A drop in High-end property prices 2016

Prices in the luxury property market fell last year but experts say upgraders should proceed with caution.

Values in prime districts – from the Central Business District to Orchard Road and Tanglin – declined 1.2 % over 2016, but that was a better performance than in other parts of the island, according to Urban Redevelopment Authority (URA) figures.

URA noted in data out on Thursday that prices fell 2.8 per cent in the city fringe and 3.4 %  in the suburbs.

The high-end market also recorded the biggest increase in the number of transactions last year, up 48.7 % over 2015, easily beating the 27.2 per cent rise in the city fringe and the 3.7 per cent rise in the suburbs.

A drop in High-end property prices 2016

Investors might be tempted to take the lead from veteran banker Wee Cho Yaw, whose hand in two big-ticket deals this month suggests the market for top-end property has bottomed out.

Mr Wee's private real-estate arm Kheng Leong bought 45 units at luxury condominium The Nassim for $411.6 million, after a discount of about 18 per cent from developer CapitaLand.

Earlier this week, property developer UOL – which Mr Wee chairs – snapped up an attractive freehold site at 45, Amber Road, for $156 million.

Subscribe with us and stay connected to our latest new launch and latest property news