SINGAPORE - The growth in Singapore's private home prices cooled in the second quarter of this year, due to a pullback in landed housing prices and developers launching fewer condominium projects amid tighter Covid-19 restrictions.
Private residential prices rose by 0.8 per cent quarter on quarter - sharply less than the increase of 3.3 per cent in the first quarter and 2.1 per cent in the fourth quarter of last year, according to data from the Urban Redevelopment Authority (URA) on Friday morning (July 23).
The figure was slightly below the flash estimate of a 0.9 per cent rise released three weeks ago.
Year on year, private home prices are up by 7.1 per cent.
Ms Christine Sun, senior vice-president of research and analytics at OrangeTee & Tie, noted that rising home values have triggered a slight slowdown in certain locations.
"The pullback in demand was within expectations since the overall URA price index has increased for five consecutive quarters and there are fewer affordable new units launched in the suburban areas," she said.
Sales of new units by developers, excluding executive condominiums (ECs), fell 15 per cent in the second quarter to 2,966 units, from 3,493 units in the first quarter.
Resale volumes jumped 18 per cent to 5,333 units in the second quarter, from 4,519 units sold in the previous quarter.
In terms of property type, prices of landed properties dipped 0.3 per cent in the second quarter, compared with a sharp 6.7 per cent increase in the first quarter.
Prices rose at a slower pace for non-landed condominiums and apartments, rising 1.1 per cent in the second quarter, compared with a 2.5 per cent increase in the previous quarter.
The URA said prices of non-landed properties in the prime or core central region (CCR) grew 1.1 per cent in the second quarter, compared with a 0.5 per cent rise in the first quarter.