land sales sites, when deciding to make a property purchase,' the URA said.[/HTML]
This just released today.

The previous comments about supply in the pipeline seemed to have the reserve effect. Instead of people hesitating to buy, in fact more people bought and at even higher prices. In fact the rate of increase of prices has almost doubled (4.8% to 7.9%) from the previous quarter.

So do we expect the rate of increase of prices in the next quarter to be even higher?

---

I prefer up by 3-4% every quarters rather than 8-10%.
3-4% every quarters is more healthy.

July 3, 2007

Private home prices up 7.9% across the board

Second-quarter rise highest since 1999; spillover seen in HDB resale prices

By Joyce Teo


PRIVATE home prices have shot up across the board with everything from luxury condos to humble suburban homes reaping the benefits.

Figures out yesterday - still just estimates at this stage - for the April-June period show that private property is on a dramatic upswing with plenty of momentum.

Prices rose 7.9 per cent - the biggest jump since the third quarter in 1999, when the market staged a brief recovery before sliding into a lengthy slump.

The increase comes on top of a 4.8-per-cent rise in the first three months this year.

'We are clearly in the middle of a property boom now and the growth is escalating,' said Knight Frank head of research Nicholas Mak.

The central core region, scene of some eye-catching condo launches and collective sales, turned in another solid performance, according to the Urban Redevelopment Authority (URA) yesterday.

Prices of non-landed private homes in the core zone - it includes districts 9, 10, 11, downtown and Sentosa - rose 7.6 per cent in the second quarter, compared with a 5.5-per-cent rise in the first.

But for all this area's golden glow, the figures that stood out were from areas outside the central core. Non-landed homes in the rest of the central region - this includes areas like Toa Payoh - saw prices leap 7.9 per cent, well up on the 3.7-per-cent increase in the first quarter.

Rises were even more impressive outside of central, where non-landed home prices surged 6.5 per cent in the second quarter, trumping the anaemic 2-per-cent effort in the first.

There was occasional panic buying as some feared they could miss bargains, said agents.

Yet despite the positive numbers, private home prices are still about 18.8 per cent below the 1996 peak.

The positive sentiment has also spilled over to HDB resales, where prices rose 2.85 per cent - again, the highest growth since the third quarter of 1999 - and up from a 1.25-per-cent rise in the first.

'We're seeing a broad-based recovery plus a tiny spurt from the HDB side,' said Savills Singapore marketing director Ku Swee Yong. The climb in the high-end market, where prices have hit $5,100 psf, is likely to be sustained, he said.

Property experts are looking at a 20- to 25-per-cent rise for private homes for the whole year. They said the strong collective sales market - with about 30 to 40 more estates waiting to hit the market in the next year - will keep demand for suburban and HDB flats chugging along.

PropNex chief executive officer Mohamed Ismail expects HDB prices will clock up a 10-per-cent rise this year.

The URA statement yesterday also touched an issue vexing many - is the market overheating and should some cold water be thrown over it?

It said the Government would continue to monitor the market 'very closely' and ensure there is sufficient supply to meet demand.

Many residential sites have been released in Government land sales (GLS) programmes with more earmarked for next year if there is a need.

The URA said the good stock of private housing and more GLS sites in the pipeline means supply should keep up.

Or as Mr Mak puts it, there is no need to rush in.

[email protected]


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