Prices of Singapore's apartments rise
SINGAPORE - The rise in prices of completed private apartments in Singapore last month - an estimated 0.6 per cent from May - was the largest in over three years.
The last time that prices rose so much in a month was in April 2013 when they increased 1.9 per cent, according to the NUS Singapore Residential Price Index (SRPI).
However, last month’s price change came on the back of a 0.9-per-cent fall in May.
While buyers increasingly appreciate the value proposition of resale properties – their prices having fallen to more affordable levels – there are certainly still headwinds in this market, said Ong Kah Seng, R’ST Research director.
The various SRPI indices notched up gains last month.
Prices of completed private apartments in the central region rose 0.7 per cent, those in the non-central region put on 0.4 per cent, while prices of small units of up to 506 square feet inched up 0.2 per cent.
Prices and rentals of industrial space continued to fall along with occupancy rates in the second quarter of this year, JTC said last week.
This trend is likely to continue given oncoming supply – translating to reduced business cost for industrialists, said JTC. Compared to the first quarter, prices and rents of overall industrial space declined by 2.3 per cent and 1.7 per cent, together with a 0.7-percentage-point decrease in overall occupancy rates to 89. 4 per cent.
On a year-on-year basis, prices and rents fell by about 6 per cent, in tandem with the 1.6-percentage-point decrease in occupancy rates.
For the next six months, about 1.6 million square metres of industrial space, which includes 320,000m2 of multiple-user factory space, is estimated to come on-stream.
Next year, 2.0 million sqm of industrial space, which includes 490,000m2 of multiple-user factory space, is expected to be completed.
This is higher than the average annual supply and demand of around 1.8 million sqm and 1.2 million sqm in the past 3 years. “This is likely to exert further downward pressure on occupancy rates, prices and rentals,” said JTC.
For companies looking to own production spaces, there were around 1,700 units, totalling 430,000m2, in uncompleted strata-titled developments still available for sale as of the end of June, said JTC.
