Private property price changes in 4Q 2021
COMPARISON OF PROPERTY PRICE INDEX FOR 3RD QUARTER 2021 AND 4TH QUARTER 2021
|Price Index1||% Change over Previous Quarter|
(Source: URA Media Release)
According to the flash estimates from the Urban Redevelopment Authority (URA), private home prices in Singapore has jumped a total of 10.6% in 2021, as compared to the 2.2% rise in 2020. This is also the highest annual growth since 2010, when private home prices rose 17.6%.
Overall, we can see a gain of 5% in the private residential property index in the fourth quarter of 2021. From the data, we can also learn that there has been an increase in both landed and non-landed property prices.
Landed property prices have seen an increase of 3.7% as compared to the 2.6% in the previous quarter and non-landed property prices, on the other hand, have seen an increase of 5.4% as compared to the 0.7% increase in the previous quarter.
Non-landed property in the Core Central Region rose by 2.5%, challenging the decline of 0.5% in the previous quarter, whereas non-landed property in the Rest of Central Region rose by 7.3% and prices of non-landed property in the Outside Central Region rose by 5.4%.
HDB resale flat price changes
Both the private residential property index as well as the HDB resale price index has risen for the seventh consecutive quarter in quarter 4 of 2021, and at a higher pace, too, than in the preceding 3 months.
When it comes to HDB resale flat prices, Singapore has seen a rise of 12.5% in the whole year of 2021, the highest annual growth since 2010.
This is due to the fact that there has been more demand than supply in many areas. Construction delays and long completion periods of BTOs may have also turned buyers towards the resale market.
To battle this, the government is looking to significantly increase the public housing supply. HDB plans to launch up to 23,000 flats per year in 2022 and 2023 while preparing to launch up to 100,000 flats in total from 2021 to 2025 if demand prevails.