Prices Of Private Homes Fell Slightly
Monday, 2nd April 2012
The first quarter of 2012 prices of private residential property fell for the first time since 2009. An estimate provided by the Urban Redevelopment Authority (URA) showed that the price index for private homes retreated by a mere 0.1% in the first quarter of 2012, compared to a 0.2% increase in Q4 2011. However, the number of new private homes sold in the first quarter of this year crossed the 6,600 mark, an all time high. Most predicted that 2012 is set to outperform last year's sales of 16,000 units. The fall is due to drop in prices of higher end homes that dragged the index down. The core central region, prices fell by 0.9 percent, while those in the city fringe were down by 0.7 percent. Prices of homes in suburban areas actually gone up by 1.2%, compared to the 0.6% increase in the previous quarter. In any case, this is the first price decline of the index since the second quarter of 2009.
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The index was based on caveats lodged in the first quarter of 2012.