Overall private residential property prices remained broadly flat amid lower sale transaction volume in 3Q2023
• Overall private residential price index flash estimate increased marginally by 0.5% in 3rd Quarter 2023, following the 0.2% decline in the preceding quarter. The average quarterly increase of around 0.2% over the past two quarters was significantly lower than the average quarterly increase of 2.1% in the whole of 2022.
• Private housing sale transaction volume decreased significantly by about 26% on a year-on-year basis.
The Urban Redevelopment Authority (URA) released the flash estimate of the price index for private residential property for 3rd Quarter 2023 today.
Overall, the flash estimate of the private residential property price index increased marginally on a quarter-on-quarter basis by 0.5% in 3rd Quarter 2023, following the 0.2% decline in 2nd Quarter 2023 (see Annex A [PDF, 93kb]and Annex B [PDF, 95kb]). The increase was significantly lower than the average quarterly increase of 2.1% in 2022. In addition, sale transaction volume fell by about 15% on a quarter-on-quarter basis and by about 26% on a year-on-year basis in 3rd Quarter 20231.
Prices of landed properties slid 4.9% in 3rd Quarter 2023, reversing the 1.1% increase in the previous quarter. Prices of non-landed properties rose 2.1%, following the 0.6% decrease in the previous quarter.
The price increase for non-landed properties was attributed to higher prices in the Rest of Central Region (RCR) and Outside Central Region (OCR) supported by resilient demand from local owner-occupiers, though these were partially offset by price declines in the Core Central Region (CCR) (see Annex C [PDF, 186kb]).
The flash estimates are compiled based on transaction prices given in contracts submitted for stamp duty payment and data on units sold by developers up till mid-September. The statistics will be updated on 27 October 2023 when URA releases its full set of real estate statistics for 3rd Quarter 2023. Past data have shown that the difference between the quarterly prices changes indicated by the flash estimate and the actual changes could be significant when the change is small. The public is advised to interpret the flash estimates with caution.
1 Sale transaction volume (up to mid-September) totalled 4,569 in 3rd Quarter 2023, compared to 5,388 in 2nd Quarter 2023 and 6,148 in 3rd Quarter 2022.