Both non-landed private property and HDB rental prices are on the rise. What could this possibly signify for the market for the rest of 2018?
January’s rental figures show rise for most segments
Rents for non-landed private properties have risen across all regions in January this year.
Rents in the core central region (CCR), rest of central region (RCR) and outside central region (OCR) rose 2.3%, 0.2% and 0.7% respectively. The biggest change came from the CCR as interest and demand for prime district properties is renewed.
Though rents are still 0.7% lower than the year before in a year-on-year comparison and 18.8% lower than January 2013’s peak, the overall positive sentiments has continued well into 2018. 3,376 units were tenanted last month.
HDB rents rise with the exception of executive flats
With the exception of HDB executive flats, HDB flat rental prices rose 0.5% overall. Rents for three-, four- and five-room flats rose 0.7%, 0.3% and 0.7% respectively. However, that of executive flats fell 0.2%.
Last month’s HDB rents are 1.9% lower that the same month from the year before. Compared to the peak in August 2013, HDB rents have fallen 14.8%. 1,441 HDB flats were rented out last month, down 19.1% from January.
This is a considerable shift and with the sheer volume of rental options from both private and public housing segments, tenants have the upper hand. The private non-landed property rental volume also fell 20.4% in January.