Tag Archives: Percentage

HDB COV $20000, lowest in 30 months, since 2011

HDB Flat at Bishan, once of the area with highest COV

HDB Flat at Bishan, once of the area with highest COV

According to data from major property agencies compiled by the Singapore Real Estate Exchange (SRX)Housing Board ( HDB ) cash-over-valuation (COV) continued a steady decline in July to $20,000, its lowest point since January 2011.

Compared to the peak of S$35,000 recorded in January this year, SRX said overall COV has dropped by 43 per cent year-to-date. Year-on-year, July’s resale volume represented a 36-per-cent drop from the same period in 2012. Overall HDB resale prices also dropped for the third consecutive month, slipping 0.5 per cent.

However, the number of HDB flats sold in resale market stayed relatively flat with 1,270 exchanging hands in July, similar to June’s 1,266 resale cases. This was a 36 per cent drop from the same period in 2012.



Source – http://www.straitstimes.comhttp://www.hdb.gov.sg



Singapore resale home prices drop 0.4% in June


Resale home prices slid 0.4 per cent from May to June as more buyers chose new launches over resale units.

The rate of decline was slightly steeper than the 0.2 per cent dip from April to May, according to flash Singapore Resale Price Index (SRPI) figures released on Monday by the National University of Singapore.

The drop was largest in the central region at 1.5 per cent in June. This outweighed a 0.5 per cent rise in resale prices in non-central regions that month.

Resale prices of small homes, of 506 sq ft or less in size, declined 1 per cent in June.

Source – Straits Time

Interest rate rise ‘could hurt many households’

MORE than 9,000 households in Singapore may have trouble paying off their mortgages when interest rates rise, a new report warns.

Debts 1Analysts from Religare Institutional Research made this calculation based on the statement by the Monetary Authority of Singapore on Tuesday.

MAS had said that 5 to 10 per cent of borrowers here have probably overstretched themselves on their property purchases. That is, their total debt servicing payments, including those for their home, car and other loans, amount to more than 60 per cent of their income.

If mortgage rates were to rise by 3 percentage points, the proportion of borrowers at risk could reach 10 to 15 per cent, the MAS said.

The central bank had also pointed out that the vast majority of mortgage loans here are on floating-rate packages, so many households will face higher monthly repayments when interest rates rise.

Religare noted in its report yesterday that there are 90,000 new homes coming onto the market from now to 2016.

This “means over 9,000 troubled units could be on the market”, it said.

“That is more than half a year of new home supply and over 3 to 4 per cent of total private housing units.”Debts

Another worrying statistic, Religare said, is that only 70 per cent of existing property loans are for owner-occupied homes. This shows that investor demand in private homes is running quite high, the analysts wrote. “A little wobble in prices, combined with higher interest rates, might shake up a few property investors as well and add to the possible troubled units on the market.”

MAS deputy managing director Teo Swee Lian had said at the release of the MAS annual report on Tuesday that there is a much lower chance of a default if a loan is for an owner-occupied home.

Sourced from – http://www.stproperty.sg

Prices continue to rise despite cooling



Despite numerous government attempts to cool the market, property prices in Singapore have continued to rise in many sectors during the second quarter of 2013.

The latest data from the Urban Redevelopment Authority (URA) showed prices for private homes in Singapore rose one percent quarter-on-quarter, having risen 0.6 percent during the previous three month period.

Non-landed private property prices in the core region declined by 0.2 percent quarter-on-quarter, however there was a significant 3.8 percent jump in prices outside the central region.

Rental prices for private homes were also on the rise during the second quarter – up 0.3 percent quarter-on-quarter but less than the 0.8 percent rise seen during Q1.

Resale prices for Housing Development Board (HDB) properties also continued to increase during the three months ending June 2013, up 0.5 percent from the first three months of the year.

Deputy Prime Minister and Finance Minister Tharman Shanmugaratnam told Reuters earlier this month that the property market has shown signs of stabilising, but that the government would like to see some softening of prices.

Many analysts and market watchers predicted that prices would decline following January’s significant attempts by the government to cool the market, however this latest data suggests those efforts did not have the desired impact.

Source from : Propertyguru

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