Prices of finished small condominium units and apartments continuing to lag behind the cost of larger models, shows the most recent data through the National College or university of Singapore.
Based on the most recent flash estimations for Apr 2016 for NUS’ Singapore Residential Cost Index (SRPI) series, the sub-index for small models of up to 506 square feet islandwide has eased 0. 7 per cent since December a year ago. In comparison, the sub-index for the Central Region (excluding small units) fell 0. 3 per cent while the sub-index for noncentral Region (again excluding little units) even managed to post a minor 0. 1 per cent increase over the same period.
The Central Area is defined as Areas 1-4 (including the monetary district and Sentosa Cove) and the traditional prime home districts of 9, 15 and eleven by the NUS’ Institute of Real Estate Studies, which manufactured the SRPI series following the prices of completed non-landed private homes.
The Overall SRPI dipped zero. 1 percent between 12 2015 and April 2016.
Market watchers were not pleasantly surprised by these kind of findings. He said the more important price drop for carried out small contraptions is due to the increased completing such real estate since 2014 – particularly in the suburbs. These kind of small rural condo contraptions and private apartment rentals are not plenty of for a usual household of 4 to live in; but yet they face weak letting demand resulting from competition out of nearby HDB flats post for subletting which offer pretty much twice space for the same regular rental percentage. There has been an increase in the pool of HDB flats organized for subletting by upgraders.
In the face of continuing weak renting demand for little condo models, HDB toned dwellers that have invested in this kind of properties will be more motivated to place them for sale at appealing prices.
Intended for April 2016, the SRPI posted month-on-month increases, a reversal from the m-o-m declines in Mar – in most four groups. The Overall SRPI improved 0. 3 per cent last month, following easing 1 . 1 per cent in Mar, based on the modified index worth for that month.
NUS’ sub-index for Central Region additionally appreciated 0. 4 per cent last month, different with a 0. 8 per cent drop with March.
From the noncentral Location, too, rates inched ” up ” 0. a couple of per cent with April, soon after sliding – 3 percent in Goal.
NUS’ sub-index for small-scale units islandwide also advanced slightly, by just 0. some per cent, this last year – once retreating zero. 1 percent in Goal.