According to data recently released by real estate portal SRX Property, resale prices of condominiums in Singapore dipped in July for the second consecutive month. Volume of sales, on the other hand, surged by almost one-third.
Overall, resale prices of condominiums were down 0.5 per cent in July from the previous month. In June, there was also 0.4 per cent decline from the peak in May, which ended an upward trend that had lasted four months.
Prices in the city fringes, or rest of central region (RCR), posted a drop of 1.1 per cent in July, while prices in the outside central region (OCR) dropped by 0.3 per cent.
The core central region (CCR) managed to maintain price levels, having inched down by a marginal rate of 0.1 per cent from June to July.
The fact that prices have softened in all three markets could be due to an increase in the supply of new homes, with new projects being launched in recent months.
Volume of sales, perhaps as a result of the lower prices, jumped 32.2 per cent in July, from 667 in June to 882 resales units in July. While the volume for July 2019 is still lower than that of July 2018, it was because there was an unusually high amount of activity right before the introduction and implementation of new cooling measures in July 2018.
Still, SRX pointed out that the volume for July 2019 is still 11.1 per cent higher than the five-year average for the month of July.
The most expensive resale condo unit in CCR last month was a high-floor unit at Boulevard Vue on Cuscaden Walk, which was transacted at $17.5 million. The freehold condo is located in District 10.
SRX also released their transaction over X-value (TOX) figures. TOX measures how much a buyer is overpaying (positive value) or underpaying (negative value) for a property based on SRX’s computer-generated market value. The data only includes districts with more than 10 resale transactions.
The overall median TOX for July was negative $10,000, implying that buyers were underpaying for condos by that amount. In June, TOX was positive $10,000.
The highest median TOX was recorded in District 7’s Beach Road, Bugis and Rochor, with a positive $26,000 value.