The National University of Singapore’s Institute of Real Estate and Urban Studies (IREUS) has released its monthly Singapore Residential Price Index (SRPI) for August and September, and the figures show that after climbing 0.7% m-o-m in August, the overall index remained flat at 0% in September.
The transactions-based index tracks the m-o-m price movements of private non-landed residential properties in Singapore. NUS also publishes three sub-indexes – the SRPI Central (excluding small units); SRPI Non-Central (excluding small units); and the SRPI Small Units index. IREUS categorises a small units having a floor area of 506 sq ft or less.
In September, the SRPI Central index climbed 0.8% m-om, the Non-Central index fell by 0.4% m-o-m, while the Small Unit index dropped 0.9% m-o-m.
The SRPI overall index likely recorded a tepid performance due to the contraction of the price indices for the Non-Central regions and for small units, says Nicholas Mak, head of research and consultancy at ERA Realty.
After increasing 0.5% m-o-m in August, the central price index continued to expand in Sept. According to Mak, “the relatively higher prices of new launches in the prime districts could have prompted some owners of resale properties in those locations to mark up their asking prices”.
“For the rest of the year, the SRPI could continue to grow with a pattern of ‘two steps forward, one step back’, expanding in some months and contracting in the month after that. However, the overall SRPI could still end the year rather flat, varying between a growth of 0.5% and a contraction of 0.3%,” he adds.
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