Condo resale price increase by 0.7% MoM in April

Analyst says resale market may recover.

The resale price for condominiums rose by 0.7% month-on-month in April 2022, which marked the 21st straight month for the resale price to increase, property firms, 99.co and SRX, said.

According to their figures, overall resale prices also increased by 9% year-on-year compared to April 2021.

Over 1,368 units were resold in April 2022, which is 2.2% down from the 1399 units resold in March 2022.

Meanwhile, volumes were 31.3% lower, on a yearly basis, and 17.8% higher than the five-year average volumes for April.

By region, in April 2022, 56.3% of the volumes were from outside central region (OCR), 27.8% from the rest of central region (RCR), and 15.9% from core central region.

For property expert OrangeTee, the numbers showed that total resale volume remained above 1,300 units last month, which is more than the number of transactions reported in January and February whilst the recent cooling measures were in effect.

It added that demand could be “firm” as prices increased for 21 straight months. Then, four months after the cooling measures, the resale market could be on the “road to recovery.”

Huttons Asia, another real estate agency, observed that condo resale volume maintained in April 2022 due to the slower HDB resale market, which resulted in lower transactions in OCR and RCR last month compared to March 2022.