URA Released Figures for Q1 2009
The Urban Redevelopment Authority (URA) has released its figure for 1st quarter of this year on its real estate statistics. The figures for private residential sale prices has declined 14.1% on overall, abeit slightly more over the projected rate of 13.8% by URA.
Rest of Central Region was hit the hardest with a -17.0% quarter on quarter (qoq), with Core Central Region (CCR) at 16.2% and Outside Central Region (OCR) at 7.3% qoq.
Landed residential decline softer than its non-landed counterparts at 9.2% (qoq).
Rentals Have Dipped
Rentals have fell by 8.5% this quarter, as compared to the previous quarter of 5,3%, a much sharper dip. You can download a compilation of rentals data with individual residential projects here.
Even HDB data wasn’t spared either. Although HDB prices are still holding up, but the cash over valuation (COV) has been declining since Q1 2008. A complete data release is on URA’s website.
Will The Slide Stop From Here?
Highly unlikely. We will see further contraction in prices before it eases out. Property prices are highly tied to economy status and reacts especially much to local stock market situation. As property price index is a lagging indicator, until our economy picks up, we won’t see any high rally in property prices anytime soon. You can take a look on Salary.sg’s chart which pegs STI’s performa to property market index.
Again, we should see secondary sub-sale market picking up as supplies are getting ready soon. Pressure will be on buyers who have purchased their homes on Deferred Payment Scheme (DPS) and have not secured their finances.
More analysis from Nicholas Mak, Knight Frank on URA Q1 released data here.
Definition Areas of CCR, RCR and OCR
Core Central Region (CCR)
Singapore prime postal district areas 9, 10, 11, Downtown Planning area and Sentosa.
Rest of Central Region (RCR) and Outside Central Region (OCR)
Postal district areas that are outside Core Central Region 9, 10, 11, Downtown Planning area and Sentosa.
RCR areas are depicted in the Central Region Boundary line excluding CCR. Any areas which is out of the boundary line is considered OCR.
Refer to the map from URA here.
