Singapore, 22 Feb 2021 Singapore’s housing market remains healthy, despite a struggling economy caused by the COVID-19 pandemic. The private residential property index rose by 2.21% during 2020, following y-o-y rises of 2.67% in 2019, 7.85% in 2018, and 1.09% in 2017, according to the Urban Redevelopment Authority (URA). When adjusted for inflation, house prices rose by 2.16% y-o-y last year.
During the latest quarter (i.e. q-o-q in Q4 2020), residential property prices increased 2.08% (1.67% inflation-adjusted).
Overall, market sentiment remains positive, with many hopes on the successful rollout of COVID-19 vaccines and improving economic conditions. The volume of resale homes could increase by around 5% to 10% in 2021, while new home sales are expected to remain more or less steady, according to Chistine Sun, the head of research and consultancy at OrangeTee & Tie. Private home prices will continue rising between 1% and 4% this year.