Condo rents fall 0.8% in May but HDB rents rise 0.7%: SRX Property

High rise condominiums in the Stevens Road area.
High rise condominiums in the Stevens Road area. PHOTO: ST FILE

SINGAPORE - It was a mixed picture for Singapore's property rental market in May, with condominium rents resuming their decline while HDB rents rose for a second straight month.

Rents for condominiums and private apartments dropped 0.8 per cent in May from the previous month, after they had stayed flat in April, according to SRX Property flash estimates released on Wednesday (June 14). Location-wise, the decline was across the island, with rents dipping 1.8 per cent in the prime districts, 0.5 per cent in in city fringes and 0.4 per cent in the outlying areas.

Rents for HDB flats climbed 0.7 per cent month-on-month, after no change in April.

The weaker private rents came with more homes being leased. According to SRX Property, an estimated 4,650 units units were rented in May, up 12.5 per cent from April. Year-on-year, rental volume last month was 6.1 per cent higher than the 4,381 leased in May 2016.

 After a sustained slide last year, private rents have fluctuated monthly this year. May's drop brings the rent decline to date this year to 1.1 per cent, said SRX Property. Year-on-year, rents last month were down by 3.9 per cent from May 2016 and 19.7 per cent off their peak in January 2013.

Compared to private rentals, HDB rents have declined by a smaller 0.4 per cent margin to date this year, said SRX Property.

Year-on-year, HDB rents last month were down by 3.7 per cent from May 2016 and 13 per cent lower than their peak in August 2013.

For May, rents rose slightly month-on-month for all types of flats with 3-room units seeing the biggest increase of 1.5 per cent.

The number of HDB flats rented in May was 1,873 units - one more than in April. Year-on-year, rental volume in May was 3.5 per cent less than for May 2016.