After the pandemic began, the gap in prices narrowed considerably. The median prices for CCR condos grew by 13.6 percent to S$2,011 in Q3 2020, and the RCR prices jumped 26.2 per cent.

Sun said that the increase in RCR prices in recent years was due to condominiums getting temporary occupation permits. The resale price of these condo units is higher than that of older units.

The RCR has seen a rise in TOPs from around 12,800 to over 3,300, compared with the CCR. Sun said that demand was stronger for the private houses in city fringes, as they were still less expensive than luxury homes.

In terms of resale volumes, sales were slower in the two last quarters due to both the Hungry Ghost Festival as well the higher interest rate. Realis data from the Urban Redevelopment Authority shows that 2,748 units, excluding ECs, were sold during Q3 of 2023 compared to 3121 units for the same quarter in 2018.

CCR’s resale unit volume fell by 15% to 476 in Q3 from the 562 units sold in Q2. RCR also saw a decline of 15.3% to 808 units, down from 954 over the same period.

Home sales in suburbs, or the OCR region, have decreased the least – by 8.8 per cent – to 1,464 from 1,605 homes sold in Q2.

Grand Dunman showflat location is not on actual site.

Sun predicts that the demand in the condominium market will continue to be resilient, in particular in the OCR (outlying suburbs).

The increased number of completed resale houses on the market could help “to mitigate the runaway price increases in the secondary housing market”.

Sun stated that “the total resale (excluding ECs), could reach between 10,000-12,000 units by 2023. Overall resale values may grow at a lower rate, of between 4 and 6 per cent, compared with the growth rate in 2022, which was 8.7 per percent.”

The third-quarter prices for private homes for sale in Singapore rose slightly on all three markets segments.

OrangeTee & Tie published a report on Tuesday, October 24, which showed that the prices of non landed and landed houses in Core Central Region – excluding executive condos (ECs), increased by 0.3 per cent in Q3 to S$2,087 psf from S$2,080 psf during Q2 2023.

The price of a home in the Outside Central Region grew by 2.2% to S$1,421 in Q3 of 2023.

Report said that the price psf difference between CCRs (excluding ECs) and RCRs (excluding non-landed resale houses), has shrunk to 17.5%, from 24.1% the quarter before and 27,5% the quarter prior.

Christine Sun is senior vice president of OrangeTee & Tie’s research and analytics. She said that at 14,5%, the third-quarter price gap had been at its smallest level since Q3 2001.

Sun reported that in recent times, the gap in prices between non-landed residential resale properties in RCR has widened faster than in CCR.