SINGAPORE - Resale prices of non-landed private homes rose a slight 0.4 per cent on flat sales volume in August, compared with July.
Here is the flash report from Singapore Real Estate Exchange:
Non-landed Private Residential Resale prices up slightly on low sales volume. Non-landed Private Residential Resale prices up slightly by 0.4 per cent in August compared to July 2014. Non-landed Private Residential in CCR and RCR drove the overall index up with price gains of 4.8 per cent and 1.5 per cent, respectively. In comparison, resale prices of units in OCR decreased 1.1 per cent.
According to the SRX Non-landed Private Residential Price Index:
· Year-on-year, prices have dropped 5.0 per cent from August 2013;
· Prices have declined 5.3 per cent since the recent peak in Jan 2014.
Resale volume remained flat. According to Non-landed Private Residential Resale data compiled by SRX Property, an estimated 418 Non-landed Private Residential units were resold in August, levelled with 417 transacted units in July.
· Year-on-year, resale volume improved 1.2 per cent compared with 413 units resold in August 2013;
· Resale volume is down 79.6 per cent compared to its peak of 2,050 units resold in April 2010.
Rental volume increased by 3.6 per cent. An estimated 3,539 Non-landed Private Residential units were rented in August 2014. This is a 3.6 per cent increase from 3,416 units rented in July 2014.
· Year-on-year, rental volume in August 2014 is 25.0 per cent higher compared with 2,831 units rented in August 2013.
Rental prices continued to fall. According to the SRX Non-landed Private Residential Price Index for Rentals, rents posted a drop of 0.6 per cent in August compared to July. This marks the 7th consecutive decline in prices. Non-landed Private Residential units in CCR and OCR saw rent decreases of 2.0 per cent and 1.1 per cent respectively, while units in RCR posted an increase in rent of 0.4 per cent.
· Year-on-year basis, rents in August 2014 are down 6.6 per cent from August 2013.
Overall median Transaction Over X-Value (T-O-X) remains negative. According to SRX Property, Non-landed Private Residential prices continue to face downward pressure and negative market sentiment. The median T-O-X for Non-landed Private Residential measures whether people are overpaying or underpaying the SRX Property X-Value estimated market value.
· T-O-X was NEGATIVE $10,000 in August 2014, up from -$20,000 in July 2014;
· The median T-O-X has been negative since Oct 2013.
Districts 11, 18 and 25 with relatively high activity and Positive median T-O-X. For districts with more than 10 resale transactions in August 2014, district 11 (Watten Estate, Novena, Thomson) had the highest median TOX of $50,000, followed by $16,000 and $9,000 posted by district 18 (Tampines, Pasir Ris) and district 25 (Kranji, Woodgrove), respectively.
This means that majority of the buyers in these districts purchased units above the computer-generated market value.
Among relatively active districts, district 15 posts the most Negative median T-O-X. Among districts with more than 10 resale transactions, the lowest median T-O-X were in district 15 ( Katong, Joo Chiat, Amber Road), district 23 (Bukit Panjang, Choa Chu Kang) and district 16 (Bedok, Upper East Coast), at NEGATIVE $ 40,000, NEGATIVE $38,000, and NEGATIVE $30,000, respectively.
This means that majority of the buyers in these districts has purchased units below the computer-generated market value.
Monday, Sep 08, 2014
The Business Times
Source: AsiaOne (8 Sep 2014)