Written Answer by Ministry of National Development on expectation of fifth consecutive quarter rise in private property prices and plans to manage trend

Aug 2, 2021

Mr Sitoh Yih Pin: To ask the Minister for National Development (a) whether there is an expectation that the 5th consecutive quarter rise in private property prices will continue in the foreseeable future; and (b) whether there are any plans by the Government to manage this trend.

Answer: 

The increase in private housing prices since the second quarter of 2020 reflects broad-based demand for housing, supported by the low interest rate environment. However, the pace of price increase slowed in 2Q2021, with prices increasing by 0.8% quarter-on-quarter, compared to the 3.3% increase in 1Q2021. 

As has been previously communicated, the Government’s intent is to ensure a stable and sustainable property market, where prices move broadly in line with economic fundamentals. To this end, the Government continues to monitor economic and property market conditions closely.