The private residential property price index shows that private home prices are now at a level surpassing the most recent boom in 1999. In fact, it’s heading north, up a steep curve, toward the peak level reached in the period just before the 1997 Asian financial crisis.
The index, tracked by Urban Redevelopment Authority, is now at 147.3 (see URA’s press release).
If the upward momentum is maintained, it should break its historical record in just 3 to 4 quarters.
So, does it look rosy? Or does it sound scary?
Business Times says on front page today that this rise in home prices “(prompted) some words of caution from the URA.”
The words of caution are (I quote from URA’s press release):
“Prospective home-buyers should take into consideration the sufficient pipeline supply of private housing, as well as the potential supply from GLS sites, when deciding to make a property purchase.”
