Chart of the Day: Sold HDB resale units crashed to an all-time low of 3,781

Brace yourselves for price drops.

It seems like Singapore's property market is traveling down south as sales and transactions in the HDB segment shot downwards despite an active demand.

According to PropertyGuru.com.sg's outlook report, marred by the slowing down of buying activity in the latter half of 2013, weakness in the property market continued be prevalent going into the first half of 2014.

Here's more from PropertyGuru.com.sg: 

While active demand for resale HDBs and private property still latently exists, many are reserving their capital in anticipation for a prudent purchase.

As can be seen in the graph , in Q1 2014, the number of HDB resale units sold fell to an all-time low of 3,781. While data for transactions for Q2 2014 were not available at the time of publishing, it can be estimated that the volume will be lower or of comparable amount as the previous quarter.

Low transactions mean that price declines in the first two quarters will be inevitable. The HDB Resale Price Index (RPI) registered a 1.6 per cent decline in Q1 2014, marking the fourth consecutive quarter that a price decrease has been recorded.

This was followed by a further 1.3 percent drop in the second quarter, indicative of property seekers holding off from purchasing in the market.