Condo resale prices up in November after 3-month decline, Latest Business News - The New Paper

Condo resale prices up in November after 3-month decline

This article is more than 12 months old

Resale prices of private non-landed homes rose last month after three months of decline following July's cooling measures.

Condominium and private apartment values rose 0.2 per cent last month from October, flash estimates by SRX Property showed yesterday.

This follows a 0.3 per cent drop in October, a figure revised from an earlier estimated fall of 0.4 per cent.

Resale prices had enjoyed an unbroken 12-month run to new highs before declines took hold in August.

They are still 8.8 per cent higher than November 2017 but down 0.7 per cent from the peak in July when the property curbs were imposed.

Buying activity in the resale market has stayed lacklustre.

There were an estimated 662 resales last month, a 4.6 per cent decline from the 694 moved in October and a stark 55.4 per cent below the 1,483 homes transacted in November 2017.

Orange Tee & Tie head of research and consultancy Christine Sun said the resale market has yet to reach equilibrium due to a mismatch in price expectations between buyers and sellers.

"Buyers were largely waiting on the sidelines as they are probably expecting prices to soften after the cooling measures," she noted.

"Some sellers, on the other hand, have raised their asking prices possibly taking the cue from recent developers' new sales where some projects have reached new benchmark prices for their locations." - THE STRAITS TIMES